PUBLISHER: The Insight Partners | PRODUCT CODE: 1452650
PUBLISHER: The Insight Partners | PRODUCT CODE: 1452650
The Europe bread market was valued at US$ 99,087.18 million in 2023 and is expected to reach US$ 121,271.48 million by 2030; it is estimated to grow at a CAGR of 2.9% from 2023 to 2030.
Product Innovations Fuel the Europe Bread Market
Growing consumer awareness regarding health and wellness has significantly increased the demand for healthier bread varieties. The consumers strictly follow their specific ingredient requirements, such as gluten-free, low-carb, high-fiber, or whole-grain bread. Growing consumer priorities and their increasing preference for healthier food consumption have also increased the demand for organic bakery products such as bread, baguettes, bagels, and buns and rolls. Therefore, to cater to the increasing number of healthy products demands, bread manufacturers are extensively innovating the products, including artisanal breads, functional breads, and fortified bread, by incorporating bread with functional ingredients such as seeds, nuts, ancient grains, vegetables, and different vitamins and minerals. Bakers continuously introduce new and innovative products to remain competitive in the market and attract customers. For instance, bakers create traditional breads and loaves using an unusual combination of ingredients such as carrots, beetroot, spinach, and other vegetables. They also incorporate cumin, turmeric, and cinnamon as special ingredients to experiment with the flavors. For instance, Sara Lee, a brand of Grupo Bimbo SAB de CV bread makers, in January 2023, announced the latest addition to its product portfolio, which is 'White Bread Made with Veggies.' It is enriched with vitamins A, D, and E and baked with the equivalent of one cup of vegetables per loaf, making a practical option for adding some extra nutrients to any meal. Also, in October 2022, Kingsmill, a UK-baked goods manufacturer, launched two new premium bread categories- "Great White Bloomer with Sourdough" and a "Malted Bloomer" loaf. The company made these new loaves available in selected Tesco and Asda stores across Europe.
The bread producers are continuously investing in R&D with respect to ingredients to develop light, natural, low-carb, high protein, and additive-free bread for consumers. Therefore, evolving change in consumers' need for taste and preference has resulted in a high demand for specialty and functional bread, which is expected to provide lucrative opportunities for bread producers.
Europe Bread Market Overview
In Europe, the rapidly changing lifestyles of consumers are making them opt for convenient food solutions and ready-to-eat products such as frozen food, bread, biscuits, cookies, etc.
The demand for bread is significantly increasing across the region owing to the established status of bakery products as a staple food in many European countries such as Germany, Russia, France, Italy, and the UK, making Europe one of the major markets of bread. Also, the growing health consciousness among Europeans is boosting the demand for bread containing fibers, vitamins and minerals, whole grains, vegetables, and gluten-free bakery products such as gluten-free functional and gluten-free artisanal bread. According to The Atlantic Area Healthy Food Eco-System (AHFES), in 2020, European bakeries accounted for 34% of the global bakery product sales. Also, Europe was an active market for bakery products in 2020 and registered a share of 41% in the bakery category of new launches in the bakery industry. Russia and Ukraine have been prime wheat, oilseeds, grains, and maize exporters. However, bread, vegetables, and meat became more expensive as prices for cooking oils and fats grew sharply owing to the Russian invasion of Ukraine, which increased the prices of staple foods such as bread. According to the Harmonised Index of Consumer Prices (HICP), in August 2022, bread prices in Europe recorded an average growth of 18% compared to the value in August 2021 (3% higher than in August 2020).
Moreover, with the growing demand for specific ingredients incorporated in bread categories, coupled with the increased spending on premium and nutritious food products, manufacturers are introducing innovative bread products, such as gluten-free, organic, fortified, and premium bread, to cater to specific dietary requirements and preferences of consumers.
Europe Bread Market Revenue and Forecast to 2030 (US$ Billion)
Europe Bread Market Segmentation
The Europe bread market is segmented based on type, category, distribution channel, and country.
By type, the Europe bread market is segmented into loaves, sandwich bread, baguettes, burger buns, and others. The baguettes segment held the largest market share in 2022.
Based on category, the Europe bread market is bifurcated into organic and conventional. The conventional segment held a larger market share in 2022.
By distribution channel, the Europe bread market is segmented into supermarkets and hypermarkets, specialty stores, online retail, and others. The supermarkets and hypermarkets segment held the largest market share in 2022.
In terms of country, the Europe bread market is segmented into the UK, Germany, France, Italy, Russia, and the Rest of Europe. The Rest of Europe dominated the Europe bread market share in 2022.
Campbell Soup Co., Groupo Bimbo SAB de CV, Dr Schar AG, and Associated British Foods Plc are some of the leading players operating in the Europe bread market.