Bakery Enzymes Market - Forecasts from 2023 to 2028

The global bakery enzymes market is expected to grow at a CAGR of 7.5% during the forecast period.

Bakery enzymes are biocatalysts that break down the gluten proteins and mucilage while also converting the starch in the wheat into sugars that yeast can consume. They are added to the dough of various baked goods, such as pastries, cakes, etc to improve their taste, texture, smoothness, gas retention, and crumbliness. Bakery enzymes are important ingredients in baked goods. A few examples of popular commercial bakery enzymes include fungal alpha Amylase, Hydrolase, Glucose Oxidase, Proteases, Xylanase, Maltogenic Amylase, Hemicellulases, Lipase, Catalase, etc.

The use of enzymes in bakery products has grown tremendously in recent years. The highly specialized characteristics of enzymes in biological processes is one of the key factors driving the market's growth. Due to limits on chemical additives, notably in producing bread and other fermented goods, enzymes have recently become more relevant in baking. Food safety is one of the numerous additional advantages of this natural ingredient. As a result, it is projected that the market for bakery enzymes will expand in tandem with the rising demand for organic food additives. Rising disposable income and shifting consumer preferences are also significant drivers of bakery enzyme development. The general millennial population prefers processed meals as a result of lifestyle choices.

However, the government's implementation of strict rules and regulations and the high expenses associated with R&D activities coupled with the volatile & high cost are obstructing the growth of the global market for bakery enzymes during the analysis period.

The growing demand for baked goods is boosting the global bakery enzymes market growth.

Bakery enzymes are a crucial ingredient in baked goods. They are added to the dough to improve the product's taste, texture, shelf life, and smoothness. It also improves the quality of the flour and helps in its proper baking. Bakery enzymes manufacture various products, such as cakes, bread, muffins, pastries, biscuits, doughnuts, pies, cupcakes, etc. Therefore, one of the primary factors driving the growth of the global market is consumers' growing demand for bakery products. According to data from the Government of Canada, retail sales of baked products increased at a compound annual growth rate of 4.6 percent from 2017 to 2021, reaching a total value of US$407.2 billion globally. Canada sold US$6.6 billion of bakery products in 2021, or 1.6 percent of all global sales. From 2017 to 2021, retail sales of baked products in Canada expanded at a CAGR of 3.3 percent, and from 2022 to 2026, they are predicted to grow at a CAGR of 3.5 percent, reaching US$7.8 billion.

As a result of the high demand for baked goods, various companies are launching new products to capitalize on this trend, positively impacting the market prospects. For instance, in March 2023, American supermarket chain Sprouts Farmers Market announced they were rolling out ten new bakery products in their stores. Moreover, in March 2023, Milk Bar, the legendary dessert brand founded by award-winning chef Christina Tosi, announced the launch of two new cookie varieties: bite-sized crunchy cookies and ready-to-bake cookie dough in grocery stores all over the United States.

The rising quantity and diversity of food applications, changing consumer tastes, and consumer inclination towards improved food quality are driving up demand for a wide range of food ingredients. Therefore, rising demand for such food ingredients will propel market growth as they add bakery enzymes because they improve the texture, extend shelf life, and improve the dough's gas retention properties, making the product fluffy and delicious.

Asia Pacific is anticipated to hold a significant bakery enzyme market share during the forecast period.

Asia Pacific region is anticipated to hold a significant market share in bakery enzymes. This region will witness high growth during the forecast period owing to the growing demand for Western-style diets, increased urbanization, and rising disposable income. Bakery enzymes are in increasing demand in emerging economies like China and India. The market is expanding in this region due to changing eating patterns, traditional snacking behaviors, and rising consumption of processed baked food items. An increase in the participation of women in the workforce, along with the flourishing HoReCa & food service industry, are all contributing to the market's expansion. Also, the rise of new companies with fresh and cutting-edge products and the existence of key market players in Asia Pacific countries are fueling the demand for bakery enzymes. Furthermore, demand for organic and natural food additives is anticipated to fuel regional market expansion.

Market Developments:

• In September 2022, BASF agreed to sell the BASF Nutrilife® baking enzymes portfolio and business to Lallemand Inc's affiliate, Danstar Ferment AG. Nutrilife® enables food suppliers to manufacture economical, healthful, and appealing food items while contributing to resource efficiency.
• In February 2020, DuPont Nutrition & Biosciences announced the launch of the DuPontTM POWERBake® 6000 and 7000 enzyme family, designed specifically for European bakery recipes. The enzymes provide improver houses and bakeries with a one-of-a-kind emulsification solution that protects the taste and quality of white bread and buns while addressing customer requests for cleaner labeling.
• In March 2021, IFF is introducing a new line of baking enzymes for the Chinese market. The initiative comes amid a surge in demand for sweet-baked items in China, and it is billed as increasing production and lowering product returns. Improver houses and bakeries in China are attempting to improve the dining experiences of their customers. To fulfill this demand, IFF's recent launch extends the company's current line of freshness solutions in Asia-Pacific.

Segmentation:

By Application

• Breads
• Cakes & Pastries
• Cookies & Biscuits

By Form

• Powder
• Liquid

By Product Type

• Carbohydrases
• Proteases
• Lipases

By Geography

• North America
• United States
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Others
• Europe
• United Kingdom
• Germany
• France
• Spain
• Others
• Middle East and Africa
• Saudi Arabia
• UAE
• Israel
• Others
• Asia Pacific
• Japan
• China
• India
• South Korea
• Indonesia
• Thailand
• Others