Global confectionery sector rises forecast $242 billion market by 2028

Despite considerable ongoing supply chain challenges, the size of the global confectionery market is forecast to reach $242.5 billion by 2028, at a projected compound growth rate of 3.8%, according to latest research from Fortune Business Insights, writes Neill Barston.

As the organisation noted, the notable anticipated rise from a value of $188 billion at the outset of the Covid-19 pandemic, comes amid a period of considerable overall change within the industry on an international level.

According to the company’s latest 2021-2028 study, consumers are showing a sustained preference towards more sustainably sourced, organic and natural ingredients, given the rise in health conditions and dietary requirements. Underlining this, the group cited Barry Callebaut’s research found that the market value for organic chocolates currently stands at €30 million in Western Europe alone.

This figure shows that the shifting consumer preference for chocolate and other confectionery items made from naturally-derived extracts will lead to the confectionery market trends in the foreseeable future, which as Confectionery Production has reported, was reflected by a growth in vegan and keto products being displayed at both ISM in Cologne, Germany, and Sweets & Snacks Expo recently in the US.

Furthermore, the new study from Indian-based Fortune Business Insights, noted that In the early months of the pandemic, the halt on sugar and chocolate processing plants had a huge impact on food demand. For example, in reaction to the COVID-19 outbreak in the United States, The Hershey Company voluntarily shut down all of its manufacturing facilities from March 16 to March 29, 2020.

In addition, the research highlighted that during the lockdown, supply chain disruptions, labour shortages, trade sanctions, and shipping and logistics fluctuations were all experienced. According to the CEO of the National Confectioners’ Association (NCA), consumers ate more meals at home during the quarantine period, reduced their supermarket visits, and increased their satisfaction levels with online shopping.

According to the study, wider economic conditions in recent years have delivered job opportunities within the wider food and drink sector, including ingredients and product solutions. This has been reflected in the fact greater access to education and skill development have expanded the number of employable people around the world, resulting in more working people and more office spaces, especially in large urban conglomerations. As a result, modern lifestyles have become more hectic and stressful, with unfortunate consequence being on health and fitness of people. Therefore, many consumers are now demanding on-the-go confectionery snacks, preferably having low sugar and fat, says the study.

In addition, the company also cited research from Loma Linda University Adventist Health Sciences Centre in California, which indicated that chocolate consumption positively impacts brain health and reduces stress and inflammation. This comes as demand for premium products within the segment continues to grow around the world, leading to manufacturers engaging with a heightened focus on delivering quality product ranges.

 

 

 

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