Nut Products Market Size, Share, Industry, Forecast and outlook (2024-2031)

Nut Products Market is segmented By Nut Type (Almonds, Walnuts, Cashews, Pistachios, Hazelnuts, Pecans, Brazil Nuts, Pine Nuts, Others), By Product Type (Nut Butter, Shelled Nuts, Nut Oil, Others), By Application (Bakery & Confectionery, Dairy products, Snacks, Bars & Cereals, Beverages, Others), By Distribution Channel (Supermarkets and Hypermarkets, Specialty Stores, Convenience Stores, Online Sales, Others), By Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2024-2031

Nut Products Market Overview

The global nut products market is estimated to reach a high CAGR of 5.8% during the forecast period 2024-2031. The Global Nut Products Market report analyzes the global market shares, size, recent trends, future market outlook, and competitive intelligence.  Nut products find application in various food and beverage industries, and the market is driven by increasing demand for healthy and nutritious snacks, especially in the American region. Key players in the Nut Products Market include Archer Daniels Midland Company, Olam International, Blue Diamond Growers, and other prominent players operating in the market.

A nut is a fruit composed of an inedible hard shell and a seed that is generally edible. Most nuts come from the pistils with inferior ovaries. The growing inclination of consumers towards plant-based and gluten-free products coupled with increasing health awareness is expected to drive the global nut products market. Moreover, an increase in the demand for convenience foods, an increase in the popularity of nuts as a food additive, and an increase in product launches are some of the factors driving the growth of the global nut products market.

Nut Products Market Scope

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Nut Products Market Dynamics

Growing awareness towards the health benefits of nuts

Intake of nuts is related to reducing the chronic disorder risks and its products such as cashew nuts, peanut hull, and coconut shells exhibit anti-bacterial properties as well as food-preserving features. Furthermore, the beneficial effects of nut product consumption on human health are attributed to the presence of vegetable protein, fatty acids, minerals, phytosterols, fiber, vitamins, and phenolics in these products. Nut intake results in the low formation of atherogenic LDL sub-fraction resulting in less occurrence of heart stroke in persons due to cholesterol-reducing the effect of nuts or their products & presence of a low proportion of saturated fats in nut products. As per an NCBI study, the intake of nut products provides benefits to consumers against oxidative stress, vascular reactivity, inflammation, hypertension, metabolic syndrome, and visceral adiposity. As per the observations made by US FDA, nuts reduce the risk of type 2 diabetes in the subjects, regulate levels of blood glucose, and reduce coronary heart disease risks as it possesses a high proportion of antioxidants.  In addition to this, tree nuts including almonds, cashew nuts, walnuts, and pistachios & legume seeds like peanuts are dense diets having many ingredients benefitting human health.

Additionally, the rise in the use of food & beverage products with nuts as ingredients will enlarge the scope of the nut products industry over the prognostic period. Large-scale demand for nut products in bakeries, processed foods, and confectionary has offered consumers numerous options for a healthy & tasty diet, thereby steering the business landscape. With the large-scale production of nut products like peanuts, hazelnuts, almonds, Brazil nuts, macadamia nuts, pine nuts, walnuts, and cashew nuts, the market for nut products will gain momentum over the years to come. For instance, according to the International Nut & Dried Fruits Statistical Yearbook 2019/2020, global production of tree nuts kept growing at a steady pace over the last decade, reaching around 4.6 million metric tons in season 2019/2020. Almonds and walnut were the top-produced crops, accounting for 31% and 21% of the world share followed by cashews (17%), pistachios (14%), and hazelnuts (12%). The remaining 5% was distributed among pecans, macadamias, Brazil nuts, and pine nuts.

Nut Products Market Segmentation Analysis

The confectionery segment is expected to dominate the global nut products market

Based on the application, the confectionery segment held the largest share in 2020, this is owing to the factors such as an increase in investment by major companies, an increase in the demand for low-calorie foods, a growing inclination towards taste, and an increase in the demand for convenience foods. According to a survey conducted by the Almond Board of California, it found that 70% of consumers prefer to eat chocolate with nuts compared to plain chocolate, in large part because the nuts make the confection more nutritious. 85% of consumers strongly or somewhat agreed that nuts make chocolate more nutritious.

On the other hand, based on type, the nut-paste segment is expected to grow with the highest CAGR of YY% during the forecast period. Nut paste is largely used as a nut spread on bread, cakes, and biscuits. The development of technology and an increase in consumer awareness of nutritional properties have led to the development of various nut pastes. Peanut butter is one of the most consumed food spreads and is made by grinding and dry-roasting peanuts. New Zealand brand Fix & Fogg says rising demand from Australian and APAC consumers for more variety in nut butter is leading them to innovate beyond its traditional peanut products. Fix & Fogg is known for its variety of peanut butter with various flavors from Smoke and Fire to Dark Chocolate to Coffee Maple and more, but has more recently also produced other types of nut butter such as cashew, almond, hazelnut, and its Everything Butter made with eight nuts and seeds.

Nut Products Market Geographical Share

North America is expected to dominate the global nut products market

North America accounts for a dominant share of the global market for nut products, owing to the rising demand and consumption of nutmeals and the high disposable income of the consumers in the region. Accounting for 40% of the world share in 2019/2020, North America was the biggest tree nut producer worldwide, followed by the Middle East (18% of global volume), which production consisted of mainly hazelnuts (50% of the region share) and pistachios (37%). Nuts, such as almonds and peanuts, have gained an excellent reputation for being a healthy snacking alternative with diabetic-friendly attributes, such as comparatively low-fat content and healthy omega-3 fats. Also, its rising application of raw nuts in cooking and blends in savories such as trail mixes has attracted a large number of health-conscious consumers in North America. The United States held the largest market revenue share in the North American nut products market. With 38% of the share in 2018/2019, the USA kept leading world tree nut production. Almonds (62% of the country share), pistachios (19%), and walnuts (15%) were the most produced crops. World peanut production reached over 41 million metric tons in 2019/20 and China accounted for 38% of the world peanut crop, followed by India with 15%. The next 20% was produced by Nigeria (8%), the USA (6%), Senegal (3%), and Argentina (3%).

Nut Products Market Companies and Competitive Landscape

The global nut products market is highly fragmented with many players such as Olam International, Barry Callebaut, Blue Diamond Growers, Zentis GmbH & Co. KG, Mount Franklin Foods, and Kerry Group among others. The key players are adopting various key strategies such as product launches, collaborations, mergers & acquisitions which are contributing to the market globally. For instance, in November 2020, La Morella Nuts launched its Mediterranean Nut Craft. With the expansion, the Mediterranean Nut Craft expert taps into the growing need for healthier indulgence and plant-based products around the world. In May 2019, Tierra Farm expanded a new 12,000-square-foot distribution warehouse in Latham that helped the wholesale organic product company grow to more than USD 45 million in annual revenue.​ In June 2020, Mount Franklin Foods launched a snack for nut butter lovers, known as Nubu Nut Butter Bites. It is expected to meet the consumer’s preferences for healthier snacking with a nutty indulgence. In March 2019, Blue Diamond expanded its product line with the launch of almonds and fruits.

COVID-19 Impact on Nut Products Market Growth

The pandemic has positively impacted the global nut products market

The nut products market has been positively affected by the COVID-19 pandemic as people changed their priorities and invested more in buying healthy and immunity-boosting food products. The staggeringly increased sales of nuts and nut products were observed through online stores during the COVID-19 period, which sustained the demand in the market studied. Most people preferred to buy larger quantities at a time, fearing running out of products. Thus, large basket sizes remained a significant reason for the sustenance of nut products across all regions. Moreover, the demand for ready-to-eat products has increased during the pandemic situation. Hence, the demand for nut products has also increased, as nuts such as almonds are rich in vitamin E. Vitamin E is one of the supplements that may directly affect cells of the immune system. Therefore, it can improve it and prevent diseases that occur due to the vulnerability of the immune system. Walnuts are one of the great immunity boosters and also can improve heart health, skin, and bone health.