BEMA Intel

Questions about BEMA Intel or BEMA membership? Email Kelly Allen.

KEY TAKEAWAYS

BEMA Intel Industry Indicators

• In the fourth quarter of 2024, Commercial Aisle Bakery dollar sales for the quarter totaled $22.9 billion, a slight decrease of 0.2% compared to the corresponding quarter in 2023. Unit sales were also down slightly 0.9% for the same period, continuing to suggest that increased prices due to high inflation have impacted consumer demand in the category.
• In the fourth quarter of 2024, In-Store Bakery dollar sales were down slightly 0.1% to $4.8 billion compared to the corresponding quarter a year ago, with unit sales up 0.9%.
• Importantly, the Grain-Based Foods Stock Index was down 11.5% in the fourth quarter of 2024, while the S&P 500 increased 25.2%.
• The Consumer Price Index for Bakery Products increased only slightly at 0.4% in December 2024 compared to the previous year, following major increases in the CPI that began during the inflationary period in 2022.
• Baking ingredient costs for some categories tracked by Milling & Baking News’ Bakery Ingredient Indexes continue to decline or level-out. Ingredient costs for white pan bread continued to decrease 15.9% in 2024Q3 compared to a year ago. The index for devils food cake, however, was up 35.4% in 2024Q4 compared to a year ago due to high cocoa prices.
• Unemployment increased to 4.0% in December 2024. Unit labor costs are leveling out somewhat, with an increase of 2.5% for 2024Q4 compared to the same quarter a year ago.
• Flour production was up slightly 1.9% in 2024Q4 compared to a year ago.

BEMA Intel Member Pulse Survey

• Equipment manufacturer industry outlook increased slightly in 2024Q4, with 85% expressing a ‘positive’ outlook, compared to 80% in 2024Q3.
• In the area of company bookings, 38% of equipment manufacturers reported increased bookings in 2024Q4, up from 22% in 2024Q3.  Twenty-four percent of equipment manufacturers reported decreased bookings in 2024Q4, up slightly from 22% in the second quarter of 2024.
• Trade uncertainties rose to the top of the list of challenges for equipment manufacturers, with 49% citing it as a challenge in 2024Q4, up from 33% in Q3, and 23% in Q2.
• Attracting and retaining a quality workforce is the next biggest concern, with 37% citing it as a challenge in 2024Q4, down slightly from 44% in Q3.
• Concerns over raw material costs have decreased significantly, with 28% of equipment manufacturers reporting concerns in 2024Q4, down from a high of 91% in 2022Q2.

Summary 2024 Q4