We expect 2026 to be shaped by five forces. First, heightened sensory expectations — consumers seek more novelty, more indulgence, and differentiated sensory signatures. Second, affordability pressure, even as premiumization and focus on quality continue. Third, a simpler label reformulation acceleration across Europe. Fourth, nutrition-forward innovation, especially fiber enrichment, protein, and sugar reduction. And fifth, sustainability and supply chain resilience, with rising expectations around Scope 3.
We asked the most important players in the European and American baking industry about their expectations for the year ahead. They talked about opportunities, changing consumer expectations, what type of support the industry needs, but also about the drawbacks of an unstable political climate and the challenges that come with labour shortage and energy prices increasing.
Kevin Linggi, Head of Sales, Baking Europe, Novonesis
What are your expectations for 2026, taking into account the evolving market dynamics?
2026 will be an opportunity-rich year for the baking industry, though companies must navigate a dynamic landscape. Europe will continue to premiumize, while emerging markets expand industrial capacity and ingredient sophistication. Although key input costs are stabilizing, volatility in energy, and other raw materials means performance, reliability, and cost-efficiency will stay high on the agenda.
At the same time, consumer expectations are shifting rapidly. People increasingly seek new sensory experiences, placing high value on texture, softness, freshness cues, aroma, and overall indulgence. This demand for elevated sensory quality is now as important as simpler labels and affordability. Against this backdrop, we expect strong demand for high-performance biosolutions that help formulators and the industry manage cost, deliver consistent quality, and create differentiated sensory experiences.
How do you foresee the global and regional bakery markets evolving, and what are your company’s top priorities for 2026?
Globally, the baking industry continues to grow, driven by convenience, nutrition minded reformulation, and a steady shift toward simpler labels. Europe remains highly innovative, while emerging markets are investing heavily in industrial capacity.
For 2026, we’re focused on helping the baking industry perform while adapting to changing conditions.
One key focus is affordability – helping them manage cost pressure by improving yield, tolerance, and waste reduction. Equally important is reliability. This means strengthening local application support and supply stability across our expanded Novonesis network.
Our solutions also support in reducing waste and improving process efficiency. And at the same time, we’re investing in solutions that elevate eating quality, softness, bite, aroma, and overall indulgence, because consumer expectations for sensory novelty keep rising.
What have been your primary growth drivers over the past year, and what is the most significant lesson you’ve learned in managing your operations?
Our strongest growth drivers were innovation through next generation solutions, local and global market expansion and a focus on affordability. Customers are prioritizing solutions that raise quality, reduce returns and waste, simplify formulations, and deliver better sensory performance.
We also learned how central sensory performance has become. Sensory excellence is no longer a “nice to have”; it is a strategic imperative.
The biggest operational lesson has been the importance of a dual-track investment model: continue pushing scientific innovation, while strengthening supply resilience and reliability. Customers value breakthrough technology, but they also need absolute consistency in service and delivery, especially in volatile markets.
As competition in the baking industry intensifies, what strategies are you employing to strengthen your market position? How do you balance operational investments with innovation and R&D?
Competition pushes us to stay close to the challenges formulators and the industry face on the line: softness, shelf life, and cost-efficiency. We differentiate by bringing deep application expertise, best-in-class technology, and innovative biosolutions that deliver measurable performance.
We prioritize developing solutions that deliver clear value for customers, especially enzymes, guided by what the market is actually asking for.
What are the most significant forces driving change in your business for 2026, and how is your company preparing to address them?
We expect 2026 to be shaped by five forces. First, heightened sensory expectations — consumers seek more novelty, more indulgence, and differentiated sensory signatures. Second, affordability pressure, even as premiumization and focus on quality continue. Third, a simpler label reformulation acceleration across Europe. Fourth, nutrition-forward innovation, especially fiber enrichment, protein, and sugar reduction. And fifth, sustainability and supply chain resilience, with rising expectations around Scope 3.
Novonesis is preparing by expanding our next-generation biosolutions, strengthening regional supply and application capabilities, and driving sensory-centered innovation. Our goal is to help the baking industry deliver products that are cost-effective, reliable, and truly outstanding in sensory experience, because that is where consumer preference is increasingly won.