Global Sugar Substitutes Market Size, Share, and COVID-19 Impact Analysis, By Type (High-Fructose Syrup, Low-Intensity Sweeteners, and High-Intensity Sweeteners), By Application (Beverages, Food Products, Health & Personal Care Products), By Source (Artificial and Natural), and By Region (North America, Europe, Asia-Pacific, Latin America, Middle East, and Africa), Analysis and Forecast 2022 – 2032Industry: Food & Beverages
Global Sugar Substitutes Market Insights Forecasts to 2032
- The Global Sugar Substitutes Market Size was valued at USD 17.86 Billion in 2022.
- The Market is growing at a CAGR of 5.2% from 2022 to 2032
- The Worldwide Sugar Substitutes Market Size is expected to reach USD 29.62 Billion by 2032
- Asia Pacific is expected to Grow the fastest during the forecast period
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The Global Sugar Substitutes Market is projected to exceed USD 29.62 billion by 2032, growing at a CAGR of 5.2% from 2022 to 2032. Due to the rising incidence of lifestyle diseases linked to obesity, such as diabetes and cardiovascular diseases (CVDs), consumers' preferences for healthier and lower-calorie foods are changing, which is a major factor in the industry's growth. The COVID-19 pandemic increased consumer awareness of the value of leading a healthy lifestyle and increased demand for products that are low in calories and sugar.
Sugar substitutes refer to the industry that produces and sells alternative sweeteners that can be used as a substitute for sugar in food and beverage products. These substitutes can be natural or artificial and are designed to provide the same taste and sweetness as sugar, without the calories. The global sugar substitutes market has experienced significant growth in recent years, as consumers become increasingly health-conscious and seek alternatives to traditional sugar. The market is expected to continue to grow in the coming years, driven by factors such as the rising prevalence of obesity and diabetes, as well as the increasing demand for low-calorie and low-sugar food and beverage products.
The market for sugar substitutes has grown competitive as companies look into new sugars, sugar substitutes, flavorings, and other sugar-reduction techniques, all the while concentrating on cutting-edge technology that can make consumers healthier without lamenting the loss of sugar.
Key players in the sugar substitutes market include Cargill, Tate & Lyle PLC, Archer Daniels Midland Company, DuPont Nutrition & Health, Ingredion Incorporated, and Roquette Freres SA. These companies are focused on research and development, product innovation, and strategic partnerships to maintain their market position and drive growth in the industry.
For instance, Tate & Lyle announced the introduction of ERYTESSE, a brand-new sweetener, in November 2022. It is 70% as sweet as sucrose but contains no calories. It can be used in a wide range of products, including dairy products, bakeries, confectionery, and alcoholic beverages.
This research report categorizes the market for the global sugar substitutes market based on various segments and regions and forecasts revenue growth and analyzes trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the sugar substitutes market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the sugar substitutes market.
Global Sugar Substitutes Market Report Coverage
|Market Size in 2022:||USD 17.86 Billion|
|Forecast Period 2022-2032 CAGR:||5.2%|
|2032 Value Projection:||USD 29.62 Billion|
|Historical Data for:||2020-2021|
|No. of Pages:||200|
|Tables, Charts & Figures:||130|
|Segments covered:||By Type, By Application, By Source, By Region, and COVID-19 Impact Analysis|
|Companies Covered:||Tate & Lyle, International Flavors and Fragrances Inc., ADM, Ingredion Incorporated, PureCircle, Cargill Incorporated, Ajinomoto Co. Inc., Tag Ingredients, Hearthside Food Solutions LLC, Sagana, Fooditive Group, Xilinat, Pyure Organics, Sweetly StevaiUSA, The Real Stevia Company AB, Others|
|Pitfalls & Challenges:||COVID-19 has the potential to impact the global market|
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The increasing prevalence of obesity, diabetes, and other health issues has led consumers to seek out low-calorie and low-sugar alternatives to traditional sugar. Sugar substitutes offer a way for consumers to satisfy their sweet tooth without consuming excessive calories or harmful amounts of sugar. Consumers are becoming increasingly health-conscious and are looking for healthier options in their food and beverage choices. As a result, food and beverage manufacturers are responding by developing products that use sugar substitutes to reduce the overall sugar content. As disposable incomes rise, consumers are willing to spend more on healthier food and beverage options, including those that use sugar substitutes. This trend is particularly evident in emerging markets such as China and India, where there is a growing middle class with increased purchasing power.
Governments around the world are imposing taxes and restrictions on sugar and sugary products, which is driving the demand for sugar substitutes. For example, in 2018, the UK introduced a sugar tax on soft drinks, which has led to a significant increase in demand for sugar substitutes. The development of new and improved sugar substitutes has also contributed to the growth of the market. Advances in technology have allowed for the production of sugar substitutes that taste more like sugar and are more versatile in their applications.
The use of some sugar substitutes, particularly artificial sweeteners, has been the subject of regulatory scrutiny in some countries. For example, the European Union has placed restrictions on the use of some artificial sweeteners, while some countries have banned them outright. This can limit the growth of the market in these regions. While some sugar substitutes can closely mimic the taste of sugar, others may have an aftertaste or a different flavor profile that can be off-putting to consumers. This taste limitation can limit the market growth for some sugar substitutes. While sugar substitutes may be a healthier alternative to traditional sugar, some studies have raised concerns about their long-term health effects. These concerns may deter some consumers from using sugar substitutes and limit the market's growth potential.
The Global Sugar Substitutes Market share is classified into type, application, and source.
- The high-intensity sweeteners segment is expected to grow at the fastest CAGR in the global sugar substitutes market during the forecast period.
Based on the type, the global sugar substitutes market is segmented into high-fructose syrup, low-intensity sweeteners, and high-intensity sweeteners. Among these, the high-intensity sweeteners segment is expected to grow at the fastest CAGR in the global sugar substitutes market during the forecast period. The market is expected to grow as a result of the rising incidence of non-communicable diseases, rising demand for low-calorie sweeteners, numerous health benefits offered by sugar substitutes, and rising interest in natural and environmentally responsible alternatives to conventional sugar. In the upcoming years, it is anticipated that the application of high-intensity sweetness will be driven by the expanding health and wellness trend around the world.
- The food products segment is expected to hold the largest share of the global sugar substitutes market over the study period.
On the basis of application, the global sugar substitutes market is segmented into beverages, food products, & health & personal care products. Among these, the food products segment is expected to hold the largest share of the global sugar substitutes market over the study period. The growth can be attributed due the high demand for low-calorie food products, the increasing prevalence of health issues, and the high demand for sugar substitutes in various food products, such as baked goods and confectionery. The Food Products segment includes baked goods, dairy products, confectionery, and other food items that require sweetness. Sugar substitutes are used in these products to reduce calories and provide a healthier alternative to sugar. This segment also holds a significant share of the global sugar substitutes market due to the widespread use of sugar substitutes in various food products.
- The artificial sweeteners segment is anticipated to hold the largest share of the global sugar substitutes market over the forecast period.
Based on the source, the global sugar substitutes market is segmented into artificial and natural. Among these, the artificial sweeteners segment is anticipated to hold the largest share of the global sugar substitutes market over the forecast period. The growth of artificial sweeteners is increasing due to the growing trend of healthy eating and the need for weight management. Artificial sweeteners are chemically synthesized compounds that provide a sweet taste without the added calories of sugar. Examples of artificial sweeteners include aspartame, saccharin, sucralose, and neotame. These sweeteners are extensively used in a variety of food and beverage products, including soft drinks, confectionery, baked goods, and dairy products.
Regional Segment Analysis of the Sugar Substitutes Market
- North America (U.S., Canada, Mexico)
- Europe (Germany, France, U.K., Italy, Spain, Rest of Europe)
- Asia-Pacific (China, Japan, India, Rest of APAC)
- South America (Brazil and the Rest of South America)
- The Middle East and Africa (UAE, South Africa, Rest of MEA)
North America is estimated to hold the largest share of the sugar substitutes market during the predicted timeframe.
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North America is expected to hold the largest share of the global sugar substitutes market during the projected period, driven by the high demand for low-calorie food and beverage products. The demand for sugar substitutes in the region is driven by the high prevalence of obesity, diabetes, and other health issues related to high sugar consumption. The United States is the largest market for sugar substitutes in North America, accounting for the majority of the region's market share. The increasing health concerns among consumers in North America have led to a surge in demand for low-calorie food and beverage products, which is driving the growth of the sugar substitutes market in the region. The demand for sugar substitutes is particularly high in the soft drinks and confectionery sectors. Many food and beverage companies in the region are incorporating sugar substitutes into their products to cater to the growing demand for healthier alternatives.
The Asia Pacific region is expected to grow at the fastest rate in the global sugar substitutes market due to the increasing urbanization and changing dietary habits of consumers. China and India are the major markets in the region, with rising health concerns and increasing disposable incomes driving the demand for low-calorie and natural food products. The increasing health awareness among consumers and the demand for healthier alternatives to traditional sugar are the major factors driving the growth of the sugar substitutes market in the Asia Pacific region.
The report offers the appropriate analysis of the key organizations/companies involved within the global sugar substitutes along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.
List of Key Companies
- Tate & Lyle
- International Flavors and Fragrances Inc.
- Ingredion Incorporated
- Cargill Incorporated
- Ajinomoto Co. Inc.
- Tag Ingredients
- Hearthside Food Solutions LLC
- Fooditive Group
- Pyure Organics
- Sweetly StevaiUSA
- The Real Stevia Company AB
Key Target Audience
- Market Players
- Government Authorities
- Consulting And Research Firm
- Venture capitalists
- Value-Added Resellers (VARs)
- In June 2022, International Flavours & Fragrances Inc. ("IFF") and DuPont's Nutrition & Biosciences ("N&B") merged, transferring to IFF various legal entities related to DuPont's N&B business. Through the union of IFF and N&B, a world leader in high-value ingredients and solutions for the food and beverage industry was established. The merged company would be better equipped to meet customer demands and the expanding demand for natural, healthier, and "better for you" products due to its expanded skill set and global reach.
- In March 2022, EverSweet + ClearFlo technology was used by Cargill to introduce its stevia products. This new sweetener system, which combines a natural flavor with Cargill's stevia sweetener, has a number of benefits, such as flavor modification, quicker dispersion, and increased solubility and stability in formulations.
This study forecasts revenue at global, regional, and country levels from 2020 to 2032. Spherical Insights has segmented the Global Sugar Substitutes Market based on the below-mentioned segments:
Global Sugar Substitutes Market, By Type
- High-Fructose Syrup
- Low-Intensity Sweeteners
- High-Intensity Sweeteners
Global Sugar Substitutes Market, By Application
- Food Products
- Health & Personal Care Products
Global Sugar Substitutes Market, By Source
Global Sugar Substitutes Market, By Region
- North America
- Rest of Europe
- Asia Pacific
- South Korea
- Rest of Asia Pacific
- South America
- Rest of South America
- Middle East & Africa
- Saudi Arabia
- South Africa
- Rest of Middle East & Africa
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