According to Fact.MR, a leading provider of market research and competitive intelligence, the global vegan baking ingredients market size is expected to reach a value of US$3.6 billion by the end of 2033, with a compound annual growth rate (CAGR) of 6.5%.
Vegan baking ingredients serve as plant-based substitutes for animal-derived products commonly used in baking. They are characterized by their ethical treatment of animals, as they do not involve any form of animal exploitation. Moreover, these ingredients exhibit superior environmental sustainability by requiring fewer resources and emitting fewer greenhouse gases.
Their composition, low in saturated fats and cholesterol, makes them suitable for diverse dietary preferences, thereby offering health advantages. Vegan ingredients are also well-suited for individuals with allergies or specific dietary requirements.
The expansion of this market is primarily driven by the growing adoption of plant-based diets, fueled by concerns related to animal welfare, health, and environmental sustainability. As consumers become increasingly conscious of the environmental consequences of animal agriculture, they are actively seeking cruelty-free alternatives.
Key Takeaways:
· Europe market witnessed a market share of 35% in 2023. Moreover, France and the UK are expected to offer better returns on investments when compared to Asian countries.
· Also, the US is expected to offer lucrative opportunities due to the rising popularity of vegan food and the establishment of vegan food restaurants.
· China and India are expected to witness high growth during the forecast period due to a hike in the popularity of veganism.
Increasing consumer awareness of environmental sustainability and animal welfare concerns, growing demand for allergy-friendly and plant-based alternatives in baking, and ongoing innovation and development of high-quality vegan baking ingredients are some driving factors of the industry – Says FACTMR Expert
Market Competition
In the ever-growing industry, companies are focusing on creating new products. This helps them keep up with what customers want and attracts new buyers. Offering fresh options also means more sales, which is good for business. It shows that they’re adaptable and innovative, important in a competitive market.
· In January of 2022, International Taste Solutions (ITS), a provider of natural flavors, unveiled a fresh line of vegan flavor enhancers. This Vegan Boost series is offered in both powdered and liquid forms, designed to replicate the authentic taste and texture of traditional baked goods.
· In September of 2020, Dawn Foods, a well-known American producer and distributor of baked goods and various food items, broadened its range of vegan options by introducing new vegan bakery mixes and frozen vegan bakery products.
Winning strategies
· In the vegan baking ingredients market, customers prefer ingredients with simple names and minimal processing. This is because people want to know what’s in their food and often choose ingredients that are easy to understand. Additionally, less processing is seen as healthier and more natural.
· Providing options without common allergens like gluten, nuts, or soy is important. This helps a wider range of people with specific dietary needs or allergies. For example, those with celiac disease need gluten-free options, while people with nut allergies require nut-free choices. Addressing these needs fosters inclusivity and draws a niche consumer base.
· Partnering with influencers and respected chefs who advocate for plant-based diets in the vegan baking ingredients market can significantly boost brand recognition and trust among consumers. Their endorsement reaches a wide audience interested in vegan products and adds credibility to the brand’s offerings.
These insights are based on a report on Vegan Baking Ingredients Marketby Fact.MR.
