The seasonings, dressings and sauces market in Australia has been forecasted to grow from AUD3.9bn ($2.9bn) in 2021 to AUD4.6bn ($3.4bn) in 2026, at a compound annual growth rate (CAGR) of 3.1 percent with the dry cooking sauces category as a major driver.
GlobalData, a leading data analytics company, revealed in their report, ‘Australia Seasonings, Dressings & Sauces - Market Assessment and Forecasts to 2026’ that the dry cooking sauces category is expected to register the fastest value of CAGR of 3.9 percent between 2021 and 2026. Coming in second, the tomato pastes and purées category is forecasted to see a CAGR of 3.5 percent.
Anush Shaw, Consumer Analyst at GlobalData commented “Australian families have been more inclined to consume home-cooked snacks and meals since the pandemic began. Many consumers took up cooking to relieve the monotony of the prolonged stay at home and tried out new recipes to elevate the at-home consumption experience for their family.
“This has been fuelling sales of seasonings, dressings and sauces. Additionally, the rising interest in health foods such as salads among health-conscious consumers is driving demand for salad dressings.”
In line with the projected trend increase, the per capita expenditure (PCE) on seasonings, dressings & sauces in Australia expanded from US$34.6 in 2016 to US$55.5 in 2021. By 2026, the PCE is estimated to reach US$60.8 – significantly higher than the regional average of US$9.1, and the global average of US$13.8.
The major distribution channel in the Australian seasonings, dressings & sauces market in 2021 was ‘Hypermarkets & supermarkets’, followed by convenience stores, and food & drinks specialists.
In 2020, Mars Incorporated, Goodman Fielder, and Campbell Soup Company were the top three businesses by value, and Master Foods and Praise were the top brands.
“The growing propensity among the Australian consumers to explore new tastes and experiment with exotic flavors is generating new growth opportunities in the seasonings, dressings & sauces market. The seasonings, dressings & sauces industry needs to address the consumer demand for products with natural formulations, convenient formats, variety of flavors, food safety, value, and health and wellness attributes. Manufacturers also need to pay attention to the growing preference among Australian consumers for local brands and products.”
