Organic Chips Market Size, Share & Trends Analysis Report By Product (Vegetable, Fruits, Cereal, Grain), By Distribution Channel (Retail & Supermarket, Online Platform), By Region, And Segment Forecasts, 2024 - 2030

Organic Chips Market Size & Trends

The global organic chips market size was valued at USD 17.40 billion in 2023 and is projected to grow at a CAGR of 2.9% from 2024 to 2030. The factors responsible for the market growth are the increase in the population seeking healthier, convenient food snack alternatives. There is a growing demand for healthy snacks made from natural and organic ingredients and flavors, as there is an increase in awareness about healthy food products and the adverse effects of processed food snacks. Due to the rise in chronic diseases such as heart disease, obesity, and diabetes, consumers are seeking healthier alternatives to regular snacks.

Organic snack foods such as tortilla chips, potato chips, corn chips, and more are gaining popularity due to the organic and natural ingredients they contain. Traditional snacks are made from cheaper ingredients and have artificial preservatives and flavoring. Excess consumption of these snacks can lead to health complications such as obesity, heart disease, and diabetes. There is an increased awareness of these negative impacts of traditional food snacks; therefore, consumers opt for healthier alternatives that benefit their health. Hence, the rising inclination towards healthier food snack options has resulted in the growth of the organic chips market.

Key players invest heavily in research and development to produce organic chips by innovating new flavors and ingredients. Companies are targeting to increase their market penetration in the organic chips market by conducting various marketing campaigns. Due to a well-developed distribution channel, companies can distribute new products efficiently and affordably. Moreover, the increasing focus on sustainability and environmental preservation has boosted the demand for organic products such as chips. Consumers are becoming aware of the ecological consequences of their purchases, choosing goods that promote sustainable agriculture and reduce environmental damage.

Product Insights

The vegetable segment dominated the market with a share of 34.5% in 2023 owing to the increase in the number of products made from vegetables. Due to rising awareness regarding healthy and organic chips, key companies are launching organic chips made from vegetables such as sweet potatoes, beets, carrots, kale, and more. These organic vegetable chips are gaining popularity as the perfect healthy alternative to the traditional chips made from potatoes. Furthermore, key market players invest heavily in manufacturing chips by integrating vegetables to target the health conscious population.

The fruits segment is expected to witness the fastest CAGR of 3.3% during the forecast period attributed to the rising awareness regarding healthy and organic snacks. Due to their taste and health benefits, there is an increased demand for organic fruit chips made from bananas, apples, strawberries, and more. Furthermore, key companies and startups invest heavily in innovation to manufacture fruit-based chips and snacks. Therefore, these factors are responsible for the market growth of this segment.

Distribution Channel Insights

The retail and supermarket segment dominated the market in 2023, with a share of 73.6% in 2023 pertaining to the rise in this market are the predominant presence of these stores in the areas. A vast network of supermarkets and retail stores sells various products under one roof. They offer a wide range of organic chips to consumers seeking healthy snacks. Companies can distribute their new products to these stores efficiently due to a strong and established distribution network. Furthermore, companies invest heavily in enhancing their store shelf presence by designing attractive packaging and advertisements. Hence, these factors result in the positive market growth of this segment.

The online platform segment is expected to witness a CAGR of 1.9% over the forecast period due to the growth in the e-commerce sector and increased adaptation of the online market by the key market players. Online platforms allow consumers to shop from the comfort of their homes and get the products delivered directly to their doorsteps. Consumers can browse and gain knowledge of various organic chip products with the help of online catalogs, ratings, and reviews of the products. Companies are adopting online selling to increase their market penetration. Therefore, these factors are responsible for the market growth of this segment.

Regional Insights

North America dominated the organic chips market with a market share of 32.6% in 2023 due to the increased awareness regarding healthy food alternatives and heavy investments by key market players to launch healthy and organic snacks. There is an increase in the demand for organic chips as consumers seek organic alternatives to traditional snacks like chips because they are worried about using artificial chemicals and preservatives in food production. Furthermore, the increased availability of organic chips due to a well-developed network of supermarkets and retail stores in North America has resulted in positive market growth in this region.

U.S. Organic Chips Market Trends

The U.S. dominated the market of North America in 2023 due to an increase in demand for organic chips due to the rise in the population seeking healthier snacking alternatives in the country. There is an increase in the population adopting healthy lifestyles by consuming preservatives and chemicals-free, environment-friendly food. This is due to the rising rate of patients suffering from chronic illnesses such as obesity, diabetes, and heart disease. Furthermore, developed supermarket and retail stores sector fuel the market growth due to the availability of various organic chips in these stores. Therefore, these factors have resulted in the positive development of this segment.

Europe Organic Chips Market Trends

Europe organic chips market was identified as a lucrative region in this industry owing to increased demand for the healthy and organic food alternatives. There has been an increase in the number of people who are health conscious. These consumers seek organic and environmentally friendly alternatives to traditional food products. Companies are investing heavily to launch products made from organic ingredients in the region. Furthermore, increased disposable income in the area has increased demand for premium organic chips that are costlier than traditional snacks. Hence, these factors contribute to the market growth in this region.

Asia Pacific Organic Chips Market Trends

Asia Pacific is anticipated to grow at the fastest CAGR of 5.1% over the forecast period owing to the market growth are the population growth and increased awareness regarding healthy food snacks. Population growth in countries such as China, Japan, and India allow key market players to increase their market penetration. Furthermore, increased disposable income has made consumers shift to costlier organic chips from traditional snacks. Therefore, these factors contribute to the market growth in this region.

Key Organic Chips Company Insights

Some of the major companies in the organic chips market are Luke’s Organic, The Coca-Cola Company, PepsiCo, Danone S.A, and more. Companies are focusing on launching new products with increased use of natural ingredients and flavors in order to mitigate the increased demand of organic snacks food segment.

• Luke's Organic manufactures snacks made from natural ingredients. The company claims its snacks are USDA-certified, organic, non-GMO, and gluten-free.

• Tyrells Potato Crisps Limited is a manufacturer of chips. The company manufactures various crisps, popcorn, tortillas, and vegetable crisps.  

Recent Developments

• In June 2024, Rhythm Superfoods announced the launch of two new products, Seasoned Shishito Peppers and Original Veggie Sticks, at the summer fancy food show. The launch aligns with the company's mission of developing delicious plant-based snacks to encourage people to try fruits and vegetables in new ways.

Organic Chips Market Report Scope

Global Organic Chips Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global organic chips market report based on product, distribution channel, and region.

• Product Outlook (Revenue, USD Billion, 2018 - 2030)

  • Vegetable

  • Fruits

  • Cereal

  • Grain

• Distribution Channel Outlook (Revenue, USD Billion, 2018 - 2030)

  • Retail and Supermarket

  • Online Platform

• Regional Outlook (Revenue, USD Billion, 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • UK

    • Germany

    • France

    • Italy

    • Spain

  • Asia Pacific

    • Japan

    • China

    • India

    • Australia

    • South Korea

  • Latin America

    • Brazil

    • Argentina

  • Middle East and Africa (MEA)

    • South Africa

    • Egypt