Candy Production in Canada - Market Research Report (2013-2028)
New York, United States
Last Updated: October 2023
NAICS 31134CARevenue
$1.1bn
Past 5-Year Growth
Profit
$XX.Xbn
Employees
2,933
Businesses
112
Wages
$XXX.Xm
Candy Production in Canada industry analysis
Canadian candy producers manufacture nonchocolate candy, like marshmallows, toffee, caramel, granola bars and chewing gum. These producers sell products to retailers and wholesalers for redistribution to consumers. That's why Canadian candy producer performance relies on domestic demand and global demand, since exports will generate more than half of candy production revenue in 2023. Although some candy products, like breakfast bars, have swelled in popularity, boosting health consciousness has soured demand for candy products. Plus, imports have satisfied a strengthening share of the domestic market compared with historical performance. As a result of these trends, revenue will only inch up 0.7% to reach $1.2 billion over the five years to 2023. This includes an anticipated 2.6% boost in revenue in 2023 alone as the economy continues and largely completes its recovery from COVID-19.Canadian candy producers rely heavily on exports, consolidating as a result of poor export performance in the wake of the pandemic. These producers have found some respite in the US market for candy, which receives most exports. The United States has displayed more resilient demand for candy because of a large population, high incomes and a strong US dollar. As more companies exit because of weak domestic demand and high competition, a small number of large producers control more of the market. Often, these producers have extensive global networks and can capitalize on export markets. In fact, the top four Canadian candy producers are foreign-owned, with headquarters in the United States or Europe. These producers can also charge premium prices for their branded products, though overall industry profit has dipped during the current period overall amid the industry's conflicting operating environment.Demand for traditional candy products will dip over the five years to 2028, although the economy continues to shift toward growth. However, producers will change courses by adding more sugar free and naturally flavoured products, which will help mute the losses endured by Canadian candy producers. Overall, IBISWorld expects revenue to inch down at a CAGR of 1.2% to $1.1 billion over the five years to 2028.
Trends and Insights
- Health-conscious consumers in Canada are driving a drop in demand for traditional confectionery products, pushing candy producers to innovate with low-sugar, artisanal goods. Despite potential for domestic expansion, Canadian exports of candy to the U.S. have dipped and will likely continue falling amid sugar price fluctuations and swelling competition.
- Canadian candy producers offer a variety of products, with soft candies and hard candies projecting to generate the most revenue in 2023, respectively. Sugar-free gum and diversified delights like candied fruits and nuts also contribute significantly to Canadian candy producers’ revenue.
- Ontario leads Canada's candy production industry, likely because of its large population. Quebec and British Columbia also have emerged as significant players.
- Canadian candy producers compete primarily based on brand reputation and price, with established brands commanding higher prices. Marketing and developing strong retailer relationships are crucial strategies.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has declined at a CAGR of 1.5 % over the past five years, to reach an estimated $1.1bn in 2023.
Trends and Insights
Health-conscious consumers are pressuring demand
- Canadians are becoming more aware of the health risks associated with the consumption of sugar and fat. That's why they are lowering their intake of traditional confectionery products.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to decline over the next five years.
Trends and Insights
Weak demand will bring down revenue
- Healthy eating and living will likely continue influencing consumption patterns and product development over the next five years. Product offerings will need to align more closely with these health-focused trends as consumers are becoming more informed and selective in their choice of food and beverage products.
Biggest companies in the Candy Production in Canada
| Company | Market Share (%)
2024 | Revenue ($m)
2024 | Profit ($m)
2024 | Profit Margin (%)
2024 |
|---|---|---|---|---|
Mars | 147.8 | 6.1 | 4.1 | |
Mondelez Canada | 88.9 | 14.9 | 16.8 | |
Nestle Canada | 60.6 | 10.6 | 17.5 |
To view the market share and analysis for all 4 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Hard candy, Soft candy and Chewing gum, with and without sugar. Hard candy is the largest segment of the Candy Production in Canada.
Trends and Insights
Soft sugary delights are offered by Canadian candy producers
- Soft candies, including favourites like Tootsie Rolls, gummy worms and jelly beans, make up a substantial chunk of Canadian candy producers' revenue.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- Cereal Production in Canada
- Chocolate Production in Canada
- Ice Cream Production in Canada
- Snack Food Production in Canada
Complementors
- Specialty Food Stores in Canada
International industries
- Global Candy & Chocolate Manufacturing
- Candy Production in the US
- Chocolate and Confectionery Manufacturing in Australia
- Chocolate & Confectionery Production in the UK
- Chocolate & Candy Production in China
Table of Contents
About this industry
Industry definition
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.
What's included in this industry?
Soft candy production (e.g. marshmallows and jelly candy)Hard candy production (e.g. lollipops)Chewing gum productionOther nonchocolate candy productionCompanies
MarsMondelez CanadaNestle CanadaPurchase this report to view all 4 major companies in this industry.
Related Terms
SOFT CANDYHARD CANDYVATECONOMIES OF SCALEGENERIC BRANDPREMIUMIndustry Code
NAICS 311340 - Candy Production in Canada
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Health-conscious consumers in Canada are driving a drop in demand for traditional confectionery products, pushing candy producers to innovate with low-sugar, artisanal goods. ...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2013-2022) and forecast (2023-2028)
- Employees, including historical (2013-2022) and forecast (2023-2028)
- Businesses, including historical (2013-2022) and forecast (2023-2028)
- Profit, including historical (2013-2023)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Canadian candy producers offer a variety of products, with soft candies and hard candies projecting to generate the most revenue in 2023, respectively. Sugar-free gum and div...
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2023
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
- International trade, including imports by country and exports by country
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
- Recent trends in import and export volumes, country of origin or destination, and expected future trends
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Ontario leads Canada's candy production industry, likely because of its large population. Quebec and British Columbia also have emerged as significant players.
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each province
- Share of population compared to establishments in each region in 2023
Tables
- Number and share of establishments in each province in 2023
- Number and share of revenue each province accounts for in 2023
- Number and share of wages each province accounts for in 2023
- Number and share of employees in each province in 2023
Detailed analysis
- Geographic spread of the industry across North America, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Canadian candy producers compete primarily based on brand reputation and price, with established brands commanding higher prices. Marketing and developing strong retailer rel...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2018-2023
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
Major candy producers are often looking for ways to expand and gain more market share. Acquisitions and mergers are common ways companies often engage in to accomplish such.
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2019 through 2023
- Major companies in the industry, including market share, revenue, profit and profit margin in 2023
- Overview of Mars's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Mondelez Canada's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Nestle Canada's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of revenue, market share and profit margin trend for one additional company
Detailed analysis
- Description and key data for Mars, and factors influencing its performance in the industry
- Description and key data for Mondelez Canada, and factors influencing its performance in the industry
- Description and key data for Nestle Canada, and factors influencing its performance in the industry
- Description, key data and performance trends for one additional company
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
The Canadian Food Inspection Agency (CFIA) and Health Canada handle Canada's food safety, including regulations on food labelling, ingredients, organic and genetically modifie...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2013-2028)
- Assistance historical data and forecast (2013-2028)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Canadian candy producers exhibit profit opportunities despite price volatility and forecasted profit stagnation over the next five years because of factors like high-value pro...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2016-2021)
- Coverage Ratios (2016-2021)
- Leverage Ratios (2016-2021)
- Operating Ratios (2016-2021)
- Assets (2016-2021)
- Liabilities (2016-2021)
- Cash Flow & Debt Service Ratios (2013-2028)
- Revenue per Employee (2013-2028)
- Revenue per Enterprise (2013-2028)
- Employees per Establishment (2013-2028)
- Employees per Enterprise (2013-2028)
- Average Wage (2013-2028)
- Wages/Revenue (2013-2028)
- Establishments per Enterprise (2013-2028)
- IVA/Revenue (2013-2028)
- Imports/Demand (2013-2028)
- Exports/Revenue (2013-2028)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2013-2028)
- IVA (2013-2028)
- Establishments (2013-2028)
- Enterprises (2013-2028)
- Employment (2013-2028)
- Exports (2013-2028)
- Imports (2013-2028)
- Wages (2013-2028)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Canada include:
- Statistics Canada
- Industry Canada
- Canadian Business Patterns
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Candy Production industry in Canada in 2024?
The market size of the Candy Production industry in Canada is $1.1bn in 2024.
How many businesses are there in the Candy Production in Canada industry in 2023?
There are 112 businesses in the Candy Production industry in Canada, which has declined at a CAGR of 0.2 % between 2018 and 2023.
Has the Candy Production industry in Canada grown or declined over the past 5 years?
The market size of the Candy Production industry in Canada has been declining at a CAGR of 1.5 % between 2018 and 2023.
What is the forecast growth of the Candy Production industry in Canada over the next 5 years?
Over the next five years, the Candy Production industry in Canada is expected to decline.
What are the biggest companies in the Candy Production market in Canada?
The biggest companies operating in the Candy Production market in Canada are Mars, Mondelez Canada and Nestle Canada
What does the Candy Production in Canada include?
Soft candy production (e.g. marshmallows and jelly candy) and Hard candy production (e.g. lollipops) are part of the Candy Production industry.
Which companies have the highest market share in the Candy Production in Canada?
The company holding the most market share in Canada is Mars.
How competitive is the Candy Production industry in Canada?
The level of competition is high and steady in the Candy Production industry in Canada.
