Low Intensity Sweeteners Market Worth US$2.06 bn By 2025: Due to Demand For Low-calorie Ready-to-drink Dairy Products

The global low intensity sweeteners market features a largely consolidated landscape. The top four players—Roquette Freres, Ingredion Incorporated, E.I. Du Pont de Nemours and Company, and Cargill, Inc.—held a combined market share close to whopping 90% in 2016, finds Transparency Market Research (TMR). The leading companies are focusing on consolidating their product portfolios and investing substantially in research activities to develop innovative formulations, to sustain their positions in the market. They are also eyeing substantially emerging lucrative avenues in various parts of South East Asia, with a focus of Indonesia, to consolidate their geographic presence, observes TMR. A number of prominent players seek to capitalize on untapped opportunities in various emerging economies to further strengthen their foothold in the global market.

The global low intensity sweeteners market stood at US$1.25 bn in 2016 and is predicted to expand at 5.8% CAGR from 2017 to 2025. The worldwide market is anticipated to be worth US$2.06 bn by the end of the forecast period.

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The various product types of low intensity sweeteners include Tagatose, Xylitol, Trehalose, Isomaltulose, and Allulose. Of all types, the Xylitol held the leading share in the market in 2016 and is predicted to rise at an impressive pace. The growth of the segment is expected to be fueled by extensive application of Xylitol in the food and beverages industry. Geographically, Asia Pacific is predicted to hold its sway throughout the assessment period. The regional market accounted for the leading share of 33.2% of the global market in 2016 and is anticipated to rise at the dominance CAGR during the forecast period. The growth is fueled by vast investments in R&D aimed toward novel product formulations. A substantial chunk of demand is expected to come from India, China, and Japan and a host of developing economies in the region.

Rising Concerns of Obesity and Diabetes to Stoke Demand

The soaring popularity of low-calorie food is accentuated by the rising concerns of obesity worldwide and the related health implications on populations. The growing demand for low-calorie sweeteners as additives in various food and beverages rides on this popularity. The inclination toward low-calorie diet to reduce weight and reduce associated health problems is a key factor stoking the demand for low intensity sweetener. The widely changing eating patterns in developing and developed regions is a prominent factor bolstering the demand low-calorie sugar substitutes, thereby boosting the market. The spiraling demand for low intensity sweeteners in a variety of low calorie food and beverages among populations is driving the market.

The intensifying need to contain glucose levels in diabetic patients through the consumption of low-calorie foods and beverages is a notable factor catalyzing the growth of the market. The rising prevalence of diabetes, especially diabetes mellitus, in various regions is a key factor fortifying the demand for low-calorie foods, thereby bolstering the demand for low-intensity sweeteners. The vastly rising demand for low-intensity sweeteners in a variety of dairy products are notable factors accentuating the market over the forecast period. The growing demand for low-calorie ready-to-drink dairy products has bolstered the use of low-intensity sweeteners.

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R&D Activities for Novel Formulations Unlock Exciting Prospects

Stringent regulations on various ingredients that make up low-intensity sweeteners and the consequent delay in approval is a key factor likely to impede the market to an extent. The increased cost of bringing new products to market is a notable factor negatively impacting the growth of the market. On the other hand, the rising demand for naturally-sourced, low-intensity sweeteners has opened up exciting avenues for market players. The extensive demand for these sweeteners is stoking the uptake of Allulose in numerous confectionery and dairy products.

Furthermore, substantial R&D activities focused on developing novel formulations are expected to open up lucrative prospects in the market during the forecast period. A burgeoning health-conscious population in developing countries expanding the pool of consumers seeking low-calorie options in low-intensity sweeteners. This is also expected to catalyze the growth of the market in the coming years.

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