Baking Mix & Prepared Food Production in the US Industry Market Research Report from IBISWorld Has Been Updated

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Increasing incomes and changing consumption trends in East Asia are also anticipated to expand the size of the industry's export markets. For these reasons, industry research firm IBISWorld has updated a report on the Baking Mix & Prepared Food Production industry in its growing industry report collection.

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The strengthening domestic economy will help drive demand for value-added products

The Baking Mix and Prepared Food Production industry is rising but displaying signs of slight stagnation as the industry matures. Nevertheless, the industry continues to benefit from rising disposable income over the past five years. As more consumers returned to work and saw their discretionary incomes increase, demand grew for baked goods and precooked convenient food items, such as prepared vegetables and refrigerated liquid eggs. Additionally, manufacturers introduced a variety of healthier prepared foods, appealing to a growing health- and nutrition-conscious consumer base. IBISWorld Economic Analyst Melissa Imbruglia says in the updated report “while health trends have supported increased demand for certain product segments, such trends have also curbed demand for other industry products, including dessert mixes, syrup and other dried and dehydrated products.” As a result, industry revenue is anticipated to grow over the five years to 2014.

Intensifying foreign competition has also hampered industry performance. Despite the US Food and Drug Administration's (FDA) discovery of tainted spice imports in 2013, industry imports experienced double-digit annualized growth during this period, driven by exotic spices and ingredients from India. Increasing purchases costs, exhibited by a high agricultural price index growth, also challenged domestic producers. Prices of corn, eggs and other key industry inputs grew substantially over the past five years and fluctuated substantially year-over-year, causing many manufacturers to raise product prices in order to maintain earnings.

The prices of key production inputs are expected to remain steady over the five years to 2019, which will allow producers to better adjust prices in order to maintain profit margins without damaging demand. “Additionally, the forecasted strengthening of the domestic economy will help drive consumer demand for value-added products, such as precut vegetables and prepared food,” Imbruglia says. Increasing incomes and changing consumption trends in East Asia are also anticipated to expand the size of the industry's export markets. Conversely, growing consumer health-consciousness is projected to continue curbing demand for processed products that have high fat and sugar content, such as dessert mixes and prepared meals. Overall however, Baking Mix and Prepared Food Production industry revenue is estimated to grow in the five years to 2019.

For more information, visit IBISWorld’s Baking Mix & Prepared Food Production in the US industry report page.

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IBISWorld industry Report Key Topics

Operators in this industry produce perishable prepared foods, such as sandwiches, meals and peeled or cut vegetables. Companies in the industry also use dried and dehydrated ingredients to produce dessert mixes, flavoring powders and processed eggs.

Industry Performance
Executive Summary
Key External Drivers
Current Performance
Industry Outlook
Industry Life Cycle
Products & Markets
Supply Chain
Products & Services
Major Markets
Globalization & Trade
Business Locations
Competitive Landscape
Market Share Concentration
Key Success Factors
Cost Structure Benchmarks
Barriers to Entry
Major Companies
Operating Conditions
Capital Intensity
Key Statistics
Industry Data
Annual Change
Key Ratios

About IBISWorld Inc.
Recognized as the nation’s most trusted independent source of industry and market research, IBISWorld offers a comprehensive database of unique information and analysis on every US industry. With an extensive online portfolio, valued for its depth and scope, the company equips clients with the insight necessary to make better business decisions. Headquartered in Los Angeles, IBISWorld serves a range of business, professional service and government organizations through more than 10 locations worldwide. For more information, visit http://www.ibisworld.com or call 1-800-330-3772.

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Gavin Smith
IBISWorld
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