In 2016 the global market for food sweeteners was valued at USD 85 billion. It is estimated to increase at a CAGR of 4.5% to reach nearly USD 112 billion by 2022.
Global Food Sweetener Market Dynamics
Sugar dictates more than 80% share in this market. However, the volatility in sugar commodity price leading to market fluctuations; demand for the clean label from consumers, and complex regulatory environment are few factors restraining the growth of the market.
Global Food Sweetener Market Segmentation
The sweetener market is segmented into sugar, high-intensity sweeteners (HIS) and high-fructose corn syrup (HFCS). The market for HIS is expected to reach nearly USD 2.3 billion in 2022 at a CAGR of 5.1%. This growth is due to increased awareness and usage of dietary foods. Another major driver is the growing population of overweight, obese, and diabetic patients which is resulting in growth in this category. The increase in demand for natural sweeteners, especially in the developed regions of North America and Europe and consumer awareness for low calorie and healthy sweeteners is also bringing growth to this market.
Although presently, HIS does not constitute a major share of the market, this is the fastest growing segment due to the rising health concerns among people. Aspartame and sucralose are the most famous sweeteners in the HIS segment. Stevia is also seeing a major demand in the natural sweeteners category. Major manufacturing centers such as China and India are seeing an increase in production capacity to meet the end-user demands for usage in baked products, confectionaries and frozen desserts. As North America is the largest market for confectionaries and baked goods the demand for sweeteners is quite high here. Europe is a major user of sweeteners in alcoholic beverages. China is the world’s largest source of HIS and accounted for more than 70% of world production in 2016, followed by Indonesia, the US and Western Europe. The consumption of HIS in the United States, Canada, Western Europe and Japan is expected to grow at lower rates, as the diet beverage market, its largest application, has matured.
Key Players in the Global Food Sweetener Market
The leading players in this segment are Cargill, Kerry Group, Stevia First Corporation, Hermes Sweeteners Ltd, and Tate and Lyle Plc. Companies are bringing innovations in the stevia-derived products to meet the consumer demand for non-caloric natural sweeteners