Sugar Alternatives Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2023-2030 - By Product, Technology, Grade, Application, End-user and Region (North America, Europe, Asia Pacific, Latin America and Middle East and Africa)

The global sugar alternatives market, valued at US$7 Bn in 2021, is projected to witness substantial growth in the coming years, according to research by The analyst. The rising health-conscious population and increasing awareness of the negative impact of conventional sugar on the human body are driving the demand for sugar substitutes, promoting a shift towards healthier and sustainable options.

As the need to reduce dependence on conventional sugar grows, sugar substitutes are gaining popularity as environmentally sustainable and healthy sugar replacers. Evolving lifestyles, an increase in chronic diseases, and a rising diabetic population are collectively driving the sugar alternatives market. The growing health-conscious consumer base worldwide is expected to boost the demand for sugar substitutes significantly. The market reflected modest growth, reaching a value of around US$7 Bn in 2021, and is expected to maintain a healthy pace of growth in the coming years.

Key Report Findings

• The global sugar alternatives market size was around US$7 Bn in 2021.
• Rising health consciousness among consumers is expected to drive the market growth.
• Increasing prevalence of chronic diseases, such as diabetes, is fueling the consumption of sugar alternatives.
• North America is poised to dominate the sugar alternatives industry.
• Innovations across the food and beverages industry are set to augment the growth of the sugar alternatives market.

Growth Drivers

As urbanization and sedentary lifestyles become more prevalent, the negative impact of conventional sugar on the human body has become a significant concern. Increased consumption of calorie-rich foods has led to obesity, cardiovascular disorders, high blood pressure, and diabetes. Rising health consciousness and awareness of diabetes-related risks are driving consumers to opt for low-calorie sweeteners and sugar alternatives, promoting the growth of the market.

Ascending Demand for Plant-based Ingredients

Consumers are increasingly seeking naturally sweet and low-calorie plant-based ingredients, leading to a surge in demand for products like stevia and monk fruit. These natural sweeteners, approved by the FDA GRAS, offer healthier alternatives to synthetic sweeteners. Favourable government policies in various countries further promote the consumption of natural sugar substitutes, contributing to the market's potential growth.

Overview of Key Segments

Sugar alternatives are widely used in the food and beverages industry, especially in functional beverages, flavored water, and carbonated drinks. High-intensity sweeteners are also being incorporated in food products to provide sweetness at lower production costs. The growth of the food and beverages industry, particularly in emerging markets of Asia Pacific, is expected to drive the demand for sugar substitutes.

Growth Opportunities Across Regions

North America is expected to hold a significant revenue share in the sugar alternatives market due to increasing awareness of the harmful effects of high sugar consumption and rising diabetes cases. In Asia Pacific, rising health consciousness and government initiatives promoting the consumption of sugar alternatives are driving market growth.

Sugar Alternatives Market: Key Competitors

Major players in the sugar alternatives market include Cargill Incorporated, Tate & Lyle PLC, Ingredion Incorporated, Ajinomoto Co. Inc., International Flavors and Fragrances Inc., JK Sucralose Inc., Roquette Freres, MacAndrews & Forbes Holdings Inc., PureCircle, Archer Daniels Midland Company (ADM), E. I. DuPont De Nemours, and The NutraSweet Company.