U.S. Fruit And Vegetables Market Summary
The U.S. fruits and vegetables market size was valued at USD 96.26 billion in 2023 and is anticipated to expand at a compound annual growth rate (CAGR) of 4.1% from 2024 to 2030. Consumers are increasingly seeking fresh and exotic fruits and vegetables to support a healthy lifestyle as they devote more resources toward health and wellness. Among them, millennials represent the largest consumer base for fruits and vegetables in the U.S., primarily due to their strong digital presence and openness to experimenting with healthier diets. Online retailers are actively targeting this demographic by offering attractive deals such as large discounts and cashback offers. With millennials’ preference for convenient snacking options and their cost-conscious behavior, online stores have emerged as an appealing and practical alternative for purchasing fresh produce.
The rising acceptance of online grocery shopping and home delivery services has become a major growth driver for the fruits and vegetables sector. Additionally, the increasing demand for meal kit delivery services has provided another boost to the industry. These meal kits, often customized to meet individual dietary preferences, include a wide variety of fruits and vegetables, making them particularly appealing to health-conscious consumers. Such services are popular not only among millennials but also among Generation X and individuals with busy lifestyles who prefer quick and nutritious meals without the effort of elaborate cooking. Furthermore, rising health awareness, higher disposable incomes, and growing interest in locally-sourced produce are significantly fueling demand across the U.S. fruits and vegetables industry.
Key Market Trends & Insights
- The fresh fruits and vegetables segment held the largest share of 80.82% in 2023, underscoring its dominance in the market. The coronavirus pandemic had a noticeable impact on consumption trends, as the availability of produce was challenged by transportation and logistical constraints. Despite these supply chain disruptions, the demand for fresh fruits and vegetables remained high as consumers increasingly prioritized immune-boosting and nutrient-rich food options to maintain health during the crisis.
- Supermarkets and hypermarkets represented the leading distribution channel with over 58% share in 2023. While consumers shifted toward online shopping, delivery, and curbside pickup services during the pandemic, physical retail outlets continued to attract a significant portion of shoppers due to their convenience, product variety, and immediate availability of goods. This hybrid shift in consumer purchasing behavior has reshaped how both retailers and suppliers approach the distribution of fruits and vegetables.
- Regionally, the Southeast U.S. dominated the market with nearly 30% share in 2023. The region benefits from a favorable subtropical and humid climate, combined with fertile soil, flat terrain, and extended growing seasons, all of which are ideal for cultivation. According to a 2022 MDPI study on the U.S. fresh fruits and vegetables market, California in the western U.S. and Florida remain the two largest producing states, accounting for more than half of the total fruit and vegetable farms in the country.
- The Southwest U.S. is expected to record the highest CAGR of 5.7% during the forecast period. This region has become a hub for the cultivation of root vegetables such as turnips, carrots, leeks, parsnips, potatoes, radishes, and sweet potatoes. Favorable agro-climatic conditions, along with increasing demand for locally produced root vegetables, are supporting this accelerated growth trajectory.
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Market Size & Forecast
- 2023 Market Size: USD 96.26 billion
- 2030 Projected Market Size: USD 127.61 billion
- CAGR (2024 - 2030): 4.1%
Key Companies & Market Share Insights
The U.S. fruits & vegetables market is characterized by the presence of a few well-established players such as Nestlé, Dole Food Company, Inc., Fresh Del Monte Produce, Inc., Sunkist Growers Inc., Chiquita Brands International Inc., General Mills Inc., Fresh Pro, Sysco Corporation, Tanimura & Antle Fresh Foods, Inc., and C.H. Robinson Worldwide Inc. Key players operating in the market are adopting various steps to increase their presence in the market. These steps include strategies such as partnerships, mergers & acquisitions, global expansion, and others.
Key Players
- Nestlé
- Dole Food Company, Inc.
- Fresh Del Monte Produce, Inc.
- Sunkist Growers, Inc.
- Chiquita Brands International, Inc.
- General Mills Inc.
- Fresh Pro
- Sysco Corporation
- Tanimura & Antle Fresh Foods, Inc.
- C.H. Robinson Worldwide, Inc.
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Conclusion
The U.S. fruits and vegetables market is poised for consistent growth, driven by shifting consumer preferences toward healthier diets, rising demand for fresh produce, and the expansion of online grocery and meal kit services. Millennials and younger demographics are expected to remain key drivers due to their digital engagement and focus on convenience. Regional diversity in cultivation ensures a steady supply of varied produce, while innovations in delivery and retail channels enhance accessibility. With health consciousness on the rise and strong agricultural foundations in states like California and Florida, the market outlook remains positive and resilient through 2030.