Gluten is a type of protein composite that is found in wheat, rye, and barley which is harmful for individuals with gluten intolerance. Gluten-free food is an innovative gourmet food which is suitable for people with food allergies and gluten intolerance. It is also suitable as a diet for patients who suffer from celiac disease (also known as gluten intolerance). The market for gluten-free product is estimated at USD 4.6 billion in 2015; it is projected to grow at a CAGR of 10.4% from 2015, to reach USD 7.6 billion by 2020.
In 2014, the global gluten-free products market was led by North America, where the U.S. is an important consumer both in terms of volume and value. Regulatory approvals and promotional initiatives for gluten-free diet from the FDA and subsidy allocations are projected to strengthen the gluten-free products market in North America. In terms of value, Europe is projected to be the fastest growing market during the forecast period. The region witnesses high growth due to the increased health awareness among consumers. Food intolerances and sensitivities have affected almost 1-2% of the population during the last five years, globally. According to the studies by the World Health Organization (WHO), a higher prevalence of celiac disease is indicated in North America and Europe. The growing incidence of various food intolerances around the world has resulted in the growth of the gluten-free products market.
Gluten-Free Bakery Products to Dominate the Market
In 2014, gluten-free bakery products segment accounted for the largest market share in terms of value, followed by the cereals & snacks segment, globally. The existing companies in the gluten-free products market are actively introducing new products with different ingredients and flavors. The demand for gluten-free products is projected to increase with increasing incidences of celiac sufferers and health-related concerns of the global population. The market of gluten-free products is projected to grow significantly for the next five years especially in the North American and European countries.
Increased Consumer Awareness about Health Benefits of Gluten-Free Products Drives the Market
The demand for gluten-free products has increased due to the consumers’ growing awareness of the benefits of including nutritive foods in their daily diets. With the increasing awareness about the benefits of a healthy lifestyle, consumers prefer gluten-free products processed from corn, soybean, millets, and pseudo cereals. Even non-gluten intolerant consumers adopt special diets that consist of gluten-free foods.
When following a gluten-free diet, people tend to eat more fruits and vegetables, or foods that are almost completely gluten-free. A gluten-free diet helps relieve the symptoms of celiac disease, gluten intolerance, autism, and other medical ailments such as sclerosis and arthritis. People who suffer from many allergies and intolerances follow a gluten-free diet purely because of its perceived health benefits.
Further, the global gluten-free products market has grown exponentially in the last decade and is projected to increase due to the increasing number of celiac and gluten-intolerant consumers. The current trend in the population to consume “free from” products increased the demand for gluten-free products. Significant increasing health issues (digestive health), changing lifestyle of consumers (weight management and nutritional values), and awareness of celiac disease and other food intolerance issues are the main driving factors for the gluten-free products market globally
Key Players Dominating the Market
The global gluten-free products market is marked with intense competition due to the presence of a large number of both, big and small firms. New product launches and mergers & acquisitions are the key strategies adopted by market players to ensure their growth in the market. The gluten-free products market has been a diversified and competitive platform for medium-scale companies to strengthen product brand in par with few key players. Based on core competencies such as product branding and retail presence, leading companies that dominate the market are Boulder Brands Inc. (U.S.), The Hain Celestial Group, Inc. (U.S.), General Mills, Inc. (U.S.), Kellogg’s Company (U.S.), and The Kraft Heinz Company (U.S.).
