The industrial bvp market - France (2024)

1.2 The French market in good shape

French bread and fresh pastry production is on the rise, as the following graph shows. Companies in the sector are listed under NAF code **.**A: Industrial manufacture of bread and fresh pastry.

This class includes :

the industrial manufacture of bread, Viennese pastries (***) waffles and pancakes manufacture of frozen dough and dough pieces for baking

industrial production of quiches, savoury tarts, fresh pies and raw croque-monsieur

But does not include the manufacture of frozen quiches, savoury tarts, pies and pizzas, and fresh pizzas As a result, we can see a sharp rise in the sector's market size, reaching **.** billion euros in revenues in ****, up **% on ****. In ****, the sector had been negatively impacted by the health crisis, before exceeding pre-crisis levels the following year.

Market size of industrial fresh bread and pastry production France, **** - *****, in billions of euros Sources: INSEE, INSEE *for ****, sales are calculated on the basis of the first ** months of the year

1.4 Balance of trade

The trade balance for industrial BVP is almost in balance, albeit with a slight surplus in ****. To establish this, we use the harmonized customs system, and more specifically code **** - Bread, pastry, cakes, cookies and other bakers' wares, whether or not containing cocoa; communion wafers, empty cachets for pharmaceutical use, sealing wafers, dried flour, starch or starch sheet pastes and similar products.the UN comtrade site allows us to retrieve the data available in the graph below:

Balance of trade in bakery, pastry and cookie products France, **** - ****, in billions of US$ Source: ****

France depends almost exclusively on its European neighbors for its imports. The share of each supplier can be calculated as follows: value of imports from supplier country / total value of imports * ***. UN comtrade data are used to establish these shares.

France's main suppliers France, ****, in Source: ****

French exports are also mainly destined for the European market. However, the USA is the fourth largest importer of French products.

Main importing countries France, ****, in Source: ****

2.1 Typology of demand

The industrial BVP market is essentially a BtoB market. Indeed, the main customers are companies in other sectors. The main outlet for the French industrial bakery sector is supermarkets and hypermarkets, which account for **% of the sales of French BVP manufacturers. Other distribution channels are export (***).

Main market segments France, ****, in Source: FEB Takeaway: craftsmen, wholesalers, cafés, hotels and restaurants Catering: events, caterers, airports, cruises.

2.2 BVP demand in supermarkets

The total market for BVP (***).

Bread accounts for **% of BVP sales in supermarkets, while viennoiseries and pastries represent **% and **% respectively.

Breakdown of sector sales France, ****, in millions of euros Source: ****

Nevertheless, it is bread and Viennese pastries that are driving growth in this segment, as shown in the table below, which lists trends by product type. Note the overall increase in value, made possible by inflation, and the drop in volume.

Source: ****

Bread is the product with the highest penetration rate in the supermarket bakery section (***). Viennoiseries and pastries have penetration rates of **% and **% respectively. The entire bakery products aisle has a high household penetration rate, reaching almost **%.

Rate of household buyers by product type France, ****, in Source: ****

the Viennoiserie and Pâtisserie sub-segments aredriving growth, as shown by the significant increase in the number of households buying these products, while bread is tending to stagnate .

Household buyer rate one-year trend (***) *-year trend (***) Bread **,*% -*,*% +*,*% Viennese pastries **,*% +*,*% +*,*% Pastries **,*% *,*% *,*% Total BVP **,*% +*,*% +*,*%

Source: ****

Bread is also the product category most purchased by consumers, with **.* supermarket purchases per year per household in ****. Viennoiseries and pastries are bought on average *.* and *.* times a year respectively.

Number of purchases per household per year by product type France, ...

2.3 Demand from out-of-home catering

Out-of-home catering accounts for **% of outlets in the industrial BVP sector (***).

Below is the out-of-home catering consumption of industrial BVP by product type for **** (***).

Bakeries

The table below details the categories of industrial bakery products most and least in demand by out-of-home catering players (***) :

Commercial foodservice accounts for **% of demand for industrial bakery products, versus **% for institutional foodservice.

Moreover, bread is the best-selling product (***)

And frozen products account for **% of demand, against **% for ambient and **% for fresh .

Viennoiseries and pastries

The table below details the categories of Viennoiserie and Patisserie most and least in demand by out-of-home caterers (***):

Commercial foodservice accounts for **% of demand for industrial Viennese pastries and cakes, versus **% for institutional foodservice.In addition, pastries account for **% of the out-of-home catering market for Viennese pastries and cakes, versus **% for Viennese pastries

And frozen foods account for **% of demand for industrial Viennese pastries and cakes, versus **% for ambient foods.

2.4 Terminal demand

Purchases of pre-baked or frozen bread and dough represent an average of **% of food purchases by bakery terminals, compared with just *% for artisan bakeries in ****.

Baking terminals are therefore an important customer sector for the industrial bakery sector.

This sector has seen a structural increase in activity over the past decade, as shown in the graph below. However, the sector suffered from the health crisis in ****, before rebounding in **** to exceed its pre-crisis level in ****, and continuing to grow in ****.

Sales index trends (***) France, ****-*****, in index points (***) in **** Source: INSEE **For ****, the index calculation is based on the first ** months of the year

2.5 Focus on demand for Viennese pastries and industrial pastries

Sales of industrial pastries

The following chart shows the top-selling types of industrial viennoiserie products. Brioches top the sales charts, followed by pains au chocolat.

Segment breakdown of the industrial viennoiserie market France, ****, in millions of euros Source: ****

Sales of industrial pastries

The market for industrial pastries is characterized by a wide variety of products, with many new products arriving every year (***)[***]. Products in this category include madeleines, waffles, pancakes, cakes, */*s, Savanes and Whaou crepes. The segment with the highest number of recipes is madeleines.

Segment breakdown of the industrial patisserie market France, ****, in millions of euros Source: ****

Within the industrial pastry category, brownies are the fastest-growing segment (***). It has become widely democratized in recent years, experiencing a very significant peak in volume growth in ****: +**.*%[***].

Focus on trends in demand for snack products:

Industrial bakery-viennoiserie-pâtisserie products are particularly popular with children at snack time. In recent years, the popularity of bread with a chocolate bar as a snack has declined, in favor of new products. Producers are not hesitating to innovate in this sector to satisfy new trends. But the fastest-growing segment is spreads (***).

Sales trends for the main snacking segments France, **** - ****, as % of sales Source: ****

2.6 The French and the consumption of bakery products

Consumption of bakery products

The average quantity of bread consumed by the French tends to decrease over time. In ****, the average French person will consume *** grams of bread a day, compared with *** grams in **** and *** grams in ****.

Bread consumption per day and per capita France, **** - ****, in grams Source: ****

Bread nevertheless remains an essential foodstuff, as **% of French people claim to always have some at home, and **% eat it at almost every meal (***)[***]

It's interesting to note that the three main criteria for buying bread are taste, traditional production and freshness. Moreover, the French origin of bread is preferred. Indeed, **% say it is important for bread to be made from wheat grown in France.

The preferred baguettes are, in order: *. traditional *. classic *. cereal. As for special breads, wholemeal bread is the most popular, followed by farmhouse bread and cereal bread.

Beyond bread, the other most popular bakery products are viennoiseries and pastries:

Consumption of bakery products France, ****, % Source: ****

Demand trends: organic and healthy

Organic is gaining ground

Like many sectors, bakery products are no exception to the organic trend. Sales of organic bakery-pastry products have risen sharply in recent years, from *** million euros in **** to *** million euros in ****, an increase of ...

3.1 A competitive ecosystem

Below is a simplified value chain for the bread-making industry in France:

Source: ****

We can distinguish three types of bread manufacturer: artisan bakeries and patisseries, bakery workshops in supermarkets and hypermarkets, and industrial BVP players. it should be noted that industrial BVP manufacturers may distribute their production to supermarket shelves, the foodservice sector, or to bread shops (***). However, this is less the case for artisan bakers.

Upstream in the value chain, there is the taming of raw materials, in particular wheat flour. In France, **% of domestically-produced or imported soft wheat flour is used for breadmaking, of which **% for artisanal bakeries, **% for industrial bakeries and *% for supermarkets.

Use of soft wheat flour in France France, ****, as % of total Source: ****

3.2 Number of establishments and employees

Against the backdrop of a sharp rise in total production, the number of companies industrially manufacturing bread and fresh bakery products has also increased. The number of establishments rose by **% over the entire ****-**** period, although the increase remains slight and limited by a period of stagnation between **** and ****.

Number of companies registered under NAF code **.**A (***) France, ****-****, in units Source: Urssaf The number of employees has also changed slightly, in the same proportions as the increase in the number of companies, with an increase of **% between **** and ****.

Workforce registered under NAF code **.**A (***) France, ****-****, in units Source: ****

As regards the regional breakdown of the number of companies in the sector, there is a high concentration in Occitanie and Auvergne-Rhône-Alpes. conversely, the regions with the fewest companies are Centre-Val de Loire and Corsica. [***]

3.3 Major players in the French sector

The following table shows the main players on the French market (***). We can see the importance of players of French origin, who dominate the national market.

Source: ****

In addition to their brands dedicated to the manufacture of industrial BVP products, these groups also own other brands in related fields, such as Vivescia with its other brands Copaline (***) brands.

What's more, while some groups (***) focus solely on bread-making and distribution.

4.1 Increase in raw material prices

Since ****, the production prices of many products in France have skyrocketed. This is particularly true of the price of butter and bakery flour, raw materials that directly affect the production of bread, Viennese pastries and cakes. One of the main reasons for the rise in butter prices is the drop in milk production across Europe. In France, Europe's second-largest milk producer, cow's milk collection is set to fall by *.*% in **** compared with ****[***]. This reduction will have a greater impact on butter production, since it takes an average of ** kilos of whole milk to produce one kilo of butter.

Evolution of the raw materials production price index France, ****-****, in index points Source: ****

This inflationary trend is inevitably reflected in consumer prices. Indeed, flour prices rose by **.*% in **** compared with ****, while butter prices increased by **.*% over the same period. While prices were already on the rise at the end of ****, Russia's invasion of the Ukraine has accentuated this phenomenon, as Russia and the Ukraine are the world's largest and fifth-largest wheat exporters respectively. Bread, for its part, saw its price rise by **% between **** and ****.

Consumer price index for flour, France, **** - ****, index base **** Source: ****

4.2 Offer typology

There are a large number of references for products offered by the industrial bakery-viennoiserie-pâtisserie sector. For an overview of the products on offer, we use the Neuhauser range as a starting point: Sector Categories Number of products Bakery Baguette ** Half baguette ** Bâtard ** Prepackaged ** Ciabatta * Panini * Bread * Bread rolls ** Other sandwich sizes * Pavé ** Ball * Viennese pastries Croissants ** Chocolate buns ** Raisin bread * Turnovers * Gourmands ** Brioches * Doughnuts ** Pastries Pastel de nata * Puff pastry **

This overview is by no means exhaustive, particularly for industrial pastries.

4.3 New supply trends: diversification and healthy products

A growth sector: organic products

Consumers are increasingly looking for healthy, environmentally-friendly products from short supply chains. The growing demand for organic produce is affecting all sectors and forcing producers to take the organic step.

In ****, France's EGalim law severely disrupted the market for industrial Viennese pastries. Indeed, by ****, the processed industrial pastry segment had shrunk by *.*% in value and *.*% in volume. While this law has weakened the sector, it has enabled certain segments to strengthen and assert themselves. Brioche Pasquier, for example, launched a range of organic brioches and pains au lait. The launch was a great success for the company, which took a leading position in this segment, with a **% market share in value terms by ****. Even so, Brioche Pasquier is struggling to catch up with La Boulangère, which has been established in this segment for many years (***)[***].

The health crisis has heightened the popularity of organic products, as the French prefer home-made and healthy products to protect themselves against the virus. The organic viennoiserie sector grew by **.*% in value during the crisis.

A necessary move upmarket

To meet the demand for healthier products, particularly in a context of mistrust of industrial products, the industrial bakery sector has ...

5.1 Towards 7/7 opening of bakeries and bread depots?

Since ****, prefectoral decrees have prohibited bakers from working * days a week. In fact, the minimum weekly rest period is set at ** consecutive hours[***]. However, in the perishable industries sector (***), this rest period can be waived a maximum of * times a month, for a total of no more than * times a year. If the employee works during the rest period, the hours will be counted as overtime.

However, many companies and craftsmen in the bakery-viennoiserie-pâtisserie sector are campaigning against this decree and want to be able to sell their products * days a week. This is particularly the case for the Fédération des Entreprises de Boulangerie (***), which wants to encourage entrepreneurship in the sector and considers the suspension necessary. Friction between artisan bakers and industrial bakeries is becoming increasingly acute; indeed, the balance of life for artisan bakers would be seriously undermined if the decrees were suspended. But the battle goes on, and today many départements have repealed the prefectoral decrees to allow */* opening, including Sarthe, Hauts-de-Seine, Côtes-d'Armor, Baie de Somme and Eure.

5.2 The "bakery" appellation

The use of the terms "boulangerie" or "boulanger" has been regulated since the late ****s, by law n°**-*** of May **, ****, determining the legal conditions for the exercise of the profession of artisan baker.[***]

The use of the designations "boulangerie" and "boulanger" is reserved exclusively for professionals who knead their own bread. The text thus stipulates that "professionals who do not themselves knead, ferment and shape the dough from selected raw materials, as well as bake the bread at the point of sale to the end consumer, may not use the designationthe dough and loaves may not be frozen or deep-frozen at any stage of production or sale".[***]

There are therefore two conditions for the use of these designations:

All bread-making stages must take place at the point of sale to the end consumer. Breads may not be frozen or deep-frozen at any stage of production.

Penalties for infringement of these rules are a fine of up to €**,*** and/or imprisonment for up to two years

6. Segmentation

• La Boulangère (Norac groupe)
• Jacquet Brossard (Limagrain groupe)
• Pasquier (Groupe)
• Menissez Groupe
• La Panetière
• Novepan
• ARGRU
• Atlantique Productions
• Harrys (Barilla Groupe)
• Bimbo qsr Plessis
• Bimbo Qsr Fleury
• Bimbo Qsr Aix
• Biofournil
• Boncolac
• Boulangerie Neuhauser
• Boulangerie Viennoiserie Française
• Boulangerie Yong
• Bretzels Moricettes Mfp Poulaillon
• Bridor (Le Duff groupe)
• Brio Gel
• Europe Des Pains
• Jacquet Panification
• Kauffer'S D'Alsace
• La Boulangerie De L'Europe (Neuhauser groupe)
• La Fournée Doré
• La Gerbe Savoyarde
• La Brioche Dorée (Le Duff Groupe)
• Le Duff Groupe
• Le Moulin De La Chaume (Intermarché les Mousquetaires)
• Le Fournil Du Val De Loire
• Les Moulins De Saint Armel ( (Intermarché les Mousquetaires)
• Les Moulins De Saint Aubert (Intermarché les Mousquetaires)
• Les Moulins De Saint Preuil (Intermarché les Mousquetaires)
• Limagrain Cooperative Groupe
• Mademoiselle Desserts groupe
• Menissez Frais
• Menissez Premium
• La Mie Caline (Groupe Monts Fournil)
• Norac Foods
• Pains Saint Rolan
• Planete Pain
• Tipiak Panification
• Vivescia
• Puratos Group
• Moulin Soufflet
• Moulin Meckert (Moulin des Moines)
• Moulin de la Marche
• Soufflet Groupe
• Paindor (Vandemoortele)
• Mecatherm
• Eurogerm
• Vandemoortele