The global oatmeal market was valued at approximately US$ 9.86 billion in 2018 and is projected to expand at a compound annual growth rate (CAGR) of 4.2% from 2019 to 2027, reaching an estimated US$ 14.08 billion by 2027. In Europe, nearly 70% of new cereal products introduced since 2016 have been oat-based.
In this region, the launch of porridge products has been particularly vigorous compared to other areas. The European Union's approval of health claims for oat products in 2013 significantly boosted the demand for oatmeal throughout Central Europe. A majority of the oats consumed in Europe are cultivated locally, with additional imports from neighboring countries.
Factors such as availability, pricing, nutritional value, and convenience greatly influence consumer behavior and consumption patterns regarding oatmeal. These elements are driving the growth of the oatmeal market during the forecast period. Other important influences on the oatmeal market include concerns about food sustainability, environmental issues, social norms, and various economic factors. As disposable incomes rise, there has been an increasing trend towards the consumption of nutrient-rich food products across many nations. Additionally, changes in income levels and rapid urbanization are crucial drivers of the oatmeal market. Oat production has remained relatively stable over the past decade, with Europe being the largest producer and Canada recognized as one of the top exporters. Mexico ranks as the second-largest importer of oats globally, followed closely by Japan. The highest consumption of oatmeal is observed in the UK, Australia, and Canada, while Poland, the US, Russia, and Scandinavian countries also show significant oatmeal consumption.
Regular rolled oats, often referred to as "old-fashioned" oats, are produced by steaming whole oat grains to soften them before pressing them into flakes using steel rollers. This rolling process makes them thinner, which reduces cooking time and results in a more tender and substantial texture. These oats are commonly utilized in baking cookies, bread, and muffins, and are widely available in supermarkets, making them one of the most popular oatmeal varieties. In contrast, quick oats undergo even more processing and are rolled into thinner flakes than regular rolled oats, allowing for even shorter cooking times.
The oatmeal market in South America encompasses countries like Brazil, Argentina, and other regions within the continent. Since 2016, approximately 70% of hot cereals launched in South America have been oat-based, contributing to the growth of the oatmeal market in these countries. The local population's preference for oat-based hot cereals has been a significant factor in this trend. Additionally, there is a growing consumer interest in local ingredients, such as ca?ihua grains and pendant amaranth, which presents opportunities for manufacturers to introduce a diverse range of hot cereals that celebrate regional traditions while supporting local farmers. For example, Quaker Oats, a prominent player in the oatmeal sector, has introduced Oats with Andean Seeds in Peru, which combines oats with ca?ihua grains, pendant amaranth, and powdered beans. In Chile, Quaker offers a multi-seed oat product that includes linseed, chia, peanuts, red quinoa, and almonds. Such innovations tailored to local tastes can provide lucrative opportunities for oatmeal producers in the region. Brazil stands out as the largest market for oatmeal in South America, and the rising obesity rates in the region are prompting a shift towards plant-based proteins, which is expected to further drive the demand for oatmeal during the forecast period.
In February 2018, Nestle SA launched an organic food line, including oatmeal, in Brazil to tap into the growing interest in organic and healthy products, thereby increasing its market share in the oatmeal sector. The company has established a distribution agreement with the supermarket chain P?o de A??car, one of Brazil's leading food retailers. Meanwhile, Argentina is experiencing significant growth in its middle-class population, coupled with a heightened awareness of healthy eating, which is anticipated to enhance the growth of the oatmeal market in Argentina in the years to come.