Cereal Production in Canada - Industry Market Research Report

Spilled Milk: the Industry Will Likely Experienced Diminish Demand as Prepandemic Activities Return

Cereal production in Canada has continued to grow for the most part during this period. While cereal has always been a popular choice for breakfast, introducing healthier products has allowed producers to venture into different markets and appeal to various customers. The pandemic led to a surge in consumer spending on breakfast cereal because of lockdown regulations. Consumers gravitate toward food that can be stored without worry and eaten whenever they like. As the effects of the pandemic faded, sales dipped slightly as many people returned to work, but cereal remains an integral part of breakfast everywhere. Overall, industry revenue has been increasing at a CAGR of 5.1% over the past five years and is expected to reach $1.7 billion in 2023. This includes a 1.5% uptick in 2023 alone. The industry acquires raw materials, such as corn, wheat, flour, sugar, malt extract, rice and salt from various sources, and processes these ingredients into ready-to-eat cereal, granola cereal (except bars and clusters) and hot cereal. It also purchases raw materials such as plastic and paperboard containers from other manufacturers for packaging purposes. The finished breakfast cereals are subsequently sold to grocery wholesalers, retailers and food service providers. This report covers the scope, size, disposition and growth of the industry including the key sensitivities and success factors. Also included are five year industry forecasts, growth rates and an analysis of the industry key players and their market shares.