Buying the right infant formula is an important decision undertaken by mothers across the world. The rise in women participation in workforce has led to an ever-increasing demand for infant formula in both developed and developing world. The increase in demand for natural and organic infant formula signifies the changing perception among consumers.
In 2016, the global infant formula market is set to rise at 9.3% and reach US$ 24.5 Bn in revenues. Infant milk formula, the largest segment in the global infant formula market will grow by 9.7% in 2016 and reap an estimated gross revenue worth US$ 11,632.2 Mn.
Sales of new and developed infant formulas are building up the market size of global infant formula market. There is a boost in revenue from different distribution channels like pharmacies and superstores.
The most influential region for infant formula market remains to be Asia Pacific Excluding Japan (APEJ). Accounting for almost half of the revenue share, APEJ is largest market for baby formulas. China dominates this key region with nearly 90% revenue share of the APEJ infant formula market. Meanwhile, US, Canada and Western Europe are key markets in terms of value sales.
What Drives the Growth of Infant Formula Market?
Infant formula is manufactured and designed to feed babies under the age of 12 months. The F&B sector has witnessed the emerging growth of baby formula market as a sign of consumers investing in the health of their children. This is the foremost key driver for growth of infant formula market all over the world.
The growth of infant formula market is associated with several other sections of the food market. Companies manufacturing baby food make sure to stick by their label claims of keeping every infant formula derived from natural and organic food ingredients. Infant formulas produced from artificial ingredients are falling out of the shelves as consumers are preferring food that provides their babies with natural health benefits. Making formulas that resemble the nutrition, functionality and composition of breast milk is the most effective trend driving the rise of global infant formula market.
Another key driver for growth of infant formula market is its association with retail and consumer products sector. Instruments such as a bottle-feeder or a cup-feeder are selling with respect to the volumes of baby formula sold in global infant formula market. The interrelating economic growth is driving the infant formula market towards a secure position in the future of global foods market.
Abbott Nutrition, Nestlé S.A., The Kraft Heinz Company and Mead Johnson Nutrition are the key players shaping up the competitive landscape of infant formulamarket. These companies are focused on the expansion of their products’ capacity by launching new ones to strengthen their position and secure growth of infant formulamarket.
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