ID: MRFR/F-B & N/2265-HCR | February 2021 | Region: Global | 110 pages
Impact of COVID-19 on the Global Artisan Bakery Market
The advent of the global pandemic has resulted in creating a global crisis across the world. Impacting over 195 countries, the pandemic has already created an economic backdrop worldwide and is deemed to create a chaotic environment, thereby resulting in a global rescission. With the rising number of cases rapidly, the global artisan bakery market has been affected in many ways. Few COVID-19 impacts on global artisan bakery market have been discussed below:
Artisan bakery includes bakery products that are produced using traditional methods and ingredients. Artisan bakery products use different types of flour and length of fermentation. According to MRFR analysis, the demand for artisan bakery products is anticipated to decrease amid the COVID-19 pandemic and for the next couple of months. Owing to the worldwide lockdown, the overall bakery industry is facing a shortage of adequate labors. Artisan bakery, being a labor-intensive market, is currently one of the hardest-hit markets across the world. The migration of laborers back to their hometowns due to the lack of work is one such common issue that every country is facing during the pandemic situation. Big bakeries are somehow managing to continue production of artisan bakery products with the availability of minimum workforce, while small manufacturing companies are facing hard times. Apart from labor issues, other prominent issues, including the movement restrictions due to lockdown is disrupting the supply chain. Thus, the availability of raw materials such as wheat and yeast are some of the other key issues that are restricting the growth of artisan bakery market.
As a result of the COVID-19 outbreak, the emerging artisan bakery market has hit hard. Many food programs and international expositions are held every year to popularize the artisan bakery products. However, the outbreak of COVID-19 across the globe has resulted in postponing such expositions by organizers. For instance, Free From Functional & Health Ingredients (FFFHI) and Free From Packaging (FFP), The Sweets & Snacks Expo, Int’l Pizza Expo, and Int’l Artisan Bakery Expo, as well as IBAKTECH, are some of the international expos that have been canceled due to the outbreak. This is anticipated to restrict the growth of the artisan bakery market for a couple of years.
Additionally, the outbreak of COVID-19 has witnessed a shift in consumption and buying preference for food products, including artisan bakery products. As people are staying at home due to extended lockdown periods and closure of retail stores, their buying preferences is shifting from retail stores to online channels. The availability of wide product portfolios (artisan bakery products) in e-commerce channels at economical prices is also helping in increasing consumer preference for online shopping. However, lack of adequate stocks in e-commerce channels due to low production capacities amidst the COVID-19 outbreak is hampering the growth of the artisan bakery market.
Therefore, as the availability of conventional bakery products is reducing due to lockdown restrictions, the demand for artisan bakery products is certainly going to decrease in the next couple of months as people are anticipated to seek for more conventional bakery products during this uncertain time rather than purchasing artisan bakery products. However, as the lockdown eases and COVID-19 outbreak decreases, demand for artisan bakery products is anticipated to increase as people will perceive for bakery products that have high nutritional value and free from artificial ingredients.
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