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        Candy Manufacturing Industry Profile

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        Excerpt from Candy Manufacturing Industry Profile

        The candy manufacturing industry includes three major segments: companies that make chocolate from beans, companies that use purchased chocolate to make candies, and companies that make nonchocolate candy. Major companies include Hershey's, Mars, and Mondelez International (all based in the US); as well as Barry Callebaut and Lindt (both based in Switzerland); Ferrero Group (Italy); and Meiji Holdings (Japan).

        Worldwide, the confectionery market is expected to generate about $284 billion in annual sales by 2025, according to Hexa Research. Market Data Forecast is expecting the confectionery ingredients market to reach about $21 billion by 2025 in Asia Pacific region alone.

        The US candy manufacturing industry includes about 1,900 establishments (single-location companies and units of multi-location companies) with combined annual revenue of about $27 billion.

        COMPETITIVE LANDSCAPE

        Candy manufacturers are developing new product lines and revamping their marketing strategies to capitalize on the growing popularity of healthier snacks and gourmet confections. Small and independent candy makers that sparked the early growth of those segments are now fending off competition from major manufacturers that have been making acquisitions and reformulating recipes in an effort to gain market share.

        Changes in the retail sector are also affecting the industry's competitive balance. Center-store packaged food sales have slowed at supermarkets as online grocery shopping and curbside pickup service have put a dent in impulse purchases. Many grocers are allocating less shelf space for candy and snack foods due ...

         
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