Bakery Goods Manufacturing Market

Bakery Goods Manufacturing Market Outlook (2024 to 2034)

The global bakery goods manufacturing market is approximated to reach a value of US$ 403.35 billion in 2024 and thereafter forecasted to rise at 2.5% CAGR to touch US$ 517.85 billion by the end of 2034.

Bakery producers are pushed to innovate unique tastes, artisanal ingredients, premium-quality offers, and others due to increasing consumer demand for distinctive and varied flavors. Consumers are becoming more interested in baked goods with international influences, such as matcha, miso, or Mediterranean flavors, in addition to classic baked goods. Several ingredients and flavors that satisfy both indulgence and quality are tried by manufacturers because of this change.

Continuously expanding retail and online channels is creating the need for bakery goods manufacturing as they are facilitating consumers' purchasing of fresh and specialized products. Customers now easily order baked goods for home delivery due to the growth of e-Commerce and supermarket delivery services, which is increasing the reach of bakery outlets beyond conventional brick-and-mortar storefronts. With the help of subscriptions, choices, and tailored marketing made possible by online platforms, bakeries are attracting clientele and driving up business.

Key Market Growth Drivers

• The bakery goods manufacturing market size is expanding due to consumers increasingly purchasing these products, particularly those prepared with whole grains, reduced sugar, and gluten-free components. In response to this, manufacturers are focusing on producing healthies products of classic goods.
• A high percentage of consumers are attracted to new and distinctive flavors, which are pushing manufacturers to innovate artisanal ingredients, premium products, and international tastes.
• Fast and easy food options are becoming more popular, especially among busy consumers and this is one of the ongoing bakery goods manufacturing market trends.
• The market is expanding due to the growing popularity of packaged items, such as ready-made bread, grab-and-go pastries, and others.
• The expanding e-Commerce and supermarket delivery services are further positively influencing the demand growth as accessibility to a wide range of bakery goods is increasing among consumers.
• By offering subscription alternatives and targeted marketing, online platforms are also expanding their consumer base and increasing sales as well as driving up demand for bakery goods.
• Specialty and artisan baked products, such as those that are locally sourced, organic, and non-GMO, are increasing in demand. Manufacturers are encouraged by the premiumization trend to provide niche, high-quality products that satisfy consumers' desire to spend more for superior ingredients.

Report Attribute	Detail
Bakery Goods Manufacturing Market Size (2024E)	US$ 403.35 Billion
Forecasted Market Value (2034F)	US$ 517.85 Billion
Global Market Growth Rate (2024 to 2034)	2.5% CAGR
North America Market Value (2024E)	US$ 79.43 Billion
South Asia & Pacific Market Growth Rate (2024 to 2034)	3.3% CAGR
Fresh and Frozen Bread & Rolls Segment Value (2034F)	US$ 297.34 Billion
Supermarkets Segment Value (2034F)	US$ 186.55 Billion
Key Companies Profiled	Grupo Bimbo; Mondel?z International; General Mills; Nestlé; Yamazaki Baking; Flowers Foods; Tyson Foods; McKee Foods; Hostess Brands; Aryzta.

Why is the Need for Bakery Goods Manufacturing Increasing Across the Globe?

“Growing Popularity of Quick and Easy Food Solutions”

One of the key trends that are driving the bakery goods manufacturing market growth is the increasing need for quick and easy food options, particularly for busy consumers who want quick and easy solutions when selecting meals. This desire for convenience is met by packaged bakery products, such as grab-and-go pastries, ready-made bread, pre-packaged desserts, and others, which is providing customers with delectable and ready-to-eat options that require little preparation.

Because of this, producers are focusing on creating baked goods that are more portable and shelf-stable so they are easily incorporated into hectic lives. As businesses innovate to provide a range of convenient, high-quality items that are appealing to clients who are constantly on the go, this trend is also contributing to market growth.

What is Negatively Influencing the Market Growth for Bakery Goods Manufacturing?

“Price Hikes in Raw Material Negatively Impacting Demand Growth”

The market for bakery goods manufacturing is facing serious challenges with the rise in the raw material process because changes in the pricing of essential commodities, such as flour, sugar, and butter directly raise production costs.

Manufacturers are faced with difficult choices when these costs increase: either accept the increased costs and lower profit margins or pass these costs on to customers by raising product pricing. However, particularly in areas where customers are price-sensitive, increased prices somehow put off buyers and hence lower demand.

Other than this, because bakery products are perishable, their shelf life is generally limited, especially for fresh items, such as bread and pastries. If not eaten right away, their short shelf life makes them prone to spoiling and resulting in substantial product waste. Because of this, producers find it difficult to distribute these goods across large areas because the chance of spoiling rises with longer transit durations.

Country-wise Insights

The North American region is analyzed to hold a leading position with a significant global bakery goods manufacturing market share throughout the projection period. The market is growing in the region, especially in the United States due to increasing demand for quick-to-eat and handy foods.

The market in Western Europe is also showing bullish sentiments with its varied regional specialties and long history of baking. Because of this reason, the demand for bakery goods, particularly high-quality bread and pastries is continuously increasing.

Why is the Requirement for Bakery Goods Manufacturing Rising in the United States?

“Increasing Home Delivery Options for Fresh Bakery Goods Attracting Consumers”

Attribute	United States
Market Value (2024E)	US$ 71.14 Billion
Growth Rate (2024 to 2034)	2.4% CAGR
Projected Value (2034F)	US$ 89.83 Billion

The expanding e-Commerce industry in the United States is becoming a reason behind the growing demand for bakery goods as it is providing easy access as well as a large selection of products to consumers. Online grocery shopping platforms reduce the need for in-store visits as they allow customers to conveniently browse and order fresh bakery items from the comfort of their homes.

Online grocery shopping sites are gaining popularity among consumers in the United States due to their convenience. In addition, home delivery alternatives made possible by e-Commerce guarantee that baked items arrive fresh and ready to eat. Consequently, the growth of online purchasing not only increases revenues for bakeries but it is also promoting recurring business.

What is the Demand Outlook for Bakery Goods Manufacturing in Japan?

“High Demand for Bakery Items in Social Gatherings and Celebrations”

Attribute	Japan
Market Value (2024E)	US$ 14.87 Billion
Growth Rate (2024 to 2034)	3.2% CAGR
Projected Value (2034F)	US$ 20.43 Billion

In Japanese culture, bakery goods hold a special place and are widely consumed in festivals, festivities, and social events. Bread and pastries, which represent sharing and togetherness, are widely consumed during family get-togethers, holidays, and community celebrations.

Traditional Japanese baked delicacies, such as "melon pan" (sweet bread with a cookie crust) and "anpan" (sweet bean paste-filled bread), represent a fusion of culinary innovation with cultural history. Because of this cultural respect, there is a steady demand for bakery goods as people look for special delicacies that improve their social interactions in addition to necessities.

Category-wise Insights

Based on major market, the convenience stores & other grocers segment is evaluated to expand at 2.8% CAGR through 2034 because fresh bakery goods are easily accessible at convenience stores, which allows people with hectic schedules to quickly grab meals or snacks on the run. To meet a range of customer tastes, several grocers are also increasing the selection of goods in their bakery areas, offering everything from gourmet pastries to artisanal bread.

Which Product Type of Bakery Goods is Gaining Popularity?

“Rising Customers Preference for Convenience and Quality Products”

Attribute	Fresh and Frozen Bread & Rolls
Segment Value (2024E)	US$ 225.8 Billion
Growth Rate (2024 to 2034)	2.8% CAGR
Projected Value (2034F)	US$ 297.34 Billion

The demand for fresh and frozen bread & rolls is increasing at a better pace in comparison with other products due to the growing customer preference for quality and convenience. While frozen choices give the advantage of a longer shelf life without sacrificing taste or texture, fresh bread & rolls satisfy consumers' need for products with an artisanal and handcrafted feel.

The demand for freshly baked and consistently high-quality bread products is growing because of the increasing number of quick-service restaurants and café culture. Because frozen bread is used whenever needed at home, it is also appealing to consumers who want to cut down on waste.

Why Sales of Bakery Goods are High from Supermarkets?

“Convenience of One-Stop Shopping and Extensive Product Variety Making Them Ideal Choice”

Attribute	Supermarkets
Segment Value (2024E)	US$ 141.18 Billion
Growth Rate (2024 to 2034)	2.8% CAGR
Projected Value (2034F)	US$ 186.55 Billion

The purchasing rate of bakery goods is high from supermarkets as they provide a simple and one-stop shopping experience where customers easily access a large choice of fresh and packaged items. The smell and appearance of freshly baked foods entice shoppers, and supermarkets often have specialized in-store bakeries that provide freshly baked goodies. Supermarkets are also an ideal option for customers looking for both quality and affordability because they generally provide competitive prices and deals on bakery goods.

Competitive Landscape

Key players in the bakery goods manufacturing market are focusing on diversifying their product lines to offer a range of baked items, such as low-sugar, organic, gluten-free varieties, and others. By meeting a wide range of consumer dietary requirements and preferences, businesses are attracting a larger audience base.

• In August 2024, Ellison Bakery, a producer of cookies, snack bars, crunches, toppings, and inclusion ingredients for retail, food service, and private label end markets, was acquired by QualiTech, a global manufacturer of plant nutrition, animal nutrition, and food ingredient products and services.
• In August 2024, Tim Hortons and Nutella partnered to launch a new line of baked items and drinks across Canada. Nutella-topped Dream Cookies and Dream Donuts, as well as a croissant stuffed with the hazelnut spread, are part of the new baked goods range.
• In June 2024, Stellex Capital Management ("Stellex"), a private equity firm that invests in middle-market businesses in North America and Europe, purchased J. Skinner Baking, a leading producer of artisan baked products, such as danishes, muffins, cinnamon rolls, brownies, and bars. The transaction's financial specifics have not been made public.

Fact.MR provides detailed information about the price points of key players in the bakery goods manufacturing market positioned across the world, sales growth, production capacity, and speculative technological expansion, in this new market report.

Segmentation of Bakery Goods Manufacturing Market Research

• By Product and Service :

  • Fresh and Frozen Bread & Rolls
  • Fresh and Frozen Cakes, Pies & Other Pastries
  • Cookies, Crackers & Pretzels
  • Tortillas & Flatbreads

• By Major Market :

  • Supermarkets
  • Convenience Stores & Other Grocers
  • Food Service & Hospitality Industries
  • Grocery Wholesalers

• By Region :

  • North America
  • Western Europe
  • Eastern Europe
  • Latin America
  • East Asia
  • South Asia & Pacific
  • Middle East & Africa