Market research group Mintel is projecting is a 9.9 percent annual growth in Chinese demand for ready-meals through 2026.
COVID-19-related lockdowns increased the appetite of Chinese consumers for ready-made meals, as the market grew by 9.6 percent in 2021 to a total retail value of CNY 216.4 billion (USD 34.6 billion, EUR 30.2 billion), even with a slight drop in demand after COVID restrictions were eased slightly in the latter part of the year.
In a research report shared with SeafoodSource, the China office of Mintel forecast annual growth of 9.9 percent up to 2026, when the retail market for ready-meal products is set to be worth CNY 346.5 billion (USD 55.4 billion, EUR 48.5 billion) in market value.
Better known as a shrimp farmer and processor, Guolian Aquatic joined China’s convenience food market recently with a range of pre-cooked tilapia for the home-eating market. It is now competing with big names that dominate the ready-meals market, including Sanquan Foods and Zhengzhou Synear Food Co, both of which are headquartered in the central Chinese province of Henan. Both specialize in quick-boiled, low-cost packets of frozen dumplings, but have been widening their portfolios to cater to more-discerning tastes. Other competitor is Fujian Anjoy Food Co., a firm based on China’s southeast coast that produces a wide range of ready-meal offerings.
To the advantage of newcomers, the market remains highly fragmented – Sanquan as market leader has only an 8.1 percent market share, according to Mintel. However, the absence of countertop ovens in many Chinese homes means brands have to ensure customers know their ready-meals can be microwaveable, according to Mintel.
Consumers over 40 years old are a prime target for Guolian, Mintel said in its report.
“Those in this demographic whose consumption frequency is two to three times a month favor some categories, such as ready-to-eat foods and lunchboxes/dishes that only need simple heating, even more than younger consumers,” it found. “This observation also suggests that the senior market is full of opportunities for ready-meals, as this group are potential future senior consumers as they age into this category.”
Photo courtesy of JD.com
