Sugar Toppings Market Size Estimated to Reach $9.6 Billion by 2027

Sugar Toppings Market | IndustryARC
Rising Consumer Demand for Flavored Sugar Around the Market Is Projected To Have a Substantial Impact on the Sugar Toppings Market.

The Sugar Toppings Market size is estimated to reach $9.6 billion by 2027. Furthermore, it is poised to grow at a CAGR of 6.10% over the forecast period of 2022-2027. Sugar toppings are used as a garnish or as an ingredient in confectioneries and pastry products such as sprinkles, jimmies, vermicelli to enhance the flavor and the aesthetic appeal. It is generally created using freshly granulated sugar that has been finely crushed and powdered. Sugar toppings can also include granulated, pearl, light beam, dark beam, cane, and confectionaries sugar. Sugar Toppings are mostly used to flavour and brighten baked foods such as cakes and other desserts. It is also utilised in the production of sweetened products including chewing gums, chocolate, sugar confectionaries, and other products in a variety of industries. Sugar toppings market demand is being driven by increased confectionery consumption around the world. Furthermore, rising consumer demand for flavoured sugar around the market is projected to have a substantial impact on the sugar toppings market. Additionally, the rising popularity of convenience foods and ready-to-eat goods is reported to have a significant impact on the sugar toppings industry. Increasing an individual’s disposable income in a developed country is projected to create untapped opportunities for market participants.

Sugar Toppings Market Segmentation Analysis-By Product Type

The Sugar Toppings market based on product type can be further segmented into Wet Sugar Toppings and Dry Sugar Toppings. Dry Sugar Toppings have a large part of the global market share in 2021. Flavored sugars, dried icing sugar, moisture resistant icing sugar, sprinkles, etc. make up the dry type sector. The market is expanding due to rising demand for dry sugar toppings that are generally used as confectionery toppings. Cakes, cupcakes, and other confectioneries are made using dry sugar toppings at bakeries. Sprinkles are used to make confectioneries look more appealing, while flavoured sugars are used in coffee, oatmeal, and cookies. Additionally, as per a survey by various independent researchers and multinationals, it was found that people had an increasing consumption trend (about 60% of surveyed) , especially for sweet products as it tends to provide them with calmness amongst uncertainty.

Additionally, the Dry Sugar Toppings section is projected to increase at a CAGR of 6.7% from 2022 to 2027, making it the fastest-growing segment. Cakes, cupcakes, and other confectioneries are made using dry sugar toppings at bakeries. Furthermore, rising demand for sugar toppings in hot and cold beverages is boosting this segment’s growth.

Sugar Toppings Market Segmentation Analysis-By Application

The Sugar Toppings market based on application can be further segmented into Bakery, Confectionery, Dairy, Ready-to-eat Snacks, Convenience Food, Packaged Food and Others. In 2021, the confectionery segment had the biggest market share. Sugar is mostly utilised as a sugar topping in sweets to enhance the taste and offer an appealing appearance. Sugar toppings are powdered sugar that has been finely crushed and grained. Different components, such as butter, cream cheese, egg whites, and flavour, are always added to it. It’s found in a variety of items, including sugar confectionery, chocolates, chewing gum, and cakes. In addition, during the projection period 2022-2027, confectionery is intended to create at the quickest rate, with a CAGR of 7.1%. Sugar toppings market demand is being driven by increased confectionery consumption around the world. Furthermore, increased customer demand for flavoured sugar is projected to have a substantial impact on the global sugar toppings market. Furthermore, individuals’ growing demand for convenience foods and ready-to-eat items is projected to have a significant impact on the sugar toppings business. In the developing world, increasing an individual’s disposable income is projected to offer unexplored opportunities for market participants.

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Sugar Toppings Market Segmentation Analysis-By Geography

The Sugar Toppings market based on Geography can be further segmented into North America, Europe, Asia-Pacific, South America, and the Rest of the World. In 2021, North America dominated the Sugar Toppings Market, accounting for 35% of the market. This is due to a shift in lifestyle and eating habits, as well as increased consumption of high-calorie foods. According to the United States Chocolate Industry, roughly 265.91 million people consumed chocolate and other candy in 2019, increasing the need for Sugar Topping in North America. Because of rising confectionery consumption and shifting consumer preferences toward low-sugar topping products, North America now dominates the worldwide sugar toppings industry. North America is regarded as a mature market for sugar toppings, having contributed a significant market share globally. The industry is predicted to develop due to changing lifestyles and eating patterns in North America. In comparison to other regions, this region’s consumer base consumes more high-calorie foods, offering up fresh growth opportunities in the coming years.

Sugar Toppings Market Drivers

Sugar toppings are in high demand for rising confectionery consumption around the world.

Sugar toppings come in a range of shapes and sizes in confectioneries. They’re used as icing on cakes and cupcakes, as well as sprinkles to make cakes look more appealing. Confectionary consumption is on the rise all across the world. Sugar confectioneries and chocolate confectioneries are the two varieties of confectioneries in which sugar is the principal ingredient. This proportion varies by country. Confectionery consumption is rising in nations with a developing middle class, such as Brazil and India, as well as countries where sugar consumption has traditionally been low, such as China and Japan. For example, around 21% of the total production and 45% of total exports are dominated by Brazil in the global economy.

Demand for ready-to-eat foods is on the rise, catering to the market growth.

One of the primary factors driving the worldwide Sugar Toppings market is the customer desire for convenience meals and ready-to-eat items is increasing, as is consumer demand for flavour variety. These are some of the drivers driving the market’s expansion. Sugar Toppings Market is also expected to rise due to changing lifestyles and rising demand for gifting confectionary items. The growing number of small sugar toppings manufacturers in every region can use the big companies’ production method to make sugar toppings, giving them greater opportunities. Serotonin is released post consumption of sugary-foods, which allows the effective stress to go down. The global population has been turning towards active workforce, which is further allowing for the sales of such products. As per World Bank, around 3.391 billion is the active labour work force in 2020.

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Sugar Toppings Market Challenges

Fluctuations in raw material price and awareness regarding disease are factors impeding the market growth.

Raw material price variations, on the other hand, will be a big stumbling block to the market’s expansion. For example, sugar, as a commodity is actively traded in the market, which further allows to decide the prices of the product. In April 2020, the USD/lbs rate of sugar was $10.20, which zoomed onto touch $20.64 in October 2021. Additionally, the pries of sugar is highly dependent on oil, which for now has been extremely volatile. Moreover, the rise in the number of obese and overweight people would also slow the market’s development rate. As per a US CDC study, around 42.4% of the entire population was overweight-which is 12% higher than the survey of 2000-01. Moreover, diabetes has been growing globally high readily impedes the market growth. Growing awareness of the ailments that might be contracted as a result of sugar use will derail the market’s development rate once more.

Sugar Toppings Industry Outlook

Product launches, mergers and acquisitions, joint ventures, and geographical expansions are key strategies adopted by players in the Sugar Toppings Market. Sugar Toppings top 10 companies include:

Baldwin Richardson Foods Co

CK Products LLC

Monin Inc.

Pinnacle Foods, Inc.

R. Torre & Company, Inc.

Regal Food Products Group Plc

The Hershey Company

The J.M. Smucker Company

The Kraft Heinz Company

W. T. Lynch Foods Ltd.

Key Takeaways

Geographically, North America controls the Sugar Toppings Market, adapting to shifting lifestyles and eating habits, as well as increased consumption of high-calorie foods. Sugar toppings in U.S. are growing in popularity owing to increase confectionary demand and increased need for ready-to-eat items.

In recent years, rising demand of sugar toppings from emerging markets such as China, India, Brazil, and the Middle East coupled with marketing of breakfast syrups and beverage sauces is poised to drive the market.

The rising popularity of convenience foods and ready-to-eat goods is reported to have a significant impact on the sugar toppings industry. However, the ill-effects pertaining to health owing to sugars have impeded the market growth.

A detailed analysis of strengths, weaknesses, opportunities, and threats will be provided in the Sugar Toppings Market Report.

Relevant Titles

Sugar-Based Excipients Market

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