Sugar Substitutes: Market Outlook
Sugar is a carbohydrate which is used in many food for its sweet taste. Sugar is derived from various sources such as sugarcane. There are various types of sugars which includes monosaccharide (simple sugar), galactose, and fructose. The sugar that humans consume are called as sucrose, which when consumed will hydrolyse into glucose and fructose. Sugar is mainly used in bakery, commercial beverages, and is also used as a sweetener by few people.
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There are certain drawbacks when sugar is consumed on a regular basis, which includes weigh gain, increases the risk of heart disease, prone to acne, diabetes, increases the risk of cancer, depression, might accelerate the ageing of skin, leads to fatty liver, and many other health risks. In order to overcome these drawbacks, consumers started to use sugar substitutes.
Sugar substitutes are a type of food additive which provides the same taste of sugar, but contains less food energy when compared to any other sugar based sweeteners. These sugar substitutes are used by the food manufacturers in large quantities in order to replace sugar in their products.
Sugar Substitutes and its Properties:
Consumers these days are more health conscious and want to be healthy. In the food and beverage industry, the usual table sugar which is high in calories are replaced by a variety of sugar substitutes. The food and beverage industry is replacing corn syrup and sugar with sugar substitutes. Few products which consists of sugar substitute includes dietary food, sodas, sugar-free desserts, cereals, and others.
The main factor which helps in the growth of the sugar substitute market is the increase in the demand for zero-calorie or low-calorie products, and the increasing consumer awareness regarding sugar substitutes. Sugar substitutes are mainly used in various processed foods such as beverages, ice creams, powdered drink mixes, puddings, jams, jellies, candies, dairy products, and others.
Food manufacturers choose the suitable sugar substitute based on its availability, cost, stability, and considerations. Sometimes sugar substitutes blend are used. The regulations in the U.S. and Europe have approved the usage of stevia as a sweetener, which creates a demand for the stevia leaf. The import rate of sugar substitutes in countries such as Indonesia and India are low when compared to the other countries due to the lack of consumer awareness regarding the sugar substitutes. The increasing diabetic rate and weight-related issues are certain major drivers of sugar substitutes.
Global Sugar Substitutes Market: Segmentation
On the basis of type, the global sugar substitutes market has been segmented as:
- High Intensity Sweeteners
- Low Intensity Sweeteners
- High Fructose Corn Syrup
On the basis of nature, the global sugar substitutes market has been segmented as:
On the basis of end use, the global sugar substitutes market has been segmented as:
- Food and Beverage Manufacturers
- Convenience Food
- Soft Drinks
- Packaged Food
- Cosmetics and Personal Care
Global Sugar Substitutes Market: Market Participants
Some of the market participants operating in the global Sugar Substitutes market identified across the value chain include Cargill Incorporated, Tate & Lyle, Archer Daniels Midland Company, E. I. DuPont De Nemours, Ingredion Incorporated, Ajinomoto Co. Inc., Roquette, The Nutra Sweet Company, PureCircle, JK Sucralose Inc. among the other Sugar Substitutes manufacturers.
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Key Developments in the Sugar Substitutes Market
- In November 2016 – PepsiCo started the addition of aspartame in its new zero calorie Pepsi or Diet Pepsi.
- In October 2017 – GLG Life Tech Corp collaborated Archer Daniels Midland Co. and launched a new product named Reb M sweetener, which is made using stevia.
Opportunities for Participants in the Sugar Substitutes Market
There are certain factors such as rise in the demand for bakery products and beverages helps drive the growth of global sugar substitutes market. Sugar substitute’s application is to reduce the costs and decrease the usage of sugar in the manufacturing of food products, which creates more opportunities for the R&D and creates a competitive advantage in the global sugar substitutes market.
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