The global potato processing industry is witnessing increased investments from established and new-entrants driven by robust growth potential. According to an in-depth report by USD Analytics, the global potato processing market is valued at $38.9 Billion in 2024 and is forecast to register a growth rate (CAGR) of 6.1% between 2024 and 2032 to reach $62.5 billion by end of the forecast period.
Increased demand from organic and low-calorie processed potato products is encouraging investments in plant expansions in developed and developing countries. In particular, the rapid expansion of Quick-Service Restaurants (QSRs) in Asia Pacific and LATAM markets is driving new product launches. In addition, advancements in technologies including ultrasound processing, pulsed electric field processing, microwave and radiofrequency processing are driving the market growth. The adoption of vacuum frying, infrared drying, and automated peeling systems ensures superior quality control and reduced waste during production.
With global potato production exceeding 370 million Tonnes, potato processing industry presents significant opportunities for industry stakeholders. In addition to extending support for producers, the value-added products cater to the demand of cultural preferences for snacking and convenience foods.
According to Dakshayani Ram, senior research analyst at USD Analytics, “Frozen potatoes continue to hold a dominant revenue share in the global potato processing market, accounting for 42.3% of the market share in 2024. Their sustained popularity is driven by their extensive use in quick-service restaurants (QSRs), rising demand for convenient meal options, and increasing penetration in retail and e-commerce channels. Innovations in freezing technologies and the growing global fast-food culture bolstered their position as the preferred processed potato product category over the next decade.”
In particular, the rapidly expanding QSRs are highly reliant on frozen potato products such as French fries. Further, the ongoing sales of frozen potato products in online and offline distribution channels for residential consumers is encouraging potato processing plants offering frozen products. The convenience of processed frozen potatoes coupled with new product launches in diverse flavors and varieties remains the key long-term market driver.
Potato processing plants producing Ready-to-cook products offer strong growth prospects for companies. The Ready-to-Cook (RTC) segment represents a promising avenue for market expansion, accounting for 46.9% of global demand in 2024. As consumers increasingly prioritize convenience, RTC products—such as instant mashed potatoes, potato-based soups, and pre-cut fries—are witnessing robust demand across global markets. Strategic investments in production capacity coupled with consumer-focused innovations remain critical success factors in the industry.
As potato consumption shifts from fresh potatoes as food to value-added, processed food products, factory-made french fries, potato crisps, Dehydrated potato flakes, and others are gaining steady demand growth. With steady urbanization growth rates in emerging countries, convenient, ready-to-cook, and processed potato products is robust in China, India, South East Asia, East Africa, Brazil, and other markets.
The non-food applications of potato derivatives a niche and highly potential growth sector for potato processing companies. In textiles, potato starch serves as an eco-friendly alternative for sizing and finishing and in the pharmaceuticals sector, potato derivatives are widely used as tablet binders and disintegrants. Fuel-grade ethanol and animal feed industries also present significant growth prospects for potato processing equipment and service providers.
Potato starch, in particular, is widely marketed in bioplastics, textiles, pharmaceuticals, adhesives, and construction materials. According to the European Bioplastics Association, the global production capacity for bioplastics is expected to reach 6.3 million tonnes by 2027, with potato starch contributing significantly to this growth due to its renewable and biodegradable properties. The US Department of Agriculture (USDA) also supports starch-based innovations by allocating research grants for bio-based product development under its BioPreferred Program.
The U.S. remains a pivotal player in the global potato processing market, driven by its established agricultural infrastructure, innovative food processing technologies, and high consumer demand for convenience foods. In 2024, the U.S. accounted for 17.5% of the global potato processing market, and the sector is projected to grow at a steady CAGR of 5.7% through 2032.
Despite increasing health awareness and a shift toward alternative snacks, the demand for processed potato products remains robust. Key drivers include the popularity of quick-service restaurants (QSRs), widespread availability of frozen and ready-to-cook potato products, and a strong retail and e-commerce presence. Notably, frozen French fries and potato-based snacks continue to dominate the market, fueled by consumer preferences for convenience and taste.
The global potato processing market is fragmented with the presence of large number of small and medium-scale companies. Intense competitive conditions in the market force companies to prioritize their investments in niche segments. Key companies operating in the industry include- Lamb Weston Holdings, Inc., McCain Foods Limited, The Kraft Heinz Company, J.R. Simplot Company, Idahoan Foods, LLC, Agristo NV, Farm Frites International B.V., Aviko B.V., AGRANA Beteiligungs-AG, Burts Potato Chips Ltd., Intersnack Group GmbH & Co. KG, J.R. Short Milling Company, The Little Potato Company Ltd., HyFun Foods, Cavendish Farms, and others. Diversification of product portfolios, Sustainability initiatives including eco-friendly packaging and energy-efficient production, focus on regional markets, and efficient supply-chain management remain key growth factors in the medium to long-term future.
1. Executive Summary
1.1 Introduction to Potato Processing Markets
1.2 Potato Processing Market Size Outlook, 2021- 2032
1.3 Growth Opportunities in Potato Processing Industry
1.4 Winning Strategies for the post-pandemic future
2. Report Guide
2.1 Market Definition and Scope
2.2 Market Segmentation
2.3 Research Methodology
2.4 Forecast Methodology
2.5 List of Abbreviations
3. Growth Opportunity Analysis
3.1 Key Potato Processing Market Trends
3.2 Key Potato Processing Market Growth Drivers
3.3 Key Potato Processing Market Growth Restraints
4 Potato Processing Market Outlook – Scenario Analysis
4.1 Low Growth Case Scenario Forecasts
4.2 Reference Growth Case Scenario Forecasts
4.3 High Growth Case Scenario Forecasts
5. Potato Processing Market Segmentation- Outlook by Type
5.1 Potato Processing Market Outlook by Type to 2030
6. Potato Processing Market Segmentation- Outlook by Application
6.1 Potato Processing Market Outlook by Application to 2030
7. Potato Processing Market Segmentation- Outlook by End-Use
7.1 Potato Processing Market Outlook to 2030
8. North America Potato Processing Market Outlook and Opportunities to 2030
8.1 Market Snapshot, 2023
8.2 North America Potato Processing Market Growth Opportunities
8.3 North America Potato Processing Market Outlook by Application
8.4 North America Potato Processing Market Outlook by Type
8.5 North America Potato Processing Market Outlook by Country
8.6 United States Potato Processing Market Outlook
8.7 Canada Potato Processing Market Outlook
8.8 Mexico Potato Processing Market Outlook
9. Europe Potato Processing Market Outlook and Opportunities to 2030
9.1 Market Snapshot, 2023
9.2 Europe Potato Processing Market Outlook by Application
9.3 Europe Potato Processing Market Outlook by Type
9.4 Europe Potato Processing Market Outlook by Country
9.5 Germany Potato Processing Market Outlook
9.6 France Potato Processing Market Outlook
9.7 United Kingdom Potato Processing Market Outlook
9.8 Spain Potato Processing Market Outlook
9.9 Italy Potato Processing Market Outlook
9.10 Other Europe Potato Processing Market Outlook
10. Asia Pacific Potato Processing Market Outlook and Opportunities to 2030
10.1 Market Snapshot, 2023
10.2 Asia Pacific Potato Processing Market Outlook by Application
10.3 Asia Pacific Potato Processing Market Outlook by Type
10.4 Asia Pacific Potato Processing Market Outlook by Country
10.5 China Potato Processing Market Outlook
10.6 Japan Potato Processing Market Outlook
10.7 India Potato Processing Market Outlook
10.8 Other Asia Pacific Potato Processing Market Outlook
11. Latin America Potato Processing Market Outlook and Opportunities to 2030
11.1 Market Snapshot, 2023
11.2 Latin America Potato Processing Market Outlook by Application
11.3 Latin America Potato Processing Market Outlook by Type
11.4 Latin America Potato Processing Market Outlook by Country
11.5 Brazil Potato Processing Market Outlook
11.6 Argentina Potato Processing Market Outlook
11.7 Other Latin America Potato Processing Market Outlook
12. Middle East and Africa Potato Processing Market Outlook and Opportunities to 2030
12.1 Market Snapshot, 2023
12.2 Middle East and Africa Potato Processing Market Outlook by Application
12.3 Middle East and Africa Potato Processing Market Outlook by Type
12.4 Middle East and Africa Potato Processing Market Outlook by Country
12.5 Saudi Arabia Potato Processing Market Outlook
12.6 UAE Potato Processing Market Outlook
12.7 South Africa Potato Processing Market Outlook
12.8 Other Middle East and Africa Potato Processing Market Outlook
13 Profiles of major Potato Processing Companies
Agristo NV
Aviko BV
Farm Frites International B.V.
Idahoan Foods, LLC
Intersnack Group GmbH & Co. KG
Lamb Weston Holdings, Inc.
McCain Foods Limited
J.R. Simplot Company
The Kraft Heinz Company
The Little Potato Company Inc.
- Key Statistics
- Business Operations
- Products and Services Offered
- SWOT Analysis
- Financial Analysis
14. Appendix
14.1 Publisher’s Expertise
14.2 List of Tables and Charts
14.3 List of Exhibits
14.4 Legal Disclaimer