The bakery processing equipment market was evaluated at US$10.419 billion for the year 2019 growing at a CAGR of 5.63% reaching the market size of US$14.475 billion by the year 2025.
The bakery processing equipment refers to a wide range of machines used for the conversion of raw materials into bakery products such as bread, cookies, and cakes among others through mixing, blending, baking, and other processes. The global market for bakery processing equipment is anticipated to propel at a notable pace over the forecast period which may be attributed to the fact that there has been a surge in the consumption of bakery products particularly in the developing economies due to increasing purchasing power and improvement in the standards of living. Moreover, the increasing propensity of the consumers in countries such as China and India to spend on processed food is also playing a significant role in shaping up the market growth over the next five years. Additionally, the rise in the number of domestic bakery companies in many countries around the globe has also led to an increased demand for bakery processing equipment, thus, positively impacting the market growth during the next five years. Moreover, the players operating in the market are also strategically investing in R&D for the launch of new and enhance products, acquisitions, and partnerships with a primary aim to capture a greater share in the market and gain a competitive edge over other players further shows the market growth potential over the next five years.
The advent of COVID is anticipated to impact the market growth negatively particularly during the short run due to supply chain disruptions, and declining bakery output due to lockdowns and several other restrictions in many parts of the world.
The bakery processing equipment market has been classified on the basis of type, application, and geography. By type, the distribution of the market has been done as oven, mixers, slicers, sheeter, refrigerators, and others. On the basis of application, the market has been segmented on the basis of bread, cakes & pastries, cookies & biscuits, and others. Geographically, the global market for bakery processing equipment has been divided into North America, South America, Europe, Middle East and Africa, and the Asia Pacific.
Growing bakery industry globally
The market for bakery processing equipment is majorly being driven by the globally growing bakery sector. Also, growing consumption of bakery products in several developing countries owing to the increasing purchasing power of the people coupled with a presence of a vast number of small domestic bakers in the developing economies are some of the major factors bolstering the market growth over the next five years. Furthermore, the growing demand for ready-to-eat products such as bread, puffs, muffins, and others due to the changing hectic lifestyles of the people across both developed and underdeveloped economies has also led to an increase in the number of small bakeries operating at a domestic level in many countries is also positively influencing the demand for various types of equipment.
The market growth has been severely impacted by the recent outbreak since the disruption in the supply chain led to a delay in the order shipments faced by the equipment manufacturers. Also, the non-availability of raw materials and non-availability of labor further led to a slump in the manufacturing output as well. On the other hand, the demand is expected to be hampered by the fact that the recent outbreak has further impacted the demand for bakery products in several countries. Also, the temporary closure of bakeries in many parts of the world due to the safety guidelines laid down by the WHO to reduce the impact of the disease has further led to a decline in the production across the bakery sector. Thereby, leading to a sluggish market growth during a short period of six to eight months.
Ovens to hold a prominent share in the market
By the type of equipment, ovens are projected to hold a promising market share throughout the course of the next five years. Being the key equipment ovens serve a wide range of applications in the bakery sector for baking and heating among others. Thus, creating a large market for ovens in the bakery processing equipment market. This segment is projected to witness a healthy growth during the forecast period which can be attributed to the fact that companies are investing in the expansion as well as opening new oven manufacturing facilities. For instance, in February 2019, Bühler Holding AG a Swiss plant equipment manufacturing company announced the acquisition of Haas Group and added a new production facility in India. Thus, representing a high growth potential in the demands for ovens in the next five years.
APAC to witness a healthy growth
Geographically, the Asia Pacific region is projected to witness a promising market growth over the next five years. The key factors supporting the market growth in the APAC region include the booming consumption of bakery products in countries such as China, India, and Indonesia among others. Moreover, the presence of a large number of small bakeries in various countries across the region further supports the demand for bakery processing equipment as well. Additionally, the increasing propensity of consumers to spend on processed food further expands the business growth opportunities for the manufacturers and vendors in the Asia Pacific region over the forecast period.
The players in the bakery processing equipment market are implementing various growth strategies to gain a competitive advantage over their competitors in this market. Major market players in the market have been covered along with their relative competitive strategies and the report also mentions recent deals and investments of different market players over the last few years. The company profiles section details the business overview, financial performance (public companies) for the past few years, key products and services being offered along with the recent deals and investments of these important players in the bakery processing equipment market.