Renub Research has recently released a report titled "China Organic Food Market, Size, Forecast 2023-2028, Industry Trends, Growth, Impact of Inflation, Opportunity Company Analysis" providing a detailed industry analysis that includes market share insights. The report also includes competitor and regional research and contemporary advancements in the market.
China Organic Food Market shall be US$ 30.88 Billion in 2027. China, being the largest organic market in Asia and the fourth largest in the world, has become an increasingly significant purchaser of organic products. Due to food safety and health concerns, Chinese consumers seek safer and healthier alternatives, such as organic food. It is considered safer and more nutritious due to the absence of pesticides, fertilizers, and other chemicals.
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As the middle class and disposable incomes grow, Chinese consumers are willing to pay more for premium products, including organic food. E-commerce platforms have also made it easier for Chinese consumers to access organic food products from domestic and international brands, increasing their availability in the China organic food market. In addition, the Chinese government incentivizes farmers to adopt organic farming practices, leading to a rise in the availability of organic food in the China organic food market.
China has more than 5.75 Million hectares of organic cropland. Organic farming provides various benefits, such as improved soil fertility and structure, reduced erosion, increased moisture retention, and enhanced productivity, resulting in better resilience to climate change and decreased need for expensive soil conservation measures. Additionally, organic farming can lower input costs and increase farmers' profits, as organic food products command a higher price in the market.
Organic farming also helps to enhance food security in China by reducing reliance on imported fertilizers and pesticides, lowering the risk of supply chain disruptions, and ensuring a stable supply of safe and healthy food. Organic agriculture in China is primarily export-oriented and mainly comprises cereals, soybeans, tea, and some vegetables, fruits, and meat. This led to become China, Asian giant in organic food market.
China's Organic Fresh Food Market is rapidly expanding due to Increasing Consumer demand for Safer and Healthier options and concerns over Food Safety
In China, organic fresh food products such as fruits, vegetables, grains, and meat are grown or raised without synthetic fertilizers, pesticides, hormones, or antibiotics. Organic food products are available domestically and internationally through various channels. With the growing importance of safer and healthier food options, the demand for organic fresh food products shall increase. In addition, the Chinese government's support for organic farming has increased the availability of fresh organic food products in the market. Furthermore, food safety concerns have prompted consumers to seek organic options. As a result, fresh organic food product has been experiencing substantial growth in China organic food market.
China's organic food market is dominated by organic milk. Leading brands like Abbott and Ausnutria offer organic infant milk powder products while Yili, Mengniu, Sanyuan, and Green Yard promote high-end UHT and pasteurized milk products in the rapidly expanding organic liquid milk market. Organic food Market competition has shifted from price to product quality. As the Chinese economy and living standards have improved, dairy products have become a crucial part of the diet. Growing awareness of the use of fertilizers, pesticides, and bovine growth hormone in dairy production is driving demand for healthier and organic dairy products. The China organic dairy market is also supported by rapid urbanization, rising disposable incomes, and food safety concerns in China.
Internet Retailing has a prominent presence in China's Organic Food Industry
Internet retailing has a significant appearance in China's organic food industry. Platforms such as Tmall, JD.com, and Alibaba's Fresh Hema offer a wide variety of organic products from domestic and international brands, making them convenient and affordable for consumers to access. The growth of internet retailing in the China organic food industry is due to factors such as increasing consumer preference for online shopping, convenience and accessibility of online platforms, a more comprehensive range of products, accessible price, and product comparison, and increasing trust in online shopping due to improved logistics and customer service. In addition, the COVID-19 pandemic accelerated the shift toward online shopping of organic food in China.
The demand for organic food in Chinese supermarkets is rapidly increasing. Organic fruits and vegetables, dairy products, and meat are among the most popular categories in the country's organic food market. Supermarkets are the primary retail channel for organic food products, with major retailers like Walmart, Carrefour, and Metro offering organic food sections in their stores. Furthermore, the Chinese government has implemented policies and regulations to support the development of the organic food market, which is expected to fuel market growth even further.
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Competitive Landscape
The rising demand for organic food has attracted more players to the market, aided by the growth of e-commerce platforms and government support for organic farming, resulting in more small and medium-sized farms entering the China organic food Market. Furthermore, health-conscious consumers have driven competition between companies to provide safer and healthier options. The availability of organic products from both domestic and international sources has led to further competition.
China Mengniu Dairy Company Limited, Abbot China, Ausnutria Dairy (China) Company Ltd, TINGYI (CAYMAN ISLANDS) HOLDING CORP, and WH Group Limited are the key competitors present in the China organic food market.
Market Summary:
- Segments- The Report covers China Organic Food Market by segments from 6 viewpoints (Organic Baby Formula, Organic Baby Food, Organic Dairy, Organic Oils Fats, Organic Beverages, and Organic Fresh Products).
- Distribution Channels– China Organic Food Market by distribution channels, break up into 3 viewpoints (Hypermarkets, Supermarkets, Independent Small Grocers, Internet Retailing, Direct Selling, Forecourt Retailers and Others Grocery Retailers).
- Key Players- All the major players have been covered in China Organic Food Market from 3 Viewpoints (Overview, Recent Developments, and Revenue) China Mengniu Dairy Company Limited, Abbot China, Ausnutria Dairy (China) Company Ltd, TINGYI (CAYMAN ISLAN
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