Organic Soybean Market - Forecast(2023 - 2028)

Organic Soybean Market Overview

The Organic Soybean Market size is estimated to reach $2.4 billion by 2027, growing at a CAGR of 11.9% during the forecast period 2022-2027. Soybean is a legume family crop generally grown in East Asia for its edible seeds. The word organic simply refers to the farming technique undertaken to produce these beans. Organic soybean is grown under strict regulations instructed by regulatory bodies, such as no use of fertilizers, crop rotation, and no genetically modified organisms (GMOs). Soybean is home to several vital nutrients, dietary fiber, and polyunsaturated fatty acids such as linolenic acid, omega-6, palmitic acid, oleic acid, vitamin K1, thiamine, phosphorus, and folate. Owing to its properties, soybean has wide-scale applications ranging from animal feed to biofuels. Soy products, especially soybean milk, have drawn a following across the globe as the veganism trend is on the rise. Moreover, soy intake reduces the risk of CVDs, bone abnormalities, insidious illnesses like cancer, menopausal hot flushes, bad cholesterol (LDL), and allergies in children. Therefore, augmenting health problems, bettering retail, enlarging health attentiveness among consumers, rising adoption of soy edible oil, expanding veganism, changing tastes and preferences because of broadening cuisine culture are the factors set to drive the growth of the Organic Soybean Industry for the period 2022-2027.

Report Coverage

The report: “Organic Soybean Market Forecast (2022-2027)” by Industry ARC covers an in-depth analysis of the following segments of the Organic Soybean Market.

Key Takeaways

• The North America Organic Soybean Market accounted for the highest revenue share in 2021. The growth is owing to high soybean production in the U.S. and Canada, full-fledged retail network, high urbanization, better health attentiveness among people, and comfortable disposable incomes.
• The overwhelming surge in prevalence of chronic illnesses, heightening demand for soy associated products such as soy milk, growing veganism trends, widescale usage in the food and beverage industry, enlarging demand for better quality animal feed, ameliorating infrastructure in developing nations, rising disposable incomes, improving living standards are said to be preeminent driver driving the growth of Organic Soybean Market. Environmental calamities and high inflation rates are said to reduce market growth.
• Detailed analysis of the Strength, Weaknesses, and Opportunities of the prominent players operating in the market will be provided in the Organic Soybean Market report.

Organic Soybean Market Segment Analysis - By Application

The Organic Soybean Market, based on the applications, can be further segmented into Animal feed, Personal care, Foods and beverages, and Industrial products (Cleaners, Paints, and Plastics), and Biodiesel. The food and beverages segment held the largest share in 2021. The soybean intake helps lower harmful cholesterol levels, muscle soreness, and cancer complications. As per a U.S. CDC report, nearly 55-60% of the entire population suffer from harmful cholesterol levels. Moreover, it condenses the blood sugar levels in patients afflicted with diabetes. As a result, the overall soybean consumption has heightened unprecedently in recent years.

Nevertheless, the food and beverage segment is estimated to be the fastest-growing, with a CAGR of 12.6% over the forecast period 2022-2027. This growth is owing to enlarging demand for soy edible oil and soy milk because of the mounting prevalence of insidious illnesses like cancer. On the other hand, the rising vegan population has further aided the market.

Organic Soybean Market Segment Analysis - By Distribution Channel

The Organic Soybean Market, based on distribution channels, can be further segmented into online and offline. The offline segment held the largest share in 2021. The growth is owing to the comprehensive existence of physical stores. Moreover, rudimentary infrastructure in low-income countries is entirely consistent with the growth of the offline segment as it is keeping e-commerce companies out of business. Also, the growing number of supermarkets in developing nations has changed the buying behavior of consumers. These outlets extend benefits such as bulk buying, a one-stop solution, alluring discounts, sale assistance, etc. However, the online segment is estimated to be the fastest-growing segment with a CAGR of 12.8% over the forecast period 2022-2027. This growth is owing to rapid digitalization, emerging work-from-home trends, eventful lifestyles of people, enlarging size of the tech-friendly population, 24/7 shopping options, all-weather access to the internet, and expanding smartphone users. According to a report, China has 953.9 million smartphone users (highest than any other country in the world); in addition, India comes in the second position with 492 million users.

Organic Soybean Market Segment Analysis - By Geography

The Organic Soybean Market, based on Geography, can be further segmented into North America, Europe, Asia-Pacific, South America, and the Rest of the World. North America held the largest share, with 32% of the overall market in 2021. The growth in this segment is owing to the factors such as high soybean production. After Brazil, the US was the biggest soybean producer in 2021, with 114.75 million metric tons of annual production. Canada has a decent share in global production with 6.35 million metric tons production. Even though the South American countries dominate the world in soybean production; however, the consumption is less owing to low disposable incomes and impoverished infrastructure. In addition to that, North American nations like Canada and the US are known for their well-established infrastructure and high disposable incomes. Also, the overwhelming surge of obesity, cancer, and heart complications has aided the market in the said region. However, Asia-Pacific is expected to be the fastest-growing segment over the forecast period 2022-2027. This growth is owing to the enormous size of the population. Nearly 59.76 percent (4.7 billion people) of the world population lives in the Asian continent. Also, Asia is home to the biggest vegetarian population worldwide. Nevertheless, the relentless expansion in the geriatric population in nations like Japan and China has heightened the demand for soybean.

Organic Soybean Market Drivers

Expanding prevalence of serious illnesses such as cancer is anticipated to boost market demand.

Cancer is one of those dangerous ailments that spread slowly without being noticed. Last year it claimed more than 10 million lives. Cancer is quite common in developed countries like the U.S. America recorded 1.9 million new cases and over 600,000 deaths in 2021. Moreover, according to a report, nearly 12-13 percent of women in the U.S. suffer from breast cancer in their lifetime. Also, rapid expansion in the world’s geriatric population has brought bone abnormalities like arthritis into the limelight. With age, bone density and strength diminish, and problems like arthritis become a headache. Nearly 350 million worldwide were afflicted with this bone disease in 2021, and the figure is projected to expand quickly, considering the staggering expansion in the old-age population. On the other hand, CVDs have emerged as a dominant cause behind millions of deaths across the globe. As a result, considering the various health benefits of soybean, consumers have made it an inextricable part of their lives.

Rising living standards, soaring disposable incomes, and refining retail networks are expected to boost market demand.

The growing fitness industry has its fair share in driving the organic soybean market as most gym members tend to consume dietary supplements to fulfill their nutritional requirements. In addition to that, soybean is an excellent source for gaining weight. According to the IHRSA report, around 2.36 percent of the global population will have a gym membership in 2021; the figure is likely to proliferate as Covid infection rates have plunged drastically. Soybean can play a crucial role in eradicating malnutrition problems in low-income countries like India. For instance, India was given a Global Hunger Index 101 out of 16 nations in 2021, which represents the alarming situation of undernourishment in the country. Nevertheless, growing FDIs and government spending on infrastructure improvement in developing nations like China, India, and Indonesia has aided the retail industry, which in turn is driving the organic soybean market.

Organic Soybean Market Challenges

Environmental disasters, the high price of organic soybean, and rising inflation rates are Anticipated to hamper the market growth.

For soil to be healthy, the presence of 3 to 6 percent organic content is a must phenomenon. Unfortunately, immoderate usage of fertilizers, deforestation, water pollution, changed courses of rivers, and other human activities have caused harm in the most significant proportion. And soil organic content has decreased dramatically across the globe in recent years. According to a report, nearly 25 percent of croplands in Austria's European country have less than 2 percent organic content, and organic content in Indian soil has dropped down to 0.5 percent. Not just these two countries but almost every other country on planet Earth is going through the same. On the other hand, the high price of organic soybean because of strict farming rules and rising inflation rates have posed a challenge to the steady growth of the market.

Organic Soybean Industry Outlook:

Product launches, mergers and acquisitions, joint ventures, and geographical expansions are key strategies adopted by players in the Market. Organic Soybean market top 10 companies include-

1. Simmons Grain Company
2. Korin Agricultural natural
3. The Hain Celestial Group
4. Montana Flour & Grains
5. Grain Millers Inc
6. Pulmuone Co Ltd
7. SunOpta Inc
8. Adams Group
9. Pilgrims’ Pride
10. Tyson Foods Inc

Recent Developments

• On December 13, 2021, New York, United States-based organic and natural products company “The Hain Celestial Group” announced that the company had reached an agreement with Montclair, a New Jersey-based company; that’s How We Roll (a firm famous for its snacks). The acquisition will add ParmCrips and Thinsters to Hain’s business portfolio.
• On July 6, 2021, Minnesota, United States-based branded food manufacturing company “General Mills” announced the successful acquisition of the pet treats business from Arkansas, United States-based food company “Tyson Foods.” A staggering payment of $1.2 billion (all cash) was made by General Mills in order to bring the acquisition to a close.
• On April 15, 2021, Brampton, Canada-based company SunOpta (a firm known for its plant-based food and beverages) announced the successful acquisition of two plant and fruit-based food and beverage brands, WestSoy and Dream, from New York, United States-based natural products company “The Hain Celestial.” The total value of the transaction stands at around $33 million.

Relevant Links:

Soybean Oil Market – Forecast (2022 - 2027)

Report Code: FBR 0192

Soybean Derivatives Market – Forecast (2022 - 2027)

Report Code: FBR 40414

U.S. Soybean Market – Forecast (2022 - 2027)

Report Code: AGR 0062

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