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Dehydrated Potato Market Size, Share & Industry Analysis, By Form (Flakes, Powder, Dices, Shreds, and Others), Nature (Organic and Conventional), By Distribution Channel (Food Services and Retail Channel), and Regional Forecasts, 2019 – 2026

Region : Global | Format: PDF | Report ID: FBI102186



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The global dehydrated potato market size was valued at USD 5.23 billion in 2018 and is projected to reach USD 8.84 billion by 2026, exhibiting a CAGR of 6.83% during the forecast period (2019-2026).

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Potatoes are a great source of potassium, carbohydrates, and vitamins. Dehydration is a process through which the fresh potatoes are dried and dehydrated completely by removing the moisture content, and by retaining the nutritional value. Dehydrated potatoes, also called as instant potatoes are one of the widely used processed food products in various countries. Consumers prefer dehydrated potatoes as they are easy to digest as compared to the fresh potatoes. It also has a neutral taste and flavor, until they are further processed for flavoring. There are various dehydrated vegetables available in the market, but dehydrated potatoes are the most economic one. It has various nutritional ingredients such as manganese, vitamin B6, niacin, vitamin C, phosphorus, and pantothenic acid.

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The dehydrated potato market growth is primarily driven by certain important factors, such as rise in the popularity of dehydrated potatoes for its taste, longer shelf-life and all seasonal availability, increase in the preference towards convenience food products, and rising demand for processed food products. These are certain drivers that are helping the growth of this market.


“Exponential Growth of Convenience Food Products to Boost the Market”

There is a growing trend for ready-to-eat (RTE) food products, which acts as a major key driver for the dehydrated potatoes. Growing GHDI (Gross Household Disposable Income) of consumers and rapid urbanization has enhanced the expenditure towards processed and ready-to-eat food products. Rising demand for these food products is furthering the demand for dehydrated potatoes. Consumers are exploring creative ways to utilize these instant potatoes for various culinary purposes. They are also used to make meat products crispier and also add consistency and texture to the food products.

Dehydrated potatoes are rich in carbohydrates and other imperative minerals, which will ride the coattails of shifting the consumer preference towards the consumption of healthy food and beverage products.

“Escalating Demand for Dehydrated Potatoes from the Processed Food Industry”

Significant usage of these instant potatoes in baked products, sauces, soups, and other processed food products is expected to drive the growth of this market. These dried potatoes possess various properties that are useful for culinary purposes. For example, they act as a thickener base for the preparation of soups and gravies. Further, they find application in the manufacturing of various potato snacks, chips, texturized potato products, snack pellets, and others, which is one of the leading dehydrated potato market trends.

The burgeoning demand for dehydrated potatoes is from the processed food industry, owing to its longer shelf life and its availability throughout every season. On the other hand, instant potatoes are used as an alternative for corn flour, wheat starch, and wheat flour as they help to add volume to soups, stews, broths, and sauces. Increasing demand for dehydrated potatoes in the global food industry is expected to create growth for the same.  


By Form Analysis

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“Powder Form to Lead Owing to its High Demand from Foodservices”

Globally, powdered dehydrated potatoes are consumed more when compared to the other types, as they are easy to digest. They are rich in fiber content when compared to flakes and other forms, which will aid in body fat reduction. Owing to their easy digestive properties, these powdered potatoes are popular among elderly/old aged people. The consumption of these powdered dehydrated potatoes will also help in hair growth and also helps treat premature greying. There is a high amount of vitamin C present in these powdered forms of dried potatoes, which helps in boosting the immune system. Moreover, it contains a compound called flavonoid which regulates the cholesterol levels in the body.

By Nature Analysis

“Conventional Segment to Hold the Bulk of Market Share; Organic Dehydrated Potato Sales to Skyrocket”

In the food sector, the pace of technology penetration has been recently observed to be robust, forcing the food manufacturers to boost their development for new and novel products. A wide range of applications has led commercial vendors to provide dehydrated potatoes in their purest form. Efforts of key market players are directed towards new product developments, along with unique and innovative product offerings, in order to gain a greater brand positioning. This will remain a key demand determinant for dehydrated potatoes.

The conventional dehydrated potatoes segment holds the major share of 70% and is expected to prevail in the foreseeable years. The organic dehydrated potatoes segment is still in infancy and will gain fast ground in the upcoming years owing to the consumer preference towards natural and chemical-free food products. The concept of organic farming has hugely impacted farming practices, which is a major reason for the fast growth of organic dehydrated potatoes. According to USDA, the total land availability for organic farming has been increased rapidly in the U.S. This is further expected to create demand for dehydrated potatoes.

By Distribution Channel Analysis

“Foodservices to Hold the Largest Market Share Owing to the All Seasonal Availability of the Product”

The dehydrated potato market demand is expected to grow due to the expanding foodservice sector, in combination with the increased product portfolio and product lines of leading players in the market. The foodservice sector prefers the usage of dehydrated/dried potatoes as they are always available, irrespective of the season and climate. The longer shelf life makes them even more convenient for usage.

These potatoes mimic the properties possessed by starch as it acts as a thickener and a stabilizer. This makes it a better option when compared to starches, which are slightly more expensive.


“Asia-Pacific to Exhibit Exponential Growth: Increasing Population Likely to Accelerate Demand”

Asia-Pacific will remain the mainstay for instant potato manufacturers as the region is the leading producer, supplier, importer, and exporter of the major raw material. In the region, China is expected to hold the largest dehydrated potato market share as it is the largest producer of potatoes in the world. Followed by China, India holds the second-largest market share in the region. These two countries are the major producers of potatoes, which helps in the production of dehydrated potatoes. Further, the growth opportunities for dehydrated potatoes are huge in the region and also account for a large demand from the middle-class population and for nutrition-rich processed food consumption. Massive alterations in the lifestyle of the consumers in the region and players seeking to consolidate their position in the market are the key factors impacting the growth of the dehydrated potato industry.

North America Market Size (by Value), 2018

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Companies in this region are transforming their production practices. The larger population base has led to the large-scale production of these dehydrated potatoes. Companies are adopting various modern technologies for the cultivation of potatoes in the region. Asia Pacific imports the best-quality potatoes from other countries to strengthen and to maintain stability in the supply chain.

The processed food industry in the U.S. grows at a rapid pace which in turn aids in the growth of the North America dehydrated potatoes market. The U.S. holds the largest market share in the region as the consumption of instant soups and salads are growing. The dehydrated potatoes are incorporated largely in seasoning ingredients and sauces. Potato production in Canada is growing at a rate of 6.34% which helps in the growth of the consumption of dehydrated potatoes. 65% of the total dehydrated potato products are consumed as processed food, and the rest are used freshly. African market dehydrated potato flakes leading in this industry.

The fast-paced lifestyle and the increased presence of the working population act as a driving factor for the consumption of dehydrated potatoes.


“Key Players Focusing to Increase the Production Capacity by Collaborating with Other Companies”

Dehydrated potatoes manufacturers are collaborating with other players in the market in order to increase the production capacity owing to the increased population. Companies are developing record-sized potato drying drums, which helps in increasing the production capacity, according to the dehydrated potato market analysis.

For instance, Kiremko and Idaho Steels have collaborated to build drum dryers that are powered provide a significantly larger output of dehydrated potatoes in lesser time.

Manufacturers are innovating the newest technologies in order to increase the production capacity of the dehydrated potatoes. Companies are innovating drum dryers not only to mash the potatoes but to mill and mash it to the desired form such as potato flakes and powder.

List Of Key Companies Covered:

Report Coverage 

An Infographic Representation of Dehydrated Potato Market

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Dehydrated potatoes are one of the major processed vegetables that are consumed when compared to the other vegetables. The market is estimated to grow moderately throughout the forecast years, owing to the increased inclination towards other dehydrated vegetables, whereas the market in the developing regions is expected to maintain stability.  

The dehydrated potato market report provides qualitative and quantitative insights on the market and a detailed analysis of the market size and growth rate for all possible segments in the market.  

Along with this, the report provides an elaborative analysis of the market dynamics and competitive landscape. Various key insights provided in the report are the overview of related markets, recent industry developments such as mergers & acquisitions, the regulatory scenario in key countries, and key industry trends.

Report Scope & Segmentation



Study Period


Base Year


Forecast Period


Historical Period



  Value (USD Million)


By Form

  • Flakes

  • Powder

  • Dices

  • Shreds

  • Others

By Nature

  • Organic

  • Conventional

By Distribution Channel

  • Foodservices

  • Retail

By Region

  • North America (U.S., Canada, and Mexico)

  • Europe (Germany, France, U.K., Spain, Italy, Russia, and Rest of Europe)

  • Asia-Pacific (China, India, Japan, Australia, and Rest of Asia-Pacific)

  • South America (Brazil, Argentina, and Rest of South America)

  • Middle East & Africa (South Africa, UAE, and Rest of the MEA)


  • In July 2021, Lamb Weston, a U.S.-based company undertake steps to expand the production capability of the Idaho plant for $415 million. This investment enables to increase the production capacity of frozen fries and other potato-based products and modernize the factory.

  • In June 2021, Pringles, a U.S.-based potato-based chip, launched new products in the markets marketed by the name Veggie Creations. These products are available in different flavors such as Potato, Orange Sweet Potato, Paprika, Garlic; Potato, Tomato with Mozzarella and Herbs; and Potato, Purple Sweet Potato, and Sea Salt.

  • In September 2020, Aviko, one of the largest producers of dried and specialty potatoes in Europe, announced the acquisition of a Unilever factory based in Germany. The factory specializes in the production of mashed potatoes, dumplings, gnocchi and aims to strengthen the production process of potato flakes and granules.

Frequently Asked Questions

Fortune Business Insights says that the global Market size was valued at USD 5.23 billion in 2018 and is projected to reach USD 8.84 billion by 2026, exhibiting a CAGR of 6.83% during the forecast period (2019-2026).

The Market will exhibit a CAGR of 6.83% in the forecast period (2019-2026).

Powder is expected to be the leading form segment in this market.

Increased consumption of various processed food products such as ready-to-eat (RTE food products), convenience foods, soups, sauces, and others.

McCain Foods, Basic American Foods, Lamb Weston, Idahoan Foods, and Pacific Valley Foods are few of the top players in the market.

Asia-Pacific is expected to hold the highest market share in this market in 2019.

Foodservice distribution channel is expected to showcase the fastest growth in the global market.

Rising popularity of organic dehydrated potatoes, consumption of natural and chemical-free food products, and vegan diet are certain trends in the market.

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