The global sales of sweetener are expected to be valued at USD 10.8 billion by 2024. It is projected to expand at a value CAGR of 3.8% through 2034. By 2034, the sales forecasted to reach USD 16.9 billion.
| Attributes | Key Insights |
|---|---|
| Estimated Global Sweetener Size (2024E) | USD 10.8 billion |
| Projected Sweetener Value (2034F) | USD 16.9 billion |
| Value-based CAGR (2024 to 2034) | 3.8% |
The industry is primarily lead by increasing preference of Natural Sweetener from industries such as Confectionary, beverages. Consumer regimes and eating routines are driving the growth of the fast-food and bakery industries, leading to a significant increase in the sweeteners use. Further, the industry is broadening with the surge in preference for natural products, in light of rising health consciousness among consumers. This is creating demand for organic honey and other natural sweeteners.
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| Particular | Value CAGR |
|---|---|
| H1 | 3.9% (2023 to 2033) |
| H2 | 4.5% (2023 to 2033) |
| H1 | 4.1% (2024 to 2034) |
| H2 | 4.9% (2024 to 2034) |
The compounded annual growth rate (CAGR) for Sweeteners has shown a prominent progress, replicating an positive market arc. The CAGR for H1 was 3.9% for the period of 2023 to 2033, which has increased to 4.1% for the period of 2024 to 2034. Similarly, H2 saw an increase from 4.5% (2023 to 2033) to 4.9% (2024 to 2034). This rising graph indicates a significant strengthening in the outlook.
Introduction of Sugar Alcohol's To Food Industry
In order to fulfil the growing demand for Sweeteners companies are creating a variety of sugar alcohols, such as mannitol, erythritol, and xylitol. Furthermore, customers who are health-conscious and looking for nutritional content in their food and beverages are becoming more and more interested in functional sweeteners with health advantages like prebiotics or digestive benefits.
In order to cut calories and sugar content, sweetener manufacturers are also concentrating on creating novel formulations that closely resemble the taste and feel of sugar. Erythritol is now used as tooth-friendly, low-calorie, bulk sweetener that offers stability, texture and volume in food products such as candy products, chewing gums, ice creams as well in drinks.
Customers are gravitating toward goods with clear labels
The sales for sweeteners is expanding as a result of consumer shifts towards clean-labeled products, such as those that are reduced in calories, sugar, and additives. Research and development as well as supply chain analysis investments are expected to propel the sweetener growth worldwide.
However, it is anticipated that the scarcity of pricey raw materials will raise sweetener prices. In the meantime, the organic and natural sweeteners is expected to rise significantly due to the rising prevalence of obesity among consumers.
Manufacturers to Benefit from Growing Approval for Use of Stevia
The use of stevia in food and beverage items has been approved by several regulatory organizations in their respective locations. India gave its approval for stevia to be used as an additive in food and drink in November 2015.
Stevia planting has increased dramatically in response to the rising demand for natural sweeteners. The volume of stevia leaves harvested globally has jumped by 150% in two years, from 24,000 metric tonnes in 2015 to 60,000 metric tonnes in 2017, and this is expected to grow in the coming years.
The sweetener sales displayed robust growth from 2019 to 2023. This period was defined by government approval by various ingredients, which facilitated the sweetener. Thus, allowing sweeteners from several regions to compete and offer diverse product offerings.
Health concerns also fuelled demand for low-calorie, sugar-free products, leading to the adoption of alternative sweeteners and innovation in healthier sweetener options. Further, consumers considered environmental sustainability in their purchasing decisions. This led to a growing interest in sustainable sweeteners and rising efforts to minimize their ecological impact. Regulatory agencies significantly influenced the sweetener market by setting safety standards, labeling requirements, and guidelines, affecting product formulations and market dynamics.
Over the forecast period, the industry is projected to expand at a 3.8% CAGR, to reach USD 16.9 billion by 2034. It is expected that food science and technology advancements are going to improve the development of new sweetener formulations and production methods. Thus, enhancing taste, texture, and stability in several food and beverage products.
Steviol glycosides, derived from the leaves of the stevia plant (Stevia rebaudiana), offer a natural, non-caloric sweetening option that has gained significant popularity in recent years. It is known for its intense sweetness as it is is 200- 400 times sweeter than sugar, which means only a small amount is needed to achieve the desired level of sweetness. This characteristic makes it an attractive option for those looking to reduce their sugar intake without sacrificing taste.
Truvia, a popular brand of stevia extract, exemplifies the benefits of this sweetener. It provides a sweet taste without the calories or blood sugar impact associated with traditional sugar, making it suitable for people with diabetes and those following low-carb or ketogenic diets. Additionally, as a plant-derived product, Truvia appeals to consumers seeking natural and sustainable alternatives to synthetic sweeteners.
Certain consumers are likely to be discouraged from switching to sugar substitutes due to discussions about the potential health risks associated with artificial sweeteners. In addition, the sweetener sales are highly controlled, with modifications to laws, requirements for labeling, or evaluations of safety having an effect on the dynamics and the accessibility of particular sweeteners. Furthermore, consumers frequently perceive sweeteners as having an aftertaste or differing from sugar, which poses a taste and sensory obstacle to their wider acceptance and adoption..
Tier 1 companies, who are key players in the industry, hold a moderate share of approximately 20-30% globally. These top-tier organizations have large production capacities and provide a wide array of products by utilizing their knowledge of manufacturing. They have a large geographic reach and offer a wide range of product offerings.
Tate & Lyle PLC, Associated British Foods Plc, Ingredion Incorporated, Impala Imperial Sugar Company, Anhui Jinhe Industrial Co., Ltd., JK Sucralose Inc. , Ajinomoto co. inc, Cargill, Incorporated, Archer Daniels Midland Company are few tier 1 companies.
Tier 2 firms, are mid-tier players with significant income and influence. They usually operate in particular regions and possess between 50-60s% of the value share. These medium-sized businesses continue to have a significant presence both domestically and abroad, using their in-depth knowledge of regional markets to exert
The sweetener market exhibits varying growth rates across different countries, with the United States at the forefront. The United States is set to register a CAGR of 5.4% during the forecast period.
| Countries | CAGR (2024 to 2034) |
|---|---|
| United States | 5.4% |
| Brazil | 2.2% |
| Germany | 2.9% |
| China | 3.4% |
| India | 5.2% |
The United States sweetener sales are poised to exhibit a CAGR of 5.4% during the assessment period. The government in the United States has been supporting for a reduction of sugar intake, which is leading to the growing demand for natural, low-calorie foods. Moreover, the United States obesity crisis affects a significant portion of the population. This is driving the natural sweetener industry
The United States offers diverse products, including traditional sugars, HFCS, and alternative sweeteners like stevia, monk fruit extract, erythritol, and xylitol. The United States is experiencing a significant shift toward natural sweeteners due to rising health consciousness and concerns about artificial ingredients, leading to rising popularity.
Sweetener demand in Germany is anticipated to rise at a steady CAGR of 2.9% during the forecast period. Germany is characterized by continuous innovation and product development, with manufacturers investing in research to create new formulations, enhance taste, and meet the latest trends. Germany’s rising per capita and disposable income is significantly boosting the expansion of confectionery, bakery, and ready-to-eat foods containing sweeteners, making it the leading sweetener industry.
Increasing product availability in Germany is expected to foster brand awareness among consumers, thereby motivating them to purchase more of the product. Additionally, the rise in low-calorie and sugar-free products is positively influencing the use of alternative sweeteners in food and beverage industries. Thus, catering to health-conscious consumers.
India's sweetener market is poised to exhibit a CAGR of 5.2% during the assessment period. Health-conscious consumers in India are increasingly using organic sweeteners like stevia and monk fruit extract, with several manufacturers transitioning to sugar substitutes.
Sweeteners are distributed in India through retail stores, supermarkets, convenience stores, and food service outlets, significantly influencing consumer choices and market penetration. Consumer education on nutrition and health is gaining importance, with campaigns, labeling initiatives, and transparent manufacturer communication shaping consumer perceptions and purchasing behavior in India.
The table below offers deeper insights into leading segments in the sweetener market. Based on product type, the sucrose segment is expected to lead the industry, creating lucrative revenue-generation opportunities for manufacturers. By application, the beverage segment is set to hold a dominant share through 2024.
| Segment | Value-based CAGR (2024 to 2034) |
|---|---|
| Sucrose (Product Type) | 3.3% |
| High-intensity Sweetener (Category) | 2.9% |
| Beverage (Application) | 3.5% |
| Liquid (Form) | 2.5% |
| Conventional (Nature) | 3.0% |
Sucrose will be the top product type segment by 2034 Sucrose, a natural carbohydrate found in sugarcane and beets, is the preferred sweetener among consumers, despite the availability of alternatives.
Because of its unique functional properties, sucrose is indispensable in many culinary applications, especially in baked goods and sweets, as it provides sweetness, structure, texture and flavor. Sucrose has cultural significance in many societies and plays a central role in traditional culinary practices, celebrations and social gatherings, further strengthening its position in the sweetener market.
Although there are several applications of sweeteners in the pharmaceutical industry to improve the taste of drugs, beverages remain the key application through which sweeteners are used. Energy Drinks, Sports Drinks and Carbonated Drinks are now made with alternative sugar sweeteners that are healthier.
Sweeteners can add sweetness to products without the added calories of natural sugars such as fructose or sucrose. This is crucial in a society where diet-related health problems and obesity are major problems. Manufacturers are able to satisfy the delicious taste of consumers without significantly increasing the calorie content of their products, especially for light or diet products
Key companies are investing in research & development to create products with a competitive price to expand their base. They are investing more in developing supply chains to reinforce their existing market and increase their global footprint. Leading players in the global sweetener market are JK Sucralose Inc., Kraft Heinz Company, GNC Holdings Inc., Tate & Lyle, and Cargill Incorporated.
Mergers & Acquisitions
| Report Attributes | Key Insights |
|---|---|
| Estimated Global Sweetener Size (2024) | USD 10.8 billion |
| Projected Sweetener Value (2034) | USD 16.9 billion |
| CAGR (2024 to 2034) | 3.8% |
| Base Year for Estimation | 2023 |
| Historical Period | 2019 to 2023 |
| Forecast Period | 2024 to 2034 |
| Quantitative Units | Revenue in USD billion |
| Product Types | Natural Sweeteners (Stevia, Palm Sugar, Coconut Sugar, Honey, Maple Syrup, Monk Fruit Sugar, Agave Syrup, Lucuma Fruit Sugar, Molasses, Others), Artificial Sweeteners (Acesulfame Potassium, Aspartame, Neotame, Advantame, Saccharin, Sucralose, Others), Sucrose, Novel Sweeteners, Sugar Alcohol |
| Categories | High Intensity Sweetener, Low Intensity Sweetener |
| Forms | Powder, Liquid, Crystals |
| Nature | Organic, Conventional |
| Applications | Food (Bakery Goods, Sweet Spreads, Confectionery and Chewing Gums, Dairy Products, Others), Beverages (Carbonated Drinks, Fruit Drinks & Juice, Sports & Energy Drinks, Powdered Drinks and Mixes, Others), Pharmaceuticals, Personal Care, Other Applications |
| Sales Channels | Hypermarkets / Supermarkets, Convenience Stores, Specialty Retail Stores, Traditional Grocery Retailers, Online Retailers, Other Channels |
| Regions Covered | South Asia, East Asia, Oceania, North America, Latin America, Europe, Middle East and Africa |
| Key Players | Tate & Lyle Plc, Kemin Industries, DuPont, Cargill, Ajinomoto Co., Archer Daniels Midland, Nestlé S.A., Wilmar International, Ingredion, Roquette Freres, JK Sucralose, Hermes Sweeteners, McNeil Nutritionals, Beijing Vitasweet, Madhava Sweeteners |
| Additional Attributes | Growing consumer demand for plant-based and low-calorie sweeteners; regulatory focus on sugar content in processed foods; advancements in natural sweetener extraction and formulation; rising preference for organic alternatives; regional consumption pattern shifts toward healthier sugar substitutes |
| Customization and Pricing | Customization and Pricing Available on Request |
India is expected to surge at a CAGR of 5.2% through 2034.
The market is set to reach USD 10.8 billion in 2024.
Demand for sweeteners is slated to expand at a 3.8% CAGR by 2034.
The market is set to reach USD 16.9 billion in 2034.
JK Sucralose Inc., The Kraft Heinz Company, and GNC Holdings Inc. are the key players.
Sucrose segment is estimated to hold a significant market share in 2024.
Sweetener Market
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