Bakery Ingredient Market

Bakery Ingredient Market Outlook for (2023 to 2033)

The global bakery ingredient market value is USD 20,795 million in 2023. Bakery ingredient suppliers expect the market to grow at a CAGR of 6.7% through 2033, with a forecast valuation of USD 39,867 million by 2033.

Bakery Ingredient Market Size, 2022	USD 17,863 million
Bakery Ingredient Market Size, 2023	USD 20,795 million
Bakery Ingredient Market Size, 2033	USD 39,867 million
Value-based CAGR (2023 to 2033)	6.7%

Key Trends Impacting Sales of Bakery Ingredients

• Key players are introducing healthy alternatives to established bakery products in flour alternatives, sugar-free sweeteners, etc. This is in response to the increasing incidence rate of lifestyle-based diseases.
• The prime disposition of the vegan movement, as an increasing number of people embrace veganism, is supporting the trend of vegan cakes, pies, and other confectionery products. To cash on this running trend, meat and dairy alternative companies are producing ingredients like soy butter, soy cream, and plant-based meat, thus contributing to the vegan ingredient market.
• Constant improvisations and innovations in the bakery industry are enhancing the market outlook of bakery ingredients.
• Increasing demand for essential products like bread and baked goods, which are consumed regularly, especially as breakfast and evening snacks, are propelling the demand for bakery ingredients.
• Online food delivery option has boosted the business of bakeries, with 24*7 food delivery service. This is enhancing the scope of the bakery ingredient market.
• The market has become inclusive of more new materials, experiments, and procedures. Thus, chefs are motivated to bring innovative dishes to reality, boosting growth in the market.

Historical Growth of the Bakery Ingredient Market Vs. Forecast Outlook

Attributes	Details
Bakery Ingredient Market Size (2022)	USD 17,863 million
Bakery Ingredient Market CAGR (2023 to 2033)	6.7%

The valuation of the bakery ingredient market is projected to rise from USD 17,863 million in 2022 to USD 39,867 million by 2033. Mentioned below are the key factors behind market expansion:

• Surging popularity of artisan as well as clean-label bakery products
• Rising demand for bakery products containing natural ingredients
• Increasing consumer proclivity toward tasty, appealing, and textured delicacies
• Easy access, affordable price range, and nutritional value in bakery ingredients are enhancing consumer demand

Country-wise Insights

Country	CAGR (2023 To 2033)
United States	9.3%
Germany	9.4%
Japan	8%
Australia	14.2%
China	3%

Proactive Key Players for Bakery Ingredients in the United States Shaping the Market Dynamics

The United States is a significant market for bakery ingredients. Growth in the United States is approximated at a significant 9.3% CAGR. Sales of bakery ingredients in the United States are increasing due to the following factors:

• Highly advanced and well-established baking industry in the country, thus holding the apex of the bakery ingredient market.
• Key players in the market are capitalizing on the emerging fitness and wellness trends by introducing low-sugar content versions of bakery ingredients.
• New product development by bakery ingredient manufacturers is predicted to target the United States market.
• Increasing demand for familiar baked goods like cronuts and newly introduced fusion bakery products like Macaringue and Croffle are supporting the sales of bakery ingredients.

Germany Experiencing Introduction of Bakery Ingredients with Optimized Product Properties

In Germany, the bakery ingredient market is predicted to observe the purchase of bakery ingredients at a pace of 9.4% through 2033.

• The increasing popularity of plant-based and flexitarian diets is dictating the market trends in Germany. As a result, the bakery industry is trying to reduce dependence on butter to formulate bakery items. Industrial bakeries are presented with a golden opportunity to develop new products to cater to the demand for delicious plant-based bakery products.
• Introduction of bakery ingredients by key players to provide a distinct taste experience to consumers is another propeller for product sales. For instance, in August 2023, Raps, which provides distinct flavor and spice concepts, announced its plans to present a range of new bakery ingredients at the Iba trade fair in Munich, Germany, this October.

Consumer Demand for Prolonged Shelf Life and Delicious Taste of Bakery Products in Japan

The bakery ingredient market in Japan is expected to register a CAGR of 8% through 2033. Consumers increasingly seek baked goods with a prolonged shelf life and delicious taste. To fill this gap, manufacturers are introducing innovative bakery solutions. For instance, in December 2020, DuPont launched an enzyme range called Powerfresh Special and Powersoft Cake 8010 for sweet baked goods in Japan. The solution offers unbeatable anti-stalling capabilities.

Emerging Remunerative Opportunities for Bakery Businesses in Australia

Australia is a lucrative market for bakery ingredients; thus, the industry is projected to witness increasing investments over the next ten years. As per research, the bakery ingredient market in Australia is predicted to expand at an impressive CAGR of 14.2% through 2033. Mentioned below are the key factors pushing the market growth:

• Bakery ingredient businesses in Australia are joining forces with Austrade, short for Australian Trade and Investment Commission, to multiply their exports and boost their profits. The agency helps businesses reconnect with present distributors, seek new opportunities, and introduce new retail clients.
• Increasing strategic acquisitions in the country to uplift the portfolio of bakery ingredients is enhancing the scope of the market in Australia. For instance, in March 2023, Peerless Foods acquired Tangold Pastry Australia business based in Victoria, Australia. With this acquisition, Peerless Foods has strategized to extend its present bakery ingredient offerings into the bakery and food service market.

Rising Demand for Western-style Baked Products in China Contributing to Market Expansion

China's bakery ingredient market is expected to register a CAGR of 3% through 2033. The following factors are pushing sales of bakery ingredients in the country:

• Popularization of Western-style baked food products like cookies, bread, and cakes, spearheaded by Western media and culture, and an increasing number of cafes and bakeries in China, is fueling market growth.
• Authorised agencies are examining the growth potential of bakery ingredients, which is expected to contribute to the market growth over the forecast period. For instance, in January 2021, FAS China identified various baking ingredients showcasing promising growth potential, including tree nuts, butter, and dried and processed nuts.

Category-wise Insights

Baking Powder and Mixes Holding Prominent Market Share

Top Ingredient Type	Baking Powder and Mixes
Market Share (2023)	17%

The baking powder and mixes segment accounts for 17% of the global market share. Increasing demand for volume and elevated texture in bakery items is creating demand for baking mixes and concentrates in the bakery industry. Shifting trends toward convenience is promoting sales of ready-to-use dry baking mixtures to bake pizza dough, bread, cakes, and waffles.

Foodservice Sector Generates High Market Revenue

Top Application	Foodservice Industry
Market Share (2023)	28.4%

The service sector is predicted to register a share of 28.4% in 2023. Various food service establishments like hotels, restaurants, cafes, and catering companies offer bakery items on their menu. Increasing demand for baked products in these establishments is creating high revenues for bakery ingredients and their application in the food service sector. Increasing occasions like corporate events, weddings, and other special occasions across the globe are also contributing to this segment’s growth.

Competitive Scenario of Bakery Ingredient Market

Leading players in the bakery ingredient industry are emphasizing innovation and technological progress to ensure ingredient quality. Manufacturers are presently keeping premium bakery ingredients in their portfolio as bakery enthusiasts and consumers with surged purchasing power have increased.

Market participants are launching artisanal products and gourmet food at varied price points and quality levels so that different bakery providers can make their pick on the basis of their business model. Companies are leveraging the boom of eCommerce by introducing their products on eCommerce sites for wider visibility among potential customers.

Key Developments Observed in the Bakery Ingredient Market

• In May 2023, GrainCorp, an Australian agribusiness giant, announced that it is targeting the market in Asia to fulfill demands for both cleaner and healthier ingredients.
• In July 2023, bakery ingredient suppliers Henley Bridge, Dr. Oetker, and Puratos rolled out a trio of sweet bakery ingredients consisting of cocoa butter drops, brioche mix, and indulgent chocolate chips.
• In June 2023, Ardent Mill introduced new bakery ingredients to cater to evolving consumer preferences.

Key players in the Bakery Ingredient Market

• Cargill Inc.
• DuPont De Nemours and Company
• Archer Daniel Midland
• Ingredion Inc.
• Tate & Lyle PLC
• DSM N.V.
• Associated British Foods
• Corbion N.V.
• Novozymes N.V.
• Puratos Group N.V.
• Lallemand Inc.
• BDF Ingredients
• Caldic B.V.
• Jiangsu BoliBioproducts Co., Ltd.
• AB Enzymes
• Others

Scope of the Bakery Ingredient Market Report

Attribute	Details
Estimated Market Size (2023)	USD 20,795 million
Projected Market Valuation (2033)	USD 39,867 million
Value-based CAGR (2023 to 2033)	6.7%
Forecast Period	2023 to 2033
Historical Data Available for	2018 to 2022
Market Analysis	USD million for Value
Key Regions Covered	North America; Latin America; Europe; South Asia; East Asia; Oceania, and Middle East and Africa
Key Countries Covered	The United States, Canada, Brazil, Mexico, Argentina, Germany, the United Kingdom, France, Italy, Spain, Russia, BENELUX, China, Japan, South Korea, India, Thailand, Indonesia, Malaysia, Australia, New Zealand, GCC Countries, North Africa, and South Africa
Key Market Segments Covered	Form, Ingredient Type, End Use, Application, and Region
Key Companies Profiled	Cargill Inc.; DuPont De Nemours and Company; Archer Daniel Midland; Ingredion Inc.; Tate & Lyle PLC; DSM N.V.; Associated British Foods; Corbion N.V.; Novozymes N.V.; Puratos Group N.V.; Lallemand Inc.; BDF Ingredients; Caldic B.V.; Jiangsu BoliBioproducts Co., Ltd.; AB Enzymes; Others

Table of Content

• 1. Executive Summary
• 2. Market Overview
• 3. Market Background
• 4. Global Market Analysis 2018 to 2022 and Forecast, 2023 to 2033
• 5. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Form
  • 5.1. Dry
  • 5.2. Liquid
• 6. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Ingredient Type
  • 6.1. Fiber
  • 6.2. Emulsifiers
  • 6.3. Enzymes
  • 6.4. Starches
  • 6.5. Oils, Fats, and Shortenings
  • 6.6. Baking Powder and Mixes
  • 6.7. Preservatives
  • 6.8. Colors & Flavors
  • 6.9. Leavening Agents
• 7. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Application
  • 7.1. Bread
  • 7.2. Cookies & Biscuits
  • 7.3. Rolls & Pies
  • 7.4. Cakes & Pastries
  • 7.5. Others
• 8. Global Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Region
  • 8.1. North America
  • 8.2. Latin America
  • 8.3. Western Europe
  • 8.4. Eastern Europe
  • 8.5. South Asia and Pacific
  • 8.6. East Asia
  • 8.7. Middle East and Africa
• 9. North America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
• 10. Latin America Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
• 11. Western Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
• 12. Eastern Europe Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
• 13. South Asia and Pacific Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
• 14. East Asia Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
• 15. Middle East and Africa Market Analysis 2018 to 2022 and Forecast 2023 to 2033, By Country
• 16. Key Countries Market Analysis
• 17. Market Structure Analysis
• 18. Competition Analysis
  • 18.1. Cargill Inc.
  • 18.2. DuPont De Nemours and Company
  • 18.3. Archer Daniel Midland
  • 18.4. Ingredion Inc.
  • 18.5. Tate & Lyle PLC
  • 18.6. DSM N.V.
  • 18.7. Associated British Foods
  • 18.8. Corbion N.V.
  • 18.9. Novozymes N.V.
  • 18.10. Puratos Group N.V.
  • 18.11. Lallemand Inc.
  • 18.12. BDF Ingredients
  • 18.13. Caldic B.V.
  • 18.14. Jiangsu Boli Bioproducts Co., Ltd.
  • 18.15. AB Enzymes
• 19. Assumptions & Acronyms Used
• 20. Research Methodology