Food Technology Market Size To Reach $354.94 Billion By 2030

Food Technology Market Growth & Trends

The global food technology market size is anticipated to reach USD 354.94 billion by 2030, according to a new report by Grand View Research, Inc. The market is projected to grow at a CAGR of 9.9% from 2023 to 2030. Food tech solutions use technology across applications in the food supply chain to improve the quality and efficiency of food supply chain processes. Technology adoption, such as automation, provides benefits like improved quality control and food waste reduction. The onset of the COVID-19 pandemic prompted businesses in the food & beverage industry to adopt automation and advanced technologies to address challenges such as labor shortages and supply chain disruptions. Moreover, lockdowns and social distancing norms significantly increased online food ordering.

Governments are undertaking initiatives and investing in the research and development of advanced technologies such as Artificial Intelligence (AI). For instance, in June 2023, the UK’s Department for Science, Innovation & Technology (DIST) announced a series of investments worth USD 68.5 million for AI research. Such initiatives will likely boost innovation and automation across the food supply chain. The food & beverage industry can use AI for various applications, such as predictive management, automated packaging, and monitoring. Hence, the market will likely experience significant growth with growing investments in technology development.

Based on component, the market is divided into hardware, software, and services segments. Hardware solutions include self-ordering kiosks and cooking robots, among others. The need to improve efficiency across the food value chain by using automation is driving the segment’s growth. Based on application, the market is divided into food science, kitchen & restaurant tech, delivery, supply chain, and others segments. Food science includes new food ingredients and product development using food tech solutions. The rising demand for alternative proteins is driving the food science segment’s growth.

The market players are partnering with restaurant chains and co-developing innovative food tech solutions. For instance, in July 2023, Donatos Pizza, a U.S.-based pizza delivery franchise, along with Agápe Automation and Grote Company, Inc., Donatos Pizza’s sister companies, announced that they are developing an automated pizza vending machine in partnership with Appetronix Inc. (SJW Robotics), a Canada-based company. The automated pizza vending machine will provide personalized recommendations and predict maintenance requirements using Artificial Intelligence (AI). The companies aimed to improve the quality, accuracy, and service, making it convenient for customers to order from Donatos Pizza.

The key players in the market are adopting different strategies such as mergers & acquisitions, product launches, partnerships & collaboration, and others to expand their presence and market share. In December 2022, Duravant, a U.S.-based food processing equipment provider, announced the acquisition of Marelec Food Technologies, a Belgium-based company. Marelec Food Technologies designs and manufactures high-technology weighing, portioning, and control systems for the food industry. With this acquisition, Duravant aimed to expand its food processing portfolio and improve its offerings for its customers.

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Food Technology Market Report Highlights

• The food tech market is expected to grow significantly due to changes in consumer dietary preferences and rising penetration of internet and smartphones

• In terms of component, the software segment is projected to grow at the fastest CAGR of 11.1% over the forecast period. Software includes various solutions, such as food and grocery delivery apps, restaurant reservations platforms, chatbots, and Warehouse Management Systems (WMS), among others. A WMS can help provide end-to-end visibility and greater control, improving inventory accuracy and optimizing warehouse space

• In terms of application, the food science segment dominated the food tech market in 2022 with a revenue share of more than 26.0% and is anticipated to witness a CAGR of 10.3% from 2023 to 2030. Food science includes companies involved in food processing and those developing new products and ingredients. Growing demand for alternative proteins is driving the segment’s growth

• In terms of industry, the fish, meat, and seafood segment held the largest revenue share in 2022. This segment is also anticipated to witness the fastest CAGR of 11.4% from 2023 to 2030. The fish, meat, and seafood industry significantly contributes to the overall food & beverage sector. According to the U.S. Department of Agriculture (USDA), in 2021, the meat processing sector was the largest component in terms of value added to the U.S. food sector at 22.2%

• Based on region, Asia Pacific dominated the market in 2022 with a revenue share of over 31.0%. The regional market is anticipated to grow at the fastest CAGR of 12.0% over the forecast period. Asia Pacific makes up a significant portion of the global population. A high population and rapid e-commerce penetration drive the market's growth in Asia Pacific

Food Technology Market Segmentation

Grand View Research has segmented the global food technology market based on component, application, industry, and region:

Food Technology Component Outlook (Revenue, USD Million, 2017 - 2030)

• Hardware

• Software

• Services

Food Technology Application Outlook (Revenue, USD Million, 2017 - 2030)

• Food Science

• Kitchen & Restaurant Tech

• Delivery

• Supply Chain

• Others

Food Technology Industry Outlook (Revenue, USD Million, 2017 - 2030)

• Fish, Meat, and Seafood

• Fruits and Vegetables

• Grain and Oil

• Dairy Products

• Beverages

• Bakery and Confectionery

• Others

Food Technology Regional Outlook (Revenue, USD Million, 2017 - 2030)

• North America

  • U.S.

  • Canada

• Europe

  • UK

  • Germany

  • France

• Asia Pacific

  • India

  • China

  • Japan

  • South Korea

  • Australia

• Latin America

  • Brazil

  • Mexico

• Middle East & Africa

  • Kingdom of Saudi Arabia (KSA)

  • UAE

  • South Africa

List of Key Players in the Food Technology Market

• Delivery Hero SE

• HelloFresh SE

• Swiggy

• Flytrex Inc.

• TRAX IMAGE RECOGNITION

• CUBIQ FOODS

• LUNCHBOX

• Miso Robotics

• Carlisle Technology

• Nymble (Epifeast Inc.)