Food - Bhutan

Bhutan

Revenue in the Food market amounts to US$878.40m in 2024. The market is expected to grow annually by 11.74% (CAGR 2024-2029).
The market's largest segment is the segment Meat with a market volume of US$208.30m in 2024.
In global comparison, most revenue is generated in China (US$1,601bn in 2024).
In relation to total population figures, per person revenues of US$1,109.00 are generated in 2024.
In the Food market, 8.8% of total revenue will be generated through online sales by 2024.
In the Food market, volume is expected to amount to 302.60m kg by 2029. The Food market is expected to show a volume growth of 6.9% in 2025.
The average volume per person in the Food market is expected to amount to 287.20kg in 2024.

Key regions: United States, Canada, China, India, South Korea

Definition:

The food market covers all edible products that are bought and consumed for nutrient-based purposes. The market includes both fresh and processed foods.

Structure:

The market consists of 13 different markets:

The Dairy products & Eggs market covers animal products, such as milk, eggs and products made from mammal’s milk and non-animal products, such as milk substitutes. This market is divided into six subsegments that include milk, milk substitutes, yogurt, cheese, eggs and other dairy products and eggs.
The Meat market covers animal products, such as pork, poultry, and free-from meat products, such as meat substitutes. This market is divided into three submarkets: fresh meat, processed meat, and meat substitutes.
The Fish & Seafood market covers products made from fish and seafood. This market is divided into three submarkets: fresh fish, fresh seafood, and processed fish & seafood.
Fruits & Nuts cover edible fruits and nuts. This market is divided into three submarkets: fresh fruits, processed & frozen fruits, and nuts.
The Vegetables market covers edible plants. This market is divided into two submarkets: fresh vegetables, processed & frozen vegetables.
The Bread & Cereal products market covers baked goods made from dough. Dough is made using flour, water, a leavening agent, and other optional ingredients. This market also covers products made from cereals that are usually used as part of a main meal. This market is divided into five submarkets: bread, pasta, rice, breakfast cereals and other cereal products.
The Oils and Fats market covers both edible oils and fats made from animals and plants. This market is divided into four submarkets: butter, margarine, edible oils, and other oils & fats.
The Sauces and Spices market covers additional ingredients used during the food preparation process and is divided into three submarkets: tomato ketchup, other sauces, and spices & culinary herbs.
The Convenience food market covers prepared food and meals that require little effort to prepare. This market is divided into two subsegments, soups and ready-to-eat meals.
The Spreads and Sweeteners market covers spreads and ingredients added to food or beverages to give it a sweet flavor. This market is divided into two subsegments, spreads and sweeteners.
The Confectionery & Snacks market covers sweet, savory, and salty food. This market is divided into two subsegments, confectionery and snacks.
The Baby food market covers food that is only meant to be consumed by babies and small children.
The Pet food market covers food that is intended for pet use only.

Additional Information:

The market comprises revenue and average revenue per capita, volume and average volume per capita, price per unit (unit refers to kilogram), and sales channels. The market encompasses retail sales through both online and offline sales channels to private end customers (B2C). The market only covers at-home consumption; out-of-home consumption is not included. The out-of-home revenue data is only shown as a separate box at the market level.

For more information on the displayed data, click the info button on the right side of each box.

Market

Region

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Analyst Opinion

The Food market in Bhutan is experiencing modest growth, influenced by factors such as increasing health consciousness, rising demand for convenience, and the availability of online food services. Despite the presence of sub-markets such as dairy products, meat, fruits and vegetables, and convenience food, the overall growth rate remains subdued due to challenges such as limited infrastructure and resources, as well as cultural preferences for traditional food. However, the market is expected to continue growing as the government encourages investment in the food industry and consumers become more open to trying new and innovative food products.

Customer preferences: With the rise of social media and the influence of Western culture, there has been a growing demand for international food products in Bhutan. This trend is driven by the younger generation, who are more open to trying new foods and experimenting with international cuisines. Additionally, there has been an increase in demand for organic and healthy food options, as consumers become more health-conscious. This is reflected in the growing popularity of local farmers' markets and health food stores. The shift towards healthier and more diverse food options is also influenced by the country's growing tourism industry, as travelers seek out authentic culinary experiences.

Trends in the market: In Bhutan, The Food market industry is seeing a rise in demand for organic and locally sourced products, driven by a growing awareness of the importance of sustainable and healthy food choices. This trend is expected to continue, with consumers becoming more conscious of the environmental and health implications of their food choices. As a result, industry stakeholders are investing in methods to produce and distribute these products efficiently, while also catering to the increasing demand for convenience and technology in food shopping. This may include implementing online ordering and delivery services, as well as utilizing digital platforms for marketing and consumer engagement. The significance of these trends is twofold - not only do they align with global movements towards sustainability and health consciousness, but they also present opportunities for industry growth and innovation. However, stakeholders must also consider potential implications, such as the need for robust supply chains and infrastructure to support these trends, as well as potential challenges in meeting consumer expectations and maintaining profitability.

Local special circumstances: In Bhutan, The Food market is heavily influenced by the country's unique cultural and geographical factors. Bhutan is a small, mountainous nation with a largely agricultural economy, resulting in a strong emphasis on locally grown and traditional foods. Additionally, Bhutan's government has strict regulations on the import and export of food products, making it challenging for foreign companies to enter the market. This, coupled with Bhutanese consumers' preference for locally sourced and organic products, creates a unique market dynamic that differs from other countries.

Underlying macroeconomic factors: The Food market in Bhutan is greatly impacted by macroeconomic factors such as global economic trends, national economic health, fiscal policies, and other financial indicators. The country's small economy and limited resources may pose challenges for market growth, but the growing demand for food products and the government's efforts to improve infrastructure and promote economic growth are driving the market forward. Additionally, the increasing trend towards healthier and sustainable food choices worldwide is creating opportunities for Bhutan's food market to tap into the global market. However, challenges such as limited access to technology and skilled labor, as well as fluctuating commodity prices, may hinder market growth. Overall, The Food market in Bhutan has the potential to thrive with the support of favorable macroeconomic conditions and strategic investments in the sector.

Methodology

Data coverage:

The data encompasses B2C enterprises. Figures are based on the total consumer spending on food, which comprises all private household spending on food that is meant for at-home consumption (out-of-home consumption is not accounted for).

Modeling approach:

Market sizes are determined through a top-down approach, building on specific predefined factors for each market segment. As a basis for evaluating markets, we use resources from the Statista platform as well as in-house market research, national statistical offices, international institutions, trade associations, companies, the trade press, and the experience of our analysts. In addition, we use relevant key market indicators and data from country-specific associations, such as GDP, consumer spending, and consumer price index. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the exponential trend smoothing is well suited for forecasting the Food market with a projected steady growth. The main drivers are GDP per capita and consumer spending per capita.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice a year.