Sweet tooth: Increasing health consciousness has soured overall demand for candy products

The Candy Production industry in Canada produces nonchocolate candy such as marshmallows, toffee, caramel, granola bars and chewing gum. Operators sell their products to retailers and wholesalers for redistribution to consumers. As a result, industry performance relies on domestic demand and global demand. Although some industry products, such as breakfast bars, are growing in popularity, increasing health consciousness has soured overall demand for candy products. In recent years, the industry has become more export-intensive, and subsequently, consolidated. Operators have found some respite in the US market for candy, which receives the majority of exports...read more.

Industry Statistics & Market Size
Revenue
$1bn
Annual Growth 14-19
-1.5%
Forecast Growth 19-24
Profit
Employment
3,482
Businesses
106

Industry Threats & Opportunities

  • In recent years, the industry has become more export-intensive, and subsequently, consolidated
  • Operators have found respite in export markets
  • Global companies are likely to sustain high profit margins
  • Industry Report - Industry Locations Chapter

    The Canadian Candy Production industry's establishments are largely located close to large city markets for easy serviceability. Consequently, the establishments are concentrated in the three provinces with the highest population counts, which are Ontario, Quebec and British Columbia. Furthermore, high and escalating transportation costs encourage industry operators to strategically locate themselves close to sources of key inputs, such as fruit and nut farmers and baking mix manufacturers.Ontario, which accounts for the largest share of the Canadian population at an estimated 38.6%, holds the majority of industry establishments at 46.0% of the total. Similarly, Quebec and British Columbia house an estimated 29.8% and 16.1% o...purchase to read more.

    Additional Insights for the Candy Production Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Candy Production Industry are

  • Ability to pass on cost increases to consumers
  • Ability to adapt to change
  • Economies of scale and scope
  • IBISWorld analysts also discuss how external factors such as Canadian effective exchange rate index and Per capita disposable income in the Candy Production industry impact industry performance..

    shopping_cartPURCHASE OPTIONS

    What's in this report

    What is the Candy Production Industry?

    This industry produces nonchocolate confectionery such as marshmallows, toffee, candied fruits and nuts, fudge, breakfast bars and chewing gum. Industry operators sell candy to retailers and wholesalers that then distribute it to households and other consumers. This industry does not produce chocolates, chocolate confectionery, ice cream, frozen yogourt or dried fruit and nut snacks.

    Industry Products
  • Hard candy
  • Soft candy
  • Chewing gum, with and without sugar
  • Candied nuts and fruits
  • Industry Activities
  • Soft candy production (e.g. marshmallows and jelly candy)
  • Hard candy production (e.g. lollipops)
  • Chewing gum production
  • Other nonchocolate candy production
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Canadian effective exchange rate index
  • Per capita disposable income
  • Total health expenditure
  • World price of sugar

  • Current Performance
  • Health-conscious consumers
  • Product innovation
  • Exports to the United States
  • External competition
  • Chart: Revenue Growth

  • Industry Outlook
  • Weak demand
  • Exports slow down
  • Declining industry participation
  • Table: Candy Production Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Candy Production Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Grocery Wholesaling in Canada
  • Supermarkets & Grocery Stores in Canada
  • Convenience Stores in Canada
  • Consumers in Canada

  • Key Selling Industries
  • Baking Mix & Prepared Food Manufacturing in Canada
  • Coated & Laminated Paper Manufacturing in Canada
  • Fruit & Nut Farming in Canada
  • Margarine & Cooking Oil Processing in Canada
  • Syrup & Flavouring Production in Canada

  • Products & Services
  • Soft candy
  • Hard candy
  • Chewing gum, with and without sugar
  • Candied nuts and fruits
  • Chart: Candy Production Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Exports to the United States
  • Exports to other countries
  • Domestic consumers
  • Chart: Major Market Segmentation for the Candy Production Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
    ProfitPurchasesWagesRent and utilitiesDepreciation and other costs
  • Chart: Cost Structure Benchmarking – Sector vs Candy Production

  • Basis of Competition
  • Internal competition
  • External competition

  • Barriers to Entry
  • Table: Barrier to Entry Checklist for the Candy Production Industry

  • Industry Globalization
    Mars Inc., Mondelez Canada Inc.,
  • Table: Mars Inc. - financial performance
  • Table: Mondelez Canada Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Candy Production Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Candy Production Industry
    Includes:
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Exports (2010-2024)
  • Imports (2010-2024)
  • Wages (2010-2024)
  • World price of sugar (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    Economies Of Scale
  • The increase in efficiency of production as the number of goods being produced increases.
  • Generic Brand
  • Goods that are produced under a retailer's brand name are often positioned as lower cost alternatives to branded products.
  • Hard Candy
  • Candy with a hard and brittle texture; often made of candy cane, boiled sugar candy and candy pops and does not typically possess the sophisticated ingredients of soft candies.
  • Premium
  • When producers charge consumers a price for their product that is more than its nominal value.
  • Soft Candy
  • Candy with a soft and chewy texture, such as marshmallow and jelly.
  • Vat
  • A large vessel (as a cistern, tub or barrel) used in candy production.
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Candy Production market research report offers insightful industry analysis and research into the market at the national level. IBISWorld’s in-depth industry market research is presented in a logical and consistent format. The industry report contains key industry statistics, market size, industry trends, and growth and profit forecasts for a 5-year outlook period.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
    • Quickly build competitive intelligence
    This report on Candy Production:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Candy Production market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Candy Production, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

    Contact Us

    Want to speak to a representative? Call us.

    clear