27 February 2017 - LONDON--(BUSINESS WIRE)
Technavio analysts forecast the global coconut powder market size to grow to USD 1.25 billion by 2021, at a CAGR of more than 7% over the forecast period, according to their latest report.
The research study by Technavio on the global coconut powder marketfor 2017-2021 provides a detailed industry analysis based on the product (organic coconut powder and inorganic coconut power) and geography (the Americas, Europe, APAC, and MEA).
Coconut powder is obtained by drying ground or shredded coconut kernel after the removal of brown testa. Organic coconut powder is the most popular product segment, generating close to 80% of the overall revenue. Increasing environmental concerns and fair trade practices are driving the demand for this segment.
Technavio analysts highlight the following three factors that are contributing to the growth of the global coconut powder market:
- Health benefits of coconut
- Growing popularity of Asian cuisine among consumers around the globe
- Increasing import and export
Health benefits of coconut
“Coconuts are said to provide health benefits like improved metabolism, heart health, and insulin secretion. These benefits are encouraging more individuals to incorporate coconut into their diets,” says Manjunath Reddy, a lead analyst at Technavio for food research.
Vendors in the market space are undertaking drives and campaigns to promote the benefits provided by coconut powder. The increasing consumer awareness has greatly helped the growth of the market, with an additional push from various scientific journals citing the advantages of using the product.
Growing popularity of Asian cuisine among consumers around the globe
Asian cuisines are gaining popularity all over the globe and are considered to be the fastest growing food segment. Economic development and increasing migration of Asians to other countries are driving this impressive growth. Since most Asian dishes contain coconut powder as one of the key ingredients, the increasing popularity of Asian cuisines will directly drive market growth. It is estimated that there are around 41,000 Chinese restaurants and 5,000 Indian restaurants in the US alone. These restaurants will have a significant requirement for coconut powder, aiding in increased revenue generation.
Increasing import and export
“Since the requirement for coconut powder is increasing globally, top coconut cultivating countries such as Sri Lanka and the Philippines are increasing their exports to increase the revenue generated,” says Manjunath.
Coconut powder is also finding new applications in the bakery market, where it is being used in the making of confectionery such as cakes and other snacking items. This will also result in a significant increase in exports, thereby driving market growth.
Picture: Technavio has published a new report on the global coconut powder market from 2017-2021. (Graphic: Business Wire)
Illustration Photo: coconut cream powder (credits: Phu Thinh Co / Flickr CC BY-SA 2.0)