North America Stevia Market - Growth, Trends, and Forecasts (2017 - 2022)
Stevia is extracted from the leaves of stevia rebaudiana plant – a low-budding shrub cultivated natively in South America and in Asia-Pacific. In contrast to processed sugar, the liquid extract of stevia is 15 to 30 times sweeter. Stevia powder produced through the process of crystallization is considered to be sweeter than sugar by more than 200 times. The North America Stevia market is expected to grow at a CAGR of 9.8 % during the period 2017-2022. Manufacturers are increasingly exploring alternative sweeteners which will enable a reduction in calorific content, without sacrificing taste. Increasing awareness of the health benefits of low calorie consumable products is a major catalyst. Companies like Cargill, PureCirle, GLG Life Tech are the major shareholders in the marketplace.
Shift in consumer preference towards adopting food & beverages based on natural ingredient are likely to favor market growth. FDA (United States Food and Drug Administration) approval and attributing GRAS (Generally Recognized as Safe) status to steviol glycosides with reduced RebA in 2010 is likely to positively influence on stevia demand. North America is the largest market for confectionaries and baked goods, thus driving the demand for Stevia. Increasing demand for healthy and natural eating products has prompted the need for alternative sweeteners like Stevia. As the number of obese and diabetic people is on the rise, Stevia is the best sugar alternative as it has zero calories. Major threat is the availability of the other low calorie sweeteners. The growing sports nutrition product and health drink market would provide a further boost to the industry’s growth. Food & beverage, healthcare and personal care industries create opportunities of a prospering market for Stevia.
The Stevia market is segmented on the basis of type into powder, liquid and leaf. Stevia is widely used in the powdered form, hence this segment is the biggest and the fastest growing in the stevia market. Stevia is widely used in a variety of food products such as confectionery, dairy, baked foods, beverages, and dietary supplements, as it can be easily incorporated and imparts sweetness to the product with very low calories.
The North America Stevia market has been geographically segmented into United States, Canada and Mexico. The market in North America is expected to record a healthy CAGR of 9.8%. United States has the largest market followed by Canada.
The market is highly fragmented because of the presence of numerous small and large vendors. Most of the companies engage in aggressive promotion of stevia-based products in order to improve product positioning and visibility. The demand for low-calorie beverages such as juices, flavored water, sports drinks, energy drinks, and soft drinks is driving vendors to manufacture products that are not only unique and attractive but also healthy. This is leading to a tough competition in the market with vendors competing on the basis of price, quality, product differentiation, distribution, and promotion. Some of the major players in the market include-
Stevia First Corporation
Tate & Lyle
Hermes Sweetners Ltd