Artificial Sweeteners Market to Grow at Steady Pace, Despite Strong Global Focus on Natural Food Ingredients

VALLEY COTTAGE, N.Y. – The American Diabetes and American Heart Association (AHA) has given a cautious nod to use artificial sweeteners as an alternative to caloric sweetener in combating diabetes, obesity, and metabolic syndrome. A new Future Market Insights (FMI) report projects the artificial sweeteners market to generate US$ 19 Bn revenue by 2026.

Increasing consumer health consciousness and awareness has led to a rising demand for sugar-free products and sugar alternatives. The FDA has approved only five artificial sweeteners- acesulfame, saccharin, sucralose, neotame, and aspartame. These products comprise of zero calories that help in managing weight and risks of diabetes. Growing emphasis on low sugar content food and beverage products are creating a lucrative demand for artificial sweeteners. However, it pertinent to note that emerging trend of consumption of natural food products is likely to challenge the growth prospects of the market.

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Aspartame Remains the Bestselling Category

Aspartame will continue to be the major revenue generator for the market players. Sales of aspartame are expected to reap high profits through the forecast period. It currently holds a revenue share of 35%. Extensive use of aspartame as nutritive sweeteners in the food & beverage sector will further account for greater gains in the artificial sweeteners market.

Demand for sucralose is also expected to grow at a 5.1% year-over-year (y-o-y) in 2019, as it contains zero calories and has been marketed as healthy alternative to sugar. However, aversion of consumers to chemical-based artificial food products is representing a potential threat to the market players.

Preview Analysis of 2019 Analysis and Review of Artificial Sweeteners Market by Product – Aspartame, Acesulfame K, Saccharin, Sucralose, and Neotame for 2019 – 2026:

Food & Beverage Industry Holds Top End User Position
Currently, adoption of artificial sweeteners in the F&B industry approximately account for more than 70% of the market share. Artificial sweeteners have significantly replaced the use of sugar in the F&B industry. Consumers inclining towards diet and sugar-free soft drinks are influencing the sales of artificial sweeteners in the beverage industry.  Additionally, growing demand for bakery products are encouraging market players to enhance their product range to meet ever-growing demand for various artificial sweeteners. Moreover, an exponential increase in the demand for artificial sweeteners from the bakery and beverage verticals is catapulting the market growth.

Furthermore, demand for artificial sweeteners in the pharmaceutical industry is expected to grow rapidly. As pharmaceutical companies are constantly utilizing artificial sweeteners as sweetening agents for their products, market vendors should be looking at a period of sustained demand.

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APEJ Captured 30% Revenue Share

As of 2018, APEJ remained at the forefront of the artificial sweeteners market and will continue to do so over the forecast period. Increasing adoption of weight management solutions has reduced the usage of table sugar, thereby boosting the artificial sweeteners market growth. In addition, the evolution of dietary pattern in consuming low-calorie and zero-calorie foods are bolstering the use of packed and processed food verticals that are resulting in the increased demand for artificial sweeteners.

Europe is subjected to account for 23% revenue share by 2026, owing to an increase in the demand for canned and frozen food and beverage products. High purchasing power and hectic lifestyle are bolstering demand for convenience food products. The result is expected to complement the growth of the Europe artificial sweeteners market.

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According to FMI analyst, “The global artificial sweeteners market is a fragmented market due to the presence of several large and small regional players. The major frontrunners in the artificial sweeteners market are utilizing advanced technologies to provide efficient, affordable, and safe artificial sweeteners.”

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