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The global sugar substitutes market size is expected to reach USD 10.27 billion by 2026, exhibiting a CAGR of 6.3% during the forecast period. In 2018, the market value stood at USD 6.35 billion. Increased customer awareness of health issues would drive the demand for healthy food options, shares Fortune Business Insights™ in its report, titled “Sugar Substitutes Market Size, Share and Global Trend By Product Type (Low-Intensity Sweeteners, High-Intensity Sweeteners, High Fructose Corn Syrup), End Use (Food & Beverage Manufacturers, Pharmaceuticals, Cosmetics & Personal Care) & Geography Forecast till 2026”.
The market is primarily expanding as people become more conscious of the adverse health effects of synthesis sugar, which contribute to obesity and diabetes. Sugar replacements such as stevia, aspartame, sorbitol, and D-tagatose, on the other hand, do not raise blood sugar levels immediately, contain little to no calories, and do not cause tooth decay or cavities. As a result, a growing prevalence of diabetes and improving customer health-consciousness are the primary drivers of this business. Furthermore, with the help of government agencies and other governmental bodies, the public is being nudged to use sugar substitutes to reduce sugar intake due to the harmful effects of refined sugar.
Browse In-depth Summary of This Research Insight:
https://www.fortunebusinessins....ights.com/industry-r
Drivers & Restraints:
Rising Consumer Demand for Low-Calorie Beverages Choices to Fuel Market Growth
The rising demand for zero-calorie or low-calorie foods and beverages, combined with increased consumer knowledge of sugar substitutes, is one of the leading factors driving this market's growth. Sugar replacements are commonly used in beverages, ice creams, powdered drink mixes, puddings, sauces, jellies, candies, dairy products, and other refined foods. Consumers are more health-conscious these days, and they choose to eat a balanced diet. Table sugar, for instance, which is high in calories, is increasingly being replaced by natural sugar alternatives derived from ingredients such as honey and maple syrup in the food and beverage industry.
Sugar substitutes are also being used to replace corn syrup and refined sugar in diverse food applications such as cakes, canned foods, and jams. For example, xylitol is a sugar alcohol that has a similar sweetness to sugar. It comes from corn or birch wood and can be used with a variety of fruits and vegetables. The absence of fructose, the key ingredient responsible for the majority of sugar's negative effects, renders xylitol a promising sugar replacement, including improved dental health.
Segments:
Based on type, the market is segmented into aspartame, acesulfame potassium, saccharin, sucralose, stevia, sugar alcohols, and others. Based on application, the market is categorized into food & beverages, pharmaceuticals, and personal care, and cosmetics. By geography, the market is segmented into North America, Europe, Asia Pacific, South America, and the Middle East & Africa.
Regional Insights:
Asia Pacific to Emerge as the Most Rapidly-Growing Market for Sugar Substitutes
The Asia Pacific region is anticipated to develop at the highest pace and lead the sugar substitutes market share. Customers' lifestyles are speedily changing in this region and they are becoming more health-conscious, thus boosting the regional market for natural sweetening products. This region is also undergoing significant changes in terms of diet diversification and rapid urbanization. Furthermore, an increase in consumer understanding of health issues, along with improvising disposable incomes, has led to a shift in consumer preference towards low-sugar, high-energy diets.
The demand for sugar substitutes is expected to surge across North America. The involvement of major players in the region and a rise in the consumption of substitutes of refined sugar due to increased knowledge of the ill-effects of sugar are positively influencing the regional market. In 2018, the region’s market size stood at USD 2.39 billion.
Competitive Landscape:
Manufacturers to Increase R&D Investments to Produce Newer and Better Offerings
Manufacturers are steadily investing in the research and development of new sugar substitutes to achieve a competitive advantage over their rivals. Many foods and beverage companies are substituting natural sugars for normal sugars to reduce the calorie content in their finished products.
Key Industry Developments:
July 2020: Tate & Lyle introduced the SWEETENER-VANTAGE Expert system, a new line of sweetener solution design tools as well as an education program for making sugar-free foods and beverages with low-calorie sweeteners.
June 2019: Pioneer Foods and Deborah Good formed a joint venture to launch Freesweet, a natural-based sweetener. The novel product is made up of erythritol, xylitol, and inulin, as well as vanilla flavoring and Himalayan salt.
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