U.S. Fruit & Vegetables Market Size, Share & Trends Analysis Report By Product (Fresh, Dried, Frozen), By Distribution Channel (Supermarkets/Hypermarkets, Grocery Stores, Online)- Industry Analysis, Share, Growth, Regional Outlook and Forecasts, 2022-2030

The U.S. Fruit & Vegetables market size was valued at US$ 62.55 billion in 2021 and is expected to hit US$ 97.30 billion by 2030, growing at a compound annual growth rate (CAGR) of 5.9% from 2022 to 2030.

Growth Factors:

Consumers are increasingly spending a lot of time and money on their health and are looking for fresh and exotic fruits and vegetables for a healthy diet. Berries, avocado, mango, pomegranate, papaya, and sweet potato have become immensely popular because they are rich in antioxidants, potassium, and vitamins A, K, C, and E. Rising awareness about the numerous benefits of nutrient-rich produce is contributing to the growth of the overall market.

The COVID-19 outbreak has had a devastating impact on most industries, causing severe economic disruptions and major adjustments. Although the demand for fresh fruits and vegetables was higher than usual during this time, the market was faced with numerous challenges, particularly disrupted supply chains and a shortage of produce. Shelves in supermarkets and hypermarkets were empty because the demand for these items outweighed their supply. This situation has eased up now that markets have reopened and supply chains are back to functioning at pre-pandemic levels.

Rising consumer health consciousness, as well as an increased understanding of the myriad health benefits of fresh and natural produce, has been driving market expansion. According to a Healthline article published in January 2022, more than one-third of individuals in the U.S. are obese, putting them at risk for chronic conditions such as type 2 diabetes and high blood pressure. This health scare has compelled people to adopt a healthier lifestyle, which includes eating healthy. Fruits provide many health advantages that aid in the treatment and prevention of numerous diseases. Citrus fruits and berries are even claimed to be beneficial for the prevention of heart disease.

Report Scope of the U.S. Fruit & Vegetables Market

Awareness campaigns by many companies regarding healthy eating have also increased sales of fruits and vegetables. For instance, in March 2020, the U.S. Food and Drug Administration (FDA) launched an awareness campaign providing healthcare professionals, schoolteachers, and dietitians with resources to help people understand how to make informed food choices and adopt and maintain a healthy diet. Moreover, the 2020-2025 Dietary Guidelines for Americans by the Centers for Disease Control and Prevention (CDC) recommended that adults should eat 1.5-2 cups of fruits and 2-3 cups of vegetables every day to support a healthy immune system and prevent chronic conditions.

Increased spending and a special allocation of the household budget dedicated to healthy eating is a growing trend among U.S. consumers. According to an article published in ValuePenguin in December 2021, on average, people in the U.S. spent USD 270 on fresh fruits and USD 236 on fresh vegetables in 2020. The increased spending on fruits and vegetables to fulfill the daily essential intake of minerals and vitamins is expected to benefit the market. Additionally, the rising preference for organic food in the U.S.-owing increasing awareness about the harmful effects of pesticides, chemicals, and additives on human health, and the high per-capita income of consumers-is are expected to widen the opportunities for organic vegetables and fruits in the coming years.

Product Insights

The fresh fruits & vegetables segment held the largest share of 78.6% in the U.S. fruit & vegetables market in 2021 and is expected to retain its dominance throughout the forecast period. Trendy diets that emphasize the consumption of raw fruits, such as a paleo diet, have been known to be increasingly appealing to young consumers. However, the most nutrition-conscious healthy eaters are baby boomers, mainly due to the many health risks they face at an older age.

Millennials are slowly joining the healthy eating culture and are gravitating toward vegan food habits rather than a completely non-vegetarian diet. Additionally, many supermarkets and hypermarkets are promoting eating fresh fruits and vegetables by increasing shelf space. For instance, in November 2019, Walmart redesigned its fresh produce section in U.S. stores and added more organic produce in this section.

The dried fruits & vegetables segment is projected to register the fastest CAGR of 5.8% over the forecast period. Growing preference among consumers for nutritious and healthy food products, in view of the increasing cases of obesity as well as an expanding elderly population, will boost the segment growth. Many key brands have been launching products in this segment as consumers continue to show an increased preference for these healthier snacking options.

For instance, Traina is a California-based company that offers sun-dried fruits like apricots, peaches, nectarines, sweet cherries, pears, Angelino plums, blueberries, and strawberries. In April 2019, the company launched two new flavors to its portfolio for the summer-Natural Cherry and Summer Blend. Natural Cherry is made with cherries, whereas Summer Blend is made with dried peaches, nectarines, and plums.   

Distribution Channel Insights

Supermarkets/hypermarkets held the largest revenue share of just over 65.0% in the U.S. market in 2021.Fruits and vegetables are often purchased with weekly grocery items and are hence purchased through conventional supermarkets situated within the locality. According to an article published in Fresh Produce in January 2022, 73% of the shoppers preferred shopping for fruits and vegetables from conventional supermarkets owing to the high visibility of fresh products in the aisles. Such trends are expected to contribute to increased sales through this channel.

The online channel is anticipated to register the highest CAGR of 5.4% from 2022 to 2030. The sale of fruits and vegetables through e-commerce portals or online grocery stores witnessed significant growth throughout 2020, given the temporary and permanent closures of physical distribution channels in the country. According to US Online Grocery Survey 2021, owing to the impact of the COVID-19 crisis, three in five consumers switched to buying groceries-including fresh produce-online, and over one-third of online grocery shoppers are not expected to change their online shopping habits even once the crisis ends. This is due to increased consumer safety, the convenience of home delivery, hassle-free payment, and attractive discounts & offers.

Key Companies & Market Share Insights

Dole plc; Chiquita Brands International Sàrl; C.H. Robinson Worldwide, Inc.; Fresh Del Monte Produce, Inc.; and Sunkist Growers, Inc. have been among the leading players in this market for the past decade. Expansion of production facilities and product quality improvement are major areas of focus for many market participants. Strategic alliances have also been observed to be a key growth tactic among players in this market. For instance:

• In November 2021, Nature’s Touch Frozen Foods, a supplier of frozen fruits and vegetables for the U.S. and Canada, announced its plan to invest USD 40.3 million to expand in Warren County, located in the Commonwealth of Virginia, to increase production capacity
• Similarly, in November 2021, Meel Corp, a U.S.-based frozen fruit and vegetable company, announced its plans of investing USD 5.7 million to move its frozen food production facility to Oxford in Granville County, North Carolina
• In July 2021, Total Produce plc, Europe’s leading fresh produce company, and U.S.-based Dole Food Company, Inc. announced that they were entering into a binding transaction agreement to combine under a newly created U.S.-listed company Dole plc

Some prominent players in the U.S. fruit & vegetables market include:

• Dole Food Company, Inc.
• Fresh Del Monte Produce, Inc.
• Nestlé S.A.
• Sunkist Growers, Inc.
• Chiquita Brands International, Inc.
• General Mills, Inc.
• San Rafael Industries
• Sysco Corp.
• Tanimura & Antle Fresh Foods Inc.
• C.H. Robinson Worldwide, Inc.

Segments Covered in the Report

This research report offers market revenue, sales volume, production assessment and prognoses by classifying it on the basis of various aspects. Further, this research study investigates market size, production, consumption and its development trends at U.S. for the period of 2017 to 2030

• By Product

• Fresh Fruits & Vegetables
• Dried Fruits & Vegetables
• Frozen Fruits & Vegetables
• By Distribution Channel
• Supermarkets/Hypermarkets
• Grocery Stores
• Online
• Others

Key Points Covered in U.S. Fruit & Vegetables Market Study:

• Growth of U.S. Fruit & Vegetables in 2022
• Market Estimates and Forecasts (2017-2030)
• Brand Share and Market Share Analysis
• Key Drivers and Restraints Shaping Market Growth
• Segment-wise
• Competition Mapping and Benchmarking
• Recommendation on Key Winning Strategies
• COVID-19 Impact on Demand for U.S. Fruit & Vegetables and How to Navigate
• Key Product Innovations and Regulatory Climate
• U.S. Fruit & Vegetables Consumption Analysis
• U.S. Fruit & Vegetables Production Analysis
• U.S. Fruit & Vegetables and Management