Nut Ingredients Market Size, Share, Growth, and Industry Analysis, By Types (Almonds, Hazelnuts, Pistachio Nuts, Cashews, Macadamia, Walnuts, Others), By Applications Covered (Confectioneries, Dairy Products, Bakery Products, Snacks and Bars, Cereals, Others), Regional Insights and Forecast to 2033

Nut Ingredients Market Size

The Nut Ingredients Market size was USD 16,520.4 million in 2024 and is projected to reach USD 17,495.2 million in 2025, growing to USD 27,674.8 million by 2033, with a CAGR of 5.9% during the forecast period (2025-2033).

The U.S. Nut Ingredients Market is expected to experience significant growth, driven by rising consumer demand for plant-based products and healthy snacks. The market is forecasted to grow at a rate of 5-7%.

The global nut ingredients market is witnessing robust growth, driven by increasing consumer demand for healthy, plant-based ingredients. Almonds, cashews, and hazelnuts dominate the market, contributing significantly to the snack, confectionery, and bakery industries. In 2023, almonds represented 30% of the market share, followed by cashews and pistachios. The market is also seeing expanding applications in dairy products and cereals, with nuts being favored for their nutritional benefits, such as high protein and healthy fats. Regionally, North America holds a significant share, while Asia-Pacific is emerging as the fastest-growing region, driven by health-conscious consumption and rising disposable incomes.

Nut Ingredients Market Trends

The nut ingredients market is experiencing significant shifts due to changing consumer preferences, with a strong focus on health, sustainability, and premium product offerings. Almonds continue to lead the market, accounting for approximately 30% of global nut consumption in 2023, driven by their high demand in snacking, dairy alternatives, and confectionery. Cashews are seeing the highest growth in applications such as snacks and bars, as well as dairy products, with an increasing number of consumers seeking plant-based options. Hazelnuts, widely used in confectionery and bakery products, hold around 20% of the market share, with the demand fueled by the popularity of hazelnut-flavored chocolate spreads. Other nuts, including macadamia and walnuts, are gaining traction in premium food products due to their rich taste and health benefits, including heart-healthy fats and antioxidants. The snacks and bars segment remains a leading application, capturing nearly 25% of the market share in 2023, followed by bakery products at 22%. Consumer trends towards healthier, on-the-go snacking options are driving the inclusion of nut ingredients in energy bars, granola, and packaged nuts. Additionally, the rising adoption of plant-based diets is expanding the use of nut-based dairy alternatives, with almond milk and cashew cheese products seeing increased market penetration.

Nut Ingredients Market Dynamics

Drivers of Market Growth

"Increasing Demand for Healthy Snacks"

The growing consumer preference for nutritious, convenient snack options is a significant driver for the nut ingredients market. In 2023, the snacks and bars segment represented around 25% of the global market share. Consumers are increasingly seeking snacks that provide health benefits, such as protein, fiber, and healthy fats, and nuts fit these criteria perfectly. Almonds, cashews, and pistachios, rich in healthy monounsaturated fats, are particularly favored for use in snack bars, energy bites, and as standalone snack items. As a result, the demand for nuts in the snack industry is anticipated to continue rising. The increased awareness of the health benefits of nuts, including their role in heart health and weight management, is expected to drive the market further, especially in developed regions like North America and Europe, where health-conscious eating habits are more prevalent.

Market Restraints

"Volatile Nut Prices Due to Climatic Conditions"

A major restraint impacting the nut ingredients market is the volatility of nut prices, primarily due to unpredictable climatic conditions and supply chain disruptions. In 2023, global almond prices saw fluctuations, with significant increases due to drought conditions in California, which accounts for approximately 80% of global almond production. Similarly, hazelnut production in Turkey, the world's largest producer, faced setbacks due to severe weather, leading to a rise in hazelnut prices by 10%. These price fluctuations can limit the profitability for manufacturers, particularly those in the snack and confectionery industries that rely on stable ingredient costs. Moreover, inconsistent availability of key nuts affects manufacturers' ability to maintain production levels and meet market demand, further compounding the market's challenges.

Market Opportunities

"Growing Demand for Plant-Based Products"

As plant-based diets gain traction globally, the demand for nut-based products is expected to rise. Nuts like almonds and cashews are increasingly used as alternatives to dairy in products such as plant-based milks, cheeses, and spreads. Almond milk, for example, accounted for over 10% of the total plant-based milk market in 2023, with growing interest in lactose-free, vegan-friendly options. This shift is driven by rising consumer awareness of the environmental impact of animal-based dairy products, coupled with health-conscious trends. The growing popularity of nut-based dairy alternatives presents a lucrative opportunity for nut ingredient manufacturers to expand their product offerings, tapping into the vegan and dairy-free consumer segments. Additionally, innovations in nut-based protein powders and snacks cater to the increasing demand for plant-based protein, positioning nuts as an essential ingredient in the growing plant-based market.

Market Challenges

"Nut Allergies Limiting Market Reach"

Despite their health benefits, nut allergies represent a significant challenge for the growth of the nut ingredients market. Nut allergies, particularly to peanuts, cashews, and almonds, affect a substantial portion of the global population, especially in Western countries. In 2023, nearly 2% of the U.S. population was affected by tree nut allergies, limiting the potential consumer base for nut-based products. While demand for nuts in food and snacks continues to rise, manufacturers must navigate the complex issue of allergen-free labeling and production processes. Some companies are responding to this challenge by creating allergen-free or nut-free alternatives, but these products may not fully capitalize on the nutritional advantages offered by traditional nut-based ingredients. The prevalence of allergies, along with regulatory scrutiny and the need for allergen management in production, continues to pose challenges for market players.

Segmentation Analysis

The nut ingredients market is primarily segmented by type and application, with distinct trends observed across various categories. By type, almonds, cashews, and hazelnuts hold the largest market shares due to their wide range of uses in both consumer products and the food industry. Almonds, in particular, dominate the global market, followed by cashews and pistachios. These nuts are increasingly used in snack foods, bakery products, and health-conscious food applications. Hazelnuts and macadamia nuts are gaining traction in the confectionery and bakery sectors, while walnuts and others like pecans are more commonly seen in premium or niche products. By application, the largest share is held by snacks and bars, where nuts provide both taste and nutritional benefits. Confectioneries, bakery products, and dairy products also contribute significantly to demand, particularly as consumers seek healthier options. Regional differences also play a role, with the demand for different nut types varying based on local preferences, health trends, and dietary habits.

By Type

• Almonds: Almonds dominate the nut ingredients market, accounting for approximately 30% of global consumption in 2023. Their popularity is driven by their versatility and health benefits, such as being rich in vitamins, fiber, and healthy fats. Almonds are commonly used in snacks, dairy alternatives like almond milk, and confectioneries. Almonds are also incorporated into baked goods and energy bars, offering a combination of taste and nutrition. As consumer demand for plant-based diets rises, almonds are particularly favored in dairy-free products, contributing to their steady market growth. In the U.S. and Europe, almonds are among the most widely consumed nuts, reinforcing their dominant market position.

• Hazelnuts: Hazelnuts hold a significant portion of the nut ingredients market, accounting for around 20% of global demand in 2023. Their use is especially prevalent in confectioneries, such as chocolate spreads, pralines, and chocolate bars. Hazelnuts are also gaining traction in the bakery segment, where they are used in cakes, cookies, and pastries. The popularity of hazelnut-flavored spreads, notably in products like Nutella, drives a large portion of hazelnut consumption globally. The demand for hazelnuts continues to grow, particularly in Europe, where they are traditionally incorporated into both snacks and desserts. The consistency of their flavor and texture makes them a favorite in the food industry.

• Pistachios: Pistachios are experiencing a rise in demand, with the market for pistachio-based ingredients increasing by about 10% annually. In 2023, pistachios accounted for around 15% of the nut ingredients market. They are commonly used in snack foods, including roasted pistachios, as well as in baking and confectioneries. Pistachios are also gaining popularity as a healthy snack option, given their high protein and fiber content. Additionally, pistachio-based ice cream and confectionery items have contributed to the growth of this nut in the food industry. With increasing consumer preference for health-conscious snacks, pistachios are expected to continue growing in both the retail and foodservice sectors.

• Cashews; Cashews are another key player in the nut ingredients market, with a market share of approximately 18% in 2023. Cashews are widely used in snack mixes, energy bars, and as a key ingredient in plant-based dairy alternatives like cashew milk and cashew cheese. The demand for cashews in the snack segment continues to rise, driven by their mild flavor, creamy texture, and high nutrient content. Cashews are also a common ingredient in premium confectionery, such as chocolate-covered nuts and gourmet snacks. The growing interest in vegan and lactose-free products is expected to propel further demand for cashews, especially in dairy-free product formulations.

• Macadamia; Macadamia nuts hold a smaller but growing share in the market, accounting for about 5% of total nut ingredient consumption. Known for their rich, buttery flavor, macadamias are often used in premium confectionery, bakery products, and gourmet snacks. In 2023, macadamia nuts were increasingly incorporated into high-end chocolates, cookies, and energy bars. Their high fat content and smooth texture make them a popular choice for luxury products. Although their higher cost limits their widespread use, the increasing demand for premium and specialty foods is likely to support macadamia nut growth in the coming years.

• Walnuts; Walnuts account for approximately 8% of the global nut ingredients market in 2023. Walnuts are predominantly used in bakery products, such as cakes, muffins, and cookies, as well as in snack mixes and granola bars. Their high omega-3 content and associated health benefits have made them popular in health-conscious food products. Walnuts are also gaining traction in dairy alternatives, smoothies, and protein bars. North America and Europe remain the primary markets for walnuts, with their use being particularly popular in traditional European pastries and cakes.

• Others; The "Others" category includes nuts such as macadamia, pecans, pine nuts, and Brazil nuts, which represent around 10% of the market. These nuts are primarily used in premium, niche products. Macadamia nuts are utilized in high-end confectioneries and snacks, while Brazil nuts are popular in mixed nuts and health food products. Other lesser-known nuts also find applications in specialty gourmet foods, oils, and butters. The diversity in these nuts' applications means they serve a niche but lucrative market segment, especially in regions where consumers seek gourmet or exotic food options.

By Application

• Confectioneries: The confectionery industry remains the largest application segment for nut ingredients, accounting for over 30% of global demand in 2023. Nuts like hazelnuts, almonds, and cashews are commonly used in chocolate bars, pralines, and other confectionery products. Hazelnuts, in particular, are crucial in the production of popular chocolate spreads, such as Nutella, which has contributed significantly to the growth of the nut ingredients market. The growing demand for premium chocolate products, especially those with higher cocoa content, is driving the consumption of nuts in this sector. As consumers look for healthier alternatives, nuts are also increasingly being incorporated into organic and sugar-free confectioneries.

• Dairy Products: Nuts are gaining popularity in dairy product formulations, especially in dairy-free alternatives. Almond milk, cashew cheese, and walnut-based products are becoming mainstream, with almond milk representing over 10% of the plant-based milk market in 2023. The demand for plant-based dairy products has risen significantly due to the growing popularity of vegan, lactose-free, and dairy-free diets. As more consumers turn to plant-based alternatives, the use of nuts in the dairy sector continues to grow. In 2023, cashews and almonds led this application, with continued expansion expected as plant-based food products proliferate.

• Bakery Products: The bakery industry is another major consumer of nut ingredients, accounting for around 22% of the market share in 2023. Nuts like almonds, hazelnuts, and walnuts are commonly used in cakes, cookies, pastries, and breads. The rising trend of healthier bakery options is fueling demand for nuts, as consumers seek products that provide added nutritional value. Nuts are incorporated not only for their taste and texture but also for their health benefits, such as antioxidants, healthy fats, and fiber. The growing popularity of gluten-free and organic baked goods is also driving the demand for nut-based ingredients in this sector.

• Snacks and Bars: The snacks and bars segment remains a strong driver for the nut ingredients market, representing approximately 25% of global consumption in 2023. Nuts such as almonds, cashews, and pistachios are commonly used in snack bars, trail mixes, and roasted nut snacks. The rise in health-conscious snacking, with a focus on protein-rich, low-sugar, and gluten-free options, has bolstered the use of nuts in this segment. As consumers continue to prioritize convenience and nutrition, the demand for nut-based snacks and bars is expected to remain robust, particularly in North America and Europe, where healthier snack choices are in high demand.

• Cereals: Nuts are also widely used in breakfast cereals, granola, and muesli, accounting for about 10% of the global market share in 2023. Nuts such as almonds, cashews, and walnuts are incorporated into these products to enhance flavor, texture, and nutritional value. The increasing consumer interest in high-protein, fiber-rich cereals that promote a healthy lifestyle is driving the demand for nut ingredients in this application. Additionally, the rise of clean-label products, which emphasize natural ingredients without additives or preservatives, is contributing to the growing use of nuts in cereals.

Regional Outlook

The global nut ingredients market is experiencing diverse trends across regions, driven by varying consumer preferences, economic growth, and dietary habits. North America and Europe are leading the market, owing to strong demand for health-conscious and plant-based food options. Meanwhile, Asia-Pacific is emerging as the fastest-growing region due to increasing urbanization, disposable incomes, and a growing preference for healthy snacks and plant-based diets. The Middle East & Africa are also seeing rising demand, especially in confectionery and snack applications. As regional preferences shift towards healthier and premium food products, the nut ingredients market is poised for sustained growth across these regions.

North America

North America remains the largest market for nut ingredients, representing approximately 35% of global demand in 2023. The U.S. dominates this region, where almonds and cashews are particularly popular, accounting for a significant share of the snack and confectionery industries. Almonds are the most consumed nut in North America, widely used in snacks, dairy alternatives, and bakery products. The growing trend towards plant-based diets and the rising consumption of healthier snacks have bolstered demand for nut-based products. Additionally, the increasing number of vegan, gluten-free, and organic food offerings further enhances the market for nut ingredients in the region.

Europe

Europe holds a major share of the nut ingredients market, contributing around 33% of global consumption in 2023. Countries like Germany, France, and the UK are significant consumers of hazelnuts and almonds, particularly in confectioneries and baked goods. Hazelnuts, in particular, are key to the European chocolate market, where they are widely used in popular products like pralines and chocolate spreads. The demand for organic and sustainably sourced nuts is also increasing, particularly among health-conscious consumers. Additionally, plant-based and dairy-free trends are driving growth in the use of nuts for dairy alternatives, such as almond milk and cashew cheese.

Asia-Pacific

Asia-Pacific is the fastest-growing region for the nut ingredients market, with countries like China, India, and Japan driving demand. In 2023, the region accounted for around 20% of global market share. Rising disposable incomes and urbanization have led to greater consumption of premium food products, including nuts. Almonds, cashews, and pistachios are gaining popularity in snacks and confectioneries, while walnuts and macadamia nuts are finding niche applications in gourmet products. The growing interest in healthy eating, coupled with increasing demand for plant-based foods, is expected to propel further growth in the nut ingredients market in Asia-Pacific.

Middle East & Africa

The Middle East & Africa region represents about 5% of the global nut ingredients market in 2023. However, this region is witnessing growth in demand, especially in countries like Saudi Arabia, the UAE, and South Africa. The Middle East has a strong tradition of using nuts in snacks, sweets, and savory dishes. Almonds, pistachios, and cashews are commonly consumed in the form of snacks or mixed into traditional dishes. The demand for packaged snacks and confectionery is rising, driven by urbanization, increasing disposable income, and a growing middle class. Additionally, the popularity of nuts in health-conscious and premium food products is further contributing to the market's expansion.

Key Companies Profiled in the Nut Ingredients Market

• Olam International

• ADM (Archer Daniels Midland Company)

• Barry Callebaut

• Borges

• Voicevale

• Kanegrade

• American Nuts

• MAKIN NUT

• Petrow Food

• Besana

Top Two Companies With the Highest Market Share

• Olam International: Olam International holds the largest market share in the nut ingredients market, accounting for approximately 18% of global market share in 2023. The company is a key supplier of a wide range of nuts, including almonds, cashews, and hazelnuts.

• ADM (Archer Daniels Midland Company): ADM is another major player, with a market share of around 15%. The company is a leading supplier of nut-based ingredients, particularly in the food processing, snack, and confectionery industries.

Investment Analysis and Opportunities

The nut ingredients market offers substantial investment opportunities driven by shifting consumer preferences toward healthy, plant-based foods. In 2023, the global nut ingredients market was valued at approximately USD 22 billion, with almonds, cashews, and pistachios representing the largest segments. The increasing adoption of nuts in dairy alternatives, snacks, and confectioneries presents opportunities for businesses to capitalize on expanding consumer demand. For instance, almond-based products like almond milk have gained traction in the dairy-free market, which has witnessed growth of over 20% in the past few years. The snacks and bars sector, in particular, is seeing an influx of new entrants due to the demand for convenient, protein-packed, and nutritious on-the-go options. Investors are also eyeing opportunities in the organic and sustainable sourcing of nuts, driven by consumer preferences for natural and ethically produced ingredients. Macadamia nuts, due to their high-end appeal and premium positioning, also present lucrative investment avenues in the gourmet and health-focused food markets. In addition, Asia-Pacific, with its growing middle class and demand for health-conscious snacks, offers exciting growth prospects, expected to contribute significantly to the global nut ingredients market share by 2033. Companies focusing on technological advancements in nut processing to enhance shelf life, flavor, and nutritional profile will also likely attract significant investment.

New Product Development

The nut ingredients market is experiencing continuous innovation, with companies introducing new products that cater to evolving consumer needs. In 2023, Olam International launched a new range of organic almond products, tapping into the rising consumer demand for clean-label, sustainably sourced ingredients. These new offerings cater to the growing market for organic and non-GMO food products, which saw a 10% increase in consumer demand in the last year. Cashew nuts have also become a focal point for product innovation, with new product lines such as cashew-based cheese alternatives and dairy-free cashew butter gaining popularity. Barry Callebaut, a leader in the chocolate industry, has introduced chocolate bars containing pistachios, targeting consumers seeking premium and healthy snack options. Additionally, the development of nut-based protein powders, which are becoming a preferred ingredient in plant-based nutrition products, has expanded the application of nuts beyond traditional food products. In 2024, American Nuts launched a line of macadamia-based energy bars, capitalizing on the growing demand for functional foods that provide energy and health benefits. Companies are also focusing on creating products that combine nuts with other superfoods, such as chia and quinoa, to enhance their nutritional profiles and cater to the rising interest in superfood snacks. The constant stream of new product developments in the nut ingredients market indicates strong consumer interest and ongoing innovation, positioning the sector for future growth.

Recent Developments by Manufacturers in the Nut Ingredients Market

• Olam International Expansion: In 2023, Olam International expanded its almond processing capabilities in California to meet the rising demand for healthy snacks and plant-based dairy alternatives. This move is expected to increase production capacity by 15%.

• ADM Product Launch: ADM introduced a new range of nut-based protein powders in 2023, targeting the growing plant-based nutrition market. These protein powders, derived from almonds and cashews, cater to the fitness and health-conscious consumer.

• Barry Callebaut Innovation: Barry Callebaut developed a line of pistachio-infused chocolate bars in 2024, tapping into the premium chocolate market. The launch was driven by consumer demand for unique, healthy snack options.

• Borges Sustainability Commitment: Borges, in 2023, announced a partnership with sustainable farming initiatives to enhance the traceability and environmental impact of its hazelnut supply chain, aiming for a 25% reduction in carbon footprint over the next five years.

• American Nuts New Launch: In 2023, American Nuts launched a new product line of macadamia-based snacks and bars, capitalizing on the growing consumer preference for high-protein, low-carb, and gourmet snack options.

Report Coverage

The report on the nut ingredients market offers a comprehensive analysis of key market dynamics, including growth drivers, trends, and regional insights. It provides an in-depth look at the various types of nuts—almonds, hazelnuts, pistachios, cashews, macadamia, and walnuts—and their applications in industries such as confectioneries, dairy products, bakery goods, snacks and bars, and cereals. In 2023, almonds and cashews led the market, accounting for nearly 60% of total consumption, primarily due to their versatile use in snacks, dairy alternatives, and confectioneries. The snacks and bars segment continues to dominate in terms of consumption, making up approximately 25% of global market share, followed closely by bakery products. North America remains the largest consumer of nut ingredients, driven by the popularity of almonds and cashews in snacks, energy bars, and dairy alternatives. Europe holds a significant market share, with hazelnuts leading the confectionery industry, especially in chocolate products. The Asia-Pacific region is expected to witness the fastest growth due to rising health consciousness and an increasing demand for nuts in both snacks and dairy alternatives. This report also highlights emerging trends, such as the rising demand for organic and sustainably sourced nuts, which are reshaping consumer purchasing behavior in several regions.