Market Trends of South America Canned Fruits Industry
This section covers the major market trends shaping the South America Canned Fruits Market according to our research experts:
Rising Inclination Towards Convenience Food
Due to the growing preference for nutritious, quick, or ready-to-eat food options in both established and developing economies, there is an increase in demand for canned food items. Nowadays, a large portion of the working population chooses fruits and vegetables for breakfast as a post-meal snack which led to the demand for canned fruit since it is being made without any preservatives and additives thus, it is a healthy alternative. Furthermore, a significant portion of the growth is anticipated to come from the surge in female labor force participation and the high disposable income of South Americans. According to data released by the World Bank, Uruguay had the highest gross national income per capita in South America in 2021, with USD 15,800 per person.
Over the medium term, consumers have emphasized necessities and convenience foods because of the COVID-19 epidemic, which has been the main driver of retail sales increase in basic Brazilian packaged food categories. According to the Brazilian Food Processors' Association, in 2021, the country's food processing sector increased its production by 16.9 percent compared to 2020. Similarly, the World Health Organisation has recommended consuming more nutritional fruits which are rich in minerals, vitamins, E, C, and D to fight against the virus. Thus, there is a growing demand for canned foods which led to the increased consumption of canned mandarins, pineapple, and lemons in the region.
Argentina is the Fastest Growing Country
The canned fruit market in Argentina is expanding rapidly due to a variety of factors, including a rising preference for tropical canned fruit meals and high demand for commercially canned fruits by the food industry. Additionally, people frequently eat canned fruit cocktails, which are a combination of at least three fruits like apples, pears, and peaches with sugar syrup drizzled over the fruits, as an evening snack or between meals. The nation's e-commerce grocery store penetration is increasing, which has raised the demand for packaged goods and boosted sales of canned food products. For instance, Mercado Libre, an online retailer, reported that its number of unique active users increased by 84%, from 61.1 million in 2019 to 112.5 million in 2020 in the region. According to the Argentine Chamber of Information and Communications (CICOMRA), in 2021 Argentina had 24.5 million urban households with access to computers and 78 percent to the internet. This further implies that, with growing access to the internet and online retailing among Argentine consumers, the sales of packaged or processed food including canned fruits is growing in the country.
