June 22, 2024
Seafood Broth Market

Seafood Broth Market Poised for Significant Growth Due to Increasing Demand for Convenience Food Products

Seafood broth is a flavored liquid ingredient prepared by simmering seafood shells and bones in water or stock. It is widely used in the preparation of soups, seafood dishes, rice dishes, and sauces to add depth of flavor without additional seafood. The broth contains high nutritional value and provides benefits such as boosting immunity and digestive health. The growing demand for convenience food products and on-the-go seafood meals is augmenting the demand for seafood broth globally.

The global seafood broth market is estimated to be valued at US$ 862.39 Bn in 2024 and is expected to exhibit a CAGR of 12% over the forecast period 2024 to 2031.

Key players operating in the Seafood Broth Market are ATM S.A. (ATMAN), Equinix, Inc., Aruba S.p.A., Beyond.pl, EdgeConneX Inc., Virtua Operator, Exea Data Center, Comarch SA, OVH, T-Mobile Polska, SNP Poland Sp. z o.o. These companies primarily focus on offering seafood broth products with sustainable seafood sources to expand their customer base.

Key Takeaways

Key players: Key players operating in the seafood broth market are focusing on capacity and geographical expansions to strengthen their market share. For instance, in 2021, ATM S.A. invested $50 million to expand its seafood broth production facility in Poland. This expansion enabled the company to cater to the growing demand from Central and Eastern European countries.

Growing demand: The increasing preference towards plant-based, natural, and clean-label ingredients is fueling the demand for seafood broth globally. According to a report by FAO, the consumption of seafood broth products increased by over 10% between 2018 to 2020.

Global expansion: Major seafood broth producers are focusing on mergers and acquisitions to expand their global footprint. For instance, in 2022, Equinix, Inc. acquired 13 data centers from ATMAN across Europe and Asia to strengthen its presence in key seafood broth markets.

Market Key Trends

Customization and product innovation are the key trends witnessed in the global seafood broth market. Seafood broth manufacturers are focusing on custom blends and unique flavors to cater to the dynamic taste preferences of consumers. For example, in 2021, Beyond.pl launched a customized Himalayan seaweed and tilapia bone broth to expand its premium product portfolio. Similarly, EdgeConneX Inc. offers a range of seafood broths with different combinations of key marine ingredients to appeal to a diverse consumer base. Such product innovations are helping companies to capture untapped growth opportunities.

Porter’s Analysis

Threat of new entrants: Seafood broth market requires high initial investments which act as a barrier for new companies. Bargaining power of buyers: Large retail buyers have significant influence on pricing in the seafood broth market. Bargaining power of suppliers: Seafood is a perishable raw material and suppliers have moderate bargaining power. Threat of new substitutes: Plant-based broths and seasonings pose potential threat as substitutes. Competitive rivalry: The seafood broth market is consolidated with top players differentiating through innovation and private label offerings.
The Europe region accounts for the largest value share in the seafood broth market owing to high seafood consumption. Asia Pacific is the fastest growing region due to rising incomes, urbanization, and focus on health and wellness in countries like China and India. Within Asia, China represents the major market on account of rising demand for convenience seafood products.

Ports and coastal cities in China, Japan, South Korea and Southeast Asian countries concentrate the highest seafood broth market value in the Asia Pacific region. Growing middle class and working women population contribute to demand growth for ready-to-eat seafood foods including broths and soups.

Note:
1. Source: Coherent Market Insights, Public sources, Desk research.
2. We have leveraged AI tools to mine information and compile it.