The global peanut butter market was valued at USD 5.70 billion in 2021 and is projected to reach USD 9.09 billion by 2028, expanding at a CAGR of 6.9% from 2022 to 2028. This growth is primarily driven by a global rise in health awareness, which has significantly influenced consumer preferences towards nutritious food options.

The increasing disposable income in developing nations, alongside greater global awareness of nutritional benefits, is expected to further accelerate market expansion throughout the forecast period. Additionally, the ongoing expansion efforts by key market players and the introduction of new product variants are anticipated to create fresh growth opportunities. However, the market continues to face challenges, including limited awareness in parts of the Asia Pacific region, inconsistent peanut production, fluctuating raw material costs, and trade-related barriers such as tariffs. For example, in 2018, the European Union proposed higher import duties on U.S.-origin peanut butter, impacting market dynamics.

The COVID-19 pandemic served as a growth catalyst for the industry. As consumers prioritized health and immunity, there was a notable surge in demand for high-protein, low-calorie, and nutritious products like peanut butter. Moreover, pandemic-driven trends like stockpiling and a preference for comfort foods further contributed to the rise in sales. Shifting food consumption habits and a broader transition toward convenience-based lifestyles are expected to sustain this growth trajectory in the coming years.

Key Market Trends & Insights:

• Regionally, North America emerged as the top revenue-generating market in 2021.

• Country-wise, Brazil is projected to register the highest CAGR from 2022 to 2028.

• By type, the crunchy variant dominated with over 45% market share in 2021.

• By distribution channel, offline platforms led in revenue contribution during the same year.

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Market Size & Forecast Overview:

• 2021 Market Size: USD 5.70 Billion

• 2028 Projected Market Size: USD 9.09 Billion

• CAGR (2022–2028): 6.9%

• Top Region: North America (2021)

As lifestyle-related diseases such as hypertension and cardiovascular disorders become increasingly prevalent, health-conscious consumers are expected to drive demand for functional and convenient food products like peanut butter. This shift in consumer behavior presents new growth avenues for the global peanut butter market.

Key Companies & Market Share Insights:

The global peanut butter industry is relatively consolidated, featuring a mix of dominant global companies and emerging local players. Major brands continue to strengthen their market positions through geographic expansion, capacity enhancement, product innovation, and strategic launches. Fortified variants containing added nutrients are gaining traction, helping brands reach a broader consumer base. For instance, in November 2021, the American Peanut Growers Group announced an investment of USD 85 million to expand production capabilities for peanut butter and related products.

Major players operating in the global market include:

• M. Smucker Company
• Kellogg Company
• Conagra Brands, Inc.
• Hormel Foods Corporation
• Kraft Foods
• Mars, Inc.
• Oetker Group
• The Hershey Company
• Unilever Plc
• Associated British Foods plc

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Conclusion:

The global peanut butter market is on a steady growth path, bolstered by rising health consciousness, evolving dietary habits, and expanding product portfolios by key players. Despite certain challenges like regional awareness gaps and trade barriers, the market is expected to thrive due to increasing demand for nutritious, convenient, and high-protein food options. The strategic initiatives taken by major companies, combined with emerging market opportunities, will likely contribute to robust market expansion through 2028.