A new report by Grand View Research, Inc estimates that the global sugar substitutes market size would reach a total value of $19.1 billion by 2024 at a rate of growth of 4.2% CAGR.
The drivers for the estimated growth during the forecast period include enhanced awareness and increasing inclination of consumers shifting towards low-caloric food and beverages – more so in the developing countries.
sorbitol, tagatose, and aspartame saccharine are the major sugar substitutes that are put to use in the healthcare, cosmetics, and food & beverage industry. The market is also gaining by an increased focus of making use of artificial sweeteners in the formulation of confectioneries, bakery, dairy, and frozen foods.
Enhanced awareness and changing consumer habit favoring low-calorie food products is expected to drive the food segment which is expected to be the fastest growing segment during the period under consideration. Creating superior quality products at affordable prices is the primary focus of the major players in the food industry segment. These trends mentioned above is anticipated to drive the demand and growth of sugar substitutes during the forecast period.
The growth of the overall market is being stimulated by rising incidents of health problems arising out of consumption of sugar among people in the emerging economies. Further opportunities for sugar substitutes would be created by the ever changing supply and pricing of sugar.
Bakery, confectionery, dairy, frozen foods, beverages, pharmaceuticals, and personal care are some of the areas where sugar substitutes are made use of. The key factors forecast of induce growth of the market include technological advancements and increasing health awareness among population.
However, the market would be prevented from realizing its total potential during the period of the forecast because of a strict regulatory framework applicable for the production of sugar substitute products and the perception among certain sections of the society that consuming sugar substitutes can cause health problems.
The report also indicates that within the forecast period – till 2024, about $8.7 billion would be the revenue that would be generated by the high intensity sweeteners segment and would be the dominating segment in the industry. The revenue generation, the low intensity sweeteners segment is anticipated to grow at a rate of a CAGR of 5.1% during the period till 2024.
The report also predicts that the North America sugar substitutes market would produce more than 6,891.5 thousand tons of the product annually by 2024. On the other hand, the Asia Pacific region is anticipated to view a significant growth rate of 7.0% during the period being forecast the forecast and the drivers of this region would the countries of China, India, Japan, and South Korea.
Tate & Lyle., Cargill; Incorporated, Archer Daniels Midland Company, Ingredion Incorporated, Roquette, Ajinomoto Co. Inc and JK Sucralose Inc are among the key companies that are active in this market segment.
(Adapted from PRNewswire.com)