Global Doughnuts Market on the Rise

The worldwide doughnuts market size is expected to grow by $3.21 billion from 2022 to 2027, a new market analysis by Technavio concludes. That translates into a compound annual growth rate of 2.65 percent during the forecast period.

The growing number of stores and retail outlets selling doughnuts is driving the upward trend.

“The trend of socializing at cafes has gained significant traction, particularly among urban youth,” the report notes. “The steady migration of individuals to urban centers, coupled with a considerable demographic of white-collar professionals, has spurred the demand for an expanded network of food service establishments. The popularity of malls and shopping centers has acted as an impetus for numerous new entrants to invest substantially in disseminating doughnuts through these bustling hubs.”

Also driving the growth: the surge in infrastructure development within emerging economies, involving the establishment of new airports and highways. “This presents a fertile ground for prominent coffee chains to establish their presence. The heightened frequency of travel to well-visited destinations, both by road and air, has bolstered the consumption of coffee and doughnuts among consumers.”

However, fluctuating prices of raw materials are a major challenge hindering the doughnut market growth, the report notes.

“The pricing of essential raw materials used in doughnut production, such as sugar, eggs, flour, cocoa and milk, is subject to fluctuations based on their availability,” the report notes. “Recent years have witnessed a notable disparity between the demand and supply of these crucial inputs, consequently driving up their costs significantly.”

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