Bakery & Confectionary Market Report 2026

The bakery & confectionary market size has grown steadily in recent years. It will grow from $951.96 billion in 2025 to $994.24 billion in 2026 at a compound annual growth rate (CAGR) of 4.4%. The growth in the historic period can be attributed to growth in packaged food consumption, expansion of retail bakery chains, rising demand for indulgent snacks, improved cold chain and storage infrastructure, urban lifestyle-driven food consumption.

The bakery & confectionary market size is expected to see strong growth in the next few years. It will grow to $1.21 trillion in 2030 at a compound annual growth rate (CAGR) of 5.1%. The growth in the forecast period can be attributed to increasing demand for healthier bakery alternatives, expansion of e-commerce food retailing, rising innovation in sugar reduction, growing focus on sustainable ingredient sourcing, premiumization of confectionery categories. Major trends in the forecast period include clean-label bakery and confectionery products, expansion of premium and artisanal offerings, growing demand for portion-controlled products, increased product customization and innovation, enhanced focus on shelf-life optimization.

The growing popularity of in-store bakeries within supermarkets is expected to drive the growth of the bakery and confectionery market in the coming years. In-store bakeries are dedicated sections in grocery stores or supermarkets where bakery products - such as bread, pastries, cakes, and other baked goods - are produced and sold on-site. Their popularity contributes significantly to the bakery and confectionery market, as consumers value the convenience, variety, and quality offered. This trend continues to boost sales and innovation in the sector. For instance, in January 2024, according to the SupplySide Food & Beverage Journal, a US-based trade publication, the in-store bakery category recorded $20 billion in annual revenue, reflecting a 10.8% increase in dollar sales over the 52-week period ending October 2023. Therefore, the rising popularity of in-store bakeries in supermarkets is supporting the bakery and confectionery market.

Leading companies in the bakery and confectionery market are focusing on technological advancements, such as Cadbury cookies, to improve product quality, innovate flavors, meet consumer demand for convenient snacks, and strengthen brand partnerships. Cadbury cookies are a line of cookies made with Cadbury chocolate, offering a combination of crunchy texture and rich chocolate flavor. For instance, in June 2023, Baker & Baker, a UK-based bakery company, launched Cadbury cookies, which feature premium Cadbury chocolate, a variety of flavors, crunchy texture, convenient on-the-go packaging, and high-quality ingredients. These cookies leverage Cadbury’s strong brand recognition, making them a popular choice for indulgent treats.

In February 2025, Martin Braun-Gruppe, a Germany-based bakery and confectionery manufacturer, acquired Hoff’s Bakery for an undisclosed amount. Through this acquisition, Martin Braun-Gruppe aims to strengthen its frozen bakery and dessert portfolio, expand its presence in the North American market, and enhance production capabilities to meet growing global demand. Hoff’s Bakery is a US-based manufacturer specializing in premium frozen desserts and baked products for the foodservice and retail sectors.

Major companies operating in the bakery & confectionary market are Nestlé S.A., PepsiCo Inc., Mars Inc., Mondelez International, Roshen Confectionery Corp., The Kraft Heinz Company, Valeo Foods Group, Grupo Bimbo S.A.B. de C.V., General Mills Inc., Ferrero Group, Kellanova, Lotte Corp., The Hershey Company, Yamazaki Baking Co. Ltd., Barry Callebaut AG, The J.M. Smucker Company, Flowers Foods Inc., Bimbo Bakeries USA, Hostess Brands Inc., Lindt & Sprüngli AG, PIM Brands Inc., Crown Confectionery Co.

Asia-Pacific was the largest region in the bakery and confectionary market in 2025. Western Europe was the second-largest region in the bakery and confectionary market. The regions covered in the bakery & confectionary market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the bakery & confectionary market report are China, India, Japan, Australia, Indonesia, South Korea, Bangladesh, Thailand, Vietnam, Malaysia, Singapore, Philippines, Hong Kong, Taiwan, New Zealand, UK, Germany, France, Italy, Spain, Austria, Belgium, Denmark, Finland, Ireland, Netherlands, Norway, Portugal, Sweden, Switzerland, Russia, Czech Republic, Poland, Romania, Ukraine, USA, Canada, Mexico, Brazil, Chile, Argentina, Colombia, Peru, Saudi Arabia, Israel, Iran, Turkey, UAE, Egypt, Nigeria, South Africa.

The bakery and confectionery market consists of sales of oats breakfast cereal, grains breakfast cereal, sugar, chocolate confectionery, sugar confectionery, gum confectionery, bread, cake, pastries, cookie and cracker, dry pasta, dough, flour mixes, tortilla, and other bakery and confectionery. The companies in the bakery and confectionery industry process raw materials into bakery and confectionery, package and distribute them through various distribution channels to both individual customers and commercial establishments. Values in this market are ‘factory gate’ values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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