Changes in consumer preferences towards healthier and organic products have decreased demand for foods high in preservatives, fat, salt and processed ingredients which make up much of the frozen food industry. Strict regulations on food safety and standards also increase production costs. Environmental concerns around packaging and waste management present regulatory hurdles. Additionally, Fluctuations in food commodity prices impact costs and the supply chain is complex requiring frozen food manufacturers to balance inventory with demand that changes seasonally.
Opportunities: Rising incomes in developing nations
Rising incomes in developing nations boosts demand for convenience frozen foods. Demographic and social trends like dual-income households and smaller family sizes boost the appeal of frozen meals. Advancements in freezing technology improves food quality and shelf life. Furthermore, customized products for health-conscious, religious or ethnic consumer segments open new marketing avenues.
Frozen Food Market Report Snapshots
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