Peanut Butter Production in the US - Market Research Report 2015-2030

Thin Spread: Declining Peanut Butter Prices Have Hampered Industry Revenue

Over the five years to 2022, revenue for the Peanut Butter Production industry has decreased at an annualized rate of 3.5% to $2.1 billion, including a 2.1% decrease in 2022 alone. The industry experienced gains in 2017 and 2021 as the disposable income of consumers rose and the popularity of peanut butter increased as higher quality products from small producers attracted high-income consumers. Conversely, the industry has contended with decreasing peanut prices, forcing operators to lower the price of peanut butter to remain competitive, dampening profit. Despite some of the industry's challenges, peanut butter remains a consumer staple and does not experience wild fluctuations in demand, even during periods of economic downturn. Nonetheless, in 2020, amid the outbreak of COVID-19 (coronavirus), the industry declined 2.5% as widespread lockdowns forced consumers to eat at home regularly as restaurants temporarily closed across the country.

Operators in this industry primarily manufacture peanut butter. Industry products are then packaged and distributed to grocery wholesalers, supermarkets, specialty food stores and food service contractors for human consumption. The industry excludes peanut butter made by manufacturers for use in their own candy and snacks.

This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.