Confectionery Ingredients - Market Insights, Competitive Landscape, and Market Forecast - 2030

Confectionery Ingredients - Market Insights, Competitive Landscape, and Market Forecast - 2030

Confectionery Ingredients Market By Type (Dairy Ingredients, Cocoa & Chocolate, Emulsifiers & Stabilizers, Flavors, Oils & Shortenings, Sweeteners, And Others), Form (Dry And Liquid), And Geography (North America, Europe, Asia-Pacific, And Rest Of The World) is expected to grow at a steady CAGR forecast till 2030 owing to the growing demand for natural ingredients and growing disposable income and consumer spending on premium and artisanal products

The global confectionery ingredients market is estimated to grow at a CAGR of 3.83% during the forecast period from 2024 to 2030. The demand for confectionery ingredients is primarily being boosted by the growing demand for natural ingredients, growing disposable income globally, increasing consumer spending on premium and artisanal products, and expansion of distribution channels, during the forecast period from 2024 to 2030.

Confectionery Ingredients Market Dynamics:

The International Cocoa Organization releases the Cocoa Market Report for 2024, with prices at US$7,109 at the start of March 2024, by the end of the month, the nearby contract in London increased by 47% to US$10,455 per tonne while in New York it rose by 44% from US$6,769 per tonne to US$9,729 per tonne.

So, with a higher demand for cocoa, confectionery companies are likely to develop new products or expand their existing product lines to capitalize on this trend. This can lead to a wider variety of chocolate-based confectionery products being available in the market, attracting more consumers driving sales and demand for confectionery ingredients, and helping the overall growth of the confectionery ingredient market.

Moreover, a strong economy with higher disposable income levels and urbanization can lead to increased consumer spending on premium and artisanal products. With the progression of economies and the urbanization of societies, there's a boost in spending capability and a transformation in consumer habits, leading to heightened demand for convenient food choices such as confectionery goods, as people opt for quick and hassle-free snacks and sweets.

On the other hand, as consumers seek premium and artisanal confectionery products, there's a higher demand for high-quality ingredients to match the elevated standards of these products. This can lead to increased sales of premium-grade cocoa, dairy products, nuts, flavorings, and other confectionery ingredients. Further, premium and artisanal confectionery products often have a global appeal, attracting consumers who are willing to pay a premium for unique and indulgent treats. Ingredient suppliers can capitalize on this trend by expanding their market reach and offering specialty ingredients to confectionery manufacturers operating in international markets. So, this trend is particularly evident in emerging markets, where a growing middle class is willing to explore and indulge in high-quality confectionery products, thereby driving the demand for premium ingredients.

Thus, due to the interplay of all the above-mentioned factors, the demand for confectionery ingredients will increase, thus resulting in the overall growth of the confectionery ingredients market.

However, the regulatory compliance and labeling requirements and cost and price volatility of confectionery ingredients may act as factors that are expected to limit the growth of the confectionery ingredients market.

Confectionery Ingredients Market Segment Analysis:

Confectionery Ingredients Market by Type (Dairy Ingredients, Cocoa & Chocolate, Emulsifiers & Stabilizers, Flavors, Oils & Shortenings, Sweeteners, and Others), Form (Dry and Liquid), and Geography (North America, Europe, Asia-Pacific, and Rest of the World)

In the product segment of the confectionery ingredients market, the cocoa & chocolate category is estimated to amass a significant revenue share in the confectionery ingredients market in 2023. This can be attributed to its diverse applications, which include confectionery, baking, food processing, and food technology. Moreover, cocoa and chocolate have a broad and universal appeal, enjoyed by people of all ages and cultures around the world. This widespread popularity ensures a consistently high demand for cocoa and chocolate ingredients in the confectionery industry.

On the other hand, cocoa and chocolate ingredients are highly versatile and can be used in a wide variety of confectionery products, including chocolates, candies, cookies, cakes, ice creams, and more. Their ability to enhance flavor, texture, and aroma makes them indispensable ingredients in many confectionery recipes.

Furthermore, cocoa and chocolate are often associated with indulgence and pleasure, making them key ingredients in premium and luxury confectionery products. Consumers are willing to pay a premium for high-quality chocolates and chocolate-based treats, driving the demand for cocoa and chocolate ingredients. As a result, the cocoa and chocolate segment is expected to maintain its robust growth trajectory, playing a pivotal role in shaping the landscape of the global confectionery ingredients market.

In addition, the various products launched by the key players to strengthen and support their business line and gain dominance in the confectionery ingredient market are expected to propel the demand for the confectionery ingredients market. For example, in March 2024, Cargill unveils NatureFresh Professional block chocolates, chocolate chips & cocoa powder, showcasing innovative food solutions at AAHAR 2024.

Thus, due to the interplay of all the above-mentioned factors, the demand for cocoa and chocolate will increase, thus resulting in the overall growth of the confectionery ingredients market.

Europe Is Expected To Dominate The Overall Confectionery Ingredients Market:

Europe is expected to account for the highest proportion of the confectionery ingredients market in 2023, out of all regions. This is due to the region having robust confectionery production and consumption. Additionally, the region’s rich tradition of indulging in high-quality chocolates, candies, and sweets, alongside its discerning taste preferences are some of the key factors driving the growth of the confectionery ingredients market in Europe.

Moreover, Europe has a long-standing tradition of confectionery production, with countries like Belgium, Switzerland, and France renowned for their high-quality chocolates and sweets. This heritage has positioned Europe as a leader in confectionery innovation and expertise. Additionally, Europe is home to many leading ingredient suppliers specializing in confectionery ingredients. These companies leverage advanced research and development capabilities to create innovative and customized solutions tailored to the needs of confectionery manufacturers.

Thus, Europe's rich culinary heritage, innovative capabilities, strong distribution networks, cultural influence, and growing market demand, collectively contribute to its dominant position in the global confectionery ingredients market.

Confectionery Ingredients Market Key Players:

Some of the key market players operating in the confectionery ingredients market include Cargill, Incorporated., ADM, Olam Group, Chenab Impex., Kerry Group plc., Barry Callebaut, Ingredion., Tate & Lyle, McCormick & Company, Inc., AAK AB, Concord Foods, LLC, Arla Foods Ingredients Group P/S, Bakels Worldwide, Grain N Grace, Associated British Foods plc, Corbion NV, IFFCO., Lesaffre, SwissBake®, J&K Ingredients, and others.

Recent Developmental Activities In The Confectionery Ingredients Market:

In February 2024, Ingredion Incorporated launched NOVATION® Indulge 2940 starch, expanding their line of clean-label texturizers with the first non-GMO functional native corn starch that provides a unique texture for gelling and co-texturizing for popular dairy and alternative dairy products and desserts.

In March 2023, Tate & Lyle PLC (Tate & Lyle) partnered with IMCD as its new exclusive partner in the distribution of ingredients in Brazil. The purpose of this new partnership is to expand Tate & Lyle's offer of sweetening, texture, stabilization, and fortification solutions to the food, beverage, nutrition, and supplement industries in Brazil.

Key Takeaways From The Carotenoids Market Report Study

Market size analysis for current Confectionery Ingredients Market size (2023), and market forecast for 6 years (2024 to 2030)

Top key product/technology developments, mergers, acquisitions, partnerships, and joint ventures happened over the last 3 years

Key companies dominating the global Confectionery Ingredients market.

Various opportunities are available for the other competitors in the Confectionery Ingredients Market space.

What are the top-performing segments in 2023? How these segments will perform in 2030?

Which are the top-performing regions and countries in the current Confectionery Ingredients market scenario?

Which are the regions and countries where companies should have concentrated on opportunities for Confectionery Ingredients market growth in the coming future?

Target Audience Who Can Be Benefited From This Carotenoids Market Report Study

Confectionery Ingredients product providers

Research organizations and consulting companies

Confectionery Ingredients-related organizations, associations, forums, and other alliances

Government and corporate offices

Start-up companies, venture capitalists, and private equity firms

Distributors and Traders dealing in Carotenoids

Various end-users who want to know more about the Confectionery Ingredients Market and the latest technological developments in the Confectionery Ingredients Market.

Frequently Asked Questions For The Carotenoids Market:

1. What are Confectionery Ingredients?

Confectionery ingredients refer to the various raw materials and components used in the production of confectionery products such as chocolates, candies, gums, jellies, chewing gums, and other sweet treats. These ingredients can include sugar, cocoa, and chocolate products, dairy ingredients like milk and cream, sweeteners, flavorings, fruits, nuts, emulsifiers, stabilizers, and colorants, among others.

2. What is the market for Confectionery Ingredients?

The global confectionery ingredients market is estimated to grow at a CAGR of 3.83% during the forecast period from 2024 to 2030.

3. What are the drivers for the global Confectionery Ingredients market?

The demand for Confectionery Ingredients is primarily being boosted by the growing demand for natural ingredients, growing disposable income and consumer spending on premium and artisanal products, and expansion of distribution channels, during the forecast period from 2024 to 2030.

4. Who are the key players operating in the global Confectionery Ingredients market?

Some of the key market players operating in Confectionery Ingredients include Cargill, Incorporated., ADM, Olam Group, Chenab Impex., Kerry Group plc., Barry Callebaut, Ingredion., Tate & Lyle, McCormick & Company, Inc., AAK AB, Concord Foods, LLC, Arla Foods Ingredients Group P/S, Bakels Worldwide, Grain N Grace, Associated British Foods plc, Corbion NV, IFFCO., Lesaffre, SwissBake®, J&K Ingredients, and others.

5. Which region has the highest share in the global Confectionery Ingredients market?

Europe is expected to dominate the overall Confectionery Ingredients market during the forecast period from 2024 to 2030. This is due to the region having robust confectionery production and consumption. Additionally, the region’s rich tradition of indulging in high-quality chocolates, candies, and sweets, alongside its discerning taste preferences are some of the key factors driving the growth of the Confectionery Ingredients market in Europe.