Baking & Snack - September 2018 - 16

Frozen bakery market
projected to grow

Cargill commits to
nourishing the world
Against the backdrop of operating with "greater agility and stronger integration," Cargill, Minnetonka, MN, is firmly on the path to
nourishing the world in a "safe, responsible and sustainable way,"
company executives recently reported.
"In the midst of significant uncertainty in the world, we are
strengthening the connections that enable progress," David
MacLennan, chairman and CEO, and Marcel Smits, executive
vice-president and CFO, wrote in the report. "Cargill has always
moved food from where it is produced to where it is needed. Today,
we are pioneering new capabilities and partnerships to invest for
the future. We are working with farmers and others to implement
sustainable agricultural practices, innovating alongside customers
to develop healthy, delicious products made the way consumers
want, and standing up for responsible global trade that lets food
move freely."
The executives stated that Cargill has been able to better connect its global operations through investments in technology. The
company also modernized several oilseed processing plants in the
US and Brazil this year and broke ground on a biodiesel facility
in Kansas.
"We are harnessing our global expertise to make agriculture
more sustainable," Mr. MacLennan said. "This year, we established
a corporate sustainability hub to support our businesses as they advance our focus areas of land use, water resources, climate change,
farmer prosperity and food waste."
The executives also expressed their support for responsible trade,
calling it "an essential part of sustainably nourishing the world."
"When food moves freely, billions of people benefit from greater
affordability and wider choice in their diets," Mr. Smits said. "This
year, we defended the global rules-based trading system and institutions like the World Trade Organization that make sure nations
can resolve disputes and keep borders open. We advocated with
policymakers to build upon existing trade agreements like those
between the US, Mexico, Canada, China and South Korea, rather
than walk away from the negotiating table."
-Eric Schroeder, Milling & Baking News

16 Baking & Snack September 2018 / www.bakingandsnack.com

The demand for frozen baked goods is expected to rise as consumers seek out items that can be freshly prepared and have a
longer shelf life. A report conducted by Zion Market Research
valued the global frozen bakery products market at $16.5 billion
in 2017 and projected it to reach approximately $28.3 billion by
2024, growing at a compound annual growth rate of about 8.2%
between 2018 and 2024.
Increased quality and convenience are some of the major
factors fueling growth, according to Zion Market Research.
Advances in processing methods and ingredient functionality are enriching the quality of frozen bakery products.
Hydrocolloids, antioxidants and enzymes are contributing to
improvements such as increased shelf life and texture and flavor
enhancement, the research firm noted. Their convenient nature
also is driving sales as these items tend be more versatile and
appear fresher than conventionally baked items.
According to the report, buns and rolls retain a large portion of sales within this market. A rising preference for portable
foods such as sandwiches is supporting this growth. Pizza crust
sales also are expected to attain more market share due to the
item's versatility and popularity across cultures.
European countries are expected to be the fastest-growing segment in coming years. The firm said that Germany,
Denmark, Switzerland, Norway, Finland and Greece are expected to contribute to sales due to higher incomes that allow those citizens to buy high-quality frozen foods. In addition, the tourism and catering industries in France,
Germany and UK are likely to capitalize on the convenience
of these products.
The Asia Pacific region has the highest potential for increased
market growth. The expanding influence of Western culture,
enhanced standard of living among the region's population and
changing eating habits of consumers are expected to fuel overall
growth in this area.
North American sales of frozen baked foods are expected to
see an uptick as well. According to Zion Market Research, food
companies will need to balance consumers' demands for indulgence and health when creating new products in this region.

In the August 2018 issue of Baking & Snack
article "Counting the Cost" on Page 80, Cain
Food's AlphaFresh product was erroneously
referred to as an enzyme-based system.
AlphaFresh is an acid-based system derived
from natural fermentation.

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Baking & Snack - September 2018

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