The market for Chinese-style pastries is projected to expand in the future, spurred by increasing demand among young adults and the growing pursuit of more wholesome diets among consumers.
According to the latest report by iiMedia Research, the market size of baked food in the domestic sector is projected to grow by 7.6% year-on-year to Rmb 307 billion (US$43.2 billion) in 2023. It will reach Rmb 325 billion (US$45.8 billion) by 2025.
The report also highlighted that Chinese bakery products such as pineapple tarts, mung bean cake, sesame seed cookies and buns made with glutinous rice are becoming increasingly popular, partly due to rising awareness cause by social media influencers. Currently, consumers of Chinese baked products comprised of mainly young adults and the middle-aged who tend to purchase baked products as many as 6 times a month.
With rising health awareness, Chinese producers are also adjusting their product portfolios in terms of sugar, salt and fat contents. The report mentioned that Chinese bakers have an advantage as they can incorporate traditional healthy ingredients such as black sesame seeds into bakery products. One example is the mung bean cake, which in the traditional Chinese medicine believes that mung bean can dispel internal heat and relieve hot weather ailments. As mung bean cakes are sweet and delectable enough, they could be a good substitute to ice cream and western cakes, with lesser feeling of guilt when consuming them.
Another popular Chinese pastry is the traditional mooncakes which will continue to dominate demand at every season. Mooncakes with lesser salt, sugar and fat are increasingly becoming popular among consumers. Mooncakes with modern fillings like cheese and chocolate are also growing in popularity albeit from a smaller market share.
China’s bakery and pastry industry has recovered rapidly after the full lifting of COVID-19 restrictions in early this year. With supporting policies by the government, the industry is expected to recover back to its pre-pandemic levels.
