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Peanut Butter Manufacturing Industry

Peanut Butter Manufacturing Industry. Start a Food Processing Factory. Processed Food Industry Peanut, also known as groundnut, is classified as both a grain legume and an oil crop (because of its high oil content). Applications: peanuts are used for • Production of nutritional supplements • Peanut butter • Confectionery Products – peanut candy bars, peanut butter cookies, cakes, chocolates • Snacking Products – salted peanuts, dry-roasted peanuts, boiled peanuts Peanut butter is a high protein, low calorie product that possess high nutritional value. It is healthy alternative to dairy butter and used as bread spread. Major market presence of peanut butter is in western countries in comparison to Asian countries such as India as product is relatively new to the Asian region. Peanut butter is used in various applications in the form of spread and is used as the substitute for milk butter. However, in comparison to other spreads peanut butter is a low calorie product with high protein content. Consumption of peanut butter includes various benefits associated with it such as it helps to reduce the weight and also possess optimum nutrition value. Peanut butter are also available in powder form and used in various applications such as breakfast food, savory sauces and smoothies. Gujarat has been a leader in traditional butter production. Now, the state has also emerged as the largest manufacturer. The global peanut butter market is expected to witness robust growth over the forecasted period due to the rising needs of the consumers for low calorie nutritious products. Globally, among all regions, North America is expected to contribute highest market share, followed by Europe over the forecasted period. In North America, U.S. is expected to contribute maximum market share due the high disposable income of the consumers. However, in emerging economies such as Asia Pacific peanut butter market is anticipated to witness highest growth owing to the rising disposable income of consumers in these regions. Changing lifestyle coupled with shift towards the intake of convenient food are also factors that are expected to drive the peanut butter market in the coming four to five years. Major restraint that is expected to hamper the growth of the overall peanut butter market is the availability of peanut at relatively competitive prices coupled with fluctuating production of peanuts especially in India. Largely used as a sandwich spread, it can either be used with other kind of spreads or in savory sauces, bakery products and smoothies. A variety of flavors, new blends, rising disposable income of consumers and growing preferences for nutritious products are the major factors driving the growth of the global peanut butter market. The Peanut Butter Production industry's revenue decreased at an annualized rate of 2.0% over the five years to 2018 reaching $1.9 billion in 2018. Increasing health awareness is raising the inclination of consumers towards low calorie healthy diets. Peanut butter is a low calorie product which has high protein and nutritional value. In Asia-Pacific region, around 35% of different food items utilizes peanuts as an ingredient. However, peanut butter has high penetration in western countries market as compared Asia-Pacific region due lack of awareness about the benefits associated with peanut butter. Peanut butter is considered as a staple food in US, Canada and Western European Countries for breakfast. Nearly 90% of the United States households consume peanut butter as bread spread. And around one third of the peanuts which is harvested in US is utilize for the manufacturing of peanut butter. Every year over 2 billion pounds of peanuts are utilized in the production of peanut butter. Peanut butter contains high amount of essential nutrients and dietary fiber and are rich in minerals such as potassium and magnesium. These nutrients help in preventing diseases and improving health. Consumption of peanut butter helps in weight loss and it lowers the risk of type II diabetes and gallstones. Regular consumption of peanut butter improves the antioxidant properties of the body which helps in controlling fatal diseases such as cancer and other degenerative conditions. These are some of the key factors which are boosting the growth of global peanut butter market. The wide application of peanuts in the food industry is considered as a major driver for peanuts market. Peanuts are widely used for the extraction of oils and peanut flour. The processing of peanuts and its high consumption as snacks also has a positive impact on its market growth. The high nutrient value of peanuts make its consumption more popular amongst the health conscious consumers. Shift in consumption pattern and adoption of healthy lifestyle has supported the positive growth of peanuts market. However, peanut is also listed as one of the major allergens due to which its consumption is restricted only amongst the consumers who do not have peanut allergy. On the basis of peanuts form, raw form is found to hold a major share and is calculated to increase at high rate globally based on the oil and flour extracted from the raw form of peanuts. However, the convenience usage of the powder form is supporting the increased demand of the product from consumer’s side. The application of peanut in extraction of peanut oil is found to hold a major share on a global level. Amongst the distribution channels for the sale of peanuts, hypermarket and supermarket’s share is projected to increase at a high rate. USA is the fourth largest producer and second largest exporter of peanuts in the world. The main peanut producing regions in United States are Georgia, Texas, Alabama, North Carolina, Florida, Virginia. The major countries that import peanuts from the US in terms of value, as of 2017, are Mexico (USD 112,020 thousand), Canada (USD 102,663 thousand) Netherlands (USD 57,421 thousand), Japan (USD 20,905 thousand), China (USD 19,426 thousand), among others. The demand for US peanuts is increasing in countries, like China, Canada, European Union, and Mexico. Peanut exporters in the US have a good opportunity to capture the global market because of worsened weather conditions in major production areas of Argentina. Peanuts has been segmented on the basis of application which comprises Direct consumption/Culinary purpose, Bakery and confectionery, Peanut butter and Spreads, Peanut bars, Dairy Products, Oils, Others. Peanuts application in oil production is holding a large share followed by application in bakery and confectionery. 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