Organic Bakery Ingredient Market OverviewÂ
Organic Bakery Ingredient Market Size was estimated at 23.46 (USD Billion) in 2022.The Organic Bakery Ingredient Market Industry is expected to grow from 24.99(USD Billion) in 2023 to 44.2 (USD Billion) by 2032. The Organic Bakery Ingredient Market CAGR (growth rate) is expected to be around 6.54% during the forecast period (2024 - 2032).
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Key Organic Bakery Ingredient Market Trends Highlighted
The market of organic bakery ingredients has been booming owing to the ongoing robust consumer trend towards healthy, organic eating. Owing to the increasing awareness of the negative repercussions that the use of impermanent ingredients bears upon the health of people there has been an ever-grown demand for the organic substitutes. In addition, the changing habits of consumers, including their rising per capita income and their varying preferences, have added to the growth of the market. Moreover, the technological developments in organic farming and food processing have also contributed immensely towards enhancing the supply and quality of organic bakery components. The market is projected to be in a growth phase for the next five years, each of which would present business avenues for growth and response to a larger customer population.
Organic Bakery Ingredient Market Drivers
Changing Consumer Preferences for Healthier Food Options
One of the most prominent drivers, the rising health consciousness among consumers, exerts a favorable impact on the Global Organic Bakery Ingredient Market Industry. In particular, consumers are demanding food items that they consider wholesome and all-natural, and organic bakery ingredients fall within the specified category. Not only are they perceived as healthier than the conventional inclusions, but they are also considered more nutritious. Organic bakery components do not contain any synthetic pesticides, herbicides, or fertilizers.Therefore, it is most likely that the growing demand for a healthier alternative to bakery ingredients will play a critical role in the increased share of the organic variant in the bakery ingredient market.
Increasing Demand for Organic and Natural Products
The increasing demand for organic and natural products is another key driver of the Global Organic Bakery Ingredient Market Industry. Consumers are becoming more aware of the potential health risks associated with consuming food products made with synthetic ingredients. As a result, there is a growing preference for organic and natural products, including organic bakery ingredients. This trend is expected to continue in the coming years as consumers become more educated about the benefits of organic and natural products.
Government Regulations and Support for Organic Agriculture
Government regulations and support for organic agriculture are also contributing to the growth of the Global Organic Bakery Ingredient Market Industry. Governments around the world are increasingly recognizing the importance of organic agriculture and are implementing policies and programs to support organic farmers. This support includes financial assistance, technical assistance, and marketing support. As a result of this government support, the area of land under organic cultivation is increasing, which is leading to a greater supply of organic bakery ingredients.
Organic Bakery Ingredient Market Segment Insights:
Organic Bakery Ingredient Market Product Type Insights
The Global Organic Bakery Ingredient Market is segmented into product types such as Organic Flour, Organic Sugar, Organic Fats and Oils, Organic Eggs, and Organic Dairy Ingredients. Among these, Organic Flour holds the largest market share due to the increasing demand for gluten-free and organic bread. The market for Organic Sugar is projected to grow at a significant rate due to the rising awareness of the health benefits of natural sweeteners. Organic Fats and Oils are gaining popularity as a healthier alternative to conventional fats and oils, while Organic Eggs are in demand due to the growing concerns over the use of antibiotics and hormones in poultry farming.Organic Dairy Ingredients are witnessing a surge in demand as consumers seek natural and minimally processed dairy products. The Global Organic Bakery Ingredient Market is expected to reach a valuation of USD 26.47 billion by 2024, growing at a CAGR of 7.2% during the forecast period (2024-2032).
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Organic Bakery Ingredient Market Application Insights
The application segment of the Global Organic Bakery Ingredient Market has been segmented into Bread and Rolls, Cakes and Pastries, Cookies and Biscuits, Pizza and Flatbreads, and Other Bakery Products. The Bread and Rolls segment led the market in 2023 and is anticipated to continue its dominating throughout the estimated period due to the rise in the acceptance of organic bread because of the health advantages and improved awareness of consumers regarding the negative effects of synthetic chemicals. Another market’s significant segment is Cakes and Pastries, which is expected to grow in foodservice and other industries.
Organic Bakery Ingredient Market Distribution Channel Insights
The distribution channel segment plays a crucial role in the Global Organic Bakery Ingredient Market. In 2023, the retail segment held the largest market share, accounting for approximately 45% of the Global Organic Bakery Ingredient Market revenue. This dominance can be attributed to the growing number of health-conscious consumers who prefer to purchase organic products from supermarkets, hypermarkets, and convenience stores. The food service segment is projected to witness significant growth over the forecast period, owing to the increasing demand for organic bakery ingredients in restaurants, cafes, and bakeries.The online segment is gaining traction due to the convenience and wide variety of products offered by e-commerce platforms. The wholesale segment caters to bulk purchases by manufacturers and distributors, contributing to the overall market growth.
Organic Bakery Ingredient Market Certification Insights
The Global Organic Bakery Ingredient Market is segmented based on certification into USDA Organic, Non-GMO Project Verified, Fair Trade Certified, and EU Organic. The USDA Organic segment accounted for the largest share of the market in 2023 and is expected to continue to dominate the market during the forecast period. The Non-GMO Project Verified segment is expected to grow at the highest CAGR during the forecast period due to the increasing consumer demand for non-GMO products. The Fair Trade Certified segment is expected to grow at a steady pace during the forecast period due to the increasing demand for ethically sourced products.The EU Organic segment is expected to grow at a moderate pace during the forecast period due to the stringent organic standards in the EU.
Organic Bakery Ingredient Market Target Consumer Insights
The Global Organic Bakery Ingredient Market segmentation by Target Consumer includes Health-Conscious Consumers, Consumers with Dietary Restrictions, and Consumers Seeking Natural and Sustainable Products. Health-conscious consumers are increasingly opting for organic bakery ingredients due to the perceived health benefits associated with organic products. Consumers with dietary restrictions, such as gluten intolerance or allergies, are also driving demand for organic bakery ingredients. Additionally, consumers seeking natural and sustainable products are choosing organic bakery ingredients as they align with their values and lifestyles.This growth is attributed to rising health consciousness, increasing demand for clean-label products, and growing consumer preference for sustainable and ethical food choices.
Organic Bakery Ingredient Market Regional Insights
The Global Organic Bakery Ingredient Market is segmented into North America, Europe, APAC, South America, and MEA. North America held the largest market share in 2023 and is expected to continue its dominance throughout the forecast period. The region's well-established organic food industry and growing consumer awareness of health and wellness are key factors driving market growth. Europe is another major market for organic bakery ingredients, with countries such as Germany, France, and the United Kingdom leading the way. The region's strong focus on sustainable agriculture and high disposable income contribute to the demand for organic bakery ingredients.APAC is expected to witness significant growth in the coming years, driven by rising disposable income and increasing health consciousness among consumers in countries such as China, India, and Japan. South America and MEA are also expected to experience steady growth, albeit at a slower pace compared to other regions.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Organic Bakery Ingredient Market Key Players And Competitive Insights:
Major players in the Organic Bakery Ingredient Market are constantly engaged in research and development to introduce innovative products and improve their market position. Leading Organic Bakery Ingredient Market players are focusing on expanding their global footprint through strategic acquisitions and partnerships. The Organic Bakery Ingredient Market industry is characterized by intense competition, with a number of key players accounting for a significant market share. These players are investing heavily in research and development to develop new products and technologies, as well as to expand their distribution networks. The Organic Bakery Ingredient Market Competitive Landscape is expected to remain highly competitive in the coming years, with major players continuing to invest in product development, capacity expansion, and marketing initiatives.Puratos is a global leader in the Organic Bakery Ingredient Market industry, offering a wide range of products and services to the bakery sector. The company has a strong presence in over 100 countries and is committed to providing innovative solutions to its customers. Puratos is focused on sustainability and has a number of initiatives in place to reduce its environmental impact. The company is also investing heavily in research and development to develop new products and technologies.Archer Daniels Midland Company (ADM) is a global leader in the agricultural industry and a major player in the Organic Bakery Ingredient Market. The company offers a wide range of products and services to the bakery sector, including flour, starches, and sweeteners. ADM has a strong focus on sustainability and has a number of initiatives in place to reduce its environmental impact. The company is also investing heavily in research and development to develop new products and technologies.
Key Companies in the Organic Bakery Ingredient Market Include:
- Nature's Path Foods
- Grupo Bimbo
- Kerry Group
- Cargill
- Whole Foods Market
- Doves Farm
- Hain Celestial
- King Arthur Flour
- AAK AB
- General Mills
- Bob's Red Mill
- The Kroger Co.
- ADM
- McCormick Company
Organic Bakery Ingredient Market Industry Developments
The Global Organic Bakery Ingredient Market is projected to exhibit considerable growth in the coming years, driven by rising consumer demand for healthier bakery products and increasing awareness of the benefits of organic ingredients. Key recent developments in the market include:Expansion of Product Offerings: Major players are expanding their product lines to cater to the growing demand for diverse organic bakery ingredients. For instance, Ingredion Incorporated launched a new range of organic flours and starches.Strategic Partnerships: Companies are forming strategic partnerships to enhance their capabilities and market reach. In 2021, Corbion entered into a partnership with Puratos to develop and market a range of organic bakery ingredients.Government Initiatives: Governments worldwide are implementing policies to promote organic agriculture, which is boosting the demand for organic bakery ingredients. For example, the European Union has set a target of increasing organic farming to 25% of total agricultural land by 2030.Technological Advancements: Innovations in food technology are leading to the development of new and improved organic bakery ingredients. For instance, advances in extrusion technology are enabling the production of organic, gluten-free flours with enhanced nutritional value.
Organic Bakery Ingredient Market Segmentation Insights
Organic Bakery Ingredient Market Product Type Outlook
- Organic Flour
- Organic Sugar
- Organic Fats and Oils
- Organic Eggs
- Organic Dairy Ingredients
Organic Bakery Ingredient Market Application Outlook
- Bread and Rolls
- Cakes and Pastries
- Cookies and Biscuits
- Pizza and Flatbreads
- Other Bakery Products
Organic Bakery Ingredient Market Distribution Channel Outlook
- Retail
- Foodservice
- Online
- Wholesale
Organic Bakery Ingredient Market Certification Outlook
- USDA Organic
- Non-GMO Project Verified
- Fair Trade Certified
- EU Organic
Organic Bakery Ingredient Market Target Consumer Outlook
- Health-Conscious Consumers
- Consumers with Dietary Restrictions
- Consumers Seeking Natural and Sustainable Products
Organic Bakery Ingredient Market Regional Outlook
- North America
- Europe
- South America
- Asia Pacific
- Middle East and Africa
Organic Bakery Ingredient Market Report Scope
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Report Attribute/Metric
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Details
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Market Size 2022
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23.46(USD Billion)
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Market Size 2023
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24.99(USD Billion)
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Market Size 2032
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44.2(USD Billion)
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Compound Annual Growth Rate (CAGR)
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6.54% (2024 - 2032)
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Report Coverage
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Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
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Base Year
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2023
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Market Forecast Period
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2024 - 2032
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Historical Data
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2019 - 2023
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Market Forecast Units
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USD Billion
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Key Companies Profiled
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Nature's Path Foods, Grupo Bimbo, Kerry Group, Cargill, Whole Foods Market, Doves Farm, Hain Celestial, King Arthur Flour, AAK AB, General Mills, Bob's Red Mill, The Kroger Co., ADM, McCormick Company.
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Segments Covered
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Product Type, Application, Distribution Channel, Certification, Target Consumer, Regional.
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Key Market Opportunities
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Growing demand for health-conscious baked goods Rising awareness of the benefits of organic ingredients Increasing availability of organic bakery ingredients Technological advancements in organic bakery ingredient production Expanding retail distribution channels for organic baked goods.
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Key Market Dynamics
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Clean label trend Glutenfree bakery Plantbased alternatives
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Countries Covered
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North America, Europe, APAC, South America, MEA
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Frequently Asked Questions (FAQ) :
The Global Organic Bakery Ingredient Market is expected to reach a valuation of USD 24.99 billion in 2023 and is projected to grow at a CAGR of 6.54% to reach USD 44.2 billion by 2032.
North America currently dominates the Global Organic Bakery Ingredient Market and is expected to maintain its dominance throughout the forecast period. The region's large-scale adoption of organic food products and the presence of major organic ingredient suppliers contribute to its leading position.
Organic bakery ingredients are primarily used in the production of a wide range of bakery products, including bread, cakes, pastries, cookies, and muffins. They are also used in the manufacturing of organic breakfast cereals, snacks, and other baked goods.
Midland Company, Cargill, Incorporated, EHL Ingredients, Ingredion Incorporated, Kerry Group plc, and Tate Lyle PLC.
The market's growth is primarily driven by rising consumer demand for organic and healthy food products, increasing awareness of the benefits of organic ingredients, and growing disposable income in developing economies.
The market faces challenges such as the limited availability of organic raw materials, stringent regulatory standards, and intense competition from conventional bakery ingredients.
Emerging trends include the development of new and innovative organic bakery ingredients, the increasing use of ancient grains and alternative flours, and the adoption of sustainable and eco-friendly practices throughout the supply chain.
The Global Organic Bakery Ingredient Market is expected to witness steady growth in the coming years, driven by rising consumer demand, increasing awareness, and favorable government regulations.
Growth opportunities lie in expanding into emerging markets, developing innovative products, and focusing on sustainability and transparency throughout the supply chain.
To ensure sustainable growth, the market needs to address challenges such as ensuring the availability of organic raw materials, reducing environmental impact, and promoting fair trade practices.
