Xin Jing Bao·2025-05-27 10:27Core Insights - The konjac industry is experiencing significant growth, reshaping the snack food sector as consumer health awareness increases [1][2] - Major snack companies are investing heavily in konjac products, diversifying their offerings beyond traditional spicy snacks to include meal replacements and beverages [1][3] - Despite its growing popularity, the supply of konjac remains unstable, with production concentrated in specific regions of China [1][5] Industry Overview - The konjac market has seen a compound annual growth rate (CAGR) of 26% over the past decade, with the market size expected to expand significantly [7][13] - The total market size for konjac products is estimated at 26.9 billion yuan, with the snack segment alone accounting for 18.3 billion yuan [11] - The demand for konjac products is projected to continue rising, driven by health trends and consumer preferences for low-calorie, high-fiber foods [13] Company Developments - Weitong reported a revenue of 6.266 billion yuan in 2024, with a 28.6% year-on-year increase, largely driven by its konjac product line [2] - Salted Fish initiated a "new Chinese snack" strategy, launching the "Big Demon King" brand to capitalize on the konjac trend, with sales growing from 117 million yuan in 2021 to 838 million yuan in 2024 [3] - Companies like Weitong and Salted Fish are expanding their production capabilities and supply chains to meet the increasing demand for konjac products [10][12] Supply Chain Dynamics - The supply of konjac is currently insufficient to meet demand, leading to price volatility; prices for konjac have doubled from 2 yuan per jin in 2023 to 4 yuan per jin in 2024 [8][9] - The domestic konjac production is unable to satisfy the current market needs, prompting companies to source from international suppliers [9][10] - The industry is witnessing a trend towards vertical integration, with companies establishing processing facilities in key production areas to secure raw materials [10][12] Future Trends - The konjac product category is expected to diversify further, with increased industry concentration as more companies enter the market [11][13] - Government support through subsidies and research initiatives is anticipated to bolster the konjac industry, enhancing its status as a key agricultural product [13] - The growing consumer acceptance of konjac products is reflected in rising repurchase rates and average spending on these items [13]