APPLE JUICE CONCENTRATE MARKET ANALYSIS

Market Challenges And Opportunities

Market Restraints

• Limited access to raw materials, as the availability of apple is the biggest challenge: The main problem currently is a lack of access to raw materials because apples are so readily available and farmers are facing various challenges in the farming of apple because of the uncertainty of climate and natural disasters. Moreover, the production of apples requires lots of water, which is also a major concern among farmers. Hence, the limited availability of apples is acting as a major challenge to the expansion of business. This factor is expected to hamper market growth of apple concentrate. Not from concentrate (NFC) juices are made of fruits that have been processed into fruit juices and, if stored at the appropriate temperature, have the advantage of lasting for up to two years. A rise in demand for NFC juices can be attributed to changing consumer preferences from volume to nutrition.
• Intense Competition in the market: The global apple juice concentrate market is highly competitive, with several large players vying for market share. This has led to price wars and intense marketing campaigns, which have impacted the profitability of manufacturers. For instance, in 2021, the Chinese apple juice concentrate market witnessed intense competition due to the entry of several new players.

Opportunity

• Expansion of business: The market players in global apple juice concentrate are focusing on product portfolio expansion coupled with business expansion. This factor is anticipated to create lucrative growth opportunities for the global apple juice concentrate market. For instance, after its successful foray into creating robust mango processing supply chains on May 26, 2022, Parle Agro, an India-based company, envisioned the creation of a similar network for apple juice concentrate due to the immense popularity of its apple-based drinks such as Appy, Fizz, and B Fizz.

Drivers

• Health benefits associated with the apple juice concentrates: One of the key factors expected to stimulate market growth during the forecast period is the multiple applications of apple juice concentrate in the food processing industry. The changing dietary preferences of the population have led to a significant rise in the consumption of nutritional juices, which in turn is expected to increase the demand for apple juice concentrates in the market. A rise in the demand, production, and consumption of all the above-mentioned food products is surging the global apple juice concentrate market’s growth. For instance, in January 2022, according to the data published by the World Wide Fund for Nature Inc., an international non-governmental organization, the demand for dairy continued to increase in large part due to population growth, rising incomes, urbanization, and the westernization of diets in countries such as China and India.

• The increasing launches of apple concentrated-based food product: Rising demand for apple concentrate from the food and beverage industry for manufacturing various food products such as beverages, confectionery, and soups to enhance the flavor of the food items is expected to fuel market growth of apple concentrate. Moreover, rising demand for a dietary supplement such as pectin is used as medicine and prescribed by doctors. Hence, the rising demand for dietary supplements is also expected to fuel market growth of apple concentrate.