Frozen Seafood Market Size, Share, Industry, Forecast and outlook (2024-2031)

Frozen Seafood Market Segmented By Type (Frozen Fish, Frozen Molluscs, Frozen Crustaceans, Others), By End-User (Food Processing Industry, Food Servicing Industry, Household), By Distribution Channel(Supermarket/Hypermarkets, Specialty Store, E-Commerce, Others), By Region (North America, Europe, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2024-2031

Frozen Seafood Market Overview

The Global Frozen Seafood Market is estimated to reach a CAGR of 9.98% during the forecast period (2024 - 2031). 

Frozen seafood products are freeze processed which helps in inhibiting the bacterial form of the food products along with increasing the shelf life of the food products. The freezing process in the frozen seafood products helps in lowering the decomposition by turning the remaining moisture into ice along with inhibiting the growth of the most bacterial species present in the food products. Frozen seafood products are processed by two processes namely cryogenic also known as flash freezing and mechanical. The frozen seafood products are mostly frozen by using cryogenic freezing which is most used freezing technology as a result of presence of ultra-low liquid nitrogen which has temperature of -196 degree celsius. The global market is predicted to rise due to continued development and innovation in cold chain transportation. Furthermore, growing trend of using seafood as a substitute for red meat is expected to propel the worldwide market forward. 

Frozen Seafood Market Scope

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Frozen Seafood Market Dynamics

Increasing demand for frozen seafood owing to its reduced environmental impact

Even though consumers prefer fresh seafood, carbon footprint is higher when compared to frozen seafood because fresh seafood requires flying and rushed travel, whereas frozen seafood moves on energy-efficient transportation since time is not a factor once the fish is frozen. Frozen fish can be transported by trucks, trains, or ships, significantly reducing the environmental effect. Flash-freezing also aids in waste reduction during processing. As sustainable food movements gain traction and consumers become increasingly aware of the environmental impact of the food that they consume, frozen seafood sales are estimated to rise over the coming years.

Moreover, the rise in disposable income and preference for food that provides convenience in cooking and consumption has gained profound importance especially among the urban populace owing to their busy lifestyle. In addition, there is an increase in awareness of the health benefits of seafood. This is expected to boost the demand for frozen seafood. Furthermore, the easy accessibility and availability of various varieties of seafood under one roof through establishment of large retail chains especially in the developing countries helps propel the market expansion.

However, overfishing has become a great cause of concern not only to the fisheries but also the environment. Overexploitation could lead to less availability of fish, which in turn increases the prices of frozen seafood, ultimately hampering the market growth.

On the contrary, adopting quick freezing technology to freeze seafood can help produce superior quality of products and using heat-and-eat containers which will allow consumers to cook their food products instantly, can be viewed as an opportunity by the manufacturers to expand the market base.

Frozen Seafood Market Segmentation

Growing demand for frozen crustaceans

Crustacean’s cuisines are a favorite delicacy around the world. Crustacean-based cuisines around the world usually include shrimps, lobsters, crab, and crawfish species. The demand for crab, crawfish, and lobster remains price inelastic, which is expected to drive the segment growth. Fishing for crustaceans is becoming increasingly difficult due to the dwindling population of marine species. Additionally, most of these species live near limestone formations in brackish-water systems formations which makes them even more difficult to catch. Their growing demand and limited supply is expected to drive the segment growth during the forecast period. Apart from frozen crustaceans, the demand for frozen fish is expected to grow significantly during the forecast period. Regions far from the sea are often not accustomed with a wide varieties of seafood delicacies. Growing awareness about different seafood, simpler storage mechanism, and growing trends of adapting cuisines from the outside are expected to drive growth of the frozen fishes in the near future. In Europe and North America, fish in frozen and prepared and preserved forms represents more than two-thirds of the production of fish used for human consumption.

Frozen Seafood Market Geographical Share

North America is expected to dominate the global frozen seafood market in the year 2020

North America is one of the major regions for global frozen seafood market. The United States is expected to dominate the North America frozen seafood market. Consumers in the U.S. are looking for multi-component products that are readily available in the market and also accommodate their fast-moving lifestyle. With growing demand for nutrient-rich health food, need for the development of food with healthier ingredients has also increased. Researchers have been seeking new food ingredients to improve the functionality and nutritional value of the product. Hence, manufacturers are looking towards the frozen seafood industry, which generates an ample amount of seafood nutrients for human consumption.

On the other hand, Asia Pacific is expected to grow with a highest CAGR of XX% during the forecast period. China consumes most significant quantity of seafood in world and it is the largest importer of seafood. In the year 2020, consumption of seafood in China estimates 45% of global volume, meaning 65 million tons out of 144 million tons. The consumption of seafood in China has risen from 11.5 kg per person in 1990 to 25.4 kg in 2004, and it is expected to reach to 35.9 kg in the year 2020. The booming Chinese seafood market offers vast opportunities for frozen seafood market in this country. Moreover, one of the primary drivers for the China market is fast-growing demand for frozen seafood products among the country's health-conscious consumers.

Frozen Seafood Market Companies and Competative Landscape

The global market is highly fragmented in nature owing to presence of a large number of players. Some of the key players operating in the global market are High Liner Foods, Premium Seafood Company, Inc., Sirena Group, M&J Seafood, AquaChile, Mowi, and Sterling Foods, among others. Manufacturers in the market are focusing on building strong storage and supply chains as demand is rising. For instance, in 2018, SalMar ASA, a Norwegian farmed salmon company, has purchased 51% of MariCulture AS's shares. Key market players are focusing on other strategies such as acquisitions, partnerships, and product launches, to expand their market share. For instance, in January 2021, SeaPak launched trio of frozen seafood products. In June 2021, Bristol Seafood, a Portland, Maine-based processor and wholesaler, announced the launch of its "Bristol seafood singles" line of frozen products packed in perforated, easy-peel singles with a QR code. In June 2020, Mixter’s Wixter launched new national frozen seafood brand.

COVID-19 Impact on Frozen Seafood Market

Covid-19 pandemic has increased the demand for packaged frozen seafood, thus driving the market growth. Consumer demand for packaged and frozen products increased from the second quarter of 2020 as households looked to stock up on non-perishable food. Frozen seafood industry has seen growth since COVID-19 pandemic started, as people are attracted towards foods with long shelf life. U.S. based frozen food sales grow 18.2% in 2020, pulling up US$66 billion in sales. American Frozen Food Institute (AFFI) says that 7% of customers never purchased frozen foods pre-pandemic and are now buying frozen food. Due to COVID-19 pandemic people are avoiding to visit grocery stores and trying to stock food which has long self-life and can be eaten in an extended period.

Across Europe, lockdowns created a spike in demand across all our core fish portfolio with increased at home meal occasions. As lockdowns have eased demand for frozen fish has continued, suggesting a behaviour change to more frozen food consumption and reflecting the change in consumer attitude to the category and its benefits such as reduced food waste. Around March - leading up to and into the UK’s lockdown - retail sales soared as consumers began stockpiling food. Many seafood businesses supplying the domestic retail market saw a significant increase in demand. This boost was largely driven by frozen and tinned (ambient) food sales. Chilled seafood sales saw less of an increase as shoppers looked for items that would keep for longer. Young’s Seafood stated that frozen fish has increased sales by 18.3% (£41.5m) in the March-April season. This is largely due to the convenience of frozen food, it helps families plan their weeks, is cost effective and reduces waste.