PORTLAND, Ore. -- Growth in the retail market, new products and innovative flavors are among the forces expected to drive global demand for sugar confectioneries in coming years, according to a report by Allied Market Research.
The report cites healthy ingredients and an increase in gifting of sweets as other factors behind the market's steady growth, along with increased emphasis on research and development, promotion and marketing by major players.
The global market, which was valued at $44.5 million in 2015, is projected to reach $55.6 million by 2022. That represents a compound annual growth rate (CAGR) of 3.2% from 2016 to 2022, the report said.
But that expansion could be tempered by an increasing awareness of health concerns worldwide and a rise in demand for dark and sugar-free chocolates. High raw-material prices could also slow growth, the report said.
C-store staples such as candies, chocolates, caramels, gums and cookies are considered sugar confectioneries.
The Asia-Pacific and North America regions together accounted for two-thirds share of the global market in 2015, and are expected to maintain that hold, the report said.
Asia-Pacific held the largest overall market share, at more than two-fifths, in 2015. Bolstered by a growing population and economy, it is expected to keep its lead through 2022, with a projected CAGR of 4.2%, the report said.
The sugar-confectionery market is divided into six segments: hard-boiled sweets, caramels and toffies, gums and jellies, medicated confectionery, mints and others. Hard-boiled sweets accounted for maximum global market share in 2015, while caramels and toffees and gums and jellies together accounted for more than two-fifths of the market share.
Medicated confectionery in particular is expected to grow in value in the coming years, with a projected CAGR of 3.9% during the forecast period, the report said.
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