Sugar Confectionery Market, by Product Type (Hard-Boiled Sweets, Toffees, Caramels, & Nougat, Pastilles & Jellies, Mints, and Other Product Types) and Distribution Channel (Offline Stores, Online Platforms) and region (North America, Europe, Asia-Pacific, Middle East and Africa and South America).
The global Sugar Confectionery Market size was estimated at USD 56.2 billion in 2023 and is projected to reach USD 79.9 billion in 2030 at a CAGR of 4.5% during the forecast period 2023-2030.
The sugar confectionery market denotes the sector responsible for the manufacture and distribution of a diverse assortment of saccharine delicacies, primarily composed of sugar. This category comprises an array of products, such as confections, chocolates, chewing gum, jellies, popsicles, caramels, and analogous commodities. The sugar confectionery industry constitutes a noteworthy fraction of the wider confectionery domain, encompassing chocolate bars, baked goods, and frozen desserts.
The industry's growth is being driven by the combination of a growing population and rising disposable income. Furthermore, the industry is receiving support from increasing urbanization and changing consumer lifestyles. During the forecast period, significant investments by industry players in promotional activities, advertising campaigns, and social media marketing are anticipated to fuel the demand for sugar confectionery products. Additionally, the growth of the sugar confectionery industry is being supported by the expanding retail industry and the rising trend of e-commerce. However, the industry's growth may be restricted due to increasing health awareness, growing obesity-related diseases, and a shift in trend towards consumption of low-calorie food. Nevertheless, the global industry is expected to be driven by growing demand from emerging economies, the increasing trend of gifting confectionery products, and rising demand for organic and premium chocolate products.
The outbreak of the COVID-19 virus has had a substantial impact on the confectionery market. The strict regulations and lockdowns that were enforced throughout the year 2020 have had far-reaching effects on the confectionery industry, leading to varying effects on the supply of raw materials such as agricultural produce, food ingredients, and intermediate food products, as well as affecting trade and logistics, the volatility of demand and supply, and creating an uncertain consumer demand, while also impacting the workforce at the industrial level. During the lockdown, a significant factor affecting the confectionery industry was a decline in sales due to reduced gifting and impulse buying among consumers worldwide.
The pandemic had a considerable impact on businesses globally, with nations like India and China bearing the brunt of the virus's outbreak. As a result, the sugar confectionery market is experiencing a steady pace of growth resulting from a high demand among middle-class consumers. It is expected that the introduction of new products with innovative flavors and healthy ingredients, the increase in gifting trends, and the growth of the retail market will drive the demand in the near future. Furthermore, the anticipated rise in disposable income and increase in population in emerging countries, such as China and India, are expected to augment the market during the analysis period. However, the growth in health awareness globally and the rise in instances of diabetes are estimated to hinder the growth of the sugar confectionery market. Key players in the region invest in advertising campaigns and marketing to enhance their brand recognition and influence in the sugar confectionery industry. These factors have led to the expansion of the market and increased demand for Sugar Confectionery solutions.
North America to Dominate the Market