Global Cakes, Pastries, and Sweet Pies Market - Segmented by Product Type, Distribution Channel and Geography - Growth, Trends, and Forecast (2018 - 2023)
The global cakes, pastries, and sweet pies market was valued at USD 111.18 billion in 2017 and is expected to register a CAGR of 4.3%, during 2018-2023. The global volume consumption of cakes, pastries & sweet pies were 14607 million Kg with Europe accounting for major volume. Asia-Pacific is the fastest growing market driven by changing lifestyle and increased consumer taste for premium baked goods. Consumer interest for healthy eating is the primary restraint for the market. Competition from other baked goods, such as breakfast cereals, expanding food service sandwich chain are affecting the market growth.
Free-from, Natural and Organic: The Key Trend
High fat and gluten content restrains consumers to buy. As consumers shift towards low fat, gluten free, multigrain or wholegrain, high fiber, additives free products, the demand for free-from cakes and pastries have increased. The use of natural ingredients and focus on low-fat, freshness in cake products has managed to increase the consumption and mitigate concern over its shelf life storage. There is an increased demand for clean label baked products globally owing to adverse health effect of artificial ingredients. Consumers are looking for natural and organic ingredients in cakes and pastries. The global organic food market is expected to register a 14% CAGR during 2016 to 2021. The demand for organic cake, pastries, and sweet pies has increased significantly in Europe mainly in France and Germany. Organic is the primary claim, which has seen in every one out of ten baked products launched in France. However, Organic is not only the standalone label claim as consumers seek free-from or high fiber in addition to it. In 2017, about 29% of organic bread and sweet baked products launched with wholegrain claim while 20% with the gluten-free claim. Organic and healthier ingredients are attracting sales of cake, pastries, and sweet pies mostly in the developed region.
Asia-Pacific Driving Sales
Cakes, pastries, and sweet pie are not mature in Europe and North America. Also, the home baking trend, which is predominant in developed countries has not primarily followed in Asia. Majority of consumers buy cakes, pastries, and sweet pie from retailers or food service restaurants. Increased prevalence of western lifestyle and rising income has triggered the baked good sale in the region. China is expected to be the largest market for cakes and pastries during the forecasted period. China bakery and cereal market are expected to reach USD 47 billion by 2022. Despite the demand for the functional bakery, which is dominant in developed countries, Chinese prefers to buy something special. Cakes, pastries and sweet pies hold around 44% of China total bakery and cereal market. Bakery sector is one of the significant food sub-sectors in India, which is registering a CAGR of 7.5%. About 65% of cakes and pastries market in India is unorganized, which provides an excellent opportunity to various multiband with innovative products.