With immense educational content available online and through informative portals such as government press releases, the demand for tracing the origin of food products is increasing. Additionally, aspects such as food sanitation are becoming important due to the awareness. The growth of the food traceability market size is banking on increased consumer awareness for understanding where their food is coming from. Today, 1 in every 10 people fall sick because of foodborne diseases. Additionally, food contamination is also responsible for approximately 420,000 deaths every year. This is generating a need amongst consumers for openly demanding for determination of their food’s origin. During the different processes of the entire food chain supply, a product can get lost, contaminated, or damaged. Tracing the origin and current destination of these food products is imperative for food retailers and food manufacturers in case the above-mentioned cases occur. Some of the food traceability systems to exist are an RFID tag, data-matrix codes, HACCP certification, and others. Nearly one-third of the entire world’s food produce gets either lost or wasted. Food wastage negatively impacts the global food demand and results in increased incidences of malnutrition and food-related deaths and diseases. The food traceability market has majorly benefitted from this factor since food companies across the world are accountable for their contribution to global food wastage.
The food traceability market share will be highly reliant on the rising necessity for tracing the food supply chain management stressed by governmental policies. Additionally, increased cases of foodborne diseases will further disrupt the market’s direction of innovation. Food and beverage companies will actively contribute to the food traceability market’s growth for several reasons: complying with demands from consumers, optimizing supply chain management systems for incurring less financial losses, and massively improving the efficiency of food and beverage processing.
The food traceability market share will witness growth at an average CAGR of 7.8% during the forecast period 2019-2025. The food traceability market size further reached $11.2 billion in 2018.
North America Emerging as the Leading Region of the Food Traceability Market
The North American region is leading the market on the basis of segmentation by geography. In 2018, the region held a 32% share of the total revenue earned by the market globally. North America consists of two of the richer countries of the world: the United States of America and Canada. Richer countries are accountable for increased food wastage as compared to third world countries. Now, per capita waste by consumers in the U.S. stands at 95-115 kg per year as compared to a mere 6-11 kg by consumers residing in sub-Saharan Africa and south-eastern Asia. A food wastage of this size requires stringent governmental norms for tracking down the supply chain management system for reducing unnecessary financial losses. The governments of North America countries have added policies into their legislature for increasing food traceability. In 2002, the government of the United States introduced the Bioterrorism Act under which food supply chain management systems were actively monitored and routinely checked for discrepancies. Additionally, in 2011, the Food Safety Modernization Act of 2011 was introduced in the US which provided powers to the Food and Drug Organization for acquiring full traceability of high-risk foods. Record-keeping of high-risk foods, their origin, and the entire course of their production and deliverance journey was made mandatory under the FAO. The Canadian government has followed suit and implemented equally stringent policies pertaining to the traceability of food. Under the Safe Food for Canadians Regulations which came into regulation in 2019, food businesses are required to constantly track the movement of their food products from their origin to the final destination. Further policies and amendments in the Safe Food for Canadians Regulations will be introduced in 2020 and 2021 based on the size and type of activity of the food business. These factors have collectively helped the food traceability market in attaining maximum revenue in the North American region.
Trends to Impact the Food Traceability Market during the Forecast Period 2019-2025
Public’s persistence on the introduction of more transparency to the food production system has provided growth to the food traceability market. In the upcoming years, this same premise will positively impact the market and instigate substantial innovation. The trends which will disrupt the market in the upcoming years are:-
Meat and Livestock as the Most Promising Segment of the Market
Despite the veganism trend, people across the world continue to consume meat products at an unprecedented rate. Now, the world consumed meat products worth $126 billion in 2018. Since such a large amount of meat products is being consumed across the world, food traceability is quite important in its production. Several health outbreaks occur due to meat products every year. Chicken is the leading cause of foodborne illness outbreaks. Every year, approximately 9.4 million people fall sick due to the consumption of contaminated food. Additionally, pork came on second place on the list of world’s most contaminated foods. Due to these statistics, governments across the world have replaced plain descriptions of products to proper identification systems that can be traced by any country in the world. Proper records of the origination of meat products, distribution by wholesalers, and deliverance to the consumer are being kept to avoid discrepancies. One of the best traceability systems to have emerged from these policies is the EAN UCC numbering system. This was introduced by the European Union to restore consumer’s trust in beef products. Labeling of beef is carried out carefully in which the referenced code of the meat, countries of birth, slaughter, and cutting are all listed. This helps the consumers in understanding where their food products are coming from. Meat and livestock segment will grow with a CAGR of 6.3% during the forecast period 2019-2025.
Talk to one of our sales representative about the full report by providing your details in the link below:
Food Traceability Market: Competitive Landscape
Key players of the food traceability market are Bio-Rad Laboratories, Inc., CH Robinson Worldwide Inc., Cognex Corporation, E. I. Du Pont de Nemours and Company, Honeywell International Inc., International Business Machines Corporation, Motorola Solutions, Inc., SGS SA, Zebra Technologies Corporation, MASS Group Inc., and others.
IndustryARC primarily focuses on Cutting Edge Technologies and Newer Applications market research. Our Custom Research Services are designed to provide insights on the constant flux in the global supply-demand gap of markets. Our strong team of analysts enables us to meet the client research needs at a rapid speed, with a variety of options for your business. Any other custom requirements can be discussed with our team, drop an e-mail to email@example.com to discuss more about our consulting services.