Baking Ingredients Market Size, Share, Growth Analysis, By Type(Emulsifiers, Enzymes, Starch, Fiber), By Applications(Bread, Sweet bakery), By Form(Dry, Liquid), By Region - Industry Forecast 2024-2031

Global Baking Ingredients Market size was valued at USD 15.86 billion in 2022 and is poised to grow from USD 16.88 billion in 2023 to USD 27.73 billion by 2031, growing at a CAGR of 6.4% in the forecast period (2024-2031).

The baking ingredients market is characterised by the presence of well-established players as well as several small and medium-sized players. These manufacturers are pursuing a variety of strategies, including new product launches, product portfolio expansion, and mergers and acquisitions. Several large firms are forming multiple strategic alliances in order to increase their market share and get a competitive edge. 'Cargill, Incorporated', 'Archer Daniels Midland Company (ADM)', 'Kerry Group plc', 'Associated British Foods Plc (ABF)', 'Koninklijke DSM N.V.', 'Ingredion Incorporated', 'Corbion N.V.', 'Tate & Lyle plc', 'Lallemand Inc.', 'Lesaffre Group', 'DuPont de Nemours, Inc.', 'Arla Foods amba', 'Puratos Group NV', 'Dawn Food Products Inc.', 'AAK AB (publ)', 'British Bakels', 'Taura Natural Ingredients Limited', 'J&K Ingredients Corporation', 'Barry Callebaut AG', 'Callebaut & Co. NV'

For a long time, bakery products have served as basic food items for human nourishment. Confectionery and bakery items are in high demand due to expanding convenience food demand and consumer desire for appealing, flavorful, and textural treats. The key reasons influencing their sustenance in the present baking ingredients market are their easy accessibility, lower price, and nutrition. As a result, bakery products have become a vital part of many people's life. This has increased demand for diverse baking ingredients, which are utilised to create bread products that are rich in flavour and texture.

When making purchasing selections, consumers are becoming more conscious of concerns such as health, sustainability, and social impact. Environmental issues have been suggested as a result of the consumption of animal-based meals. Furthermore, some people object ethically to the use of animals in food items. Consumers are encouraged to become vegans or vegetarians for reasons such as animal welfare, the environment, and personal health. According to the Good Food Institute, plant-based food retail sales in the United States have climbed by 17%, totalling over USD 3 billion. Plant-based milk and plant-based meat are the most popular plant-based foods. The need for vegan baking ingredients may rise as the market for plant-based bakery products such as vegan cake, muffins, bread, and buns expands.

Based on region global baking ingredients market is segmented into North America, Asia Pacific, Europe, Latin America and Middle East Africa. During the projected period, the European market is expected to expand the most in terms of revenue. Increasing demand for emulsifier ingredients due to the growing popularity of premium bakery products such as low-fat, low-calorie, sugar-free, mineral and vitamin-fortified breads and cakes. For example, in September 2018, Warburtons, the UK's largest bakery brand, introduced new sourdough toasties with pockets, half loaf, white bread, and wholemeal flavours for its customers in the UK. Furthermore, the bakery ingredients market in Europe is predicted to increase due to the well-established bakery products industry, strong distribution channel, and extensive range of products, as well as increasing inclination for bakery products during festivals and special occasions. In terms of revenue, the North American market accounted for a sizable portion of the global market. Changing lifestyle habits, combined with increased customer desire for fast foods and other bakery food products, particularly among younger sections of society, drive up demand for bakery ingredients in households, restaurants, and other fast-food suppliers and outlets. These are some of the primary drivers projected to fuel significant growth in the North American baking ingredients industry. Furthermore, increased demand for high protein bakery products with low fat and no trans fats is likely to drive growth in the North America bakery ingredients market over the forecast period.