Eshbal announces two key expansion strategies

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Eshbal announces two key expansion strategies

26 Jun 2025

Maddie Lambert

Maddie Lambert is a copywriter and editor from Joplin, MO. She graduated from Missouri Southern State University with a Bachelor of Arts in English – literary studies. When she’s not poring over the magazine or lost in the pages of a new novel, you can find Maddie exploring her local bookstores, spending time with her husband, or sharing her latest literary discoveries with fellow book enthusiasts.

VANCOUVER — Eshbal Functional Food, a manufacturer of gluten-free and health-focused products, revealed key developments supporting its North American expansion efforts.

The company has officially planned the commercial launch of its US-produced gluten-free pita bread and acquired assets of Swonder Bread, an Israeli-based bakery specializing in sprouted gluten-free sourdough foods.

“Swonder Bread brings unique and hard-to-develop know-how that fits perfectly with our long-term goals,” said Tomer Bar Meir, CEO of Eshbal. “We see immediate opportunities to grow this business in Israel, and we believe the underlying technology offers exciting potential for future product development in North America as well.”

Set to launch

According to Grand View Research, the global gluten-free market was valued at approximately $7.75 billion in 2024 and is projected to reach more than $13.67 billion by 2030. North America maintains its leading position in sales, accounting for 35.1% of total market revenue in 2024, with expectations to grow at a 9.3% CAGR by 2030.

Within this category, baked goods dominate the product segment, representing more than 31.5% of global gluten-free product sales in 2023, with further growth expected at a CAGR of 11.7% from 2032 to 2033, according to a Market.us report. Bakery products were also the largest and fastest-growing segment in 2024, led by accelerated consumer demand for alternatives that meet lifestyle and health criteria.

Eshbal’s upcoming gluten-free Pita Bread launch in the North American market marks the brand’s introduction to US distribution. For more than a decade, its Pita Bread has been exported from Israel to a California-based restaurant group.

The Pita Bread formulation is plant-based and gluten-free, developed in alignment with publicly available ingredient standards. The initial US rollout will be in a frozen format to meet distributor requirements and ensure product integrity.

Additionally, Eshbal is advancing the development of an ambient, shelf-stable version that, in testing, has demonstrated several months of shelf life at room temperature. The future format could enhance accessibility for retailers by streamlining logistics and reducing reliance on freezer space.

Expanding into sprouted sourdough

On June 15th, Eshbal completed the acquisition of Swonder Bread, which encompasses all core assets, including proprietary recipes, trademarks, client base, production equipment and inventory.

Swonder’s sprouted-grain sourdough and vegan breads are gluten-free, plant-based and free from artificial additives. They are produced using a natural fermentation process known for enhancing digestibility and nutritional value, expanding Eshbal’s position in the clean-label product space.

Eshbal will pay approximately $109,350 over a three-year period for the acquired assets based on Swonder’s product revenue. The company plans to scale Swonder’s product line in the Israeli market, leveraging its existing infrastructure and brand awareness to serve as a foundation for potential openings in the North American market.

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