China’s booming ready-meals industry shows how pre-cooked food options are here to stay

Pre-prepared dishes raked in a whopping 550 billion yuan in China last year, and the industry’s rapid growth rate could see it surpass 1 trillion yuan in just a few years

The trend reflects a change in Chinese people’s lifestyles during the pandemic, but the China Consumers Association says more regulations are needed

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The issue of restaurants using pre-made dishes without telling diners was among the top complaints received by the China Consumers Association in the first half of the year. Photo: Bloomberg

Published: 11:00am, 4 Aug 2022

The growing popularity of pre-cooked food in China – also known as the ready-meals industry – has made it a capital darling, with investors looking to cash in on the trend prompted by changes in people’s lifestyles amid the pandemic.

In the world’s second-largest economy, the market for pre-prepared dishes has been mainly driven by caterers. But a shift from restaurants to family dining tables in the past two years, with so many people staying home in the era of stringent zero-Covid mobility restrictions and lockdowns, has rapidly brought pre-made food to the mass consumer market.

Deloitte Asia-Pacific’s consumer goods and retail industry head, Zhang Tianbing, now says China’s pre-prepared food market looks to have a promising future, with the corporate side of the business currently more mature, while the general consumer market is still in the process of penetration.

“Pre-prepared dishes meet the preferences of a new generation of consumers for healthier and more distinctive meals … and the epidemic has accelerated the spread of pre-cooked food,” Zhang said.