Gordon Baxter CBE, company president, passed control to his daughter Audrey Baxter - the fourth generation of the family to run the business - in 1992.
The Fochabers-based family business is famed for its soups and preserves.
A spokesman for the Baxter family said: "It is with great sadness that the Baxter family has confirmed the death of Mr Gordon Baxter, aged 95."
He went on: "He passed away peacefully, surrounded by his family, on Friday evening.
"Mr Baxter became an iconic Scottish business figure during his tenure of the world famous business.
"There will be a private family funeral later this week. A memorial service will be held later in the year in the village of Fochabers where all will be welcome."
Mr Baxter was awarded his CBE in the Queen's Birthday Honours list in 2010.
He said he was "very gratified, proud and pleased" to receive the acknowledgement.
One of the driving forces behind the Moray-based Baxters food empire has died at the age of 95.