North America Canned Food Market

North America Canned Food Market Analysis:

North America Canned Food Market was worth USD 28.03 billion in 2019 and is estimated to be growing at a CAGR of 4.72%, to reach USD 34.64 billion by 2026. Canned foods are the processed food products such as fruits, vegetables, and others that are stored in airtight metal containers and are sterilized using heat. This process helps in preserving the quality of food products and prolonging the shelf life of the food products. Canned food products come in handy during emergency situations due to their long shelf life.

One of the major drivers of the canned food products market is the convenience and long shelf life they possess. There has been a change in the eating habits of people due to the influence of western culture which in turn drives the market. However, the extra sugar and salt content may pose as a restraint for the growth of the market.

Recent Developments in the Industry:

HJ Heinz Company (NYSE: HNZ) announced today that its subsidiary, HJ Heinz Company, Limited of London, has acquired John West Foods Limited, the UK's leading canned fish and tuna brand, from Unilever.

Del Monte Pacific Ltd DMPL.SI, listed in Singapore, will purchase Del Monte Foods Consumer Products Inc's canned food business, backed by private equity, for $ 1.7 billion, thereby gaining a direct market presence. Del Monte family brand. Del Monte Pacific shares rose 10% with the deal.

REPORT COVERAGE:

Market Drivers and Restraints:

The world market is mainly driven by the increasing consumption of various packaged food products and beverages that are convenient to use or consume. Due to the accelerated pace of life and the increase in the workforce, the consumption of ready meals has increased. This directly drives the growth of the market. Canning is a method of preserving food products and prolongs their shelf life.

Canning preserves the nutrients in food products and prevents spoilage due to external factors such as sunlight and air. Canned food products are widely used by many fast-food chains and restaurants due to their cooking convenience and remain free from contamination and spoilage for a longer period of time. Since canned fruits are free from any contaminants and at the same time retain all the nutritional qualities, they are generally used in salads, smoothies, Drinks, or consumed directly.

The consumption of these foods as a trend is mainly attributed to consumers who want to spend on hygienic and convenient food products. The increase in the workforce and the reduction in time spent cooking have had a positive impact on the growth of the market. The rise of the millennial population and its wide acceptance of prepared / edible meals has led them to opt for canned goods as they are easier to cook and also save preparation time.

Major manufacturers are adopting new strategies such as launching new products and expanding their production capacity to better serve consumers and meet their growing demands. For example, in May 2018, Del Monte Foods, Inc., a leading manufacturer of processed foods, launched a "premium and elegant" line of canned pineapple fruit for young consumers. Canned food products are made from tin and aluminum cans that are not biodegradable in nature.

The cans once used are thrown away and remain in the biosphere for more than a decade, generating serious environmental risks. Cans, when exposed to abiotic or biotic factors, release harmful gases and toxic materials. In addition, the governments of several countries advise refraining from using tinplate and aluminum can have also had a negative impact on market growth. However, many manufacturers today manufacture foods in the recyclable tin and aluminum cans to reduce environmental pollution.

North America Canned Food Market Segmentation:

The market for Canned Food is broadly categorized into type and distribution channels. By type, the market is segmented into canned meat products, canned seafood, canned vegetables, canned fruit, canned ready-to-eat meals, canned desserts, canned pasta/noodles, canned soups, and canned cooking sauces. The fish and seafood segment is expected to grow at a fast pace. By distribution channel, the market is divided into specialist retailers, internet sales, supermarkets, convenience stores, and others. On the basis of geography, the market is analyzed under various regions namely U.S.A and Canada. North America is the second-largest market for canned foods.

Impact of COVID-19 on North America Canned Food Market:

The current canning market will be affected due to the pandemic outbreak of COVID-19. Most of the world's countries are experiencing a total lockdown, in the midst of which the availability of food has declined. This caused an increase in the prices of the products and had a negative impact on the purchasing power of the consumer. The rules and regulations imposed by the governments of the regions for the purchase of basic necessities have caused a slight drop in the sales of various foods and beverages. The closure of the production facilities and the reduction of available labor in the few functional production houses caused a drop in production. However, the market is finding its own momentum as consumers trust these products for their comfort and hygiene. The wide availability of canned goods also plays a crucial role in stimulating your market growth.

Regional Analysis:

The North America Canned Food market has been categorized on the basis of geography to offer a clear understanding of the market. North America Canned Food Market has been divided into the United States, Canada, Mexico, and the rest of North America.

The market will derive its growth from the increased consumption of beverages and processed food products. North America is a developed economy consisting of a large consumer base and an equally large population of working professionals. Improved supply chain infrastructure and the growing popularity of ready meals have boosted the regional market. Investments by various multinationals, especially the main markets in the region, such as the United States, Canada, and Mexico, will create opportunities for various local players.

The increase in the number of active people and a busy lifestyle has led to increased consumption of various ready-to-eat/drink products. A sharp drop in the market is observed due to the Covid-19 pandemic epidemic, as canned food factories have been closed in the region. Covid-19 patients or those who died from it come mainly from the United States, which is hampering the growth of the market.

Leading Company:

The Kraft Heinz Company had the largest share of the North America Canned Food Market in terms of sales revenue in 2021.

North America Canned Food Market Key Players

Some of the major companies dominating the market, by their products and services include Dole Food Company Inc., DelMonte Pacific Ltd., ConAgra Foods Inc., H.J. Heinz Company, Pinnacle Foods Inc., B&G Food Holdings Corporation, Bolton Group International, La Doria, Campbell Soup, Nestle, Zanlakol,  CECAB Group, Princes Limited, and Bonduelle.