Asia Pacific Frozen Processed Food Market Size (2024-2030)

The Asia Pacific Frozen Processed Food Market was valued at USD 54.74 Billion in 2023 and is projected to reach a market size of USD 86.76 Billion by the end of 2030. Over the forecast period of 2024-2030, the market is projected to grow at a CAGR of 6.8%. 

Rising disposable incomes, shifting lifestyles, and growing urbanization throughout the Asia Pacific region have all contributed to the market's impressive rise. Products from frozen veggies, fruits, ready-to-eat meals, meat, fish, and bakery goods are all included in this market. The need for convenience and growing health consciousness among customers are anticipated to fuel additional growth in the frozen processed food industry. The market for frozen processed foods has expanded as a result of rising disposable incomes in the Asia Pacific area. Consumers who have more money to spend are prepared to pay extra for convenient, high-quality food goods. Asia Pacific customers are becoming more conscious about their health and well-being. Demand for healthier frozen food choices devoid of artificial additives and preservatives has resulted from this. In response to this trend, manufacturers are providing goods that are both nourishing and handy. The emergence of frozen processed foods that are organic and natural is evidence of this change in customer tastes.

Key Market Insights:

The ready-to-eat meals segment holds 25% of the market share in the Asia Pacific region. Frozen vegetables and fruits make up 20% of the market share.

Supermarkets and hypermarkets account for 55% of the distribution channel share. Convenience stores hold a 15% share of the market distribution channels.

Australia’s frozen processed food market is valued at USD 4 billion. South Korea holds a 10% market share in the Asia Pacific frozen processed food market.

The organic frozen food segment is expected to witness a CAGR of 9% during the forecast period.

The retail price of frozen vegetables in China averages USD 2 per kg. The frozen dessert segment holds 5% of the market share.

The frozen dairy products segment is anticipated to grow at a CAGR of 6% from 2023 to 2030.

The demand for gluten-free frozen foods is expected to grow at a CAGR of 8% during the forecast period.

The market share of frozen processed foods in urban areas is 60%.

The Asia Pacific region saw a 10% increase in frozen food imports in 2023.

Asia Pacific Frozen Processed Food Market Drivers:

One of the primary drivers of the frozen processed food market in the Asia Pacific region is the rapid urbanization and the consequent changes in lifestyles.

The fast-paced lifestyles in urban places are typified by the importance of time. There is an increasing need for quick and easy meal alternatives due to the rise in working professionals and dual-income households. Processed meals that are frozen meet this demand well because they are simple to prepare, store, and eat. This market's expansion has also been aided by the movement of people from rural to urban regions. Frozen meals are a great option for many homes because urban living generally means smaller living areas and fewer cooking amenities. This need has been further stimulated by the large selection of frozen processed food items that are readily available in supermarkets and hypermarkets.

Technological advancements in the food industry have significantly impacted the frozen processed food market.

Freezing technology advancements like cryogenic freezing and individual quick freezing (IQF) have extended the shelf life and enhanced the quality of frozen goods. These techniques guarantee that the food's flavor, texture, and nutritional value are maintained, which increases the attractiveness of frozen meals to consumers who are health conscious. Significant progress has also been made in packaging technology, with better materials and methods that extend the shelf life and improve the quality of frozen processed goods. Examples of such developments that prolong the freshness of frozen food and avoid contamination include vacuum packing and modified atmosphere packaging (MAP). The creation of energy-efficient storage options and freezers has also helped the business expand.

Asia Pacific Frozen Processed Food Market Restraints and Challenges:

The comparatively high cost of frozen processed meals in comparison to fresh or locally obtained foods is one of the major obstacles facing the frozen processed food business in the Asia Pacific area. Frozen food manufacturing, storage, and delivery come at a high cost, which is frequently passed on to the final consumer. This raises the cost of frozen processed goods for a significant portion of the population, especially in underdeveloped nations. The belief held by customers that processed foods in freezers are less nutrient-dense than those in fresh food forms is another significant obstacle. The idea that frozen meals are lower quality and offer fewer health advantages persists despite developments in freezing technology that maintain food's nutritional value. Resolving this issue requires educating customers about the safety and nutritional value of frozen processed meals. Market participants should fund awareness efforts that emphasize the benefits of frozen foods, including their extended shelf life, ease of use, and ability to retain nutrients thanks to cutting-edge freezing procedures.

Asia Pacific Frozen Processed Food Market Opportunities:

There are a number of developing areas in the Asia Pacific area where frozen processed foods might see rapid expansion. Rapid economic expansion and urbanization are occurring in nations like Vietnam, Indonesia, and India, which is causing disposable incomes to rise and lifestyles to shift. The market for frozen processed foods is expected to grow as a result of these causes. There is a rising need for better food alternatives as people become more conscious of their health and well-being. The frozen processed food business has a lot of potential because of this trend. Customers are searching for goods that are not only nutrient-dense and free of artificial ingredients but also convenient. Market participants can also develop new items and adjust to the changing tastes and preferences of consumers in emerging regions. Through customization of their products to suit regional culinary customs and tastes, businesses may access these markets and spur expansion. Players in the market may take advantage of this by creating and advertising healthier frozen food choices. This entails using organic products, lowering the amount of sugar and salt, and adding superfoods. Companies may attract consumers who are health-conscious and obtain a competitive advantage in the market by marketing their products as nourishing and healthful.

ASIA PACIFIC FROZEN PROCESSED FOOD MARKET REPORT COVERAGE:

Asia Pacific Frozen Processed Food Market Segmentation:

Asia Pacific Frozen Processed Food Market Segmentation: By Types:

• Frozen Vegetables
• Fruits
• Ready-to-Eat Meals
• Meat and Poultry
• Seafood
• Bakery Products

In the Asia Pacific frozen processed food industry, frozen meat and poultry continue to hold the top spot, despite frozen ready meals having the quickest rate of growth. Consumers who prefer to prepare their own meals but value the convenience of having frozen goods on hand will find frozen meat and poultry products attractive as flexible components that can be utilized in a number of cuisines. Many consumers find it appealing to purchase meat and poultry in large quantities and preserve them for longer periods of time, particularly in areas where it may be cumbersome to make regular shopping visits.

Frozen ready meals have emerged as the fastest-growing segment in the Asia Pacific frozen processed food market. In the fast-paced urban environments of many Asia Pacific countries, consumers are increasingly seeking quick and easy meal solutions. Frozen ready meals offer a convenient alternative to cooking from scratch, appealing to time-pressed individuals and families. Advancements in freezing and packaging technologies have significantly enhanced the quality of frozen-ready meals. Many products now closely mimic the taste and texture of freshly prepared dishes, addressing previous concerns about the palatability of frozen foods.

Asia Pacific Frozen Processed Food Market Segmentation: By Distribution Channel:

• Direct sales
• Supermarkets and Hypermarkets
• Retail stores
• Online platforms

In Asia Pacific, supermarkets and hypermarkets presently control the majority of the frozen processed food distribution sector. For many customers, these retail formats serve as their principal place of purchase since they provide a large selection of products together with the cold storage infrastructure that is required.

Nonetheless, the fastest-growing retail channel is online, thanks in part to the COVID-19 epidemic. Tech-savvy urban customers find e-commerce platforms enticing since they provide ease and a large range of products. This trend is being driven by the expansion of online grocery services and advancements in last-mile cold chain logistics.

Asia Pacific Frozen Processed Food Market Segmentation: Regional Analysis:

• China
• Japan
• South Korea
• Australia & New Zealand
• India
• Rest of Asia-Pacific

With a healthy 40% market share, Japan is by far the biggest participant in the Asia Pacific frozen processed food industry. This dominance stems from a particular connection the nation has developed with frozen meals, which is molded by a confluence of cultural, economic, and technical variables. The history of Japan's frozen food sector dates back to the post-World War II period when the nation started swiftly modernizing and absorbing Western ideas. The 1960s and 1970s saw the emergence of microwave ovens and home freezers, which created the foundation for a healthy frozen food industry. Frozen meals are already a staple of Japanese everyday life, providing convenience in a nation renowned for its long workdays and fast-paced metropolitan way of living.

India is the nation with the fastest rate of growth in the Asia Pacific frozen processed food market, notwithstanding Japan's present dominance. India is now leading the area in growth in this industry, even if its market share is still relatively modest at 5-8%. A number of variables, including changing lifestyles, urbanization, increased disposable incomes, and a changing retail environment, are contributing to India's frozen food market's rapid rise. With over 1.3 billion people living in the nation, there is a huge potential market and even slight changes in consumer behaviour can result in substantial market expansion.

COVID-19 Impact Analysis on the Asia Pacific Frozen Processed Food Market:

Strict lockdown measures and border restrictions disrupted global supply chains. Shortages of raw materials and processing delays hampered production, creating a ripple effect that impacted product availability on supermarket shelves. Panic buying and stockpiling behaviors triggered by initial lockdowns led to a temporary surge in demand for frozen staples like vegetables and meat. However, as the pandemic wore on, consumers became more cautious with spending, impacting overall demand. With restaurants closed and people cooking more at home, the focus shifted towards fresh ingredients, creating a temporary dip in the frozen food market share. As people stayed home and minimized physical outings, e-commerce platforms witnessed a dramatic surge. This opened up new avenues for frozen food companies to reach consumers directly, particularly in regions with limited supermarket access. Imagine a scenario where a consumer in a rural area can order frozen meals directly from a manufacturer's website, bypassing traditional distribution channels.

Latest Trends/ Developments:

Transparency in ingredients is key. Consumers are demanding products made with recognizable, whole-food ingredients, with minimal artificial additives, preservatives, and hidden sugars. Frozen food is no longer seen as purely a convenience option. Products are increasingly being fortified with essential vitamins, minerals, and protein to cater to specific dietary needs. This could include frozen protein bowls packed with superfoods like kale and chia seeds, or veggie burgers fortified with iron and B vitamins. The vibrant street food scene in many Asian countries is inspiring an exciting trend. Frozen versions of popular street food favorites, like Thai Pad See Ew or Vietnamese spring rolls, are hitting supermarket shelves, allowing consumers to recreate these authentic flavors at home with ease. Plant-based meat substitutes like pea protein-based burgers and jackfruit “pulled pork” are finding their way into the frozen food category. These options cater to vegetarians, vegans, and flexitarians seeking convenient and delicious meatless meal options.

Key Players:

1. Nestlé
2. Unilever
3. Kraft-Heinz
4. McCain Foods
5. Conagra Brands Inc.
6. Ajinomoto Co. Inc.
7. General Mills Inc.
8. Sanquan Food (China)
9. Maruha Nichiro Group (Japan)
10. CJI (South Korea)
11. ITC (India)
12. Bellamy’s Organic (Australia)
13. Fonterra (New Zealand)
14. Movistar México