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General Mills, Hain Celestial, Boulder Brands Seeing Green in Gluten-Free Food

Stocks in this article: GIS HAIN BDBD DPZ K RTHVF

NEW YORK (TheStreet) -- People with certain allergies are finding relief eating gluten-free food. That has put some of the biggest players in the food industry into an area where they can expect a substantial increase in revenue and volume sales for the next few years.

We're talking about you General Mills (GIS), Hain Celestial (HAIN) and others.

The recently released Global Gluten-free Food Market 2014-2018 report from by Research and Markets, says the market's compound annual growth rate (CAGR) in terms of revenue will increase by 11.4% while volume CAGR will rise by 9.9% over the period of 2013 to 2018.

The combined effect of changing consumer lifestyles and increasing number of celiac disease patients contribute to the global gluten-free trend, which is most popular in North America.

Market research firm Mintel said the P10.5 billion industry grew by 44% in sales between 2011 and 2013 alone. And when it comes to size, it should be pointed out that 24% of consumers eat or have someone in their household who eats gluten-free food.

A gluten-free diet, which first gained prominence as a way to deal with celiac disease, has become extremely popular among health buffs who believe that it helps alleviate abdominal and intestinal problems, among other things.

An earlier release by Mintel said the gluten-free food and beverage market will grow as much as 48% from 2013 to 2016, to a $15.6 billion industry, at current prices.

Such figures are not surprising since new surveys show the general populace has a favorable view of the trend. The NPD Group said its survey revealed that one in four consumers believe that a gluten-free diet is good for everyone, even those without celiac disease.

Besides General Mills and Hain Celestial, sellers of gluten-free food include privately held Amy's Kitchen, Boulder Brands (BDBD), Domino's Pizza (DPZ), Kellogg (K) and Raisio (RTHVF).

General Mills has a gluten-free alternative in almost all of its Betty Crocker baking products and Chex cereals. Its first marketing shift to gluten-free food was in 2008 when it came out with Rice Chex. Its baking products followed suit.

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