Organic concentrated tomatoes the preferred choice for global markets
When it comes to production banking upon such organic methods for the harvesting and processing of tomatoes, North America leads the way and is anticipated to emerge as a top regional market for concentrated tomatoes. Ideal weather conditions, large tracts of farmland, and greater inclination and financial means for greenhouse tomato production that has limited fallout on the environment has been mainly promoting uptake of such methods for producing organic concentrated tomatoes.
All these aforementioned factors have helped enhance the quality of the tomatoes, which in turn has boosted the quality of organically manufactured concentrated tomatoes. This, along with the increasing awareness among consumers about the health benefits of organic foodstuff and their ability to shell out additional amounts on premium food products has provided a major impetus to the North American concentrated tomatoes market.
Likewise, Europe is another major producer and consumer of concentrated tomatoes for the very same reasons as North America. In terms of revenue growth, the European concentrated tomatoes market is anticipated to be at par with the North American concentrated tomatoes market in the coming years.
Price volatility of tomatoes
Despite having such a promising outlook, a few factors nonetheless are preventing the concentrated tomatoes market from attaining its full potential. One of them is the price volatility of tomatoes in certain regions. This is making it difficult for manufacturers in the concentrated tomatoes market to source good quality raw material at optimal prices. That has also egged them to procure tomatoes in bulk, which in turn is creating shortages and driving prices of raw tomatoes. All these are not just making concentrated tomatoes more expensive but also affecting their quality to an extent. In the long run, this might negatively impact revenues in the concentrated tomatoes market.
Yet another major challenge staring at producers in the concentrated tomatoes market is the declining production of tomatoes all over the world. With reduced raw materials for the manufacture of concentrated tomatoes, the market for concentrated tomatoes will likely see prices going up which might hamper sales substantially.
Nevertheless, with the emergence of many sales channels such as brick and mortar stores, supermarkets and hypermarkets, and online platforms, sales growth is expected to remain supported in the near term in the market for concentrated tomatoes. In fact, embracing of e-commerce channels by savvy players is already providing a much-needed boost to the global concentrated tomatoes market.
The insights presented here are from a research study on Concentrated Tomatoes Market by Fact.MR.
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