Specialty Foods Market Report 2025

The specialty foods market size has grown rapidly in recent years. It will grow from $264.03 billion in 2024 to $300.92 billion in 2025 at a compound annual growth rate (CAGR) of 14%. The growth in the historic period can be attributed to food regulations and standards, marketing and branding strategies, retail and distribution channels, evolving consumer preferences, rise of food tourism.

The specialty foods market size is expected to see rapid growth in the next few years. It will grow to $473.56 billion in 2029 at a compound annual growth rate (CAGR) of 12%. The growth in the forecast period can be attributed to shift in retail landscape, innovative packaging and presentation, diversity and ethnic cuisine influence, clean label and transparency, culinary tourism growth. Major trends in the forecast period include online and direct-to-consumer sales, storytelling and brand narrative, localized and seasonal focus, innovative ingredients and flavors, gourmet convenience foods.

The increasing number of millennials who prefer preparing healthy meals at home and have a growing interest in nutritious food for a healthy lifestyle is driving the demand for specialty foods. The Specialty Foods Association (SFA) reports that millennials are twice as such as ly to plan at-home meals and show a strong preference for specialty products to enhance their culinary experiences with healthy options. Additionally, a Culinary Visions study conducted in March 2022, surveying over 2,000 U.S. consumers, revealed that 91% of participants express enjoyment in cooking at home. Consequently, the rise in millennials engaging in at-home cooking and their preference for healthy foods is anticipated to contribute to increased revenue in the specialty foods market.

The increasing demand for e-commerce is anticipated to boost the growth of the specialty foods market in the coming years. E-commerce, or electronic commerce, refers to the buying and selling of products and services online. The expansion of e-commerce platforms has simplified the process for consumers to discover and purchase specialty foods. Online shopping offers a wider reach for specialty food producers. For example, reports from the United States Census Bureau, a government agency, indicated that in the second quarter of 2024, U.S. retail e-commerce sales reached $291.6 billion, reflecting a 1.3% increase from the previous quarter and a 6.7% rise compared to the same period in 2023. In contrast, total retail sales were estimated at $1.82 trillion, showing a 0.5% increase from the first quarter and a 2.1% year-over-year increase, with e-commerce making up 16% of total sales. Consequently, the rising demand for e-commerce is fueling the growth of the specialty foods market.

The specialty foods industry is witnessing a significant trend driven by the introduction of high-quality and innovative products, including plant-based, convenience, better-for-you, and non-GMO items with unique attributes such as low fat, low calorie, low sodium, high protein, no dairy, and organic. An illustration of this trend is the July 2022 launch by Century Pacific Food Inc., a Philippines-based food and beverage company, of the innovative plant-based alternative 'unMEAT Fish-free Tuna.' Comprising 100% fish-free and non-GMO ingredients, the product stands out with its low fat content, zero traces of mercury, and trans-fat. Despite being entirely fish-free, the product maintains the taste, texture, and appearance of traditional tuna.

Leading companies in the specialty foods market are strategically focusing on the development of protein bars infused with adaptogens to gain a competitive advantage. One such example is the July 2022 launch by Laird Superfood Inc., a US-based functional foods manufacturing company, of a protein bar featuring adaptogens. This innovative product provides ten grams of plant-based protein derived from peas, hemp seeds, and pumpkin seeds, along with six grams of dietary fiber and all nine essential amino acids. It is also non-GMO, dairy-free, soy-free, and gluten-free, serving as a wholesome source of protein, fiber, and essential nutrients, while being free from artificial flavors, colors, and preservatives.

In June 2023, KeHE Distributors, a U.S.-based distributor specializing in fresh, natural, organic, and specialty products, acquired DPI Specialty Foods for an undisclosed amount. This acquisition expands KeHE’s customer base and enhances its warehouse infrastructure, allowing it to serve over 31,000 customers with more than 80,000 SKUs. As a prominent distributor in the Western United States, DPI Specialty Foods will bolster KeHE's ability to deliver innovative products and provide access to advanced business intelligence tools, including the KeHE CONNECT platform. DPI Specialty Foods specializes in ethnic and specialty food products.

Major companies operating in the specialty foods market include Cargill Incorporated, Archer Daniels Midland Company, United Natural Foods Inc., Compass Group plc, DuPont de Nemours Inc., International Flavors & Fragrances Inc., Hormel Foods Corporation, Koninklijke DSM NV, Kerry Group plc, Ingredion Incorporated, Novozymes A/S, Tate & Lyle plc, AMCON Distributing Company, Lancaster Colony Corporation, Krispy Kreme Inc., Sensient Technologies, Calavo Growers Inc., The a2 Milk Company Limited, Chobani LLC, Amy's Kitchen Inc., Farmer Bros. Co., Beyond Meat Inc., Daily Harvest Inc., Bear Creek Corporation, American Spoon Foods Inc., Pacmoore Products Inc., AeroFarms LLC, Eden Creamery LLC, World Central Kitchen Inc., Axiom Foods Inc., Safe Catch Inc., Union Wine Company LLC.

Asia-Pacific was the largest region in the specialty foods market in 2024. Western Europe was the second-largest region in the specialty foods market report. The regions covered in the specialty foods market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the specialty foods market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Specialty foods are distinctive culinary creations crafted from premium ingredients and produced in limited quantities.

The primary types of products in the specialty foods market include cheese and plant-based cheese, frozen or refrigerated meat, poultry, and seafood, chips, pretzels, and snacks, bread and baked goods, chocolate and other confectionery, among others. Cheese, a nutritious food primarily derived from cow's milk and occasionally from other mammals such as sheep, goats, buffalo, reindeer, camels, and yaks. Plant-based cheeses are crafted from various nuts, with cashews, almonds, and macadamias being the most common choices. The distribution channels for these specialty foods encompass food service, retail, and online platforms.

The specialty foods market research report is one of a series of new reports that provides specialty foods market statistics, including specialty foods industry global market size, regional shares, competitors with specialty foods market share, detailed specialty foods market segments, market trends and opportunities, and any further data you may need to thrive in the specialty foods industry. This specialty foods market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The specialty foods market consists of sales of cheese and plant-based cheese, non-RTD cocoa and coffee, refrigerated and frozen poultry/seafood/meat, yogurt, candy, pretzels/snacks/chips, bread & baked goods, and other specialty foods. Values in this market are factory gate values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD, unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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