Barley Flakes Market is Estimated to Witness High Growth Owing to Rising Health Consciousness & Increased Application in Food Processing Industries
The barley flakes market is estimated to be valued at USD 8.13 Bn in 2024, exhibiting a CAGR of 5.9% over the forecast period (2024-2031). Barley flakes are gaining popularity due to its nutritional value and various health benefits. Furthermore, the increasing application of barley flakes in food processing industries like bakery, breakfast cereals, confectionery, and others is driving the market growth.
Market Dynamics:
The barley flakes market is driven by rising health consciousness among consumers and increasing application of barley flakes in food processing industries. They are rich in dietary fiber, vitamins, and minerals which aid in weight management, lower cholesterol, and blood sugar levels. This has boosted their popularity among health-conscious consumers. Moreover, barley flakes have high fiber content and versatile properties that make them suitable for various food products. This has augmented their usage in the production of breakfast cereals, snacks, bakery goods, and other packaged food items. The flourishing food processing industry worldwide is hence providing a thrust to the demand for barley flakes. The nutritional profile and versatile application of barley flakes in multiple end-use sectors are expected to propel the market growth over the forecast period.
Increasing Demand for Gluten-free Food Products is Driving the Barley Flakes Market
The prevalence of celiac disease and gluten intolerance has been on the rise globally. For instance, as per the data released by NIH in 2021, around 1% of the world's population suffers from celiac disease. Barley flakes are naturally gluten-free and provide a healthier alternative to traditional wheat flakes for people who cannot digest gluten. The rising health consciousness among consumers has propelled the demand for gluten-free food products in recent years. Barley flake manufacturers have recognized this opportunity to cater to the needs of people suffering from gluten-related issues.
Growing Focus on Weight Management is Fueling Consumption of Barley Flakes
Barley flakes are a low glycemic index food and high in fiber content. This makes them an ideal option for consumers who want a filling and nutrition-packed breakfast cereal for weight loss or weight management goals. Barley flakes also take longer to digest and release energy slowly throughout the day compared to refined carbs. Manufacturers are actively marketing barley flakes for their weight loss benefits. Fitness influencers and nutritionists also recommend including barley flakes in a weight loss diet.
High Production Costs Relative to Alternatives Acts as a Market Restraint
While barley has several nutritional advantages over wheat, the cost of producing barley flakes is substantially higher than wheat flakes. Growing barley requires more fertilizers and pest management compared to wheat. It also has lower per acre crop yields. These factors increase the raw material procurement costs for barley flake manufacturers. Given the price-sensitive nature of customers in the cereals category, high production costs can discourage wider adoption of barley flakes. Manufacturers may find it difficult to price their products competitively against popular wheat and rice flakes in such a scenario.
Dependency on Weather Conditions Increases Supply Uncertainties
Barley crop depends significantly on climatic conditions such as rainfall, temperature etc. Unpredictable weather pattern due to climate change has led to falling barley yields in many regions. Droughts can potentially damage entire harvests. This makes barley supply uncertain for producers. Any disruption in barley supply due to unfavorable weather impacts the barley flakes manufacturing process and ability to meet market demand. Companies have limited control over such external factors. Supply chain uncertainties pose challenges for long term capacity planning in the barley flakes industry.
Growth of Organic Foods Opens New Avenues
Increasing health awareness as well as concerns around pesticide usage have boosted the demand for organic foods globally. These trends have also extended to the breakfast cereals category. Barley is well-suited for organic farming as it requires fewer chemical inputs compared to other crops. This provides an opportunity for barley flakes manufacturers to develop organic product lines and target health-conscious consumers. The rapidly growing organic food market acts as a catalyst for volumes in the barley flakes industry.
Emerging Markets Offer Lucrative Growth Prospects
While North America and Europe dominate current barley flakes consumption, developing countries like India, China, and Brazil offer high growth potential. Rising incomes and busy lifestyles in these regions have fuelled demand for convenient packaged breakfast options like cereal flakes. However, barley flakes penetration is still at a nascent stage compared to alternatives. Aggressive marketing campaigns along with attractive pricing strategies can help barley flakes gain popularity quickly in emerging markets. Demographic and economic changes in developing nations open up major opportunities for barley flakes companies seeking international expansion.
Link: https://www.coherentmarketinsights.com/market-insight/barley-flakes-market-4812
Key Player:
King Arthur Flour, Shiloh Farms, Bob's Red Mill, Honeyville, Inc., Naturally Yours, Vee Green Organic Life Care Private Limited, Helsinki Mylly Oy, Briess Malt & Ingredients Co., Rude Health, and Hodmedod's British Pulses & Grains
