U.S. Walnuts Ingredient Market Size, Share & Trends Analysis Report By Product (Walnut Kernel, Walnut Oil), By Application (Food Industry, Pharmaceuticals, Cosmetic & Personal Care), And Segment Forecasts, 2025 - 2030

U.S. Walnuts Ingredient Market Trends

The U.S. walnuts ingredients market size was valued at USD 20.72 million in 2024 and is projected to grow at a CAGR of 5.7% from 2025 to 2030. This growth is fueled by rising demand for nutrient-rich and plant-based foods and other applications across other sectors. In the food industry, walnuts are widely used in snacks, baked goods, and dairy alternatives due to their rich nutritional content, including omega-3 fatty acids, antioxidants, and protein. Beyond food, the cosmetic and personal care industry is utilizing walnut extracts and oils for their exfoliating, moisturizing, and anti-aging properties in skin and hair care products.

The pharmaceutical sector is exploring walnuts for their potential in promoting cardiovascular health, cognitive function, and anti-inflammatory benefits, supporting the development of natural health supplements. This diversification continues to reinforce the industry's momentum and market resilience.

In the cosmetics and personal care sector, walnut-derived ingredients have gained prominence for their natural and beneficial properties. In addition, ground walnut shells serve as eco-friendly exfoliants in various personal care formulations, aligning with the growing consumer preference for sustainable and natural products. These applications underscore the versatility of walnuts beyond traditional consumption, tapping into the expanding market for natural cosmetic ingredients.

The pharmaceutical industry is also exploring the potential of walnuts due to their health-promoting compounds. Research supported by the California Walnut Commission has highlighted walnuts' benefits for heart health, brain function, and anti-inflammatory properties. These findings are encouraging the incorporation of walnut extracts and oils into dietary supplements and functional foods aimed at disease prevention and health maintenance. As scientific studies continue to uncover the therapeutic potential of walnuts, their application in pharmaceutical formulations is expected to expand further.

Market Concentration & Characteristics

The industry growth stage is medium, and the pace of industry growth is accelerating. The U.S. walnuts ingredients Industry is influenced by three pivotal factors: the degree of innovation, regulatory impact, and end-use concentration. This industry demonstrates high innovation, particularly in developing plant-based alternatives. Due to their texture and nutritional profile, walnuts are increasingly utilized in creating meat substitutes, such as walnut-based crumbles and burger patties.

Several substitutes pose competitive pressure depending on the application. In the food sector, nuts like almonds, pecans, and cashews are common alternatives due to similar taste profiles and health benefits. For plant-based oils, Walnut Oil competes with olive, flaxseed, and avocado oils, which offer comparable nutritional value. In cosmetics, walnut shell exfoliants face substitutes like apricot seed powder, while Walnut Oil is often replaced by argan or jojoba oil. These substitutes are chosen based on price, availability, functional performance, and consumer preference.

Regulatory impacts are significant, with stringent food safety standards influencing production practices. To ensure product quality and safety, the California walnut industry adheres to federal and state regulations, including the FDA's Produce Safety Rule and Good Agricultural Practices (GAPs).

Product Insights

Walnut kernels accounted for the largest revenue share of 43.03% in 2024. The U.S. walnut ingredient industry has witnessed notable developments in its key product segments, like Walnut Kernels. Walnut Kernels, which held the largest market share, experienced a shift in consumer preferences towards convenience and health-conscious snacking. The growth is attributed to plant-based diets' rising popularity and Walnut Kernels' incorporation into ready-to-eat meals, snacks, and bakery products, catering to health-conscious consumers.

Walnut flour and meal are projected to grow at a notable CAGR of 4.26%. Walnut flour and meal are gaining traction as a gluten-free and nutrient-rich alternative in various culinary applications. In January 2023, Surthrival Ltd., a regenerative nutrients provider, introduced Black Walnut Protein Powder. It is the world's first wild-crafted, sustainable protein powder sourced from black walnuts and collected by American Midwest foragers.

Application Insights

The food industry segment dominated the market in 2024. Several key factors drive this dominance. The growing consumer demand for plant-based and nutrient-dense foods has led to increased incorporation of walnuts into various culinary applications, including snacks, baked goods, and dairy alternatives. Walnuts offer a rich nutritional profile, comprising omega-3 fatty acids, protein, and antioxidants, making them an attractive ingredient for health-conscious consumers.

In addition, the versatility of walnuts in both sweet and savory dishes has expanded their usage across diverse food categories. The California Walnut Board and Commission have supported this growth by promoting walnuts' inclusion in school meal programs, highlighting their nutritional benefits and ease of integration into menus. For instance, they have provided resources and recipes to help schools incorporate walnuts into breakfast, lunch, and snack offerings, aiming to increase walnut consumption among students.

In the bakery and confectionery sector, walnuts are increasingly used to enhance the flavor and nutritional value of products such as cakes, cookies, and chocolates. Their rich taste and texture make them a popular choice among bakers and confectioners seeking to offer healthier options to consumers. Similarly, walnuts are being utilized in the dairy alternatives market to create plant-based milk, cheese, and yogurt products, catering to the growing demand for vegan and lactose-free alternatives.

The cosmetics and personal care sector is projected to grow significantly over the forecast period. Walnut Oil is rich in omega-3 fatty acids and antioxidants and is used in skincare formulations for its moisturizing and anti-inflammatory properties. In addition, ground walnut shells serve as an eco-friendly exfoliant in various personal care products.

Key U.S. Walnuts Ingredient Company Insights

The U.S. walnut ingredients market is intensely competitive. Some of the major companies in the market are ADM, Olam Group, Blue Diamond Growers. and others. Companies have increasingly focused on continuous R&D activities and product development through strategic collaborations, mergers and acquisitions, and more.

Recent Developments

• In November 2023, the California Walnut Board and Commission initiated a direct-to-consumer marketing campaign to promote walnut consumption during the holiday season.

U.S. Walnut Ingredients Market Report Scope

U.S. Walnut Ingredients Market Report Segmentation

This report forecasts revenue growth at country level and provides an analysis of the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the U.S. walnut ingredients market report based on Product, application, and region.

• Product Outlook (Volume in Kilotons, Revenue, USD Million, 2018 - 2030)

  • Walnut Kernels

  • Walnut Oils

  • Walnut flour/meal

  • Other industries

• Application Outlook (Volume in Kilotons, Revenue, USD Million, 2018 - 2030)

  • Food Industry

  • Cosmetic & Personal Care

  • Pharmaceutical

  • Animal Feed

  • Others