With a population of 642 million and a combined GDP of almost US$2.8 trillion, ASEAN, ranked as the world’s fifth largest economy, is fast becoming a major economic force[1].
The appetite and potential in ASEAN is huge. With a middle class population that will hit 400 million by 2020[2], ASEAN’s demand for food varieties and options has attracted F&B businesses from all over the world to extend their presence to the region.
Businesses need to understand that food is no longer just consumed for survival. Instead, ASEAN consumers are demanding for more health benefits as well as convenience to suit their urban lifestyles. From the smorgasbord of F&B trends arising, THAIFEX-World of Food Asia, the region’s largest dedicated F&B trade show, has handpicked those making headway this year.
- Free-from products
Consumers have been actively seeking out gluten-free, lactose-free and allergen-free products – a category that is growing in popularity. While catering to the increasing allergy and intolerance rates across the developed world, free-from products also target health-conscious consumers. They seek “better for me” products like gluten-free and lactose-free products which are perceived as healthier choices. In 2018, 23% of new food & beverage products had a free-from claim and this number will continue to escalate with the global free-from food market expecting to record an estimated CAGR of 4.84% from 2018 – 2023[3]. Within the free-from category, the gluten-free retail market stands out; it is predicted to grow globally to US$4.7 billion in 2020, an increase of US$3 billion from 2016[4].
The free-from category is one of the 11 trend topics which will be featured across 11 halls at THAIFEX-World of Food Asia 2019. Get a chance to check out gluten-free products from baking and confectionery company, Coppenrath Feingebaeck GmbH, and trading company, Only Juices srl.
- The esteemed ‘superfood’ title
Superfoods are also set to become a mainstay on consumer tables. Asians are reducing their rice intake as the nutritional value of foods becomes progressively more important[5], and superfoods are filling in the gap. The production of popular superfoods, like chia seeds, quinoa, seaweed and kombucha is a billion-dollar industry. The market for chia seeds alone is expected to increase to a value of US$2.1 billion by 2022, up US$1.8 billion from 2017[6]. The superfoods category is also one of the 11 trends topics which will be featured at THAIFEX-World of Food Asia 2019. To name a few, Sesamilk Foods Co Ltd and Petruz Açaí, which specialize in sesame milk and açaí products respectively, will be showcasing their products at THAIFEX-World of Food Asia.
- Alternative forms of protein
Another growing food trend is meat alternatives, spurred by recent reports highlighting animal agriculture as a huge contributor of climate change. A study conducted by the Food and Agriculture Organization of the United Nations found that a substantial 18 percent of global greenhouse gas emissions are “directly attributable” to livestock production[7]. This has contributed significantly to the search for farmed meat alternatives such as cultured meat and plant-based substitutes.
Did you know that four out of the top five vegetarian markets globally are in Asia? India leads with 390 million vegetarians, followed by Indonesia (66.9 million), China (51.9 million) and Pakistan (33.2 million)[8]. With second-placed Indonesia boasting the largest population in ASEAN, the country serves as an excellent indicator that the market for vegetarian and plant-based products is set to expand in the region. Innova Market Insights will be sharing more insights about this topic as part of their ‘Top 10 Consumer Trends for 2019’ at the Leadership in Food Innovation Conference Series at THAIFEX-World of Food Asia 2019. In addition to plant-based products, edible insect-based food products are also growing in popularity and acceptance. The Asian Food & Feed Insect Association (AFFIA), an association which promotes the use of insects as food and as feed, are currently developing insect-based energy bars, pasta, burgers, bread and even peanut butter.
- A new wave of ‘fast food’
Lastly, there is a surge in ready-to-eat (RTE) products which are mainly catered to the booming millennial population in ASEAN. There are more millennials in the workforce than any other generation, and by 2025, they will make up three quarters of the global workforce[9]. Due to millennials’ busy lifestyles and varied dietary intakes, they want food that is convenient and personalized, resulting in an increased demand for RTE products. Families are also getting smaller, and cooking meals from scratch is not seen to be as worthwhile an option as before. An example is the growing trend of RTE products such as bento boxes being sold via unmanned retail means, such as vending machines. Konbini Vending & Automation, which is already serving the Thai and Singapore markets, currently has plans to enter other ASEAN markets such as Vietnam. Another interesting trend to note is the usage of drones to as a faster form of delivery for RTE products. For example, Fling Asia is planning to launch an F&B drone delivery service within a small area of Thailand in the second quarter of 2019. Both Konbini Vending & Automation and Fling Asia are exhibitors at this year’s THAIFEX-World of Food Asia, where you can experiment with their services for yourselves.
Be at the forefront of F&B trends at THAIFEX-World of Food Asia 2019
At THAIFEX-World of Food Asia 2019, you will get to interact with food industry leaders and learn about the freshest trends shaping the future of F&B in ASEAN. Also be sure to look out for the top innovative products that will be crowned at the show.
[1] https://www.aseanstats.org/wp-content/uploads/2018/12/ASEAN-Key-Figures-2018.pdf
[2] https://theaseanpost.com/article/aseans-middle-class-fuelling-fb-industry
[3] https://www.mordorintelligence.com/industry-reports/free-from-food-market
[4] https://www.mordorintelligence.com/industry-reports/free-from-food-market
[5] https://www.scmp.com/news/asia/article/2147144/asia-falling-out-love-rice-new-wave-superfoods-make-their-way-dining
[6] https://www.statista.com/statistics/663458/chia-seed-market-value-worldwide/
[7] https://www.digitaltrends.com/features/the-future-of-food-meat-alternatives/
[8] https://www.foodnavigator-asia.com/Article/2018/07/02/Asia-dominates-vegetarian-markets-but-understanding-local-factors-crucial-for-sales-success#
[9] https://www.catalyst.org/research/generations-demographic-trends-in-population-and-workforce/#footnote3_iouw2aj