Increasing international trade is likely to support the adoption of organic chicken, in turn pushing the growth of its market worldwide. For instance, according to USDA (United States Department of Agriculture), chicken trade is anticipated to rise by 3 percent in 2018 to touch 11.4 million tons. Trading activities are expected to give a boost to the import and export of chicken products and organic chicken is no exception. Furthermore, the concept of “going organic” has prevailed since the past few years on the back of rising awareness consumers for chemical free food products. The combination of these industry specific and macroeconomic factors are likely to auger well for the growth of the organic chicken market.
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Apart from rising households and GDP per capita quotients, prevalence of adulterated food products by retailers has raised the need for pure food products, which is expected to influence the demand for organic chicken. Moreover, sustainable packaging, being a pivotal aspect of any industry, has not left the organic chicken market untouched. Demand for vacuum skin packaging, a modern packaging technique, delivers a high customer satisfaction quotient on the back of its main benefit – transparent view of the products within the packaging creating a fresh appeal to the consumer eye. These aspects are expected to support the growth of the organic chicken market in the years to follow.
Fact.MR has presented a global outlook highlighting the demand for organic chicken in different countries and regions. The consumption quotient of organic chicken has also been portrayed in the comprehensive research report on organic chicken market. Fact.MR foresees that the demand for organic chicken is projected to expand at a CAGR of 6.1% in terms of value during the period of forecast, 2018-2028. Additionally, the report foretells that the consumption of organic chicken is likely to surpass 800,000 tones by end of 2028 owing to rising inclination toward consumption of organic chicken coupled with rising consumption of meat products to ensure vitamin B12 intake and essential fatty acids.
Organic Chicken Market: Fresh from the Organic Producers
Against the backdrop of a steadily increasing consumption of organic chicken, participants and key stakeholders in the market are focused on enhancing their product portfolios by increasing their product lines.
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For instance, Tyson Foods Inc., is focusing on increasing its organic chicken product line by acquiring Tecumseh Poultry LLC – an organic chicken producer. With this acquisition, Tyson’s product line would extend by including organic chicken sausages and organic fresh chicken, which is expected to favor sales and growth prospects for Tyson in the burgeoning chicken market. Likewise, new players are entering the organic chicken market, given the rising demand for organic poultry. Players such as Pilgrim’s Inc., is in the process of tapping organic chicken space. Tepid growth of conventional chicken products since the past few years has provoked this move by the company as Pilgrim’s has witnessed a mushrooming demand for antibiotic free organic chicken.
Against the backdrop of growing organic chicken demand, Bell & Evans, pioneer of organic chicken, is focusing on tripling its production. The company has invested on innovative equipment, facilities and capacity to humanely product organic chicken providing flavorful and healthier organic chicken to health conscious consumers. Increasing demand has pushed grocers worldwide to cater to the consumption, which has directly served as a motivating factor for the company to expand its production facilities. In addition, organic chicken accounting for around 30 percent of the overall output of Bell & Evans, the company intends to source organic feed domestically. This commitment has embossed a higher significance in light of issues related to fraudulent import of organic grains.
Thermoformed Variants Likely to Gain Significant Traction
Albeit a steady demand for vacuum skin packaging method, food and beverage manufacturers have come up with a novel packaging technique for their vacuum variants – the vacuum thermoformed packaging – for the food and beverage sector. Demand for vacuum thermoformed variants for organic chicken packaging is likely to reign in sales and are expected to witness resurgence throughout the period of assessment, says the report. Initially, organic chicken packaging was carried out using vacuum skin packaging, however, the packaging technique faced limitation apropos of size of the product. Vacuum thermoformed packaging offers more packaging space, with high durability, transparency and strength, preventing from contamination which resulted in high adoption of vacuum thermoformed packaging for organic chicken.
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Demand for organic chicken in the United States is expected to increase in the coming years. According to the United States Department of Agriculture (USDA), chicken meat is the third largest commodity and the demand is likely to retain its status quo in the years to follow. However, sales of organic chicken in European countries are expected to outrun those in the United States on the back of a large fitness consumer pool in the region.
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