Healthcare/Hospital Food Services Market Size, Share, Growth, Trends, and Global Industry Analysis: By Service Type (In-house Food Services, Outsourced Food Services), Delivery Type (On-premises, Off-premise), Food Type (Regular Meals, Texture-modified Meals, Liquid Diets, Special Nutritional Supplements), End-User (General Hospitals, Specialty Hospitals, Long-Term Care Facilities, Rehabilitation Centres, Clinics) and Region Forecast 2020-2031

Healthcare/hospital food services market size was valued at US$ 50.1 billion in 2024 and is expected to reach US$ 102.8 billion by 2031, growing at a significant CAGR of 10.8% from 2025-2031. Moreover, the U.S. market is projected to grow at a CAGR of 12.3% over the forecast period. The market refers to the sector that provides meal planning, preparation, and delivery services within healthcare facilities such as hospitals, clinics, rehabilitation centres, and long-term care institutions. This market includes both in-house food service operations and outsourced catering services that aim to meet the nutritional needs of patients, staff, and visitors. It encompasses a variety of offerings, including therapeutic diets, customized meal plans, and food services aligned with medical treatments, hygiene standards, and dietary regulations.

The market is witnessing steady growth, driven by the increasing emphasis on patient-centred care and the growing awareness of the role of nutrition in recovery and wellness. Rising hospital admissions, the aging population, and the prevalence of chronic diseases are creating consistent demand for high-quality, nutritious, and specialized meal services in healthcare settings. Additionally, technological advancements such as digital meal ordering systems, integration with electronic health records (EHR), and the use of AI for dietary personalization are transforming the operational landscape of food services. Sustainability practices, such as waste reduction and the use of organic ingredients, are also shaping market trends as healthcare institutions strive to align food services with broader environmental and health goals

Facts & Figures:

• Aging Population Growth: The global population of individuals aged 65 and older is expected to double by 2050, significantly increasing the demand for healthcare services, including food services tailored to elderly care and specialized dietary needs.
• Hospital Admissions: In countries like the U.S., approximately 35 million hospital admissions occur annually, driving the need for efficient, nutritious meal delivery systems across general hospitals and specialty care facilities.
• Operational Shifts: Over 50% of U.S. hospitals have moved to outsource their food services to third-party providers in an effort to reduce costs and improve meal quality, showcasing the shift toward outsourcing in the market.

Key Developments:

• In April 2025, A study by the Food is Medicine Institute at Tufts University, published in Health Affairs, found that implementing medically tailored meals (MTMs) across the U.S. could save approximately $32.1 billion annually and prevent 3.5 million hospitalizations. MTMs are designed by registered dietitian nutritionists to meet specific medical needs and have shown potential to reduce healthcare costs and improve patient outcomes.
• In November 2024, According to Food Service Director's 2024 State of Healthcare survey, 63% of respondents indicated a focus on reducing food waste in their operations. Additionally, 20% of respondents identified plant-based cuisine as a significant trend in healthcare dining. Hospitals like NYC Health System have implemented plant-based meals as default options, leading to a 36% reduction in carbon emissions and cost savings of 59 cents per meal.

Healthcare/Hospital Food Services Market Segmentation:

Based on the service type:

• In-house Food Services
• Outsourced Food Services

Among the two service types, Outsourced Food Services is anticipated to lead the market. A key driver behind this trend is the increasing focus of healthcare facilities on cost reduction and operational efficiency. Outsourcing food services allows hospitals and healthcare institutions to leverage specialized providers with expertise in large-scale food operations, ensuring high-quality meal delivery while reducing the need for in-house staff, equipment, and infrastructure. This approach also helps healthcare providers focus more on patient care, while food service providers handle menu planning, preparation, and delivery, thus driving the demand for outsourced solutions in the sector.

Based on the delivery mode:

• On-premise
• Off-premise

Based on delivery mode, the Off-premise segment is expected to dominate the market. A significant driver behind this trend is the increasing adoption of meal delivery services and satellite kitchens, especially in large healthcare facilities. Off-premise food delivery enables hospitals to expand meal offerings to remote or underserved areas, enhancing patient satisfaction by providing greater flexibility and convenience. Additionally, off-premise services support operational efficiency by centralizing food production in specialized kitchens, allowing healthcare institutions to reduce costs and improve meal quality. This growing demand for off-premise meal delivery is anticipated to drive its continued growth within the healthcare food services market.

Based on the food type:

• Regular Meals
• Texture-modified Meals
• Liquid Diets
• Special Nutritional Supplements

Among the food types, the Regular Meals segment is expected to dominate the market. The demand for regular meals is primarily driven by the growing focus on patient satisfaction and the desire for more personalized meal options. Hospitals are offering meals that are not only nutritious but also cater to patients' tastes, preferences, and cultural requirements. Regular meals provide a balanced diet, supporting general recovery and well-being, and are the most widely served in healthcare facilities. The need for variety, flavor, and nutritional value in regular meals is anticipated to propel the growth of this segment within the healthcare food services market.

Based on the end user:

• General Hospitals
• Specialty Hospitals
• Long-term Care Facilities
• Rehabilitation Centres
• Clinics

Among the end users, General Hospitals are expected to dominate the healthcare food services market. The driver behind this trend is the large volume of patients and the wide range of dietary needs. These hospitals serve a diverse population, requiring a broad spectrum of food services to meet various medical and cultural preferences. With a higher number of patient admissions and a need for specialized meal plans for different conditions, general hospitals are increasingly investing in high-quality food service systems to ensure efficient meal delivery, patient satisfaction, and nutritional compliance. This makes general hospitals the leading end user in the market.