Baking Powder Market Forecasts to 2028 - Global Analysis By Product, Nature, Distribution Channel, Type, Application, End User and Geography

According to Stratistics MRC, the Global Baking Powder Market is accounted for $3.64 billion in 2022 and is expected to reach $5.56 billion by 2028 growing at a CAGR of 7.3% during the forecast period. Pancakes, muffins, waffles, and cakes are just a few of the baked goods that can be made with baking powder. Baking powder is a mild acid, carbonate, and inert filler-based dry chemical preservative. Usually, it is employed to increase the quantity of baked items. It is beneficial to hold the rising dough until the cooking process is established. Among the components of baking powder are corn flour, dry acid, and baking soda. Due to the growing popularity of fast food, baked items like pies and cakes, and quick instant mixes, yeast powder sales have increased dramatically in recent years.

According to the Organic Trade Association, sales of organic food in the United States climbed by a record 12.8% in 2020, reaching a new high of USD 56.4 billion. A robust, pandemic-driven demand was seen in practically every organic food aisle in the United States last year, accounting for around to 6% of all food sold. According to the UFC-Que Choisir consumer Union, the price of bananas sold in France increased by 12% between March and April 2020, while the price of apples increased by 9%.

Market Dynamics:

Driver:

Increasing demand due to urbanization

Changes in eating patterns have led to an increase in consumption among urban populations. The demand for bakery goods focused on health and wellbeing has increased the size of the whole market. Both baking soda and baking soda are partially powdered. Despite having different chemical compositions, the goods can be interchanged because of their similar qualities. Compared to baking powder, baking soda is more potent and has a longer shelf life. Additionally, few consumers are aware of the differences between the two goods. Therefore, substituting baking soda prevents the target market from expanding. Since vinegar is an acidic liquid and baking soda is essentially alkaline, they must be combined in order to release carbon dioxide.

Restraint:

Use of baking soda as an alternative to baking powder

The global market for baking powder is negatively impacted by the usage of baking soda as a substitute. The fact that more people are becoming aware of the negative repercussions of eating fast food like pizza, hamburgers, and cakes is another issue posing a challenge to the market for yeast powder. People are unable to eat junk food as worries about its high fat, calorie, and sugar content as well as its dearth of vitamins, proteins, and minerals grow. The falling consumption of junk food is expected to have an impact on the baking powder business. The body normally tolerates baking powders containing sodium bicarbonate molecules well, however the ingredient has certain negative health impacts. This may also impede the development of the global market for baking powder.

Opportunity:

Change in lifestyle patterns

A balanced meal, including breakfast cereals, high-fiber breads, and nutritional bars, is what more and more health-conscious consumers are requesting. Given that these foods require baking powder, market expansion is anticipated. Supermarkets, hypermarkets, and industrial buyers for the production of bread, pizza, and hamburgers are the primary customers in the baking powder industry. Large retailers like Wal-Mart and Tesco purchase significant quantities of baking powder directly from the producer, which allows them to take advantage of market benefits by cutting out distributors from the supply chain. Because consumers rarely use baking powder, producers distribute their goods through wholesalers or retailers. As a result, it is predicted that purchasers will become more able to negotiate in the future.

Threat:

Severe protocols and international quality norms

Baking powder is a blend of many composites and is subject to rigorous health and safety inspections depending on regional government procedures. Governmental organisations have conducted a wide range of studies to determine how these things affect human health. Products are categorised and the daily consumption allowance has been determined as a result of their findings. Food safety protocols are related to international organisations like the National Food Safety and Quality Service (SENASA), the Canadian Food Inspection Agency (CFIA), the United States Food and Drug Administration (FDA), the World Health Organization (WHO), and the Committee on the Environment, Public Health, and Food Safety (EU). These organisations have direct or indirect control on the usage of different chemicals and materials used in the production of food.

COVID-19 Impact

Recent years have witnessed the market grow as a result of consumers' shifting eating habits, which favour processed and packaged goods. As COVID-19 tightens its noose globally, there is projected to be an increase in demand for processed and packaged foods. During the current crisis, consumers have developed a peculiar behaviour of stockpiling essential products. Customers who spend a lot of time alone tend to favour foods having a longer shelf life. Due to the fact that baking powder is typically a key component of packaged foods, rising demand in the packaged and processed food categories is probably going to restrain the market's expansion.

The tartrate segment is expected to be the largest during the forecast period

The tartrate segment is estimated to have a lucrative growth, due to tartrate is a salt of tartaric acid that is frequently used to stabilise baking powder. Tartrate prevents the components of baking powder from clumping, separating, or reacting too soon. When baking powder is employed, it also contributes to a more consistent leavening action, resulting in more consistent baked items. Some varieties of wines are also made using this kind of tartrate.

The bread segment is expected to have the highest CAGR during the forecast period

The bread segment is anticipated to witness the fastest CAGR growth during the forecast period, due to the fact that businesses that produce bread are always enhancing their production processes in an effort to increase nutritional content and reduce prices. Bread is frequently promoted to budget-conscious consumers worldwide and is thought of as a necessary dietary item. Since baking powder is still a crucial component in the industry, it has presented appealing expansion potential. Additionally, bakeries work hard to create novel items, particularly bread in a range of flavours, to satisfy consumer demands for healthy options.

Region with highest share:

Asia Pacific is projected to hold the largest market share during the forecast period owing to the expansion of the food service industry as well as the mushrooming of bakeries throughout high potential areas. Consumers in the area are also showing an increased inclination to spend money on breads, cookies, and pastries as a result of shifting eating habits. Asia Pacific will become a significant market for baking powder as a result of the aforementioned considerations. But because of the exceptional new coronavirus outbreak, the area is predicted to experience stunted growth. Never mind; sales are anticipated to increase as public life gradually returns to normal.

Region with highest CAGR:

North America is projected to have the highest CAGR over the forecast period, owing to baking powder enjoys a thriving market in North America. This region has a notably high appetite for processed and packaged foods, which is predicted to support the growth of the bread powder market. The usage of some baking ingredients is constrained by strict rules in some countries, which is a drawback. This can somewhat impede the market's expansion.

Key players in the market

Some of the key players profiled in the Baking Powder Market include RB Foods, ACH Food Companies Inc, Kudos Blend Limited, JAY CHEMICALS INDUSTRIES, The New England Cupboard, Cargill, Inc, Caravan Ingredients Inc, British Bakels, Blue Birds Food Private Limited., Dawn Foods Limited, John Pointon & Sons Ltd., Koninklijke DSM N.V., Kemin Industries Inc., BASF, Omega Protein Corporation, Darling Ingredients Inc., Ingredion Incorporated and Dow Du Pont Inc.

Key Developments:

In January 2023, BASF has announced an investment in the capacity expansion of polymer dispersions at its production site in Merak, Indonesia. The expansion is in line with the growing trend of high-quality packaging in ASEAN where key paper and board manufacturers are located.

In October 2019, ACH Food Companies, Inc., a manufacturer of cooking and baking products, has acquired Anthony's Goods, a digital brand that offers such products as almond flour, coconut flour and psyllium husk.

In July 2017, RB Enters Agreement to Sell Food Business to McCormick, Reckitt Benckiser Group plc ("RB") is pleased to announce that it has entered into an agreement to sell its Food business, including the French's, Frank's RedHot and Cattlemen's brands, to McCormick & Company Inc. for $4.2 billion on a cash-free, debt-free basis.

Products Covered:

• Aluminum free
• Tartrate
• Anhydrous phosphate
• Phosphate free
• Sodium aluminum sulfate phosphate
• Brown Sauce
• Phosphate
• Single And Double Acting Baking Powder
• Other Products

Natures Covered:

• Organic
• Gluten-free
• Conventional

Distribution Channels Covered:

• Online
• Offline

Types Covered:

• Mixes
• Emulsifier
• Leavening Agents
• Enzymes
• Starch
• Other Types

Applications Covered:

• Rolls & Pies
• Breads
• Cakes & Pastries
• Cookies & Biscuits
• Muffins
• Pancakes
• Waffles
• Other Applications

End Users Covered:

• Cafes
• Home/Residential
• Bakery
• Restaurants
• Other End Users

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2020, 2021, 2022, 2025, and 2028
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

Free Customization Offerings:

All the customers of this report will be entitled to receive one of the following free customization options:

• Company Profiling
  • Comprehensive profiling of additional market players (up to 3)
  • SWOT Analysis of key players (up to 3)
• Regional Segmentation
  • Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
  • Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances