CHEESE SAUCE MARKET ANALYSIS

Regional Analysis

Market Outlook

North America is projected to witness significant growth in global cheese sauce market over the forecast period, owing to increasing disposable income and increasing demand for cheese products in variety of dishes. According to the World Bank Organization, the GDP per capita in the U.S. was US$ 56,469 in 2015 and increased up to US$ 57,638.16 in 2016. However, increasing cases of botulism in the U.S. due to consumption of contaminated food containing toxins, is negatively impacting the growth of market. According to the Centers for Disease Control and Prevention (CDC), some of the examples of contaminated foods causing botulism included cheese sauce, carrot juice, wrapped baked potatoes, and others. Also, the cheese used in cheese sauce should comply with the standards of identity for cheese and cheese based products, as stated in the U.S. Food and Drug Administration (FDA), 21 Code of Federal Regulation (CFR).

Asia Pacific is expected to be the fastest growing region in global cheese sauce market in 2017. Rapidly growing processed food industries and shifting consumer preference towards convenience food play major role in growth of global cheese sauce market. According to the India Brand Equity Foundation (IBEF), in 2016, the food processing industry in India was ranked fifth in terms of consumption, production, and exports, and increased at a CAGR of 11.74 % during 2011-2016. Furthermore, several key players in this market are focused on launching new products or technological innovations to enhance their product portfolio. For instance, in September 2016, Hexa Food Sdn. Bhd., supplier and manufacturer of herbs and spices, launched cheese sauce product “Hexa Food Cheese Sauce”, as a replacement for sauces like chili and tomato.