According to “2019 Trends and Advances in Food Packaging and Processing,” a report by PMMI Business Intelligence, cereal and grain holds a 3.6% share of the nine food categories, with the number of establishments increasing to 546 between 2014 to 2017 (a CAGR of 2.6%), and the number of employees increasing to 32,341 in the same period, at a CAGR of 2.5%.
Cereal and grain product packaging trends include greater package variety such as pouches, smaller sizes and resealability. While there has been a decline in cold breakfast cereal, there has been an increase in on-the-go breakfast bars. And of those adults who do eat cereal, popular choices include cold cereal, high-fiber, weight-management cereals and granola. Nuts and seeds are also growing in popularity.
Of cereal packaging trends, one Packaging Engineer at a cereal and grain company said, “Cereal might be going to paperboard boxes with a liner and away from bags.”
Cereal and Grain Product Processing Trends
• The U.S. Department of Agriculture predicts cereal and bakery prices to increase 2% to 3% in 2019.
• Slow growth is projected to rebound in the next five years with brands offering more healthy on-the-go cereal choices.
• Cereal industry aggressively trying to change image of sugary, unhealthy breakfast food; adding more dried fruits and nuts.
• Nearly 50% of North American product introductions with nuts contain almonds.
Consumer habits are driving change in this market as sit-down breakfast declines, and the value of shipments for breakfast cereal manufacturing declined 10% from 2012 to 2014. Consumers are looking for healthier premium brands, shifting the focus of marketing to promote health benefits.
Source: PMMI Business Intelligence “2019 Trends and Advances in Food Packaging and Processing”
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Make plans to visit PACK EXPO International in Chicago, November 8-11, to see on-trend food processing and packaging machinery and materials.