HS Code:
The 'Confections or sweetmeats ready for consumption' category, classified under HS Code 1704, encompasses a wide range of sugar-based confectionery products such as candies, chocolates, gummies, and other sweets that are prepared for immediate consumption. This category excludes products like chewing gum (HS 1704.10) and chocolate products containing cocoa (often classified under HS 1806). These products are widely traded globally due to their universal appeal across age groups and cultures, with significant demand driven by seasonal events, holidays, and gifting traditions.
Total Trade Volume
USD 25.3 billion
Data from 2022
Source
United Nations Comtrade Database
USD 4.2 billion
16.6% of total trade of total trade
Increasing
USD 3.8 billion
15.0% of total trade of total trade
Stable
USD 2.5 billion
9.9% of total trade of total trade
Increasing
USD 2.1 billion
8.3% of total trade of total trade
Stable
USD 1.8 billion
7.1% of total trade of total trade
Increasing
Average Rate
8.5% ad valorem
Highest Rate
35% (imposed by certain developing countries to protect local industries)
Lowest Rate
0% (under free trade agreements such as EU Single Market or USMCA)
Rising demand for organic and low-sugar confections
Manufacturers are reformulating products to cater to health-conscious consumers, driving innovation in natural sweeteners and reduced-calorie options.
2021-2023
Growth in e-commerce distribution channels
Online platforms have expanded market reach, especially for specialty and artisanal sweets, boosting cross-border trade.
2020-2023
Increased focus on sustainable packaging
Consumer and regulatory pressure is pushing companies to adopt eco-friendly packaging, impacting production costs and trade logistics.
2022-2023
The European Union reduced tariffs on imported confectionery products from select developing countries under the Generalized Scheme of Preferences (GSP).
January 2023
Increased imports from countries like Brazil and India, enhancing market competition in the EU.
New FDA guidelines introduced stricter labeling requirements for high-sugar confections, aiming to inform consumers about health risks.
March 2023
Potential decline in demand for traditional high-sugar products, with a shift towards healthier alternatives.
The ongoing conflict in Ukraine has disrupted sugar supply chains, a key ingredient for confections, leading to price volatility.
February 2022 onwards
Increased production costs for manufacturers globally, particularly in Europe, affecting trade margins.