Strawberries – Procurement Best Practices & Sourcing Strategies

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Global Strawberries Market Size

According to ELINT Market Research’s latest analysis, several vital factors propel favorable global strawberries market outlook trends. The noteworthy global production of 9.33 million metric tons (MMT) can be attributed to technical advancements in agriculture, including improved farming techniques, better varieties, and increasing use of technology. It has led to beneficial expansion for the sector as producers have used state-of-the-art methods to maximize yields and meet the increasing demand for strawberries globally. The anticipated 1.5% increase in supply for the following year (2022/23) over the previous year (2022/22) primarily depends on factors like superior weather, more significant crop regions, and increased infrastructural expenditure. Together, these factors forge a robust supply chain expansion that points to a flourishing strawberries industry. The strategic convergence of multiple market factors demonstrates the industry’s resilience and capacity to react to rising customer demand.

The strawberries market narrative is strengthened by the striking contrast in price dynamics over the same period. Even with the increase in output, the 2% predicted decline in strawberry prices for 2022–2023 compared to 2021–2022 would likely result from enhanced supply chain logistics efficiency, economies of scale, and improved distribution networks. Customers benefit from this price reduction since it makes strawberries more accessible and may expand the market. It is an optimistic period for strawberry industry participants, as global statistics indicate a robust global strawberry production trend and a direction toward sustainable growth and improved accessibility.

Strawberries Market Drivers

1. Diverse Culinary Applications: Strawberries are becoming increasingly popular because of their expanding use in various food and drink products, including salads, smoothies, and desserts.

2. Advancements in Processing Technologies: Thanks to advancements in processing technology, strawberries can now be found in a greater variety of packaged and convenience items, extending their shelf life.

3. Emerging Health and Wellness Trends: Strawberries are rich in antioxidants, vitamins, and minerals, linked to several health benefits. It is creating a massive demand for strawberry and related products.

4. Global Traction for Organic Products: The growing demand for organic strawberries proves that consumer preferences for natural and organic products are fueling the industry’s expansion.

Strawberries Market Challenges

1. Vulnerability of Climate: Strawberries are highly weather-sensitive. Temperature fluctuations, erratic weather patterns, and catastrophic events threaten the steady production of premium strawberries. Producers face a challenging environment because of the effects of climate change, including temperature swings and erratic rainfall.

2. Disruptions of the Supply Chain: The strawberries market is not immune to disruptions in the increasingly complicated global supply chains. The industry faces several issues, such as logistical stretch and trade prohibitions, deleting the fresh supply to consumers.

3. Shortages of Labor Force: Harvesting and other manual work are essential to the strawberry industry’s operations. Due to a shortage of skilled labor, producers may experience increased labor expenses and even lower revenue, especially during peak seasons.

Strawberries Market Opportunities

1. R&D Initiatives: Innovative innovation is fostered by research and development programs that aim to produce new strawberry cultivars with improved flavor, nutritional value, and disease resistance.

2. Untapped Regions: Several countries still have higher potential but are less targeted than significant regions. Market players can shift their focus on these regions to explore untapped opportunities.

3. Emergence of Direct-to-Consumer Channels: Reaching a wider audience and raising brand awareness can be achieved through new channels such as e-commerce websites and direct-to-consumer marketing.

Strawberries Market Trends

1. Sustainable Farming Practices: Across the globe, farmers are approaching environment-friendly and sustainable farming practices. The trend is rapidly growing as it is getting support from several governments.

2. Demand for Frozen and Freeze-Dried Products: In most regions, consumer preference is shifting towards frozen and freeze-dried strawberry products, especially snack and fruit mixes.

3. Preference for Clean Label Products: Consumers from different regions became interested in finding the traces of the supply chain and consuming products with clean labels.

Strawberries Market Segmentation:

ELINT Market Research’s latest report segments the market based on product type, end-use, distribution channel, and region. The report covers in-depth segment and sub-segment analysis, highlighting the top-performing segments and their future outlook.

1. Type: The research report classifies the market based on Conventional and Organic Strawberries.

2. End-Use: Based on end-use, the research report divides the market into the Food Processing Industry, Retail (Fresh Consumption), Beverage Industry, and Bakery and Confectionery.

3. Distribution Channel: As per the distribution channel, the research report classifies the strawberries market into supermarkets and hypermarkets, convenience stores, and online retail.

4. Region: The research report segments the market into Europe, Asia-Pacific, North America, Latin America, Middle East & Africa.

Regional Dynamics

The major producing nations and emerging markets have shaped the global strawberries market, offering a diverse geographical perspective. China is a dominant power, contributing 38% of the overall production. China is the ideal location for strawberry cultivation due to its vast agricultural area and favorable environment. Furthermore, with 12% of the market, the US is a significant participant. Modern growth methods and the United States agricultural strength ensure a consistent and substantial crop of strawberries. Egypt is also a noteworthy participant, making up 7% of global production. The region’s unique climate and fertile soils enable the cultivation of premium strawberries.

Turkey, Egypt, and Mexico are emerging markets that are becoming more and more important. These geographical regions have enormous potential for expansion and are becoming more and more formidable competitors in the strawberries market. The favorable climate combined with strategic agriculture measures has led to their increasing market share. Processing accounts for 15 to 18 percent of strawberries harvested globally, demonstrating the significance of this industry segment. Moreover, the fact that the primary purchasing months in the top-producing regions are April through July indicates that strawberry production and consumption are seasonal. Stakeholders in the strawberry industry need to consider this temporal focus when shaping supply chain strategy and market dynamics during these crucial months.

Strawberries Market Players

Some significant players in the dynamic strawberries market play a critical role in defining the industry and dictating its future direction. Austria Juice Agrana, Shaanxi Haisheng Fresh Fruit Juice Co., Ltd., Interaust Foods, Southern Canned Products (SCP), and Dole Europe GmbH are the strongest competitors. These significant businesses ensure quality, stimulate innovation, and help influence the strawberry industry’s future. Their continuous dedication to excellence and customer satisfaction underscores their pivotal role in the growth and advancement of the strawberry sector. The industry is becoming a challenging marketplace due to the entrance of several promising startups, creating competition within the market.