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Starting Your Candy Business: Beginner's Guide

ESM

One of the major trends in the global confectionery industry in recent years has been the rapid expansion of online sales channels. Rising internet users, online transactions and willingness to purchase immediately drive the growth of the retail channel. The ease of online shopping, efficient customer service and enhanced payment security features combined with highly user-friendly web design has increased the popularity of the product. The predictable continued growth of the confectionary business has prompted more and more people to start their confectionary business. So how do you start a candy business? We have given a beginner's guide that we hope will help you.

More Reading: 

Top 10 Candy Making Machine Manufacturer 2022

 

 

 

1.Enduring candy production business

Sugar has long been one of the most important commodities in the modern economy and an essential ingredient underpinning the global confectionery industry. According to a recent USDA report, global sugar production in 2019 was estimated at approximately 175.1 million tons. The 2019/20 global sugar deficit is forecast to rise to 10.9 million tonnes, up from just 7.8 million tonnes two years ago. Global sugar consumption is expected to grow by just 0.9% to 185.6 million tonnes, partly due to ongoing reformulation of beverages, especially in major sugar producing countries such as Brazil, India and China.

Despite the decline in global sugar production, the global confectionery industry is still growing steadily, and the top ten confectionery companies in the world have all experienced incremental revenue growth over the past few years. According to a recent market report, the global confectionery market size is approximately USD 4.59 billion and is expected to reach USD 5.85 billion by 2025, growing at a steady CAGR of 3.1% during the forecast period. The growth of the global confectionery industry is primarily driven by rising retail sales, increasing disposable income of consumers in emerging economies, new product launches with innovative flavors or healthier sugar alternatives, and increasing confectionary companies focusing on promotional activities and social media marketing.

2.Determine the production direction of confectionary products

Whether you're starting a candy business, or expanding your candy line to develop new types of candy, you need to determine the direction of your candy production. We have listed several elements for your reference.

 

3.Pay close attention to the dynamics of the candy industry

Understanding market and consumer trends is critical to any business, and the confectionary industry is no exception. Therefore, finding the point of growth depends on careful analysis of the market, consumer insights and trends. Develop your newest recipes, shapes, flavors and then you can earn the latest rewards.

If you want to know about the confectionery industry, please contact us. ESM has its own candy production equipment factory and candy production base, we can provide you with constructive suggestions.

 

4.Local Candy Market Research

By Type

By Component

By Region

Hard-Boiled Sweets
● Gums and Jellies
● Caramels and Toffees
Gummy and CBD Gummy

● Others

● Offline Stores
● Online Channels

● North America (U.S, Canada)
● Europe (Germany, UK, France, Italy, Spain, Belgium, Russia, Netherlands, Rest of Europe)
● Asia Pacific (China, India, Japan, Korea, Singapore, Malaysia, Indonesia, Thailand, Philippines)
● Latin America (Brazil, Mexico, Argentina, Rest of LATAM)
● Middle East & Africa (UAE, Saudi Arabia, South Africa, Rest of MEA)

Depending on the division, we carefully consider the following:

  • Confectionery trade growth in the region
  • Popular types of sweets in the area
  • Confectionery import and export comparison in the region
  • Tax rates and regulations for sugar and confectionary in the region

If you want to know related information, welcome to contact us directly.

5.The most popular candies in various markets

We list the most popular sweets in 16 countries

USA

 M&Ms and Reese's Peanut Butter Cups

Canada

 Kit Kats and Reese's Peanut Butter Cups

Mexico and Brazil

 Chocolate

South Africa

 Cadbury Lunch Bar

UK, Ireland, Australia, and India

 Cadbury Dairy Milk

France

 Candy Bars

Germany

 Milka

Saudi Arabia

 Galaxy

Russia

 Alpen Gold

China

 Milk Candy

Japan

 Meiji

South Korea

 Ghana

 

6.Top 10 Candy Companies in the World

Company

LOGO

Country

Sales Income

Mars Inc

USA

$18 billion

Mondelez International

USA

$12.9 billion

Ferrero Group

Italy

$10.6 billion

Meiji Co. Ltd.

Tokyo, Japan

$9.9 billion

Nestle SA

Switzerland

$9.1 billion

Hershey Co.

USA

$7.5 billion

Pladis

London, UK

$5.2 billion

Lindt & Sprungli AG

Kilchberg, Switzerland

$4 billion

Ezaki Glico Co. Ltd.

Osaka, Japan

$3.4 billion

Haribo GmbH & Co. K.G.

Germany

$3.2 billion

 

You can find your local candy giant. Check out their range of confectionery, what are their main confectionery products. They tend to offer the most popular and their best candy in each region.

 

7.Candy Raw Material Cost Analysis

Based on your local market research, you must have an idea of what type of candy you want to make, check out a candy raw material cost analysis.

But it is worth mentioning that with the impact of the economy and changes in the international political situation, the price of your imported raw materials will fluctuate greatly, which will have a huge change on your profit and operation.

You need to carefully check the prices of relevant raw materials, including but not limited to:

  • Sugar
  • Liquid glucose
  • Skimmed milk powder
  • Citric acid
  • Food flavor
  • Food additives
  • Water
  • Gelatin, pectin

 

8.Candy Production Equipment Analysis

You need to fully understand the processes and processes you need to produce confectionery in order to let your confectionery machine manufacturer provide the best solution.

They will provide a form including the machines they provide such as:

Products

Num.

Price

(RMB)

Total Price

(RMB)

 

Hard candy stamping and forming line(Output:700-800kg/h)

 

1

 

 

 

 

production line composing

1.Automatic ingredient weighing system(Output:1000kg/h)

1

 

 

2.ZAT20 Vacuum candy cooker

   (Output:1000kg/h)

1

 

 

3. Material mixer

1

 

 

4. Flavor and Color Addition System

1

 

 

5. Acid powder adding system

1

 

 

6.Cooling steel belt machine (steel belt 1 meter wide)

1

 

 

7.Climbing conveyor belt

1

8.Batch roller

1

 

 

9.Rope Sizer

1

 

 

10.Hard candy stamping machine

(including a set of molds)

1

 

 

11.Cooling tunnel (including refrigerator)

1

 

 

 

If possible, please choose an independent candy machine manufacturer, they can launch a complete set of solutions and provide a complete after-sales system.

 

9.Choose the right confectionery machinery supplier

Tips for choosing confectionary production equipment:

Budget cost

You need to buy a machine that you can afford.

Production capacity

The maximum production capacity of the machine you buy needs to be able to meet your production needs and match the model you want.

Candy model

Suitable and easy-to-clean candy models should be selected during production.

Determine the specific pouring time.

Machine size

Candy machines and assembly lines are large pieces of equipment. The candy assembly line you buy should take into account when your factory can accommodate it.

The size of a candy machine usually depends on the volume, type and size you need.

 

Tips for Choosing a Candy Machine Manufacturer

  • Look for companies with experienced and professional quality control (QC) teams.
  • Look for manufacturers who can customize candy machines because they have reliable research and development capabilities.
  • Choose to work with a manufacturer that provides a one-stop solution for all your confectionery manufacturing equipment.
  • Consider a company that complies with key standards (ISO, CE, etc.).
  • Make sure the company has a local technical support team.
  • Only contact manufacturers with 10+ years experience in confectionary production.
  • Double-check the candy maker's qualifications.
  • Review the terms and conditions of the confectionery machinery manufacturer.
  • Consider logistics, shipping and payment terms.

 

10.Candy Machinery Plant Layout Design

The logical layout design should include the following parts:

  • Candy Production Line Area
  • Packaging area
  • Raw material storage area
  • Candy Products Warehouse
  • Drying room
  • Steamer
  • Office

You can draw your factory drawings and tell your confectionery machinery supplier where the doors, elevators, stairs, columns, etc. are.

11.Flexible Payment Arrangements

You will need to discuss specific payment details with your confectionery machine manufacturer.

  • 30% in advance, 60% before shipment, 10% for successful test installation.
  • T/T 40% in advance, T/T 60% before shipment (successful test before shipment).
  • Irrevocable LC.
  • Some special large items will be 30% T/T in advance, T/T 20% in the middle of the whole manufacturing progress, T/T 50% before shipment.

 

12.After-sales service of confectionery machinery suppliers

If you are new to the confectionary industry, the installation and training services of confectionary machinery suppliers will help you understand the machine in the fastest way and help you avoid some unnecessary mistakes during operation.

You can use ESM after-sales service as a reference:

  • After-sales service
  • Free layout design according to your plant area.
  • Assembly and Installation Services
  • Free trial production and local team training how to operate the equipment.
  • The buyer needs to pay $100/day/person salary for the technician. The round-trip air tickets, board and lodging, and local transportation expenses of our technicians in the factory shall be borne by the buyer.

Warranty

The seller provides product warranty maintenance services within one year from the signing of the handover form for machine commissioning (but excluding machine wearing parts and man-made damage parts)

 

13.Maintain close communication with your confectionary business suppliers

A healthy supplier relationship is where you get better value for your business. You need a reliable supplier that responds quickly when you have a problem. Your suppliers also need regular, reliable customers, as repeat orders give them stability.

Therefore, good and effective communication will reduce the risks between both parties and shorten your future expansion plans so that your confectionery business can flourish.

With more than 30 years of experience helping customers, ESM is an expert in making confectionery machines. Take this opportunity to skyrocket your business with ESM. We will stand behind your business 100% without hesitation.

Combining the latest technology and production intelligence, we are proud to offer smart machinery solutions. ESM engineers bring unrivaled expertise to develop your confectionary making machine. Never settle for less. Look for the best. ESM is your one stop solution.

For any special requirements, we can provide various types of auxiliary equipment and optional features. In design, ESM follows your marketing goals in development. We make sure what we do aligns with your principles.

 

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