Sales of baked goods were up just barely percent in 2011, valued at $1.8 billion, but fell slightly in volume.
THIS REPORT CONTAINS ASSESSMENTS OF COMMODITY AND TRADE ISSUES MADE BY
USDA STAFF AND NOT NECESSARILY STATEMENTS OF OFFICIAL U.S. GOVERNMENT
GAIN Report Number: FR9114
Laurent J. Journo
Sales of baked goods were up just barely percent in 2011, valued at $1.8 billion, but fell slightly in
volume. Packaged industrial bread was the only subsector to increase substantially during the same
period. Sales of baked goods are expected to decline in 2012.
Average exchange rate for calendar year 2011
USD 1 = 0.72 Euros
Source: The International Monetary Fund.
SECTION I. MARKET OVERVIEW
As a result of the increase in cereal prices, total sales of baked goods rose by only 1 percent in value and
marginally in volume. Packaged industrial bread was the only subsector to increase during this period.
White packaged industrial bread dominated the market with 60 percent value share. Jacquet, one of the
leaders in this subsector, launched a new range of products made with selected ingredients and without
Within cakes, the rise of single-person households and smaller-sized families has changed the way
consumers buy and resulted in manufacturers offering individual portions. Packaged industrial pastries
registered value growth of 2 percent in volume. In-store bakery sales were developed in
SECTION II. MARKET ENTRY
Unpackaged/artisanal products still dominate this sector, as traditional bakeries are very well
established. After losing significant ground to hyper/supermarkets three years ago, traditional bakeries
reacted by capitalizing on their image of quality and authenticity, with premium and naturally healthy
flour or slow kneading. Hyper/supermarkets are working towards improving the quality of their bakery
products. Auchan and Carrefour increased their in-store bakery offers and promoted products through
advertising campaigns, which focused on traditional values and flavor.
SECTION III. COMPETITION
In the country of the baguette, the competitive landscape is extremely fragmented with a small, but still
growing share of branded products. Branded manufacturers have limited presence in the baked goods
market, with combined value share of the top five manufacturers was only 8 percent in 2011. Harry’s
France leads with a share of just fewer than 3 percent, followed by Brioche Pasquier SA, and Lu SA.
Brioche Pasquier SA has typically relied on discounts and family packs. Private labels saw the biggest
increase in packaged/industrial bread thanks to its offensive in white and tasty breads.
New products were launched by manufacturers of artisanal, private label, and branded products in 2011,
as well as communication campaigns. Packaging innovations were also directed towards smaller
packaging and individually-wrapped products.
SECTION IV. BEST PRODUCT PROSPECT
The overall market for baked goods is expected to slightly decline in 2012. The advantage, however, of
packaged products will continue to be the convenience trend. These products have a longer shelf life
and are available through various retailers. Packaged/industrial bread manufacturers are expected to
drive the market by offering low salt, but also ethnic bread (tortillas, naan, pita, challah, and burgers
buns). The search for natural health and wellness products, such as organic variants is another trend.
Packaged food manufacturers must respond by offering products that contain less added flavors and
SECTION V. KEY CONTACTS AND FURTHER INFORMATION
Internet Home Pages
Internet home pages of potential interest to U.S. food and beverage exporters are listed below:
USDA/Foreign Agricultural Service http://www.fas.usda.gov
U.S. Mission to the European Union http://useu.usmission.gov/agri/usda/html
European Importer Directory http://www.american-foods.org
Website for Professional Trade Shows
and Events http://www.salons-online.com
Questions/Comments and Assistance
If you have any questions or comments regarding this report, need assistance exporting to France or
desire French buyers contact lists, please get in touch with the U.S. Agricultural Affairs Office in Paris
Foreign Agricultural Service
U.S. Department of Agriculture
Embassy of the United States of America
2, avenue Gabriel
75382 Paris Cedex 08, France
Phone : (33-1) 43 12 2245
Fax : (331) 43 12 2662
Email : email@example.com
Home page : http://www.usda-France.fr
Please view our Home Page for more information on exporting U.S. food and beverage and find
list of French market sector/briefs and other detailed reports.