Coconut Water Market: Current Analysis and Forecast (2022-2028)

Coconut Water is defined as the clear liquid present inside the coconut. This water is healthy and helps maintain body balance and keep the body hydrated in comparison to other soft drinks. Additionally, the properties of coconut water such as preventing kidney stones, helping lower blood sugar for people living with diabetes, being beneficial after prolonged exercise, and many others are increasing its demand in the market. In recent years, coconut water is becoming increasingly popular as it has been a go-to drink for health-conscious individuals and athletes. Coconut water also has anti-inflammatory properties which can reduce muscle soreness after intense exercise.

The Coconut Water Market is expected to grow at a skyrocketing rate of around 16% owing to the increasing demand for natural products coupled with the rising demand for functional beverages. Major companies in the market offer coconut water with gluten-free and non-GMO (genetically modified organisms) features. For instance, in Jun 2022, Vita Coco introduced coconut juice, its biggest and boldest coconut water. They are present in two bold flavors: Original with Pulp and Mango with a sweet, unexpected taste that demands one more sip.

Based on form, the market is segmented into liquid and powder. The liquid category is expected to grow with a significant CAGR during the forecast period. This is owing to the factor contributing to the growth of the liquid form of coconut water is its health benefits. Coconut water is low in calories and high in essential nutrients such as potassium, magnesium, and calcium, making it a healthy and natural alternative to sugary drinks. In recent years, there has also been an increase in the popularity of coconut water-based products, such as smoothies and sports drinks, which has further driven the growth of the liquid form of coconut water. Overall, the convenience, health benefits, and versatility of liquid coconut water have contributed to its increasing popularity in the beverage market.

On the basis of packaging type, the market is categorized into tetra pack & cans and plastic bottle. Among these, the tetra pack & cans are expected to grow with a significant CAGR during the forecast period. This is mainly due easy convenience, lightweight and ease to transport, protection from contamination, and preserving the quality of the product. Sustainability as tetra pak and cans are recyclable materials, which makes them an attractive option for environmentally conscious consumers. In addition, many consumers prefer Tetra Pak and cans as packaging options for coconut water because they are familiar with them and find them easy to use.

Based on distribution channel, the coconut water market has been classified into supermarkets & hypermarkets, convenience stores, and online retail stores. The convenience stores distribution channel is expected to grow with a significant CAGR during the forecast period. Because convenience stores are popular places to find coconut water, particularly for consumers who are on the go and looking for a quick and convenient way to stay hydrated. Many convenience stores carry single-serving sizes of coconut water, which makes them a popular choice for consumers who are looking for a healthy alternative to sugary drinks.

For a better understanding of the market adoption of the coconut water industry, the market is analyzed based on its worldwide presence in the countries such as North America (U.S., Canada, Rest of North America), Europe (Germany, U.K., France, Spain, Italy, Rest of Europe), Asia-Pacific (China, India, Japan, Rest of Asia-Pacific), Rest of World. North America is anticipated to grow at a substantial CAGR during the forecast period. This is mainly due to the increasing demand for this natural and healthy beverage, the availability and diversification of product offerings, and the rising popularity of plant-based and vegan diets. Moreover, many major grocery stores, health food stores, and online retailers now stocking it. This increased availability has made it easier for consumers to try coconut water and has contributed to its growing popularity in the region. Also, major players in the market are launching new products in the market to provide better taste and health benefits. For instance, in Jun 2022, Del Monte launched India's First Packaged King Coconut Water. King Coconut water is renowned for its superior health and taste benefits.

Some of the major players operating in the market include: Harmless Harvest; Celebes Coconut Corporation; Naked Juice Company; THE VITA COCO COMPANY, INC.; Amy and Brian Naturals; Edward & Sons Trading Co.; Taste Nirvana International; Goya Foods, Inc.; GraceKennedy Group; and Bai.