Some analysts are predicting that this week’s acquisition of Dutch sugar confectioner Van Melle by Italian counterpart Perfetti will trigger a new round of international concentration in the confectionery industry. Cadbury, Kraft and Nestlé are just three of the confectionery heavyweights with an eye to expansion.

According to confectionery trade journalist Karel Beckman, there are a number of obstacles confronting confectionery majors as they seek expansion. In the case of Van Melle and Perfetti, the impulse driving the merger was self-protection. Desperate to prevent a hostile takeover and subsequent break-up by a multinational, Van Melle has sought refuge in the arms of a family-owned company it believes will treat it with a little respect. It has also been taken off the Stock Exchange.

Other problems include the different modus operandi of chocolate producers and sugar confectioners. It is no surprise that the ‘big six’ confectioners – Nestlé, Mars, Hershey, Ferrero, Cadbury, Kraft – are all chocolate producers, but many are seeking growth through diversification into sugar confectionery. The transition is not straightforward.

To find out why, and to read Karel Beckman’s exclusive analysis of forthcoming merger activity in the global confectionery sector, check out the feature on our home page, or click here.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.