Kiwi's FDA recognition boosts demand in a thriving food and beverage industry

The kiwi market is projected to achieve a CAGR of 5.8% during the forecast period. The U.S. Food and Drug Administration has recognized kiwifruit as low-fat, saturated fat-free, sodium-free, cholesterol-free, high in fiber, high in vitamin C, a good source of vitamin E, and a good source of potassium, further driving its demand.

Kiwifruit has found extensive use in the food and beverage industry, leading to increased market growth. The market has also benefited from rising demand in major markets, a thriving fruit juice industry, and heightened health awareness. However, export-related trade barriers and high fruit prices in major markets have posed challenges to the market.

Kiwi fruit market trends
Kiwifruit has gained popularity among consumers worldwide due to its perceived health benefits. It is naturally low in sugar and high in fiber, making it a preferred choice for health-conscious individuals.

The United States and Europe have witnessed a surge in kiwifruit consumption, with higher-income groups willing to pay more for their health. Kiwifruit's high vitamin C and dietary fiber content make it a valuable addition to a healthy diet. The launch of new products featuring kiwifruit as a key ingredient has further boosted demand, and attractive packaging has attracted customers, increasing consumption.

The food and beverage industry's increased use of kiwifruit has led to higher demand, prompting an increase in production. Kiwifruit production grew by 9.3% from 2017 to 2020, and the area under kiwifruit cultivation expanded by 6.8%. With demand expected to continue rising, production is set to grow further.

China dominates kiwifruit production
China, the birthplace of kiwifruit, is a dominant force in both production and consumption. Favorable climatic conditions across the country support kiwifruit cultivation. In 2020, China produced a staggering 2,230.01 thousand metric tons of kiwifruit, surpassing the second-largest producer by a wide margin. The area dedicated to kiwifruit cultivation also increased.

China's growing demand for kiwifruit, driven by its health benefits and premium status, has attracted significant investments from well-known companies. For example, Dukang Distillers, previously involved in baijiu production, shifted its focus to the kiwifruit sector in 2021.

Additionally, China is the world's largest consumer of kiwifruit, accounting for a substantial portion of global consumption. It is a major producer and exporter, significantly contributing to the global supply of kiwifruit.

Despite being the largest producer, China also satisfies its growing demand through imports. In 2020, imports reached a significant volume, with New Zealand being the primary exporter.

The increasing consumption within China is expected to drive continued growth, solidifying its position as the fastest-growing kiwifruit market.

For more information:
Laura Wood
Research and Markets
Tel.: +353-1-416-8900

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