Global Pastry Market - Strategic Insights and Forecasts (2024-2029)

The Pastry market is expected to grow at a CAGR of 5.6%, reaching a market size of US$60.2 billion in 2029 from US$45.8 billion in 2024.

A Pastry is a baked food product that is commonly produced with dough, water, and shortenings such as solid fats such as butter and lard.  Most pastry products are known to have high fat, sugar, and flavouring content and small liquid content. Some of the very well-known pastries worldwide include pies, doughnuts, tarts, and many others.

Introduction:

The global pastry market is expected to witness significant growth during the forecasted period of 2024-2029 due to several factors, such as the increase in disposable incomes and the baking industry expansion. The increase in disposable income leads to the change in taste and preference of consumers, leading to an increased need for premium ready-to-eat products, which include pastries and other bakery products.

Market Drivers:

• GROWING DISPOSABLE INCOMES: the growth of disposable income can be one of the major factors that contribute to the pastry market growth. The increase in disposable income leads to an increase in purchasing power, which creates a change in the preference and taste of the consumers towards more higher costing products. It also can be linked to the increase in consumption of ready-to-eat food, since ready-to-eat food products provide convenience and are easily available for those who have a busy lifestyle. The increase in disposable incomes of individuals can also be linked to the increase in the growth rate of urbanization, leading to an increased need for processed food and ready-to-eat food products by the urban population. The Federal Bank of St. Louis displays the annual growth of disposable personal income among individuals in the United States, which shows an increase from US$16,640.3 billion in February 2020 to US$20,581.6 billion in December 2023. This increase in personal disposable income can be linked to the increase in urbanization in the region, which can lead to an increase in consumption of pastry products such as doughnuts due to their easy availability. Therefore, the increase in the disposable incomes of individuals can provide the necessary fuel for the global pastry market growth during the forecasted period.

Key Players:

• Mondelez International: A multinational company known for the manufacturing and marketing of food and beverage products, which include a wide range of products such as snacks, cookies, crackers, chocolate, cheese, candy, groceries, and beverages. Some of their well-known making and baking brands include Cadbury, Tang, Bournvita, Orea, and many others.

• CSM Ingredients: A global leader and multinational company that is known for supplying ingredients and food solutions to the food industry. They are known for providing a wide range of products, which include pastry mixes, bread ingredients, and bakery fats.

Regional Analysis:

The North American region is expected to witness significant growth in the pastry market during the forecasted period of 2024-2029. The factors that contribute to the global pastry market growth are the relevance of the baking industry in the United States and the increase in disposable personal income among the citizens of the region. Pastry can be considered a type of bakery product since various pastry products such as doughnuts, cakes, and many others involve the process of baking using several ingredients, such as baking powder. The American Bakers Association states that the baking industry accounts for an estimated US$533.18 billion in economic output, which is 2.01 of the GDP in the United States. They include a wide range of bakery products, which include cakes, pastries, pies, cookies, pretzels, cereal and many others. The growth in the baking industry can be linked to the increase in disposable personal income of the citizens in the United States, allowing for higher purchasing power and an increase in consumption of ready-to-eat food and processed foods. The Bureau of Economic Analysis of the United States mentions that personal disposable income (PDI) has shown an increase of 0.3 percent from the previous month, which is an increase to US$51.8 billion in December 2023. It was also mentioned that the personal consumption expenditure (PCE) has shown an increase to US$133.9 billion, which is an increase of 0.7 percent from the previous year. This increase in personal incomes can be linked to the increase in the urban population, further leading to the growth of the urbanization of the North American region. This increase in income can also be linked to the change in the taste and preferences of consumers, preferring more products with higher costs than their standard costing products. Hence, the relevance of the baking industry and the increase in the personal disposable income of the people in the United States contribute to the global pastry market growth during the forecasted period.

Market Developments:

• April 2023: Bakingo, one of the leading cakes and dessert connoisseurs, announced the launch of their latest collection of exquisite cakes, which consists of seven flavours. The launch of the cake products was driven by the demand for new flavours by the consumers of Bakingo who wanted to indulge in speciality.  The flavours include the Trio Mousse cake, Biscoff Baked Cheesecake, German Black Forest cake, Opera Coffee Chocolate cake, and the Nutella Hazelnut Flavour.

• March 2021: Andros Asia announced the launch of their new pastry application, dubbed ANDROS Fruit Filling. This product consists of up to 40% fruit content with real fruit pieces, which provide cakes with outstanding texture and taste of natural fruits. The product was released in 3 flavours for the Vietnam market and 6 flavours for the Asian market and is applicable in various pastry dishes, which include macron, cheesecakes, mousse, and many others.

Pastry Market Scope