Tree Nuts Market (2022 - 2030)

Tree Nuts Market Summary

The coronavirus outbreak disrupted the global tree nut supply chain and distribution channel. Moreover, it led to the closure and restrictions on restaurants, bakeries, confectionery, and dairy industries globally. However, in many regions, the nut market extremely benefited from the lockdown and travel restrictions. The COVID-19 pandemic sparked a major shift in the ways that consumers prioritized spending. Demand for healthy, convenient, and sustainably-produced foods is on the rise, and plant-based proteins are more popular than ever.

The demand for tree nuts is growing globally, which is significantly impacting the nut market. Almonds and cashews are two major products in the market for tree nuts. Almonds witness high popularity among consumers owing to their health benefits and availability. Thus, the market penetration of almonds is higher than other nuts. Tree nuts have gained a significant penetration globally. E-commerce or online retail has made it accessible to consumers across various parts of the world.

The almonds product segment dominated the market in 2021 owing to its popularity among millennials and the emerging vegan population. California's Central Valley, in particular, has established itself as a global center for tree nuts. California's Mediterranean climate, which is ideal for crops such as walnuts, almonds, and pistachios, has enabled its nut farms to dominate the global market for decades.

Product Insights

The almonds segment dominated the market and accounted for over 30.0% share of the global revenue in 2021. The subtle taste and flavorful crunch of almonds complement a wide range of ingredients and varieties. Almonds are naturally gluten-free, dairy-free, paleo, keto, and vegan, making them an easy snack or addition to dairy products as a beverage.

The plant-based revolution is a major trend right now, and almonds continue to be a key ingredient driving innovation in the snacking industry. In January 2022, Blue Diamond Growers introduced Almond Breeze Extra Creamy Almond Milk, a plant-based substitute for whole dairy milk. The milk is ideal for consumers who are allergic to dairy or are lactose intolerant, want to cook and drink non-dairy alternatives, or prefer vegan alternatives.

Form Insights

The whole segment dominated the market and accounted for over 70.0% share of the global revenue in 2021 and is expected to expand at the fastest CAGR during the forecast period. The whole is the primary form of tree nuts. Snacks and mid-day meals are also popular uses. Roasted tree nuts are the most popular form of tree nut in the world.

Roasted or salted nuts are a popular snack for many people. It can be stored for a long time because of its crunchy nature. The majority of tree nuts are consumed whole, as ingredients in foods, or in medicinal preparations. For instance, almonds play a prominent part in Ayurveda medicines in several Asian cultures. Consumer preference for whole tree nuts reduces the risk of contamination, which contributes to the growth of the market.

Distribution Channel Insights

The online segment dominated the market and accounted for over 50.0% share of the global revenue in 2021. The online distribution channel of tree nut includes e-commerce platforms. Consumer inclination towards e-commerce is expected to fuel the segment growth. The lockdown across the nations further propelled the demand for online sales of tree nuts.

Due to the pandemic, the e-commerce channels are gaining consumer traction as people are adopting to buying groceries from e-commerce channels and online stores. The COVID-19 pandemic affected the growth of the offline segment drastically owing to the shutting down of the aforementioned outlets. In addition, international tourism came to a standstill due to the strict lockdown imposed by governments across the globe.

Regional Insights

Europe dominated the market and accounted for a share of over 30.0% in 2021. Consumers in Europe are shifting from conventional products to organic products. The growth in the popularity of healthy and nutritious snacking and eating habits among European consumers continues to drive the demand for nuts, both tree, and ground.

Germany is the largest consumer of tree nuts. From 2001 to 2020, American almond intake averaged two pounds per capita, and intake per capita increased by more than 50% in the last 10 years Consumers are aware of organic products and thus, the consumption of healthy products is high in the U.S. as compared to other regions in the world.

Nuts are high in protein and have become increasingly popular among Americans as a result of a domestic shift away from traditional sources of protein, such as red meat. Self-reliance in nuts production and widespread availability of nuts in both on-trade and off-trade distribution channels are making them easily accessible to consumers.

Key Companies & Market Share Insights

The global market is characterized by the presence of numerous players. New product launches, innovation, geographical expansion, and mergers & acquisitions are some of the key strategies adopted by the players to strengthen their position in the market and gain a greater market share.

Companies are increasingly focusing on innovation using nuts to gain market share in the world. For instance, in February 2020, Mariani Nut Co. added new flavors of almonds including Chipotle with Adobo, Cinnamon Twist, Hickory Smoked, and Honey Roasted. Some prominent players in the global tree nuts market include:

• Diamond Foods

• Montagu Snacks

• Golden Peanut and Tree Nuts

• Baja

• Sun Valley

• Select Harvests Limited

• Blue Diamonds Growers

• Mariani Nut

• Lone Tree Nut Company, Inc.

• Waterford Nut Co.

• Olam Group

Tree Nuts Market