Dips and Spreads Market Size

Global Dips and Spreads Market size was valued at USD 76.4 billion in 2023 and is poised to grow from USD 80.68 billion in 2024 to USD 124.76 billion by 2032, growing at a CAGR of 5.6% during the forecast period (2025-2032).

The increasing demand for flavourful and convenient condiment which goes with snack-based and ready-to-eat food is one of the major factor driving the growth of the market. According to our analysis, it was reported that around 40% of consumer are motivated to try the new dips and spread if they are made fresh. In addition, nearly 43% of consumer prefer better-for-you dips and Sause option.

The change in eating habit, and rise in health-consciousness among consumer surge the demand for dips and spread and propel the growth of the market. The guacamole, hummus, ethnic sauces, cheese-based spread has become an household staples across most of the regions.

The evolving culinary preference and rise in disposable income propel the growth of the market. There is surge in demand for the fusion dips that blend Asia, Mediterranean and Latin-American flavour in order to appeal to multicultural plates.

In addition, the increase in demand for chickpeas, avocado, and chia seeds has elevated the need for dips and spread from simple condiments to nutrient-rich meal accompaniments. In 2025, The Kraft Heinz Company, a multinational food company, announced the launch of dips for potato chips. The rise in number of product launch by key players, investment in product innovation & strategic acquisition boost the growth of the market.

The limited shelf life of the product is one of the majors restrain for the growth of the market. This hinders the logistics and retail availability. In addition, the fluctuating raw material prices mostly for nuts, avocados and nuts impact the cost of production.

How AI is Enhancing Innovation and Sustainability in Dips and Spreads?

Artificial intelligence is transforming the food industry across various category including dips and spread. The AI-driven insights help the manufacturer in order to reduce waste, optimize the use of raw material and response quickly to shifting consumer preference.

In 2023, Kraft Heinz, announced the launch of HEINZ REMIX. This is a customizable IOT enable digital sauce dispenser. This device allow the user to create around 200 Sause combinations. While designed primarily for food-service providers, HEINZ REMIX exemplifies how AI and IoT are being integrated into the dips and spreads segment to deliver personalized, on-demand flavor experiences and elevate consumer engagement.

The AI powered demand forecasting tools helps to prevent overproduction. In July 2024, NutriBlend announced its partnership with one of the leading condiment manufacturers to implement generative AI tools for research & development. These tools help to analyze the consumer preference and nutritional trends to design clean-label dip formulation with less environmental impact. This survey result in 12% reduction in ingredient wastage and also increase the time to market for new product,

Such advancement in research and development and innovation in new product along with integration of AI helps the dips and spread industry to meet sustainability target and enhance product quality.