Global Extruded Snacks Market is Segmented By Ingredient (Potato, Corn, Rice, Tapioca, Others), By Type (Simply Extruded, Expanded, Co-Extruded), By Distribution Channel (Supermarkets and Hypermarkets, Convenience Stores, Grocery Stores, Online Sales, Others), By Region (North America, South America, Europe, Asia Pacific, Middle East & Africa) â Share, Size, Outlook, and Opportunity Analysis, 2024-2031
Market Overview:
Extrusion is a technique that combines several operations such as cooking, mixing, kneading, shaping, shearing and forming. It is a procedure by which several assorted ingredients are forced through an opening in a holed die or plate with a pattern explicit to the food. Then it is cut to an indicated size with the help of blades. It is a popular means of preparing healthy snacks and ready-to-eat foods. Extrusion enables large food production through an endless, well-organized system that ensures homogeneity in the finished product. The starch level of food products made with this approach is often relatively high. Extrusion of various ingredients such as corn, tapioca, oats, potatoes, and wheat, among others, is used to make extruded snack foods. The market for extruded snacks is growing due to the rising demand for ready-to-eat foods and an increase in the working population.
The global extruded snacks market is estimated to reach at a high CAGR during the forecast period 2024-2031
Market Dynamics:
Increasing demand for extruded snacks, owing to its various health benefits Extruded snacks have a low moisture content, ranging from 4 to 6 percent, which keeps them shelf stable while also extending their shelf life. According to reports, these items are perfect for reducing the danger of malnutrition in underdeveloped countries. According to UNICEF data, 45.4 million children under the age of five were affected by wasting globally in 2020, with 13.6 million suffering from severe wasting. According to the United Nations, the global population is expected to reach over 9 billion people by 2050, exacerbating the problem of malnutrition. Extruded snacks improve the digestibility of proteins and starches and destroys the anti-nutritional factors in food. It's crucial to consider about these nutritious snacks when it comes to providing macro and micronutrients, especially to the nutritionally sensitive population. Because of their increased nutritious value, extruded snacks are becoming increasingly popular among the youthful population. Furthermore, the extrusion technique has a cheaper processing cost and saves money on raw materials, labor, and capital. It takes up less space, uses less manpower, and has a low energy cost.
Market Segmentation:
Potato based extruded snacks held largest market revenue share in the year 2020
Due to high consumption of potato-based extruded products, such as chips and pallet snacks, potato-based extruded snacks will lead over the forecast period. According to the US Census Bureau, almost 60% of the potato grown in the United States is sold as chips, French fries, dehydrated potato snacks, and other potato products. Meanwhile, potato extruded snacks are a healthier alternative to potato snacks. According to recent research, the low-fat level of extruded potato snacks is attributable to their low-fat content in the initial combination and the extrusion technique' limitations. Snacks provide 19% of an adult's daily protein needs and 28% of dietary fiber in 100 grammes. Such factors are anticipated to boost the demand for the potato based extruded snacks over the forecast period.
Due to rising demand for healthy and nutritious snacks among the young population around the world, tapioca-based extruded snacks are predicted to expand at the fastest CAGR during the forecast period. Because of its great nutritional value, tapioca is commonly consumed throughout Latin America, Africa, and Asia in many forms. Over the projection period, these consumer trends are expected to open up new opportunities for tapioca-based extruded snacks.
Geographical Penetration:
Europe is expected to dominate the global extruded snacks market in the year 2020
In 2020, Europe had the greatest market share in the global extruded snack industry, accounting for approximately XX%. Snacking during social occasions in Europe, as well as on-the-go or general snacking, is driving demand for extruded snacks. Furthermore, customers are gradually moving away from unhealthy snacks and toward healthier alternatives such as wheat and cereal snacks. The health benefits of such items are important to customers in the United Kingdom, while Germany is one of the fastest expanding markets for natural and organic healthy foods. Snacks made from wholegrain wheat and other cereals, as well as pulse flours, seeds, and organically processed grains, are becoming increasingly popular. On the other hand, Asia Pacific is expected to grow with highest CAGR during the forecast period, owing to a large population base in countries, such as China and India. According to the Indian Institute of Food Processing Technology, extruded snacks in India is projected to grow at a CAGR of more than 15% during 2019-2024. PepsiCo, ITC, Prataap Snacks, DFM Foods and Haldirams are some of the key players in the India extruded snacks market. Furthermore, due to corporate culture, party culture with beverages and snacks is rapidly expanding in Asian countries, creating new opportunities for extruded snacks in the regional market.
Competitive Landscape:
Owing to the presence of many companies on both the domestic and global levels, the extruded snack market is fragmented. Major players are always increasing their product offering with regional flavors in order to keep clients. To grab the largest market share and increase their client base around the world, leading manufacturers are employing a variety of techniques, including new product launches, mergers and acquisitions, and distribution channel development. For example, PepsiCo, Inc. added 'papadam,' a south Indian extruded snack, to their product portfolio in May 2019. Customers in South India are the company's target market. Calbee, the North American snacking behemoth, said in 2020 that it would be enhancing its snacking experience with new Harvest Snaps Crunchions, which are a superior alternative to typical corn-based snacks and are jam-packed with taste in every bite. The product is a plant-based snack with red lentils as the first ingredient, which are high in nutrients. Calbee purchased Warnock Food Products, Inc. in October 2019 to increase its footprint in the US market and nearby nations.
COVID-19 Impact: Positive impact on the extruded snacks market
As a result of the spread of coronavirus, consumers have become more vigilant about their snacking habits. They are slowly inclining towards healthier snacking foods such as extruded snacks because of the metabolism-related benefits they offer. Good snacking is often well-thought-of as a weight-loss accompaniment, as these snacks have the necessary vitamins and nutrients the body requires. The nutritional substances in extruded snacks can be transformed by altering protein and starch's digestion competence. As Americans stayed at home during the pandemic, sales of salty snacks increased slightly in 2020. Snacks have become one of the most popular items in stores, with sales of PepsiCo brands Lays and Tostitos increasing by 32 percent and 42 percent, respectively. Consumer consumption patterns have shifted dramatically, with "at-home" experimentation with new snacking foods becoming increasingly popular. Chips, popcorn, pretzels, and tortilla chips are all readily available snacks to eat at home, especially on movie nights, and the market has risen slightly as a result. The rising demand for weight control and healthy snacking are likely to drive the global market for extruded snacks during the pandemic.