The global baking ingredients market is on a steady rise, projected to reach USD 22.3 billion by 2026, with a CAGR of 6.0% since 2021. While the pandemic impacted the bakery industry, exciting opportunities are on the horizon!
Today's consumers are increasingly conscious of health, sustainability, and social impact. As a result, the demand for vegan and vegetarian products is soaring. Plant-based foods have witnessed a remarkable 17% surge in US retail sales, surpassing USD 3.7 billion. This shift is driving the need for vegan baking ingredients, as customers seek delectable options like vegan cakes, muffins, bread, and buns.
Among baking ingredients, baking powder and mixes hold a prominent position, revolutionizing the baking process. Baking powder, a dry chemical leavening agent, lightens the texture of baked goods by releasing carbon dioxide gas through an acid-base reaction. Baking mixes, on the other hand, offer convenient, ready-to-use blends for various treats, including bread, cakes, waffles, and more.
The Asia Pacific region shines as the fastest-growing market during the forecast period. With North American and European markets reaching maturity, the APAC region presents dynamic growth opportunities. Baked goods like biscuits, sliced bread, cupcakes, and pastries are rapidly gaining popularity in developing countries such as Singapore, Hong Kong, South Korea, and India.
Key players in this thriving market include industry giants like Cargill, Archer Daniels Midland Company, Associated British Foods plc, Koninklijke DSM N.V., Kerry Group plc, and AAK AB. Other notable players like British Bakels, Corbion, IFF, and Dawn Food Products, Inc., also play essential roles in shaping the baking ingredients landscape.
