Growing affluence, evolving tastes and technologies, and enhanced focus on healthy, safe and sustainable food are changing the way Asian consumers buy and enjoy food.
PwC, Rabobank and Temasek have launched the second edition of The Asia Food Challenge report which looks at key trends that highlight evolving tastes and demands of Asian consumers. Along with changing demographics, rising affluence and growing incomes, the food choices of the new Asian consumer is expected to drive USD2.4 trillion (55%) of the USD4.4 trillion incremental food spend in the next decade.
An additional USD750 billion in investment, in addition to the USD800 billion forecasted in 2019 (bringing the total to USD1.55 trillion) is now required to satisfy growing demands for healthier, safer or more sustainable food options.
Asian consumers are shifting their priorities, from spending their growing disposable income on more expensive, tastier food towards value-seeking; and demanding additional attributes as they become more sophisticated.
Six consumption trends will drive production in the future. These include healthier diets to replace processed foods, red meats, and sugar with healthier alternatives; fresh foods with options for quality products; food safety and traceability; sustainable consumption that address the environmental impact of food; alternative proteins; and online purchasing through e-commerce and delivery services.
The food and agriculture industry will have to develop new products and business models if they are to tap this consumer-driven incremental food spend to meet the fast-evolving tastes and demands of Asian consumers. For the full press release from PWC, click: https://bit.ly/3EIxV8S