Abstract
Sugar and other sweeteners, both natural and chemical, are widely used not
just in the food and beverage industry but in products such as toothpaste,
mouthwash, gum and breath fresheners. Marketers and product developers, as
well as consumers, have a growing menu of sweetening agents to choose from,
many of them recent arrivals - and some with lingering questions about safety.
Demand for no- and low-calorie sweeteners continues to grow in a climate of
concerns about obesity, diabetes and tooth decay, but at the same time, some
research suggests that the body is better able to maintain normal weight with
sugar.
This report examines the outlook for natural and processed nutritive (caloric)
sweeteners such as sugar, honey, maple syrup, agave nectar, and high-fructose
corn syrup; non-nutritive high-intensity sweeteners such as saccharin,
aspartame, neotame, acesulfame and sucralose; sugar alcohols such as
erythritol, sorbitol and xylitrol; and the plant-derived low-calorie sweetener
stevia, currently sold in the United States as a dietary supplement but with
manufacturers chomping at the bit as the market pushes for food-use approval.
Packaged Facts predicts that sugar sales are likely to remain relatively
stable while sales of low- and no-calorie sweeteners will rise (though sales
of saccharin, one of five FDA-approved no-calorie sugar substitutes, will
continue to decline in favor of safer alternatives). But various health,
consumer and market trends will affect the market. A focus on
low-glycemic-index foods supports growth for high-intensity non-nutritive
sweeteners; concerns about health effects of high-fructose corn syrup may slow
its sales as marketers switch to alternatives; continued trending toward
natural ingredients will drive growth for natural and organic sugar and
sweeteners including honey, cane juice, organic erythritrol, agave nectar, and
stevia products. Market shifts will certainly take place if stevia and/or its
derivatives are approved for food and beverage use in the United States. Some
manufacturing patent protections for Splenda (brand name for sucralose) are
set to expire in 2009, creating a competitive framework for this popular
additive.
These are just some of the dynamics explored in this report and expected to
shape the sugar and sweetener market in the second half of 2008 and beyond.
Report Methodology
The information in this report was obtained from both primary and secondary
research. Primary research entailed in-depth, on-site examinations of
supermarkets, drugstores, mass merchandisers, convenience stores,
health/natural foods stores, specialty stores and club stores. Company,
distributor and retail interviews were conducted to obtain information on new
products and packaging trends, marketing programs, distribution methods, and
technological breakthroughs. Secondary research entailed data gathering from
relevant sources. Included were consumer and industry publications,
newspapers, government reports, financial reports, company literature and
corporate annual reports. Information Resources, Inc.' s InfoScan Review data
and data from Simmons Market Research Bureau were also used in preparing the
report.
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