Report Overview
Increasing consumption of bread products, growing awareness about health and food security, and rising number of fast food chains and stores across the region are projected to propel the expansion of GCC Bread Improvers Market at a steady growth rate during the forecast period 2022 and 2028.

GCC Bread Improvers Market - Industry Trends & Forecast Report, 2028



GCC (Gulf Cooperation Council) Bread Improvers Market size is expected to expand at a steady CAGR of 6.8% during the forecast period between 2022 and 2028. Major growth factors of GCC bread improvers market include increasing necessity for improving dough components, such as sensory, flavor, and shelf life properties, and a surging demand for convenient ready-to-eat food in the baking industry. Increasing health consciousness among individuals is driving demand for baked food products, such as whole wheat and multigrain bread, which are healthier and offer more nutrient value and diversity. These product varieties are also gaining popularity in fast food restaurants across the GCC region coupled with a rise in the consumption of ready-to-eat (RTE) products. This trend is also bolstering the bread improvers market across GCC countries. An increasing emphasis on R&D operations by the bread manufacturers to introduce unique product types is also expected to provide growth opportunities for the market. Other important drivers expected to drive the GCC bread improvers market are people's sedentary lifestyles, high disposable income, and the advent of organic bread improvers.

GCC Bread Improvers Market

Growth Drivers

Increasing number of fast-food chains and stores and high consumption of bread products

The expansion of fast-food chains and supermarkets has increased consumption of bread items, such as bread and rolls. Hence, market demand for bread improvers is booming. Major trends influencing the growth of the bread improvers market include the high consumption of break and bakery related items, the introduction of innovative bakery products, and the growing demand for ready meals. Bread or dough improvers are used to improve all characteristics of bread and offer the essential strength and flexibility throughout the cooking process, including mixing, fermentation, cooking, and shelf life. As a result, the purpose of all modifiers is to accelerate the cooking process, offer high quality products to customers, and increase profits for bakers. This will set the growth trend in the GCC bread improver market in the coming years.

Restraints

Stringent norms for food safety

Governments' stringent food guidelines concerning the rate of preservative use when preparing bread/dough may have an impact on market growth. Government awareness of chemicals/preservatives in bakery items under public and rigorous food regulatory standards could stymie the market expansion during the forecast period. In some countries, strict government laws regarding additives and bakery products impede the expansion of the bread improver business.

Impact of COVID-19 on GCC Bread Improvers Market

COVID-19 pandemic adversely affected the whole food and beverage industry, including the bread business. The pandemic caused huge manufacturing closures and supply chain disruptions, affecting the economy as well. Due to the lockdown, sales of edible products such as bakery were not up to the mark, as supply of bakery was low due to a workforce shortage. In addition, the interruption in logistical facilities caused by the manufacturing unit closure generated additional challenges in the market, as consumers were unable to obtain products that suits their requirements, adversely affecting the market. Another aspect that had an impact on the market was a shortage of raw material availability, which resulted in improper product manufacture. However, during 2021, the demand for bakery items increased, particularly bread and others, as they are vital products utilized in daily diets, mostly as breakfast and evening snacks. As a result, demand for bakery products surged in the household sector along. Furthermore, the pandemic increased the demand for bakery products by bringing out the inner bakers in people. These factors contributed to the expansion of GCC bread improvers market.

Impact of Russia-Ukraine conflict on GCC Bread Improvers Market

GCC bread improvers market is adversely affected by the ongoing war between Russia and Ukraine, the world's two largest producers and suppliers of wheat grains. Moreover, further intensity of the war is feared to trigger the global food crisis. According to UN FAO reports, Russia and Ukraine together held a significant share of 34% in global exports of wheat in 2021. In addition, Ukraine and Russia held a combined significant market share in the global exports in maize, barley, sunflower oil, and vegetable oils. The report also estimated that Russia and Ukraine supplied about 12% of food calories traded across the globe in 2021. Since the Russian invasion of Ukraine on February 24, 2022, there have been uncertainties over the supply of grains both from Ukraine and Russia to the world, and to Arab states of the Middle East and North Africa. It has resulted in a significant rise in global food prices. Apart from experiencing food shortages due to expensive import costs and conflicts, countries in the Middle East confront an additional issue. Any interruption or decrease in wheat supply from Ukraine and Russia will deny inhabitants in some of the world's most food-insecure countries the ability to create bread and other daily necessities. Consequently, the continuous conflict between Ukraine and Russia is anticipated to affect the growth of GCC Bread Improvers Market.

GCC Bread Improvers Market

Segmental Coverage

GCC Bread Improvers Market - By Type

By Type, GCC Bread Improvers Market is bifurcated into Organic Bread Improvers and Inorganic Bread Improvers segments. The inorganic bread improvers segment held a higher market share due to its affordability for mass production and are highly employed by manufacturers. However, it is expected that organic bread improvers segment to dominate the market due to increasing health awareness among consumers and growing eating preferences.

GCC Bread Improvers Market - By Form

Based on form, GCC bread improvers market is divided into Powder, Granular, Liquid, and Paste. The powder segment holds the highest market share due to convenient operation than other types. The bread improvers in powder form are widely used in the baking industry in production of bread, baguette, rusks, loaf bread, cakes, croissants, and brioche.

GCC Bread Improvers Market - By Application

On basis of application, GCC bread improvers market is divided into Emulsifiers, Enzymes, Oxidizing Agents, and Reducing Agents segments. The emulsifiers segment is expected to dominate the market due to its affordability and increasing usage in bakery products to minimize the fat content in baked items.

GCC Bread Improvers Market - By Region

Geographically, GCC bread improvers market covers major countries Bahrain, Kuwait, Oman, Qatar, Saudi Arabia, and UAE. Saudi Arabia is expected to hold the highest market share due to increased economic growth, expanding product innovation in bakery items, and growing adoption for fast food products.

Competitive Landscape

Major players operating in GCC bread improvers market include Lesaffre, Nutrex N. V, DuPont, Bakels Worldwide, Puratos, Ireks GmbH, Pak Holding, Oriental Yeast Co., Ltd., Archer Daniels Midland Company, Soufflet Group, and Fazer Group. To further enhance their market share, these companies employ various strategies, including mergers and acquisitions, partnerships, joint ventures, license agreements, and new product launches.

Recent Developments

In March 2021 - Almarai, a leading manufacturer food & beverages, acquired the UAE and Bahrain businesses of Bakemart, a maker of baked and packaged items, for USD 25 million.

By Type
Organic Bread Improvers
Inorganic Bread Improvers

By Ingredient
Emulsifiers
Enzymes
Oxidizing Agents
Reducing Agents

By Form
Powder
Granular
Liquid
Paste

By Application
Bread
Viennoiseries
Cakes

By Country
Bahrain
Kuwait
Oman
Qatar
Saudi Arabia
UAE