Hams Market Forecast, Trend, Analysis & Competition Tracking - Global Market Insights 2020 to 2030 The global hams market has seen a historical CAGR of nearly 2.3% during the period (2014-2019) and is further projected to create a valuation of about US$ 47 Bn by 2030. The global hams market is poised to expand at a CAGR of over 3% during the forecast period (2020-2030). Rapid expansion of the foodservice industry, especially in developing countries, in line with strong demand for on-thego meals is primarily boosting the demand for hams. Ham is widely used in many dishes and its demand from households continues to defy gravity. However, due to the Covid-19 outbreak, several meat processing and packaging industries have been affected tremendously with lowering meat supply. Despite strong demand for food products during the pandemic, the ham supply chain has seen a host of disruptions that are preventing manufacturers from getting their products to the market. Mass closures of foodservice outlets, which account for large demand for hams, have affected hundreds of ham processing facilities, resulting in the closure of some meat processing plants. E-Commerce to Create New Pathways for Hams Market Growth In recent years, major investments by e-commerce firms in cold-chain storage and logistics have fueled sales for fresh produce, including meat, through the platform. Sales of hams through Ecommerce channels continue to gather pace across the globe, as more number of consumers is ordering processed meat and other food products via smartphone applications. Robust growth in consumption of pork and subsequent increase in demand for processed meat products will continue to create lucrative opportunities for manufacturers capitalizing on omnichannel sales strategies. Regional Insights: China Takes the Lead with Burgeoning Per-Capita Meat Consumption Since the last decade, per capita meat consumption has increased about 5% annually in developing and emerging economies, while the growth in developed countries remained close to 0.5%. Globally, China’s hams market accounts for relatively high revenue share as compared to Europe and North America. This is attributed to a strong production footprint of all key market participants in the country. In terms of value, China’s hams market is projected to expand at a CAGR of over 3.5% during the forecast period. Competitive Analysis: Hams Market Shows High Level of Fragmentation Due to the Covid-19 outbreak, two Brazilian meat processing plants were forced to suspend operations, which were BRF (Brazil Foods), and JBS. Demand for hams from restaurants and other foodservice firms fell drastically, leaving vendors with large quantities of unsold stock. Tyson Foods informed its investors about a 50% decline in the U.S. pork production. Costco also announced restrictions on fresh meat sales, limiting customers to buy not more than three items from poultry, beef, and pork products. Considering the situation, the U.S. Food & Drug Administration (FDA) has relaxed its guidelines on food labeling to allow ham manufacturers to directly sell products to retailers originally intended for the foodservice industry.
COVID-19 Impact Analysis Recognizing the ripple effects of COVID-19 across the food & beverage industry, key players in the hams market are taking necessary steps to respond to the current situation. In 2020, the market registered a fall in revenue by almost 1/3rd during the first two quarters, owing to closure of pigmeat processing plants and decrease in demand from foodservice and retail industries.
Under the optimistic scenario, the hams market is expected to recover soon from the third quarter owing to resumption of foodservices operations. However, under the probabilistic scenario, the market will continue to experience sluggish growth in third quarter, due to consumer reluctance to meat consumption and significant changes in the dine-out culture. Under the pessimistic scenario, the hams market will remain affected throughout all four quarters, in the view of reduced production capabilities during the pandemic.