The market for baking ingredients is expected to grow at a CAGR of around 5.7% from 2020 to 2027 and expected to reach the market value of around US$ 21.7Bn by 2027.
Baking Ingredients are those which are used in the baking process to prepare food that uses dry heat, mostly in an oven or else in hot ashes, or on hot stones. Some of the basic ingredients used in baking include emulsifiers, leavening agents, enzymes, baking powder & mixes, oils, fats, and shortenings, colors & flavors, starch, and others including baking soda, eggs, honey, yeasts, fruits, and nuts. Fats coat gluten molecules and contribute to the finished product's tenderness as well as fat also contributes to the fluffiness of the final product. Eggs are basically a leavening agent and the yolks add fat and act as an emulsifier for a smooth and even texture in the finished product, additionally provide proteins to the structure of the baked good. Baking soda and baking powder form CO2, which ultimately makes the baked product rise.
The changing consumer lifestyle is accelerating the demand for convenience foods across the globe are propelling market growth. The demand for low trans-fat and gluten-free products is increasing due to rising consumer awareness & preference for a healthy lifestyle inclusive of healthy food products. Furthermore, emerging functions of baking ingredients, the introduction of alternatives for emulsifiers to reduce the production cost, and the growth of frozen bakery products are the factors expected to provide potential opportunities over the forecast period from 2020 to 2027.
On the other side, stringent regulations and international quality standards, and health issues due to excess consumption of trans-fatty acids are the factors projected to limit the growth over the forecast period from 2020 to 2027.
Breads segment is projected to maintain its dominance throughout the forecast period
Based on application, the bread segment is leading the market with maximum revenue share and the segment is also projected to maintain its dominance throughout the forecast timeframe from 2020 to 2027. The increasing development of artisan bread especially in European countries is supporting the segmental market value. The affordability of bread to the price-sensitive customers in developing countries is further bolstering the market growth. The nutritional benefits associated with the bread including calcium, fiber, protein, iron, vitamins & other minerals, low fat, and low sugar are further boosting the demand in the market.
Asia Pacific is projected to exhibit fastest growth over the forecast period from 2020 to 2027
Along with emerging economies and a rapidly increasing population base, Asia Pacific is estimated to experience the fastest growth throughout the forecast period from 2020 to 2027. The major economies of the region including China and India are accelerating the regional market growth. The changing lifestyle, presence of a large base of young population, rapid urbanization, increasing consumption of bakery products is some of the factors bolstering the demand for baking ingredients in the market. Additionally, bread is also replacing Chinese traditional breakfast items like porridge and fried dough sticks, thereby propelling the demand for baking ingredients in the country.
Key Market Players
The players profiled in the report include Archer Daniels Midland (US), BASF SE (Germany), Cargill Incorporated (US), Darling Ingredients Inc. (US), DowDuPont Inc. (US), Ingredion Incorporated (US), InVivo (France), John Pointon & Sons Ltd.(UK), Kemin Industries, Inc. (US), Koninklijke DSM N.V (Netherlands), Omega Protein Corporation (US), Roquette Frères (France), SunOpta (Canada), and others. The increasing production capacity of major players in order to fulfil the escalating demand of ingredients in the market is bolstering the growth.
Market By Type
Baking Powder & Mixes
Oils, Fats and Shortenings
Colors & Flavors
Others (Baking Soda, Eggs, Honey, Yeasts, Fruits, And Nuts)
Market By Application
Cookies & Biscuits
Rolls & Pies
Cakes & Pastries
Others (Pizza Bases, Donuts, Tortillas, Pretzels, Scones, And Cereals)
Market By Geography
Middle East & Africa
The market for baking ingredients is expected to reach a market value of around US$ 21.7 Bn by 2027.
The baking ingredients market is expected to grow at a CAGR of around 5.7% from 2020 to 2027.
The breads is the leading segment by application in the baking ingredients market
The changing consumer lifestyle is accelerating the demand for convenience foods, demand for low trans-fat and gluten-free products is increasing, and rising consumer awareness & preference about the healthy lifestyle inclusive of healthy food products are some of the factors driving the market growth.
Archer Deniels Midland (US), BASF SE (Germany), Cargill Incorporated (US), Darling Ingredients Inc. (US), DowDuPont Inc. (US), Ingredion Incorporated (US), InVivo (France), John Pointon & Sons Ltd. (UK), Koninklijke DSM N.V (Netherlands), Kemin Industries, Inc. (US), Omega Protein Corporation (US), Roquette Frères (France), SunOpta (Canada), and others are the prominent players in the market.
Asia Pacific is expected to be the fastest growing market over the forecast period
North America is expected to account for major revenue share in the global market.