Middle East & Africa Sugar Confectionery Market Outlook, 2027

The Middle East & Africa The sugar confectionery market is anticipated to witness significant growth during the forecast period due to an expanding retail sector, which would bode well for the demand for sugar confectionery products in the region. Confectionery preferences frequently differ due to geographical reasons, regulatory norms, and other factors such as economy, taste, and consumer preference. A wide range of confectionery products are marketed through various retail channels such as hypermarkets, supermarkets, convenience stores, e-commerce retailers, pharmacy stores, and others. These stores act as MEA marketing tools, assisting in building an impressive brand image and raising brand exposure. Of these, sales through convenience stores are the highest, and the future market growth is expected to be driven by e-commerce sales. This is due to the rapid adoption of online purchasing by consumers.

According to the research report, Middle East & Africa Sugar Confectionery Market Outlook, 2027 it is projected to grow at a steady CAGR of 6.71% over the forecast period ending in 2027. Together, chewy and hard-boiled sugar candies constitute over 50% of the market share. The major trend in the region is the clean label claim. People are more influenced by such labels claiming the products to be all-natural or being preservative-free. Sugar-free confectionery is expected to drive future market trends in the MEA region. Lozenges also help soothe and lubricate the throat tissues affected by influenza or the common cold. The increasing number of consumers who contract bacterial or viral infections in the country has led to the increased consumption of lozenges over the past few years, thereby driving the growth of this market segment. Additionally, the availability of fruit-flavoured pastilles containing ingredients such as zinc, vitamin C, and honey has become popular among health-conscious consumers focusing on preventive health care, which has become paramount considering the COVID-19 pandemic. This factor is projected to boost the market's growth during the forecast period.

Sugar is the key ingredient responsible for the prevalence of obesity and diabetes, making this the primary restraint on the market. Volatile prices of sugar and government regulation of sugar content monitoring also restrict further growth. During the pandemic, the import of food and beverages drastically reduced due to lockdowns and demand and supply inadequacy. Further, as sugar confectionery products do not fall under essential commodities, they were adversely affected due to decreased purchases by consumers. However, during the forecast period, the market's growth is primarily attributed to the growing demand for premium confectionery with new and innovative flavours offered in attractive packaging as a gift item for festivals and other occasions.

Due to international companies setting up factories in the country and the emergence of local small-scale organizations, there is an awareness of an expanding market and demand for standard and luxury chocolate that serves the gifting purpose and personal/individual consumption. While the key players enjoyed a dominant presence over the study period, local and newer players have been giving competition by focusing on pricing, the quality of products, and the innovation of products catering to consumer tastes and preferences as well as healthier alternatives to conventional confectionery products.

The sugar confectionery in the Middle East & Africa region is dominated by the adult age group segment, which held a share of nearly 48% in the year 2021. In the recent past, there has been an increase in the number of sugar-free variants of gums, chews, and candies. This is seen as an attempt by the manufacturers to gain more consumers from the geriatric age group segment. Through the forecasted period, the geriatric age group segment is expected to grow at an anticipated CAGR of 6.88%.

As a country, South Africa has the largest share of 26.14% in the MEA region, with a very well-established sugar confectionery market. The leading manufacturers in the region are now focusing on the quality of the ingredients and innovations in terms of packing. Many governments are focused on sugar taxes and the removal of subsidies, which are likely to be the turning points in the regional trends. Many premium brands have been successful in building an affluent consumer base, supported by their strategic placement in the retail chains. Some of the major players in the market include Mondelez International, Nestle, Lindt & Sprungli AG, Hershey's, and Mars Incorporated. The leading companies are focusing on improving their global position by enhancing their product lines and through mergers and acquisitions. Understanding the changes in lifestyles, companies are now innovating and introducing new products to cater to the customers' growing needs.

Companies Mentioned:

Mars Wrigley Confectionery, div. of Mars Inc., Ferrero Group, Haribo GmbH & Co. K.G., Perfetti Van Melle, Meiji Co. Ltd., Nestle SA, Hershey Co., Lotte Confectionery Co Ltd, Mondelez International, Lindt & Sprungli AG

Considered in this report

• Geography: Middle East & Africa
• Base year: 2021
• Estimated year: 2022
• Forecast year: 2027

Countries covered in the report:

• United Arab Emirates
• Saudi Arabia
• Israel
• South Africa

Aspects Covered in the report:

• Middle East & Africa Market Size By Value for the time period (2015-2026F)
• Country Wise Market Size By Value for the time period (2015-2026F)
• Market Share by Product Type (Hard Boiled Sweets, Plain Mints, Caramel/ Toffee, Chewy, Novelty, Licorice, Sugar-free, Others) By Value
• Market Share by Age Group (Children(1-20 Age), Adult (20-55) & Geriatric(55 and above)) By Value
• Market Share by Sales Channel (Supermarket/Hypermarket, Convenience Stores, Pharmaceutical & Drug Stores, E-commerce & Others) By Value

The approach of the report:

This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience

This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to sugar confectionery industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.