Consumption of sourdough in Western Europe is expected to expand at a significantly high CAGR owing to increasing use of sourdough in the foodservice sector 

In terms of volume, the market in Western Europe is expected to expand at a significantly high CAGR over 2016–2026. In 2017, the Western Europe sourdough market is expected to be valued more than US$ 1200 Mn. The market is estimated to represent absolute $ opportunity of more than US$ 70 Mn in 2017 and incremental $ opportunity of more than US$ 1,000 Mn between 2016 and 2026. In terms of revenue, the Germany sourdough market is anticipated to remain dominant in the Western Europe sourdough market over the forecast period. The sourdough market in Germany is estimated to be valued in excess of US$ 400 Mn by the end of 2026, recording a good CAGR of 7.3% over the forecast period. 

Rising consumer preferences for traditional and healthy food options in Western Europe are likely to propel the growth of the regional sourdough market

Increased urbanisation and growing demand for fast food products such as pizza and others foods are factors driving the growth of the sourdough market in Western Europe. Sourdough pizza base freezes better than regular pizza base and also enhances the taste factor. As a result, sourdough pizza base is more preferred by manufacturers of frozen pizza. Growing demand for low GI bread and bakery products in Western Europe is fuelling the demand in the sourdough market in the region. Bread with a high GI score contains chemical constituents that can rapidly increase blood glucose levels. Insulin and glucose peaks result in obesity, Type-2 diabetes and various heart related conditions. In sharp contrast, low GI foods contain slow digestible carbohydrates, which produce a gradual, relatively low rise in blood glucose and insulin levels. Thus, consumer demand for low GI bakery products in Western Europe is higher and manufacturers are catering to this demand by developing and launching low GI sourdough based bakery products. 

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Increasing consumer demand for gluten-free bakery products in Western Europe is creating robust development in the Western Europe sourdough market. Gluten sensitivity is any intolerance to gluten, which is a constituent of grains such as wheat and barley. Celiac disease is an extreme form of gluten intolerance and affects a relatively small volume of the global population. However, with the population growing rapidly, the number of persons affected is expected to increase significantly in the future. Sourdough is becoming increasingly popular in the bakery industry in the Western Europe region due to its versatility and ability to enhance flavour and texture and strengthen shelf life of end products. Sourdough can be incorporated into a variety of baked products and can be used in various forms, including dried powders, starter cultures and live liquid cultures. 

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Pizza segment revenue is expected to expand at a relatively high CAGR in Western Europe over the forecast period 

By the end of 2016, the pizza application segment was estimated to be valued a little more than US$ 50 Mn, which is expected to expand at a CAGR of 7.5% over the forecast period, and be valued at more than US$ 100 Mn by the end of 2026. This segment is estimated to create absolute $ opportunity of close to US$ 3 Mn in 2016 over 2015 and an incremental $ opportunity of US$ 54.4 Mn between 2016 and 2026.

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The US$ 3.2 Bn sourdough market will continue to be positively influenced by increasing application in bread production. Of the US$ 3.2 Bn worth of sourdough sold in 2016, demand from the bread segment totalled US$ 2.36 Bn. This segment is projected to increase at a CAGR of 7.1% through 2026. The dominance of the bread segment can be gauged from the fact that other key application segments – pizza, buns, cakes, cookies, and waffles & pancakes – collectively accounted for nearly 27% revenue share. 

Western Europe continues to the largest market for sourdough, accounting for nearly 38% share of total revenues in 2016. Adoption of sourdough in Western Europe food manufacturing units continues to remain strong. Future Market Insights estimates the Western Europe sourdough market to increase at a CAGR of 7.1% through 2026. In terms of revenues, the market is projected to grow 2X from its 2016 market valuation of US$ 1.21 Bn. In terms of volume, over 552 thousand tonnes of sourdough was sold in 2016; FMI estimates it to reach over 975 thousand tonnes in 2026. 

Opportunities in the Global Sourdough Market 

• Increasing demand for clean-label products has presented a lucrative opportunity for businesses

• Use of sourdough is also gaining traction owing to its application in preparation of foods that require fermentation 

Key Supply-side and Demand-side Drivers 

• According to Future Market Insights’ report, demand for sourdough is increasing on account of its beneficial functional properties. Its property of enhancing flavour and texture is a key factor for its applications in the F&B sector, especially bakery sector

• Increase in the number of artisan bakeries is positively influencing the demand for sourdough. Particularly high demand for type 1 sourdough – made using only wild yeasts – is being witnessed in artisan bakeries

• Availability of sourdough products on e-commerce stores is also contributing to increasing sales

• Growing demand for sourdough from the fast food and bakery sector is creating sizeable growth opportunities for manufacturers 

High cost of sourdough products is a major impediment to their widespread adoption in developing countries. 

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Key Trends Expected to Shape Global Sourdough Market 

• Dehydrated sourdough (Type III) is gaining traction in the bakery industry. Freeze-drying remains the preferred dehydration technique for manufacturers.

• Manufacturers are using devitalised sourdough for enhancing the aroma of products. Devitalised sourdough does not contain live organisms, enhancing its use as an aromatic agent

• Consumer demand for healthy food products has resulted into the launch of chocolate sourdough loaves. Further, Future Market Insights identified increasing use of type I sourdough. 

Sourdough Market Forecast and Analysis by Starter Culture 

Type III starter culture currently accounts for nearly half of the revenue share of the global sourdough market. Over 773 thousand tonnes of sourdough was sold in 2016; by the end of the forecast period, Future Market Insights estimates global volumes to surpass 1.3 million tonnes. 

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Key companies profiled by Future Market Insights in its report include Puratos NV, Ernst Böcker GmbH & Co. KG, IREKS GmbH, Kampffmeyer Mühlen GmbH, Philibert Saveurs, Lesaffre, Dilbeek, Minden, Kulmbach, Hamburg, Pont-de-Veyle, and Marcq-en-Barœul.

Future Market Insights maintains a positive outlook on the global sourdough market, projecting it to grow by 6.8% CAGR through 2026 in terms of value. In terms of volume, demand is projected to grow at 5.5% CAGR. 

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