Asia-Pacific Baked Food & Cereals Market - Segmented by Product Type, Distribution Channel, and Geography â€“ Growth, Trends, and Forecast (2018 - 2023)
The Asia-Pacific Baked food & cereals Market is expected to reach USD 137 billion by 2023 at a CAGR of 6.5%, during the forecast period. The Asia-Pacific Baked food & cereals sale has surpassed 20,903 million Kg in 2017, registering a volume CAGR of 4.5%, during the forecast period. The consumption of baked food & cereals has observed a faster growth during the past five year which is expected to continue.
China dominates the market with a market share of 38%, with a volume consumption of 7,594 million Kg in 2017. Change in baked food & cereals consumption pattern and inclination towards healthier products are the primary factor affecting the market. Increased adoption of western lifestyle and increased consumer taste for nutritional baked food & cereals are driving sales.
Multigrain Products on Rise
Product launched with incorporating millets, ancient grains, high fibre, and nutritional cereals, such as oats, chia seeds, and flaxseeds have performed well over the past five years. Increased health awareness among consumer are driving baked product sales mainly in bread category. Baked food & cereals being a staple food that constitutes major part of daily diet, has catered more functional demand. New low carb, high fiber, multigrain, and fortified Baked food & cereals that appeal to health-conscious consumers have triggered the market growth. Healthier alternative of bread in India accounts for more than 20% of the total bread sales driven by multigrain and brown bread. The demand for functional ingredients in bakery products is rising, owing to its nutritional benefits. In addition to functional health benefits, incorporating natural ingredients, such as natural preservatives, antioxidants, and enzymes in Baked food & cereals are on rise. Companies are targeting to replace shortenings and fat with Omega-9, Omega 3, which improves the fatty acid profile and support performance. Cholesterol reduction, weight management, high protein, and sugar control are the key consumer trend.
China dominate the Market
China is the largest market, with a baked products volume consumption is expected to reach 10,070 million Kg by 2023. Cakes, pastries, and sweet pies dominate the market with a market share of 37% followed by bread and biscuits market. Rising consumer demand for western baked good especially pastries in China has fueled the market growth. Organic, natural, and health claim on Baked food & cereals offer potential future baked products market opportunity. Consumer preference for sweet baked good is popular among Asian countries. Expanding retail distribution channel is another factor expanding sales in rural and tier II cities. Increased competition from artisanal, food service offering varieties of fresh Baked food & cereals have affected the packaged baked food & cereals sale.