The global bakery ingredients market was valued at $12,960.0 million in 2020, and is projected to reach at $22,592.6 million by 2030, growing at a CAGR of 5.6% from 2021 to 2030.
Baking ingredients are food materials employed in bakery industry to prepare ready-t-eat foodstuffs. These ingredients enhance the texture, color, flavor, volume, softness, and other properties of the food items. They are available in wide varieties, and their utilization in bakery products depends upon the consumption patterns of different regions. Bakery industry possesses high growth potential and is anticipated to garner a remarkable position in the food processing sector. This is attributed to the fact that the demand for bakery items, owing to busy lifestyle and increase in preference for fresh & ready-t-eat convenience foods comprising of high nutritional values.
The growth of the global bakery ingredients market is majorly driven rise in inclination toward convenient bakery food products, due to hectic lifestyle. Furthermore, among the health-conscious consumers, there is an upsurge in demand for low trans-fat & gluten-free bakery products. In addition, alarming obesity rates and growing health concerns among people shift their preference toward healthier bakery products.
However, availability of substitutes such as cereals & oats as well as stringent regulations on ingredients being used in baked food items & international quality standards are expected to hamper the growth of market during the forecast period. On the contrary, emerging market for frozen bakery products and focus of key players on lessening the production costs and improving quality & shelf life of products are anticipated to provide lucrative opportunities for expansion of the market.
By type, the market is divided into enzymes, starch, fiber, colors, flavors, emulsifiers, antimicrobials, fats, dry baking mix, and others. On the basis of application, it is fragmented into bread, cookies & biscuits, rolls & pies, cakes & pastries, and others. Region wise, it is analyzed across North America, Europe, Asia-Pacific, and LAMEA.
Factors Influencing Market Growth
Products such as bread and biscuits are in high demand and are forecast to contribute to market growth in the near future.
Several factors, such as busy lifestyles and changing dietary habits, drive the global bakery ingredients market.
The changing culture of people in developing nations and growth in demand for low-fat & gluten-free products will fuel the growth of the bakery ingredients market.
There is a trend towards substituting baked goods with cereals, such as oats, which may slow down the global market growth.
The potential market for frozen bakery foods, coupled with key players’ efforts to lower production costs and increase shelf life, is forecast to create lucrative growth opportunities for the bakery ingredients market.
Impact Analysis of COVID-19
Global concerns over COVID-19 have negatively affected the global bakery ingredients market. In addition, due to the high demand and low supply trends, ingredient prices increased in 2020 to compensate for economic instability. A disruption in the supply chain in shipping could lead to temporary shortages in supply, pushing prices up in the short term.
Kemin Food Technologies offers interactive digital bakery and snack guide
Web-based tool highlights oxidation challenges and clean label solutions to help brands keep a variety of snack and bakery products tasting delicious
Kemin Industries, a global ingredient manufacturer that strives to sustainably transform the quality of life every day for 80 percent of the world with its products and services, recently added Kemin Food Technologies – North America’s new interactive guide, “Baking a difference today and tomorrow”, to its website. The guide for bakery and snack producers helps users learn more about clean label solutions to ensure products stay fresher, longer and succeed in the dynamic and competitive marketplace.
According to Mintel’s Packaged Bread U.S, March 2021, consumers seek food products that do not contain unwanted ingredients and carry all-natural claims on the product label.1 Taste, however, remains a critical component to brand success, as flavor, texture and freshness outrank clean label in importance. These consumer priorities challenge bakery and snack manufacturers to balance a label that appeals to consumers with a high-quality sensory experience that delivers the crispiness, crunchiness or chewiness consumers seek in snack and bakery products.
“In the snack and bakery category, products that are formulated with fewer ingredients but still offer high nutritional value, such as reduced fat and increased proteins and fiber content, continue to grow in popularity,” said Courtney Schwartz, Marketing Director, Kemin Food Technologies – North America. “Fats and oils are key components in many baking and snack formulations and finding clean-label solutions to protect product quality and shelf life is critical to manufacturers. Kemin’s new interactive guide highlights a variety of ways producers can replace undesirable ingredients with effective clean-label solutions to ensure products stay as fresh as possible for as long as possible.”
The Kemin interactive bakery and snack guide demonstrates how the right clean label solution can provide stability while meeting a brand’s goals for clean, simple labels. These benefits include:
Retaining the fresh appearance and sensory qualities of snack foods by delaying oxidation and extending shelf life with Kemin plant extract blends
Extending the shelf life and maintaining the texture of baked goods while reducing microbes and mold, with Kemin mold inhibitors and food safety ingredients
Maintaining the texture and quality of tortillas, with Kemin’s full range of label-friendly dough conditioners, enzyme blends and batch packs to create products that stay soft, moist and pliable throughout their shelf life
The Kemin team understands how different factors—including mixing procedures, processing and storage temperatures, water activity and pH levels—affect the shelf life and consumer appeal of customers’ products. Kemin’s formulation experts help manufacturers solve formulation challenges—from the simple to the complex—to ensure products stay fresher and safer for longer so consumers can enjoy them at every stage of shelf life. With formulation expertise and an extensive portfolio of shelf-life solutions, Kemin helps manufacturers achieve ‘claimability’ with label claims that meet consumers’ demands without sacrificing shelf life or sensory appeal.