Global frozen potato consumption stood at $106 billion in 2017, with a 6% increase against the previous year. This figure reflects the total revenue of producers and importers (excluding logistics costs, retail marketing costs and retailers’ margins). From 2016-2017, the market experienced healthy growth after a period of notable decline (13.5%) in the previous year. In physical terms, global frozen potato consumption grew consistently over the last four years, reaching its highest level of 117 million tons in 2017. Over the last 10 years, the frozen potato market saw mild fluctuations, according to a report published by IndexBox, Walnut, Calif.

The expansion of fast food chains, combined with a rising population and urbanization remain the key factors buoying market growth.

According to IndexBox, China (37%), followed by India (31%), the United States (13%) and Pakistan (5%) appeared as the largest frozen potato markets in the world in 2017. In addition, most of these countries were also the leading producers of frozen potatoes in the world.

Amongst these countries, India (1.4%) recorded the highest annual rates of growth in terms of frozen potato consumption over the period under review, while the other consumers experienced modest paces of growth.

China (30.1 kg per person) and India (27.3 kg per person) constitute the largest frozen potato markets, however, in these countries, per capita consumption remained relatively lower than in the United States (48.3 kg per person).

In Western countries, the United States in particular, frozen potatoes are widely popular throughout quick-service restaurant (QSR) chains. However, the growth of consumption in developed countries may be hampered by increased consumer concern about fat intake and healthy eating. Therefore, the population and income growth will remain the major impetus for market stability. Similar trends are also viable for European countries and Japan.

On the other hand, the market situation is quite different in the rapidly developing Asian countries, where consumption habits are dramatically changing. Per capita consumption of frozen potatoes in Asia remains tangibly lower than in the United States, Europe and Japan. This indicates a weak saturation of the market and a simultaneous robust potential for growth. As a result of the rapid urbanization process and the increasing popularity of Western-style cuisine and fast food in Asia, global and local QSRs, which are the most important retail marketers of frozen potato products, are growing more rapidly than in Western countries. Therefore, China and India will continue to drive of the growth of the global market.

Driven by increasing demand for frozen potatoes worldwide, the market is expected to continue an upward consumption trend over the next eight years. Market performance is forecast to retain its current trend pattern, expanding with an anticipated CAGR of 1% for the 8-year period from 2017-2025, which is projected to bring the market volume to 127 million tons by the end of 2025.