Bakery Industry Statistics for 2023

Bakery Industry Statistics for 2023

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Are you considering launching a bakery this year but have some hesitations? Well, I think you most definitely should. But first, you need to be familiar with the bread industry fact and figures for 2023 in order to have an idea of what you’re about to embark on.

Bakery Industry Statistics for 2023: 

  • Between 2023 and 2027, the global bakery market is predicted to increase by 6.63%
  • Fresh Baked Products is expected to rapidly grow at a rate of 3.5% from 2020 to 2025
  • As of 2023, California is the state with the most bread businesses

Entering the baking sector might be a wise choice because the baking industry has traditionally been thought to be recession-proof. I’ve compiled and discussed in-depth bakery industry data for 2023 in this article to give you a better understanding of how well the bakery sector performs.

Global Bakery Market Statistics

Bakery Industry Statistics for 2023

According to Statista, the bread and bakery goods market will generate $41.11 billion in revenue in 2023. Aside from that, the bakery sector market is expected to significantly expand by 6.63% every year between 2023 and 2027. This sector is predicted to expand by 5.6% in volume in the year 2024.

This strong market growth is instigated by continued population growth in the next few years, resulting in more customers in need of convenient consumables, particularly baked products.

Bakery Statistics by Category 

The bakery industry is often divided into two categories: 1) fresh-baked products and 2) frozen baked goods. Below are essential statistics from Contrive Datum Insights (CDI) to give you a sense of how these categories perform in the market:

1. Fresh-Baked Products – According to CDI statistics, fresh-baked products accounted for 64.80% of the market in 2020. Furthermore, they are predicted to increase at a quicker pace of 3.5% during the following five years. In essence, fresh baked goods will almost surely perform well and be in high demand in the next few years.

2. Frozen Baked Goods – The frozen baked goods category, on the other hand, is predicted to increase at a slower pace of 3.0% throughout the review period, according to CDI. This might be due to customers’ rising demand for or preference for fresh commodities.

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Regional Bakery Statistics 

Bakery Industry Statistics for 2023

According to IBISWorld bread production data, as of 2023, California is the top state with the most enterprises in the Bread Production industry in the United States, with a total of 5,358 bakery operations. This is followed by New York, which has 3,496 bakeries, and Texas, which has 2,626 bakeries.

Apart from that, Grand View Research’s market study predicts that Europe will be the dominating and second fastest-growing regional bakery market by 2025 due to a strong preference for baked products such as gluten-free, high-fiber, and other basic foods. Furthermore, the presence of important companies in rising markets such as China, India, Singapore, and Japan, Asia Pacific is expected to be the fastest-growing regional market throughout the projection years.

Conclusion

To sum it all up, below are the bakery industry statistics that you should look out for in the year 2023: 

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  • The worldwide bakery market is expected to grow by 6.63% between 2023 and 2027. This industry is expected to grow by 5.6% in volume by 2024. 
  • Fresh Baked Products is expected to rapidly grow at a rate of 3.5% from 2020 to 2025, implying that specializing in fresh baked goods is a good choice. 
  • According to CDI, the frozen category is expected to expand at a slower rate of 3.0% throughout the evaluation period. This might be attributed to increased customer demand for or preference for fresh items.
  • As of 2023, California is the state with the most bread businesses. This is followed by New York, which has 3,496 bakeries, and Texas, which has 2,626 bakeries.
  • Asia Pacific is the fastest-growing regional bakery market by 2025 owing to the presence of important companies in rising markets such as China, India, Singapore, and Japan. Europe follows suit, owing to a significant predilection for baked goods including such gluten-free, high-fiber, and other foundational foods. 

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Frequently Asked Questions

What are some of the baking industry’s flaws?

The rising costs of materials and other expenses, as well as the narrowing of profit margins, are some of the vulnerabilities of a bakery business. Apart from that, bakery operations are burdened by insufficient equipment, which results in wasted cakes and improperly baked bread.

Is there a shortfall of bakers?

There is, indeed. One of the most pressing issues confronting the baking sector today is a severe labor shortage. This is because today’s workforce has numerous options for where to work, and the harsher climate and longer hours typical in a bakery setting have many workers searching for alternatives.

What will be the most prominent bread industry trend in 2023?

Experts estimate that by 2023, customers will be more interested in baked items that blend sweet and spicy ingredients, such as vinegar, kombucha, and spice honey. As a result, combining flavors and developing new tastes is critical for the baking business to meet customer demand.

To learn more on how to start your own bakery business check out my startup documents here

This blog post is provided for informational purposes only. The information contained is not intended to constitute legal advice or to substitute for obtaining legal advice from a qualified attorney.