Sugar confectionery to grow at the highest rate, due to growing consumer preference for soft & chewy products
Its report: ‘Confectionery Ingredients Market by Type, Source, Form and Application: Global Industry Perspective, Comprehensive Analysis, and Forecast, 2018–2025’ claims the growing number of health-conscious consumers and increasing preference for confectionery ingredients will drive the global confectionery ingredients market.
Rise in health awareness
Increased investments by industry players on innovation and research and development will also have a positive impact on the confectionery ingredients market growth in the future.
Key players operating in this field include; Barry Callebaut, Arla Foods, Archer Daniels Midland Company, DuPont, Kerry Group, Olam International, DSM, Ingredion and Cargill, among others.
The report claims there will be a rise in consumer awareness in the health benefits of chocolate and demand for natural ingredients following a change in eating habits, also a growing trend of gifting chocolates on special occasions.
Confectionery products can also be produced with whey ingredients, which includes whey powder and lactose. Lactose has various benefits in confectionery products. Whey powder is used to decrease the contents of sugar and proteins along with substituting other milk products. Other confectionery ingredients include syrup, icing sugar, water, sucrose, skimmed milk, glucose, etc.
“Based on type, the confectionery ingredients market is segmented into cocoa and chocolate, dairy ingredients, hydrocolloids, emulsifiers, malts, oils and shortenings, starch and derivatives, sweeteners, flavors, and others,” the report states.
“The cocoa and chocolate segment contributed the highest revenue share in 2018, due to growing industrialization, lifestyle-related changes among consumers, and evolving food habits.
“On the basis of source, the market is segmented into synthetic and natural. The synthetic segment held a major share of the global confectionery ingredients market in 2018, as manufacturers mostly rely on confectionery ingredients from synthetic source due to its functional benefits and cost efficiency.
“Based on form, the market is segmented into dry form and liquid form. Dry form is expected to grow significantly in the future, owing to its functional advantages and operational efficiencies. On the basis of application, the market is segmented into chocolate, sugar confectionery, gum, and others.
“The sugar confectionery segment is expected to grow at the highest rate in the future, due to growing consumer preference for soft and chewy products, various applications of sugar confectionery in soft chews, candies, marshmallows, and other confectionery products, and low production costs.”
Region by region
By region, Europe held the major market share of the market in 2018, due to the increasing confectionery ingredients demand, the increasing number of health-conscious people, and changing eating habits of the regional population.
The region’s rapidly growing food and beverage sector is likely to drive the confectionery ingredients market over the forecast timeframe.
The North American confectionery ingredients market held a substantial market share globally in 2018, due to a high awareness of the health benefits of confectionery ingredients and the presence of major industry players in the region.
The Asia Pacific confectionery ingredients market is expected to show the highest CAGR over the forecast time period, owing to the increasing disposable income of people.
Developing countries such as, India and China, are seeing a growing popularity for confectionery ingredients due to changing lifestyles and rising urban populations that prefer confectionery food items.
The Latin American market will witness significant growth over the forecast time period, owing to the increasing demand for confectionary food, rising investments made by government organizations and private companies in the food industry.
The increasing disposable income of people and rising awareness regarding different food ingredients are anticipated to boost the demand for sugar-free beverages and drinks, which, in turn, will further drive Latin America’s confectionery ingredients market.
The Middle East and Africa is expected to experience lucrative growth over the forecast time period, owing to the rising government initiatives for the development of the region’s food sector. The food sector is an important vertical of the UAE economy and Dubai is a major hub for food exports.