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The global upcycled food products market was valued at USD 38.95 billion in 2024 and is projected to grow from USD 41.71 billion in 2025 to USD 68.56 billion by 2032, exhibiting a compound annual growth rate (CAGR) of 7.36% during the forecast period.

North America led the global market in 2024, capturing a 55.84% share of total revenue.

Upcycled food products are created from by-products, surplus ingredients, and food scraps that would otherwise be discarded. Common examples include fruit peels, vegetable skins, and spent grains, which are transformed into nutritious, value-added foods that help minimize food waste.

Increasing consumer awareness around sustainability, circular economy practices, and responsible consumption has fueled significant demand for such products, particularly in North America.

Since its establishment in 2019, the Upcycled Food Association in the U.S. has played a pivotal role in this movement—by August 2022, it had certified 236 upcycled products across the U.S. and Canada. Examples include crackers made from brewers’ spent grains and pasta made from surplus squash.

Ongoing technological innovation, advances in upcycling processes, and a growing global shift toward sustainable consumption continue to accelerate market expansion. Key players driving this growth include Renewal Mill, Planetarians, Upcycled Foods Inc., and Matriark Foods.

Information Source: https://www.fortunebusinessinsights.com/upcycled-food-products-market-113710

Market Dynamics

Drivers – Food Waste Reduction as a Core Growth Catalyst

Food waste has emerged as a critical global challenge, with nearly one-third of all produced food lost or wasted annually. This not only intensifies environmental issues, such as greenhouse gas emissions, but also contributes to global food insecurity.

As both consumers and manufacturers prioritize sustainability and resource efficiency, the adoption of upcycled food products has become a key strategy for addressing waste and promoting a circular food system.

Restraints – Limited Awareness and Raw Material Supply Constraints

Despite growing traction, market expansion is hindered by low consumer awareness and inconsistent supply of raw materials. Many potential customers remain unfamiliar with the concept of upcycled foods or perceive them as less appealing than conventional alternatives. Ensuring consistent sourcing and educating consumers about the benefits of upcycled foods are essential for wider adoption.

Market Trends

1. Growing Importance of Upcycled Certification

Certification programs are gaining momentum as consumers seek eco-friendly, transparent, and verified sustainable products. The Upcycled Certified™ program has become one of the fastest-growing food certifications, providing credibility and fostering trust among buyers.

For instance, Where Food Comes From Inc. reported 568 certified upcycled products in 2024, marking a 17% year-over-year increase from 2023.

2. Impact of Tariffs on Market Performance

In April 2025, the U.S. government proposed potential tariffs on imported upcycled ingredients and products. As the U.S. is a major consumer market, such tariffs could raise product costs, disrupt supply chains, and reduce affordability for consumers. Although the plan remains under review, its potential implementation could significantly affect global trade dynamics and market growth.