FLANDERS INVESTMENT & TRADE MARKET SURVEY
THE BAKER Y PRODUCT S SECTOR
IN SINGAPORE
The Bakery Products Sector
in Singapore
8 January 2018
FLANDERS INVESTMENT & TRADE ROYAL EMBASSY OF BELGIUM
8 Shenton Way
#14-01 AXA Tower Singapore 068811 Tel: (65) 6227 3997 Fax: (65) 6227 7349 Email: irene.gan@fitagency.com
Website: www.flandersinvestmentandtrade.com
The Bakery Products Sector in Singapore | Jan 2018 3
1 General overview of baked products in Singapore
Amongst baked goods, bread is considered as a staple to Singaporeans. Breads are consumed during breakfast and tea breaks. Cakes and pastries are considered as snacks or desserts. The bread & rolls market comprises artisanal bread & rolls, in-store bakery bread & rolls, industrial bread & rolls and tortilla. Consumers’ hectic lifestyles increased the demand for convenient breakfast options such as sandwiches and facilitated on-the-go consumption. Consumers are also seeking novelties in baked goods, particularly artisanal bread and pastries.
Artisanal baked goods rose in value share reaching 55% in 2014. Consumers’ increased disposable incomes and sophistication led to the demand for artisanal baked goods. This was mainly driven by the consumer perception that artisanal baked goods are better in product quality and thanks to continuous innovation in flavours. Expansion of artisanal players such as Maison Kayser, Paul and Paris Baguette was driving growth in 2014. Such bakery shops European style have been on the rise in recent years as consumers’ choice for baked goods became more demanding.
The major player in the retail bakery chain in Singapore is BreadTalk Group. Founded in 2000, the BreadTalk Group has grown to become a distinctive household brand in bakeries and restaurants with close to 1.000 outlets. The Group currently operates more than 850 bakeries, 26 internationally acclaimed Din Tai Fung-restaurants in Singapore and Thailand, as well as 60 award-winning Food Republic food atria in China, Singapore, Hong Kong, Malaysia, Taiwan and Thailand.
Frozen semi-baked goods and ready-to-bake goods is also an important product segment for the food industry, especially for hotels and the catering industry. Bakery food producers such as Aryzta Bakeries (Switzerland) and Vandemoortele (Belgium) have established their presence in Singapore catering to this segment.
Frozen bakery products and thaw & serve bakery products are two important categories in the retail supermarkets and convenient stores. Retail supermarkets carry a wide range of frozen bakery products ranging from frozen pizzas (the largest range), frozen breads, frozen pies, frozen cakes, frozen crepes and waffles. The convenience stores such as 7-Eleven (24/7) mainly retail thaw & serve bakery products such as cakes, muffins and waffles which allows consumers to take and go for convenience. For this market, the shelf life of the product is very important. Thaw & serve products require at least five to six days of shelf life after thawing.
The products are usually thawed before arriving at the stores.
With the growth of baked goods, we can also expect a rising demand for baking and food ingredients in Singapore in both the retail and foodservice segment.
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a) List of international brands of frozen baked goods available in supermarkets
• Bridor (France);
• Delifrance (France);
• Dr. Oetker (Germany);
• Marie Callender’s (United States);
• Pepperidge Farm (United States);
• Tesco (United Kingdom);
• Waitrose (United Kingdom).
b) List of major international players of bakery ingredients with Asia headquarters situated in Singapore
• ADM Singapore Pte Ltd – www.adm.com;
• Barry Callebaut Chocolate Asia Pacific Pte Ltd – www.barry-callebaut.com;
• Behn Meyer Chemicals Holding (S) Pte. Ltd – www.behnmeyer.com;
• Danisco Singapore Pte Ltd – www.danisco.com;
• Stern-Wywiol Gruppe – www.sterningredients.com.sg.
c) List of major industrial bakeries
• Adeka Singapore Pte Ltd - www.adeka.com.sg;
• Sunshine Bakeries – Auric Pacific Group – www.sunshine.com.sg;
• Gardenia – QAF Limited – www.gardenia.com.sg;
• Delifrance – www.delifrance.com.sg.
d) List of small & medium industrial bakeries
• Bake Mission Pte Ltd – www.bakemission.com.sg;
• Baker’s Oven Patiseries – www.bakersoven.com.sg;
• Bakers World – www.bakersworld.com.sg;
• Best One (S) Pte Ltd – www.best-one.com.sg;
• BHF Pte Ltd – Baker’s Heaven – www.bhf.com.sg;
• Foodedge Gourmet - www.foodedgegourmet.com;
• Food Fresh Pte Ltd - www.foodfresh.com.sg;
• Pure Eddiction – www.pureeddiction.com.sg.
The Bakery Products Sector in Singapore | Jan 2018 5 e) List of major retail bakery chains
• Bakery Cuisine – www.bakerycuisine.com;
• BreadTalk – www.breadtalk.com.sg;
• Bengawan Solo – www.bengawansolo.com.sg;
• Cedele Depot - www.cedelegroup.com;
• Four Leaves – www.fourleaves.com.sg;
• SwissBake - www.swissbake.com;
• Polar Puff and Cakes – www.polarpuffs-cakes.com;
• Prima Deli – www.primadeli.com.
2 Distribution channels for baked products & bakery Ingredients in Singapore
Baked goods are generally distributed to retail supermarkets and hypermarkets by importers and industrial bakers. It comes in both frozen and ambient forms.
a) List of major supermarket chains and hypermarkets
• Cold Storage Supermarket - www.coldstorage.com.sg;
• Giant Hypermarket - www.gianthypermarket.com.sg;
• NTUC Fairprice - www.fairprice.com.sg.
b) List of bakery products importers in Singapore
• Angliss Singapore Pte Ltd – www.angliss.com.sg;
• Ben Foods (S) Pte Ltd – www.benfoods.com;
• Frosts Food & Beverage Pte Ltd – www.frosts.com.sg;
• Indoguna Singapore Pte Ltd – www.indoguna.com.
The major food retail format in Singapore for food and beverage products are shown in the figure below.
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Pastry & bakery ingredients in Singapore are made available to bakeries and foodservice industry through local importers. The largest supplier of pastry & bakery ingredients in Singapore is Phoon Huat Pte Ltd. Phoon Huat is a leading wholesale supplier in bakery, beverage and confectionery ingredients. The company exports to Asia Pacific, the Middle East, Africa and the South Pacific. Other than supplying imported ingredients, Phoon Huat also supplies baking ingredients under the “Red Man” brand to the food service industry. Red Man products are manufactured and distributed by Phoon Huat Pte Ltd. Their manufacturing plant is situated in Malaysia.
Other than Phoon Huat, gourmet food importers such as Angliss Singapore (www.angliss.com.sg) and Euraco Fine Food (www.euraco.com.sg) are purveyors of fine pastry and bakery ingredient products catering to the high-end restaurants, cafés and hotels in the country.
Large Retailers
•Supermarket chains
•- Fairprice - Cold Storage - Marketplace - Prime supermarket - Sheng Siong
- Isetan supermarket - Meidi-ya
supermarket (Specialized in Japanese food products)
•Hypermarkets - Fairprice Xtra - Giant
Convenience Retailers
•Convenience stores
• - 7 Eleven
•- Cheers
•Petrol Mart
•-Fairpice Xpress
Traditional Retailers
•Provision shops
Specialty Retailers
•Specialty grocers - Jones The Grocer (Specialized in Australian and New Zealand food products)
- Culina (Specialized in gourmet food from Australia, Europe, New Zealand and United States) - Four Seasons Organic Market (Specialized in organic food products) - The Providore (Specialized in gourmet food products from Australia and Europe)
- Ryan's Grocery (Specialized in organic and gluten free products) - Zenxin Agri-Organic (Specialized in organic and gluten free products)
•Online grocer - RedMart
(www.redmart.com)
The Bakery Products Sector in Singapore | Jan 2018 7 c) List of major pastry & bakery ingredients importers in Singapore
• Bake King - www.bakeking.com.sg;
• Bakels Singapore Pte Ltd - www.bakelsingapore.com.sg;
• Bakery Laboratory Pte Ltd – www.bakelab.com.sg;
• ConnectAsia Pte Ltd – www.connectasia.com.sg;
• Euraco Finefood Pte Ltd – www.euraco.com.sg;
• Kitchen Capers – www.kitchencapers.net;
• Pastry Mart - www.pastrymart.sg;
• Phoon Huat Pte Ltd – www.phoonhuat.com;
• Sun Lik Trading Pte Ltd – www.sunliktrading.com;
• United Bakery Supplies- www.unitedbakerysupplies.com;
• Win-Sin Pte Ltd – www.win-sin.com.
3 Market trends for baked products in Singapore
a) Consumer trends in baked goods
Industrial bakeries are tapping on new product developments in fortified and wholegrain baked goods as consumers get more health conscious. The range of frozen baked products in retail supermarkets has gradually increased especially for frozen ready-to-bake breads such as croissants, baguettes, ciabatta, viennoiseries, tortilla and bagels. Other than breads, Asian and Western savoury pastry and ready-made desserts are popular for consumers seeking convenience. These products are either imported or locally manufactured by ready-meals producers in Singapore. Baked products such as vol-au-vent, crostini and baked puff pastry are usually sought after for party preparations and catering. These products are made available in the retail supermarkets and baking ingredients stores.
b) Bakery & café concept
The Bakery & Café concept in Singapore is still a growing market although the market is saturated with home-grown and international franchise. In order to compete, café owners need to offer freshly made and artisanal baked products with quality coffee and tea blends.
c) Bake-off and thaw & serve bakery products
There is a market for on premise bake-off and thaw & serve frozen bread, waffles, cakes and pastries catering to cafés and quick service restaurants in Singapore. The upsurge in demand for these products also led to opportunities in the convenient stores which are open 24/7.
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d) Online platform for baked goods
Home bakers in Singapore have grown tremendously over the last few years. Due to the popularity of home baking, an online portal, HomeBakee (www.homebakee.com) was set up as an online platform for local home bakers to sell their baked products. There are currently 55 bakers in Singapore who are part of the community. HomeBakee was founded by in December 2015. Though the market is relatively small, this is yet another business opportunity for bakery ingredients manufacturers.
4 Opportunities for Flemish exporters to Singapore
The opportunities for Flemish exporters to the Singapore’s baked food products industry lies within the following product segment:
a) Frozen bakery products
• Semi-baked;
• Ready-to-bake;
• Thaw & serve.
b) Baking ingredients and pastry ingredients
• Baking mixes;
• Fruit fillings;
• Baking yeast;
• Baking chocolates;
• Cake decorations;
• Baking sugar;
• Processed cheese.
c) Fortified and wholegrain baked good
d) Organic and gluten free baked goods
The Bakery Products Sector in Singapore | Jan 2018 9
5 Import regulations for food products in Singapore
Singapore is essentially a free port for imported food except alcohol. No import duties are levied on imported food ingredients. A 7% “Goods and Services Tax” will be imposed on all imports of food & beverages into Singapore.
Food exporters have to ensure that all food additives and ingredients included in the product are permitted under the Agri-Food & Veterinary Authority (AVA)’s Food Regulations.
For detailed information on the Food Regulations, exporters can consult the AVA’s website at www.ava.gov.sg/explore-by-sections/food/bringing-food-into-singapore-and-
exporting/commercial-food-imports.
a) AGRI-FOOD & VETERINARY AUTHORITY (AVA) Website: www.ava.gov.sg
The Agri-Food and Veterinary Authority (AVA) ensures that processed food available in Singapore, both imported and locally manufactured, is safe for consumption.
6 Trade associations related to Food and Beverage in Singapore
a) SINGAPORE FOOD MANUFACTURERS ASSOCIATION (SFMA)
The Singapore Food Manufacturers' Association is a trade association founded in 1967 by a small group of like-minded local food manufacturers with the purpose of developing and promoting the local food manufacturing industry. Members comprise small family concerns, small-and-medium enterprises, public listed companies, traders and various supplier
companies related to food industry.
Singapore Food Manufacturers Association (SFMA) 7, Teo Hong Road
Singapore 088324 Tel: +65 6221 2438 Fax: +65 6223 7235
Website: www.sfma.org.sg
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7 Trade events relating to food and beverage in Singapore
a) CAFÉ ASIA 2018
Date : 22 to 24 March 2018
Venue : Marina Bay Sands Singapore Website : www.cafeasia.com.sg
Café Asia & ICT Industry Expo brings together café owners and managers, coffee and tea exporters/importers as well as distributors and suppliers of café-related machinery and equipment in a dynamic marketplace. The exposition will feature equipment, machinery, accessories and other supplies and products for the effective and ideal functioning of the establishments’ coffee and tea businesses. Café Asia is held in conjunction with Sweets &
Bakes Asia (www.sweetbakeasia.com).
Organiser: Conference & Exhibition Management Services Pte Ltd
1 Maritime Square #09-43, Harbourfront Centre Singapore 099253 Contact Person: Ms. Regina Tung
Assistant Manager, Exhibitions Tel: (65) 6278 8666 Ext.164 Mobile: (65) 82230577 Fax: (65) 6278 4077
Email: regina@cems.com.sg
b) FOOD AND HOTEL ASIA
Date : 24 to 27 April 2018 Venue : Singapore Expo
Website: www.foodnhotelasia.com
A biennial exhibition for the food & beverage industry, hotel and hospitality sector, featuring seven specialized events – FoodAsia, Wine&SpiritsAsia, HotelAsia, BakeryAsia, ServiceTechAsia, HospitalityStyleAsia and FHA Culinary Challenge.
Organiser: Singapore Exhibition Services Pte Ltd 10 Kallang Avenue,
09-16, Aperia Tower 2 Singapore 339510 Tel: +65 62336638
The Bakery Products Sector in Singapore | Jan 2018 11 Fax: +65 62336633
Website: www.sesallworld.com
Contact: Mr. Jeffrey Au – Assistant Project Director Email: Jeffrey.au@ubm.com
Flanders Investment and Trade (FIT) will be present at “Food and Hotel Asia 2018” with a pavilion. Flemish companies interested to participate can contact
mr. Frank Baeyens in Brussels :
Frank Baeyens Project Manager
Flanders Investment and Trade Email: frank.baeyens@fitagency.be
The information in this publication is provided for background information that should enable you to get a picture of the subject treated in this document. It is collected with the greatest care based on all data and documentation available at the moment of publication. Thus this publication was never intended to be the perfect and correct answer to your specific situation. Consequently it can never be considered a legal, financial or other specialized advice. Flanders Investment & Trade (FIT) accepts no liability for any errors, omissions or incompleteness, and no warranty is given or responsibility accepted as to the standing of any individual, firm, company or other organization mentioned.
Date of publication: Jan/2018
