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Natural Sweeteners Market Indicating a Valuation Exceeding

USD 45.1 Billion by 2033, Riding on a Strong 6.2% CAGR |
Market.us.
Date: Jan. 25, 2024
From: Financial Services Monitor Worldwide
Publisher: SyndiGate Media Inc.
Document Type: Article
Length: 1,420 words
Lexile Measure: 1430L

Full Text:
(GlobeNewswire) - The Global Natural Sweeteners Market size is expected to be worth around USD 45.1 Billion by 2033, from USD
24.7 Billion in 2023, growing at a CAGR of 6.2% during the forecast period from 2024 to 2033.

The Natural Sweeteners Market encompasses the segment of the food industry dedicated to the production, distribution, and sale of
sweetening agents derived from natural sources. Unlike artificial sweeteners, which are chemically synthesized, natural sweeteners
are obtained from plants, trees, and other organic materials. These sweeteners are preferred for their perceived health benefits and
lower or no chemical processing compared to their artificial counterparts.

Natural sweeteners include a wide variety of products such as honey, maple syrup, stevia, agave nectar, and fruit juices or
concentrates. These sweeteners are used in numerous applications across the food and beverage industry, including in baking,
beverages, confectionery, and tabletop sweeteners. They are particularly popular in health-conscious consumer segments and
products marketed as organic or natural.

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The market for natural sweeteners is driven by factors such as increasing health awareness among consumers, the demand for
clean-label products, and the rise in lifestyle-related health issues like diabetes and obesity, which push consumers towards healthier
sugar alternatives. Additionally, the evolving regulatory landscape around sugar consumption and labeling also plays a significant role
in shaping the market dynamics. Given the diverse sources and applications of natural sweeteners, this market is a complex and
evolving segment of the global food industry, with opportunities for innovation and expansion in response to changing consumer
preferences and increasing focus on health and wellness.

Key Statistics The Global Natural Sweeteners Market is expected to reach approximately USD 45.1 Billion by 2033, growing at a
CAGR of 6.2% during the forecast period from 2023 to 2033. This significant growth is attributed to the increasing demand for natural
sweeteners driven by health consciousness and the rising prevalence of chronic diseases like diabetes and obesity.

The Food and Beverage sector dominates the market with a share of 40.2% in 2023. Natural sweeteners are increasingly preferred in
various products, especially as consumers seek healthier alternatives. The Beverage segment is experiencing rapid growth, with
stevia being popular in energy drinks and soft drinks.

Asia Pacific leads the market with a share of 32.8% in 2023. The region's dynamic nature, rapid urbanization, and increasing per
capita income are driving the demand for natural sweeteners. Europe and North America are also witnessing growth, driven by
regulations promoting the use of natural sweeteners.

Leading companies in the natural sweeteners market include Tate & Lyle PLC, Ingredion Incorporated, Pure Circle Ltd, Archer
Daniels Midland Company, and Cargill Incorporated. These companies are innovating to create healthier food and beverage
products.

Factors Affecting the Growth of the Natural Sweeteners Market Health and Wellness Trends: Increasing consumer awareness about
health and wellness is a major driver. People are more conscious of their dietary choices and are opting for natural sweeteners as
healthier alternatives to refined sugars and artificial sweeteners, particularly in the context of rising obesity and diabetes rates.

Clean Label Movement: There is a growing demand for clean-label products, which are perceived as natural, organic, and free from
artificial additives. This movement is pushing food manufacturers to incorporate natural sweeteners in their products.

Regulatory Environment: Governments worldwide are implementing regulations to reduce sugar consumption, such as sugar taxes
and labeling requirements. These regulations encourage the food industry to adopt natural sweeteners as alternatives.

Consumer Preferences: Changing consumer tastes and a preference for new flavors and natural ingredients are contributing to the
market growth. There is a growing acceptance of natural sweeteners in everyday products.

Technological Advancements: Innovations in processing and extraction techniques have made it easier and more cost-effective to
produce natural sweeteners, thereby supporting market growth.

Globalization of Food Trends: As global food trends converge, there is an increased exposure and acceptance of natural sweeteners
across different regions and cultures.

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Market Dynamics

Drivers

The shift towards healthier dietary choices is significantly influencing the Natural Sweeteners Market. Heightened awareness of
nutritional requirements and the adverse health impacts of sugar-laden diets are driving consumers towards low-calorie, reduced-
sugar, and natural alternatives. This trend is underscored by increasing rates of chronic diseases; for instance, the U.S. Department
of Health & Human Services reported that 10.5% of the U.S. population had diabetes in 2018.

Furthermore, the escalating prevalence of obesity and diabetes, particularly among young adults, is fueling the demand for natural
sweeteners. These products, known for having minimal calories and no significant impact on blood sugar levels, are becoming a
preferred choice in combating these health issues.

Opportunities

The Natural Sweeteners Market is experiencing significant growth due to rising research and development efforts aimed at creating
advanced sweetening products. Companies are focusing on introducing innovative options, such as monk fruit sweeteners, which are
notably 150-200 times sweeter than sugar and contain no calories. These advancements are anticipated to propel further growth in
the market, catering to the increasing consumer demand for healthier and more efficient sweetening solutions.

Restraints

Health concerns regarding the overconsumption of natural sweeteners are emerging, particularly as excessive intake can contribute
to issues such as tooth decay, weight gain, and poor nutrition. Consumer apprehension is also fueled by uncertainties over the safety
of various forms of natural sweeteners. For example, the FDA's approval of only high-purity steviol glycosides raises questions about
the safety of other forms of stevia and similar sweeteners, adding to consumer concerns and potential reluctance to embrace these
products fully.

Trends

The rising health consciousness among consumers is significantly influencing the Natural Sweeteners Market. For instance, the
Health Survey for England in 2021 indicated that over a quarter of adults in England are obese, prompting a surge in demand for
natural, low-calorie sweeteners. Innovations in the field, such as the production of xylitol by researchers at the Indian Institute of
Technology in August 2022, demonstrate advancements in this area. Moreover, manufacturers are adopting advanced technologies
for extracting new sweeteners, highlighted by MycoTechnology's extraction of honey from a white honey truffle in 2023, signaling a
shift towards innovative, clean-label products.

Natural sweeteners like honey, molasses, and dates are gaining popularity for their immunity-boosting properties, especially with the
rising global incidence of diabetes as reported by the WHO. In response to health concerns associated with sugar, several countries
are implementing sugar taxes, like the U.K.s Soft Drinks Industry Levy, encouraging a shift towards natural sweeteners. However, the
market faces challenges due to the availability of adulterated materials, and environmental issues such as reduced fruit production,
climate change, and deforestation, which affect the quality and availability of natural sweeteners.

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Report Segmentation of Global Natural Sweeteners Market

Type Analysis

In 2023, Honey dominated the Natural Sweeteners Market with a substantial 36.4% share, favored for its natural origin, rich flavor,
and health benefits, and widely used as a healthier sugar alternative in both domestic and commercial settings. Other significant
segments include Molasses and Date Palm, appreciated for their unique flavors and nutritional value, particularly in regions where
they are readily available.

Stevia stands out for its rapid market growth, projected at a CAGR of approximately 7.5% over the next five years, due to its high
sweetness level without calorie addition or blood sugar impact, making it ideal for diabetics and those managing their weight. The
introduction of new stevia products in 2022 highlights its expanding use in the food and beverage industry.

Sugar Alcohols such as Xylitol, Mannitol, Sorbitol, and Maltitol are also key market players, offering sweetness without significantly
impacting blood sugar levels. For instance, the introduction of Xylitol from oat hulls in May 2022, with 40% fewer calories than regular
sugar, underlines its market relevance.

The market is further enriched by the growing popularity of natural sweeteners like Palm Sugar, Coconut Sugar, Maple Syrup, Monk
Fruit Sugar, Agave Syrup, Lucuma Fruit Sugar, and various Natural Sweetener Blends. These alternatives are sought after for their
distinct flavors and health advantages. Notably, Natural Sweetener Blends are anticipated to see rapid growth, with a CAGR of
around 8%, finding use in diverse sectors from food to pharmaceuticals and oral care.

Application Analysis

In 2023, the Food and Beverage sector led the Natural Sweeteners Market, holding over 40.2% of the market share, with its rapid
growth attributed to

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Source Citation (MLA 9th Edition)
"Natural Sweeteners Market Indicating a Valuation Exceeding USD 45.1 Billion by 2033, Riding on a Strong 6.2% CAGR |
Market.us." Financial Services Monitor Worldwide, 25 Jan. 2024, p. NA. Gale Business: Insights,
link.gale.com/apps/doc/A780486647/GBIB?u=itesmgic&sid=bookmark-GBIB&xid=ecfe3777. Accessed 30 Jan. 2024.
Gale Document Number: GALE|A780486647