China to Become World’s Largest Grocery Market

Forecast to be valued at $1.8 billion by 2023
Posted June 18, 2019

China is set to become the largest grocery market in terms of value, overtaking the U.S. market in size, states a report by IGD Asia, according to Retail Design World. Forecasts show that by 2023, China’s grocery market will be worth $1.8 billion, or more than the next four markets in Asia (India, Japan, Indonesia and South Korea) combined.

“Convenience will be the fastest-growing physical store channel, driven by Alibaba and transforming traditional mom-and-pop stores, retailers opening smaller format stores and both local and overseas players expanding their networks through partnerships,” says IG Head of Asia Pacific Nick Miles.

Hypermarkets will reportedly lose market share over the next five years, dropping from 22 percent to 18 percent, with supermarkets’ share set to remain steady at about 20 percent.