The Australian knife market is estimated to be valued at USD 15.5 Mn in 2024 and is expected to reach USD 20.4 Mn by 2031, growing at a compound annual growth rate (CAGR) of 4.3% from 2024 to 2031.

The Australian knife market has been witnessing a positive growth trend over the past few years. Rising culinary interest among consumers for cooking different cuisine at home has increased the demand for quality kitchen knives in the country. Additionally, increasing outdoor recreational activities such as camping, hiking and hunting has also contributed to the sales of pocket knives and tactical knives. Ongoing product innovations featuring superior blade materials and elegant designs to cater to different consumer segments are further expected to support the market expansion through 2031. However, availability of low-cost counterfeit products may hamper the growth of established brands and restrain the market to a certain extent over the forecast period.

Market Driver - Growth in Culinary Activities

The Australians have always had a strong food culture and over the years, culinary activities have become quite popular in the country. Cooking shows on television and online videos have generated a lot of enthusiasm among people of all age groups to experiment more in kitchen and try new recipes. This has led to higher demand for better quality cooking knives that can help in cutting, chopping and preparing wide variety of ingredients easily and efficiently.

Most Australian homes now have aspiring chefs who love spending time in kitchen and create delicious meals. This has encouraged people to upgrade their basic utensils and purchase knives that make food preparation safe, convenient and fun. Rather than just basic knives for chopping vegetables, Australians now want knives suited for precise tasks like filleting fish, slicing meat paper thin, dicing onions and mincing garlic. Specialty knives made of high-quality steel especially attract home chefs.

Food blogging has become a major trend in Australia which brings attention to unique cooking styles and ingredients. Many Australians travel within the country and get influenced by regional cuisines. They like recreating these dishes in their own kitchens which requires having right tools. Furthermore, culinary schools and short courses on topics like baking, grilling etc are attracting large number of enthusiasts. All these aspiring foodies recognize the importance of right knives for smoothly gliding through preparations.  Apart from home use, restaurants and cafes are also expanding their menus and introducing global flavors. This has increased their demand for professional grade knives that can withstand high volume prepping and last longer. Certain regions and communities in Australia have also gained popularity for their food festivals where artisanal processing involves ethnic style bread making, curing meats, filleting fish - activities that require specialist knives.

Market Driver - Innovations in Knife Designs

Knife manufacturing companies have picked up on the growing interest in cooking among Australians and are frequently introducing new designs that offer enhanced features. While basic styles fulfill utilitarian needs, home chef enthusiasts seek knives that perform specific tasks meticulously and also look attractive on kitchen counter. Innovation allows addressing these aspirations.

Full tang construction is now common where the internal bolster is extended through the entire handle for better balance and control during intense use. Non-slip ergonomic handles made of diverse materials like wood, plastic and Santoprene provide firmer grips. Blade materials have undergone massive evolution as well - high carbon stainless steel and ceramics are replacing softer steel and providing sharper, durable and rust-resistant edges.

Knife makers keep the changing regional Australian cuisine trends in mind. For instance, they have designed fillet knives targeted at seafood prevalent coasts or cleavers for areas influenced by Asian cooking styles relying on chopping. Santoku knives have become quite popular fulfilling the need for versatile all-purpose use. Specialty knives keep emerging for niche applications like bird and joint weapons.  Artisanal knife manufacturers offer visually appealing designs blending tradition and innovation. For example, hand-hammered Damascus steel blades infused with unique patterns and stabilized wood handles inlaid with precious stones enthral aesthetics driven home chefs. Even mass market brands strive to make basic utilitarian knives appear trendy through varied colours, ergonomic contours and marketing.

Market Challenges: High prices of premium knives

One of the key challenges currently being faced by the Australia knife market is the high prices of premium quality knives. While high-end premium knives offer superior craftsmanship, durability and performance compared to cheaper knives, their high price point puts them out of reach of average consumers and professional chefs. Premium hunting, kitchen and pocket knives from renowned international brands can easily cost between $200 to $1000 or more per piece in Australia. This high pricing is discouraging new customers from experimenting with premium knives and encouraging the use of cheaper substitutes. It also prevents smaller restaurants and home chefs from fully equipping their kitchens with high-quality cutlery. The pricing gap between affordable basic knives and expensive premium brands needs to be bridged either through new local brands offering competitive mid-range options or premium brands exploring affordable product lines without compromising much on quality. Otherwise, these high prices will continue restricting the overall growth potential of the Australia knife market.

Market Opportunities: Growth in professional kitchen segment

One significant opportunity for the Australia knife market lies in catering to the growing professional kitchen segment. With the booming foodservice and hospitality industry in Australia, the number of restaurants, cafes, hotels and commercial kitchens has been increasing steadily over the past few years. This has led to a surge in the demand for high-quality knives that can withstand the rigors of daily commercial use. While the basic needs of these commercial kitchens are already being met, there exists scope for premium brands to tap into this segment by developing blade shapes, styles and features customized for professional sharpening and durability. New product innovations focused around safety, ergonomics and maintenance could attract more professional establishments. In addition, targeted marketing activities, promotion offers and tie-ups with culinary schools and institutions would help boost awareness and trial among professional chefs and kitchen staff. Catering to the discerning needs of commercial food businesses therefore provides an avenue for growth to Australia's knife manufacturing industry.

Focus on product innovation - Global leaders like Victorinox and Wusthof Tekk have continuously invested in R&D to develop new and innovative knife products. In 2015, Victorinox launched their innovative "Fibrox" range with breakthrough Scandinavian styling and ultra-sharp serrated edges for efficient cutting. These knives were an instant success in Australia due to their modern design and superior performance.

Leverage brand positioning - Brands like Shun and Global have uniquely positioned themselves in the high-end luxury segment in Australia. Shun offers exclusivity through limited edition designer collaborations with celebrity chefs. In 2018, they partnered with Australian chef Maggie Beer for her Signature range, capitalizing on her popularity Down Under.

Establish omnichannel presence - Players are expanding their reach through both online and offline channels. MAC Knives started selling directly on Amazon in 2017 to tap the fast-growing e-commerce market. This helped them grow sales by 35% in the first year. Offline, brands sponsor culinary shows and events to enhance in-store branding and trial.

Focus on product education & demonstrations - As Australia has a culture of outdoor recreation and BBQs, brands promote knives for non-kitchen usages as well. Wusthof conducts cooking workshops at major supermarkets to teach consumers new skills and showcase product functionality. Such experiential marketing has led to increased consideration and trial.

The above examples showcase how innovation, branding, omni-channel strategies and education have helped global brands gain significant market share in the competitive Australia knife industry. Data indicates Victorinox, Wusthof and Shun captured over 60% of the market by 2020 due to their relentless focus on winning consumer mindshare.

Insights by product type: Quality and cost effectiveness

The Australia knife market is segmented by product type, with the carpet knife type being the dominant segment. In 2024, the carpet knife type accounted for a 28.30% share of the overall Australia knife market. Carpet knives are versatile cutting tools primarily used for cutting and trimming carpets, rugs, and other types of flooring materials. Their sharp, serrated blades make them well-suited for cleanly slicing through thick, dense materials like carpets. The popularity of carpet knives in Australia can be attributed to the country's thriving construction and home renovation industries, which drive ongoing demand for carpet installation and replacement. Other key product type segments in the Australia knife market include utility knives, box cutters, and pocket knives, each capturing a significant share of the overall market. However, the carpet knife segment remains the largest and most dominant, reflecting Australians' preferences for specialized cutting tools tailored to their home improvement and flooring needs.

Insights by distribution channel: Widespread presence

The Australia knife market is heavily dominated by the home center and hardware store distribution channel, which accounted for an impressive 37.85% share of total sales in 2024. This channel's dominance can be attributed to the widespread presence and popularity of these types of retail outlets across Australia, catering to the country's thriving home improvement, DIY, and construction sectors. Home centers and hardware stores offer Australian consumers a comprehensive selection of knives, ranging from utility blades and box cutters to specialized tools like carpet knives, all conveniently located alongside other essential hardware and supplies. The hands-on, in-person shopping experience provided by these stores, combined with the ability for customers to physically inspect and select the right knife for their needs, makes home centers and hardware stores the preferred choice for a significant portion of the Australia knife buying public. While other distribution channels, such as online sales and specialty stores, also play important roles, the home center and hardware store segment remain the dominant force, cementing its position as the primary marketplace for knife purchases in the Australian market.

The major players operating in the Australia Knife Market include Knife Depot ,Wusthof, Gerber, Cold Steel, Columbia River Knife & Tool ,Knife Depot ,Wusthof, Gerber, Cold Steel, Columbia River Knife & Tool ,Knife Depot ,Big Red Knives, Wusthof, Gerber, Australian Knife Sales, Spyderco AU, Columbia River Knife & Tool ,Ontario Knife Company

• On 10-11, 2024 The Sydney Knife Show will organize at the Rosehill Gardens Racecourse in Parramatta, New South Wales It is Australia's largest event of its kind, showcasing the best in Australian and international knives and knife-related products.

• By Product Type
  • Folding Knife
  • Snap-off Knife
  • Retractable Knife
  • Safety Knife
  • Others
  • Fixed Knife
  • Specialty Knife
  • Carpet Knife
  • Hobby Knife
• By Distribution Channel
  • Home Center & Hardware
  • Mass Retail
  • Industrial
  • E-commerce
  • Others