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Global Pastry & Bakery Industry Analysis

The global baked good industry (large segment of the cereal product industry) is expected to exceed $310 billion in 2015, according to research from Global Industry Analysts. Demand for baked and pastry goods is being driven by changing lifestyles, which leaves little time to prepare meals. Busy consumers are increasingly quick to buy convenient baked snack foods such as wraps and sandwiches.

The global baked goods market has shown rapid recovery following the economic recession, recording strong growth over recent years. Factors fuelling market expansion include convenience, affordability and health benefits of baked goods products. Demand for healthier fortified baked products has also driven sales.

The baked goods industry, encompassing products such as bread, cereals, cakes, biscuits, pastries and scones, is well established in industrialized regions such as Western Europe and North America. Product innovation and healthier products and ingredients are fuelling market growth in these regions. Emerging markets such as Latin America, Middle/East Africa and Asia represent good market potential as western lifestyles and eating habits continue to be adopted in these regions.

Key Segments

The world bread and rolls market is expected to exceed $174 billion in 2014, representing a near 12% increase in five years, reports MarketLine. Market volume is forecast to exceed 75 billion kilograms in 2014. Artisanal bread and rolls represent the leading market segment, accounting for almost 52% of the overall market in terms of value. The EU has a 60% share in the global bread and roll market. Grupo Bimbo is the number-one company operating in the bread and roll market, with more than a 3% market share.

Bread and rolls represent the leading market segment in the baked goods industry, reports Global Industry Analysts. Companies continue to focus on product innovation to adapt to evolving consumer needs. Demand for both healthier options and more indulgent products continues to rise together, with consumers opting for both healthy products and premium-priced baked goods such as cakes, pastries, filled sweet biscuits and luxury breakfast cereals.

Regional Market Share

Growing consumer awareness regarding health and nutrition in the US has pushed bakeries to respond to changing demand by offering healthier products made with high-quality ingredients. There has also been a renewed interest in comfort food and eating at home, according to research from Packaged Facts. The market is forecast to record more than 25% growth in the five year period ending 2014, when it should exceed $20 billion.

The US bread and roll market reached almost $17 billion in 2010, having recorded 3% yearly growth in the four preceding years, reports MarketLine. Industrial bread and rolls represented the segment generating the highest sales, exceeding $10 billion in 2010, and accounting for almost 61% of the overall market. Market growth is expected to accelerate to exceed a yearly rate of 3.5% between 2010 and 2015, when it should hit over $20 billion.

France’s bread and roll market reached almost $8 billion in 2010 after yearly growth of more than 0.5% for the four preceding years, according to MarketLine. Artisanal bread and rolls represented the segment generating the highest sales reaching almost $4.5 billion in 2010 for more than 56% of the overall market. Market growth is expected to slow to a yearly rate of 0.5% for the five-year period ending 2015, when it should generate just over $8 billion.

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Parent industry: Cereal Based Product
Related industries: Pasta, Noodle and Rice, Breakfast and Cereal

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