Market Introduction:
In 2023, the global brown rice market was valued at USD 10.60 billion and is projected to grow from USD 11.08 billion in 2024 to USD 15.99 billion by 2032, with an expected compound annual growth rate (CAGR) of 4.69% over the forecast period (2024-2032). The Asia-Pacific region led the market in 2023, holding a 42.64% share. Additionally, the U.S. brown rice market is forecasted to expand significantly, reaching approximately USD 4.07 billion by 2032, driven by a growing awareness of brown rice’s health benefits, such as its prebiotic properties and positive effects on gut health.
The COVID-19 pandemic has had a considerable effect on consumer behavior, spurring increased demand for brown rice globally. Rising awareness about the benefits of high-fiber, prebiotic foods for digestive health has fueled demand. This trend aligns with the broader interest in specialty rice, whole grains, and ancient grains, expected to further boost the market’s growth from 2024 to 2032.
The pandemic has notably impacted global food consumption patterns, with heightened focus on healthier diets and lifestyles. Brown rice, valued for its organic, whole-grain characteristics, gained considerable importance during and after COVID-19. While the pandemic initially disrupted supply chains and trade, demand surged as stores reopened, leading to a swift recovery in sales. Growing consumer awareness of brown rice’s health benefits is expected to drive the market forward in the coming years.
BROWN RICE MARKET TRENDS
The increasing popularity of functional foods is set to drive market growth as consumers seek products that support overall wellness. Awareness about the role of gut health in lowering the risk of lifestyle-related conditions—such as diabetes, cardiovascular issues, and obesity—has heightened demand for high-fiber, prebiotic foods that promote digestive health. This trend toward consuming fiber-rich functional foods has led manufacturers to explore tan-colored rice products. Studies have shown that fermented tan-colored rice may offer antidiabetic benefits, positioning it as a valuable functional food. Additionally, rising investments in developing innovative brown rice-based products, such as tan-colored rice syrups and pasta, are expected to propel market growth in the coming years.
Factors Driving Growth in the Brown Rice Market
Increasing consumer awareness about prebiotics and gut health is significantly boosting the global brown rice market. Demand for high-fiber foods that support digestive health and reduce the risk of chronic conditions is on the rise. Brown rice, rich in essential nutrients like vitamins B1, B3, B6, phosphorus, manganese, and iron, contains four times more insoluble fiber than white rice, making it a preferred choice for health-conscious consumers.
Major producers are investing in brown rice products to meet this demand for fiber-rich functional foods. This type of rice is also associated with weight management, as fiber has been shown to help regulate blood glucose levels. Brown rice is gaining popularity across retail channels as an aid for weight loss. Additionally, the growing preference for organic foods, driven by the belief that organic products are healthier, is expected to increase the consumption of organic tan-colored rice. Rising interest in convenient foods is likely to further drive demand for instant brown rice in the future.
Growing Demand for Specialty Rice to Boost Market Prospects
The appeal of specialty rice varieties has been rising among consumers, who view these types of rice—such as brown, red, and black rice—as traditional, safe, and nutritious options. Many consumers are shifting from processed foods to more natural, unprocessed alternatives to enhance their nutrient intake, as these foods are often seen as safer. Unlike white rice, brown rice remains unprocessed and unpolished, which has contributed to its increased demand as a healthier choice.
Additionally, the growing popularity of whole grains has driven higher demand for brown rice. Recently, brown rice’s inclusion on the FDA’s list of approved whole grains has further accelerated market growth. Increasing disposable incomes and greater health awareness among consumers in emerging markets across the Asia-Pacific and Middle East regions are also expected to drive the growth of the brown rice market over the forecast period.
Restrictive Factors Price Fluctuations in Brown Rice Could Influence Market Trends
The price of brown rice is closely tied to that of white rice, and fluctuations in rice prices pose a significant challenge to market growth. As the second most-consumed grain worldwide, rice is a dietary staple for many countries and is primarily produced in Asia and South Asia for global trade. Over the past decade, imports of rice to Europe and North America have surged. However, rice prices are highly sensitive to weather conditions, leading to substantial volatility.
Data from the U.S. Department of Agriculture (USDA) indicates that rice prices rose from USD 413 per metric ton in April 2019 to USD 564 per metric ton in 2020. Such price increases can have a considerable impact on trade and may hinder market expansion. Ongoing investments in innovative rice cultivation techniques aim to reduce the influence of weather on rice production, which would help brown rice producers address these challenges and mitigate market constraints.
Distribution Channel Analysis
Greater Product Accessibility and Purchase Flexibility Drive Sales Growth in Supermarkets and Hypermarkets
The supermarket and hypermarket sector is evolving, with investors focusing on convenience to provide a seamless shopping experience. These outlets offer a wide variety of brown rice options, allowing consumers to easily find products that match their preferences. Supermarkets and hypermarkets frequently offer discounts and promotions, which attract a broader customer base and boost sales.
In Europe, specialty stores are particularly popular as they offer unique and hard-to-find products. The demand for premium items supports growth in these channels. Meanwhile, e-commerce or online retail is experiencing rapid growth, offering a broad selection of products along with home delivery options, which appeal to consumers seeking convenience. Online retail is projected to grow at the highest CAGR over the forecast period, driven by increased internet access and awareness of online food ordering options.
REGIONAL INSIGHTS
Asia Pacific Leading Market Growth Due to Increasing Health Awareness
Asia Pacific is experiencing robust market growth as consumer awareness about the health benefits of brown rice continues to rise. Higher disposable incomes in the region are enabling consumers to spend more on health-oriented products. As rice, including brown rice, is a staple food across many Asia Pacific countries, the market is further supported by shifting lifestyles and a stronger focus on healthier diets.
In Europe, the market is expanding rapidly, largely due to a growing preference for specialty rice varieties and whole grains. This region holds significant growth potential, with increasing demand from health-conscious consumers looking to boost immunity and overall wellness. The demand for organic brown rice is especially strong in countries like Germany, Italy, and Spain, driving market growth across Europe.
In North America, the market is fueled by growing consumer awareness of the product’s health benefits, including its prebiotic qualities and positive impact on gut health.
South America is seeing notable growth due to high levels of rice production and export in countries like Uruguay and Argentina. Additionally, the rising trend toward healthy foods in developing markets like Brazil and Argentina is supporting market expansion, with an increased interest in organic grains expected to drive demand for organic brown rice in the region.
In the Middle East & Africa, while the market is still in its early stages, demand is rising as affluent consumers in Turkey, the UAE, Saudi Arabia, and South Africa become more aware of the health benefits associated with brown rice. The growing influence of Western diets is expected to contribute to market growth in the coming years.
Leading Companies in the Brown Rice Market
Riviana Foods, Inc., a prominent U.S.-based player in the brown rice industry, is focusing on expanding its production capabilities to meet rising consumer demand. In April 2021, the company announced a USD 15 million investment to increase its instant rice production capacity, allowing it to better serve the growing global demand for brown rice products.
Other key players in the global market, including KRBL Limited, LT Foods Limited, Kohinoor Foods Limited, and Kikkoman Corporation, are prioritizing product innovations, mergers and acquisitions, and partnerships to strengthen their market positions. The entry of new competitors is further intensifying market competition, which is expected to support market growth through the forecast period of 2024-2032.
Key Companies Profiled in the Brown Rice Market
Table of Content
Segmentation
Segmentation of the Brown Rice Market Analysis
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