The baby food market caters to the need for infant nutrition. The segment includes a wide range of baby nutrition product that helps infants to get proper nutrition to develop. Further, products include a wide range of baby food like formula milk, bottled baby food, canned baby food, purees, baked goods, baby cereals, and baby snacks. The food can be categorized into infant formula, ready-to-eat baby food, dried baby food, and others.
The key factors contributing to the baby food market in brazil are growing awareness regarding child nutrition and pediatrics, the high women workforce, and growing online shopping in the region. With high women workforce, the disposable income of the family increases, which means high affordability of baby food. An educated workforce also indicates good, highly aware individuals. Further, the prevalence of e-commerce is expected to drive the market demand.
Awareness about child nutrition and pediatrics has grown during the past few years. Awareness comes with good education, and female education plays a vital role in a child’s health. According to the World Bank data, the literacy rate amongst females aged 15 and above is 93.42% in Brazil. Further, in Brazil female workforce contributed to 43.89% in the year 2019. This is further expected to rise. With such a staggering high literacy rate, mothers are more aware of the importance of nutrition and what food better provides for their needs. Further, with the rising adoption of organic baby food, the demand is expected to rise.
Brazil has a high working women population, which makes it challenging to maintain a balance between home and work, making it difficult to prepare a nutritious meal at home with less time. The availability of packaged baby food becomes not only convenient for the mother but also ensures proper intake of nutrition by the baby. The labor force participation rate is 47.31% among females, according to the International Labor Organization (ILO). The labor force participation rate indicates the size of the labor supply available to engage in the production of goods and services. This includes the country’s working-age population that engages actively in the labor market, either by working or looking for work. With high employment, the disposable income of the family increases along with improvement in the living standard, making the baby food products affordable.
The booming e-commerce business in Brazil is likely to offer a significant boost to the infant food market in the future years due to the ease of purchase it has brought to parents. With the increase in the working population, online shopping has become a helpful tool. The high internet penetration in the region, as well as the widespread use of smartphones and modern technology by the population, are two important reasons contributing to the expansion of e-commerce in Brazil. According to the World Bank, in Brazil, the population of individuals using the internet has expanded dramatically from 40.65% of the total population in 2010 to 73.912 percent in 2019.
When it comes to baby food products, safety concern is the primary priority of parents as nutrition plays a vital role in the child's development. Further, parents would prefer to feed the baby as natural and fresh food as possible, which includes low preservatives, high additive sugar, and artificial food coloring. Strict regulations are also laid down by the government, which needs to be followed by the companies. This might include licensing and act as a restraint to the market.
With the outburst of the COVID pandemic, the Brazil baby food market was also affected. With strict regulations and travel restrictions, the supply chain of the products was affected. Although the market comes under the essential category, still the demand was affected due to an increase in the unemployment rate and a fall in disposable income. Furthermore, due to the rise in the inflation rate, the demand for baby food was affected.
Market Trend:
The key factors contributing to the baby food market in brazil are growing awareness regarding child nutrition and pediatrics, the high women workforce, and growing online shopping in the region. With high women workforce, the disposable income of the family increases, which means high affordability of baby food. An educated workforce also indicates good, highly aware individuals. Further, the prevalence of e-commerce is expected to drive the market demand.
Growth Factors
Growing awareness regarding child nutrition and pediatrics
Awareness about child nutrition and pediatrics has grown during the past few years. Awareness comes with good education, and female education plays a vital role in a child’s health. According to the World Bank data, the literacy rate amongst females aged 15 and above is 93.42% in Brazil. Further, in Brazil female workforce contributed to 43.89% in the year 2019. This is further expected to rise. With such a staggering high literacy rate, mothers are more aware of the importance of nutrition and what food better provides for their needs. Further, with the rising adoption of organic baby food, the demand is expected to rise.
High Women Workforce
Brazil has a high working women population, which makes it challenging to maintain a balance between home and work, making it difficult to prepare a nutritious meal at home with less time. The availability of packaged baby food becomes not only convenient for the mother but also ensures proper intake of nutrition by the baby. The labor force participation rate is 47.31% among females, according to the International Labor Organization (ILO). The labor force participation rate indicates the size of the labor supply available to engage in the production of goods and services. This includes the country’s working-age population that engages actively in the labor market, either by working or looking for work. With high employment, the disposable income of the family increases along with improvement in the living standard, making the baby food products affordable.
Growing online shopping in the Region
The booming e-commerce business in Brazil is likely to offer a significant boost to the infant food market in the future years due to the ease of purchase it has brought to parents. With the increase in the working population, online shopping has become a helpful tool. The high internet penetration in the region, as well as the widespread use of smartphones and modern technology by the population, are two important reasons contributing to the expansion of e-commerce in Brazil. According to the World Bank, in Brazil, the population of individuals using the internet has expanded dramatically from 40.65% of the total population in 2010 to 73.912 percent in 2019.
Restraint
Safety Concerns Associated with the baby food products
When it comes to baby food products, safety concern is the primary priority of parents as nutrition plays a vital role in the child's development. Further, parents would prefer to feed the baby as natural and fresh food as possible, which includes low preservatives, high additive sugar, and artificial food coloring. Strict regulations are also laid down by the government, which needs to be followed by the companies. This might include licensing and act as a restraint to the market.
Impact of COVID-19 Pandemic:
With the outburst of the COVID pandemic, the Brazil baby food market was also affected. With strict regulations and travel restrictions, the supply chain of the products was affected. Although the market comes under the essential category, still the demand was affected due to an increase in the unemployment rate and a fall in disposable income. Furthermore, due to the rise in the inflation rate, the demand for baby food was affected.
Segmentation:
By Product Type
- Milk Formula
- Ready to Eat Baby Food
- Dried Baby Food
- Others
By Type
- Organic
- Non-Organic
By Distribution Channel
- Online
- Offline
Table of Contents
1. INTRODUCTION
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
5. BRAZIL BABY FOOD MARKET ANALYSIS, BY PRODUCT TYPE
6. BRAZIL BABY FOOD MARKET ANALYSIS, BY TYPE
7. BRAZIL BABY FOOD MARKET ANALYSIS, BY DISTRIBUTION CHANNEL
8. COMPETITIVE ENVIRONMENT AND ANALYSIS
9. COMPANY PROFILES
Companies Mentioned
- Nestle
- Danone
- Abbott
- Reckitt Benckiser Group plc
- Nutrimental
- Unilever
Methodology
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 93 |
| Published | May 2022 |
| Forecast Period | 2020 - 2027 |
| Estimated Market Value ( USD | $ 3.54 billion |
| Forecasted Market Value ( USD | $ 4.76 billion |
| Compound Annual Growth Rate | 4.3% |
| Regions Covered | Brazil |
| No. of Companies Mentioned | 6 |
