Market Trends of Canada Gluten-Free Foods & Beverages Industry
Surge in Demand for Clean Label and Free-from Food such as Gluten-free Food Products
The significant demand for organic, natural, and good-for-health products has increased the demand for gluten-free products in the Canadian market. Consumers are becoming aware of the adverse health effects of gluten-containing grains, such as wheat and barley. The rising awareness of free-from ingredients in the country has created an upsurge in the trend of gluten-free claims.
Companies are also focusing on new product development, owing to the changing market demand. For instance, in March 2024, Kraft Heinz Not Company LLC introduced the KD NotMacandCheese, the inaugural plant-based KD product. This release signifies the Canadian brand as the primary to unveil a product from the collaborative endeavor between The Kraft Heinz Company and TheNotCompany Inc. (“NotCo”). This mac n’ cheese label also debuted its inaugural gluten-free option.
Consumers are inclined toward 'clean living' with healthy dietary preferences, and gluten-free foods are perceived as mainstream lifestyle products. As a result, manufacturers are launching innovative products to cater to this potential market. They are introducing products with various label claims, such as 'gluten-free,' 'no artificial additives,' and 'reduced sugar' to benefit customers. Therefore, the above-mentioned factors are expected to benefit the market positively.
The Bakery Segment Caters to a Larger Portion of the Market
Bread and other bakery products usually contain gluten, primarily sourced from wheat, making them unsuitable for individuals following a gluten-free diet. The increasing popularity of gluten-free bread and bakery products drives the recent surge in the demand for gluten-free food. Associations like the Canadian Digestive Health Foundation (CDHF) are also playing a prominent role in maintaining the country's diet patterns, which has extended the opportunities for the gluten-free bread and bakery products market.
The association also keeps a close watch on the circulation of gluten-free products in the local market and constantly reviews the regulatory requirements surrounding the gluten-free category by keeping a close check on the purity and safety of ingredients being incorporated into the products. The different local and regional players are focused on product innovation to cater to the rising demand of consumers for gluten-free bakery products.
For instance, in June 2023, Arva Flour Mills, located in Arva, Ontario, unveiled a new line of gluten-free products, including seven offerings such as spicy carrot cake mix, bean brownie mix, and applesauce and raisin muffin mix. These items are manufactured and packaged externally at a specialized facility dedicated to gluten-free production.
Also, the rising trends of 'natural nutrition,' 'healthy living,' and 'organic products' have significantly increased the demand for whole wheat, light (low calorie), natural, and additive-free bakery products. Furthermore, the rise in demand for healthy food is driving the demand for whole wheat, gluten-free, and multigrain bakery products. The increased availability of such specialized bakery products will further aid the market's growth during the forecast period.
