Food Contract Manufacturing and Services Market | Forecast Shows Booming $302.81B Value by 2032

Food Contract Manufacturing & Services Market to Surpass $302.8 by 2032 | Global Forecast 2025–2032

AUSTIN, TX, UNITED STATES, July 23, 2025 /EINPresswire.com/ -- Global Food Contract Manufacturing & Services Market Witnesses Robust Growth Amid Rising Demand for Efficiency and Innovation

Market Size

In 2024, the Food Contract Manufacturing and Services Market was estimated at around US$ 138.22 Billion and is anticipated to grow to US$ 302.81 Billion by 2032, reflecting a CAGR of 10.3% over the forecast period from 2025 to 2032.

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Latest Key Developments:

In 2025, Arla Foods Ingredients entered into a contract manufacturing partnership with Valley Queen, enhancing its capacity to meet the rising U.S. demand for protein-fortified dairy products. Nutrilac ProteinBoost is set to begin production at Valley Queen’s facility in Milbank, South Dakota during the winter of 2025/2026, once the necessary specialized equipment has been installed.

In 2024, Lassonde Industries Inc. acquired Summer Garden Food Manufacturing for US$235 million. Based in Boardman, Ohio, Summer Garden is known for producing premium sauces and condiments under popular brands like Gia Russa, Little Italy in the Bronx, and G Hughes. The acquisition supports Lassonde’s strategy to diversify its offerings and expand its footprint in the high-acid, shelf-stable food segment, responding to growing consumer interest in premium food products.

Market Drivers and Opportunities

Key factors fueling market growth include:

Outsourcing for Flexibility & Focus: Food brands are outsourcing production to focus on core competencies such as branding and innovation while scaling faster.

Surging Demand for Functional & Health Foods: The rise in health-conscious consumers is increasing demand for nutritional and organic products, opening up new opportunities for contract manufacturers.

Cost-Efficient Manufacturing & Technology Access: Contract manufacturers offer advanced capabilities, including automation, robotics, and cleanroom technology, without large capital investment from the client.

Customization & Rapid Product Development: Companies seek quick turnarounds and customization across flavors, packaging, and formulations—benefits provided efficiently by contract manufacturing partners.

Geographical Market Share

North America holds a major share due to a well-established food processing industry, high labor costs driving outsourcing, and increased demand for organic and plant-based products.

Europe follows closely, driven by strict food safety regulations and growing demand for premium and private-label products.

Asia-Pacific is emerging as the fastest-growing region, supported by a booming middle class, changing diets, and expanding contract manufacturing infrastructure in countries like China, India, and Southeast Asia.

Key Players

Leading companies in the Food Contract Manufacturing & Services Market include:

Pacmoore Products Inc
Hindustan Foods Limited
Thrive Foods LLC
Nikken Foods. Co.,ltd.
LiDestri Foods
Protenergy
Berner Food & Beverage, LLC
SK Food Group
HACO AG
Christy Quality Foods

Market Segments:

By Nature of Product: Low-Acid Foods, High-Acid Foods

By Service Type: Manufacturing Services, Product Development and Formulation, Labeling and Branding Support, Supply Chain and Logistics Support, Quality Testing and Regulatory Compliance Support

By Packaging: Bottles , Cans, Pouches, Jars, Cartons

By Region: North America, US, Canada, Mexico, Europe, Germany, UK, France, Italy, Spain, Rest of Europe, South America, Brazil, Argentina, Rest of South America, Asia-Pacific, China, India, Japan, Australia, Rest of Asia-Pacific, Middle East and Africa

Recent Global Developments

United States

March 2025: A major U.S. contract manufacturer launched a new allergen-free food production facility in Ohio, catering to the surging demand for gluten-free, nut-free, and vegan foods.

October 2024: A leading protein bar manufacturer signed a multi-year contract with a national retailer, expanding its contract production of private-label nutrition bars.

Japan

June 2025: A Japanese food contract manufacturer partnered with a biotech startup to produce fortified foods enriched with personalized probiotics and functional plant-based ingredients.

December 2024: Japan's Ministry of Agriculture, Forestry and Fisheries introduced incentives to promote contract manufacturing adoption in rural areas to boost local food processing and exports.

Conclusion

The Food Contract Manufacturing & Services Market is evolving rapidly, enabling food brands to stay competitive, reduce time-to-market, and adapt to consumer trends. With growing investments, technological innovation, and increasing outsourcing across the global food sector, the market is set to thrive in the coming years.

Recent Experts Researched Reports

Food Contract Manufacturing Market Size

AI in Food Contract Manufacturing Market

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Sai Kiran
DataM Intelligence 4Market Research LLP
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sai.k@datamintelligence.com
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