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    Sugar Alcohol Market

    ID: MRFR/F-B & N/0885-CR
    128 Pages
    Pradeep Nandi
    May 2023

    Sugar Alcohols Market Research Report Information by Type (sorbitol, xylitol, mannitol, maltitol, and others), Source (fruits, vegetables, grains, sugarcane & molasses, and others), Form (powder and liquid), Application (bakery products, confectionery & chewing gums, beverages, and dairy & frozen desserts), And by Region (North America, Europe, Asia-Pacific, and Rest of the World) - Forecast Till 2035

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    Sugar Alcohol Market Infographic
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    Sugar Alcohol Market Summary

    The Global Sugar Alcohols Market is projected to grow from 4.3 USD Billion in 2024 to 8.7 USD Billion by 2035, reflecting a robust growth trajectory.

    Key Market Trends & Highlights

    Sugar Alcohols Key Trends and Highlights

    • The market is expected to achieve a compound annual growth rate (CAGR) of 6.61% from 2025 to 2035.
    • By 2035, the market valuation is anticipated to reach 8.7 USD Billion, doubling its value from 4.3 USD Billion in 2024.
    • The increasing demand for low-calorie sweeteners is likely to drive market expansion in the coming years.
    • Growing adoption of sugar alcohols due to rising health consciousness among consumers is a major market driver.

    Market Size & Forecast

    2024 Market Size 4.3 (USD Billion)
    2035 Market Size 8.7 (USD Billion)
    CAGR (2025-2035) 6.61%

    Major Players

    ADM (Archer Daniels Midland Company), Cargill Incorporated, Ingredion Incorporated, Tate & Lyle, DuPont, Associated British Foods Plc, Roquette Frères, Mitsubishi Corporation, International Flavors & Fragrances Inc., Suedzucker AG

    Sugar Alcohol Market Trends

    Increasing demand for low-calorie food products due to rising health concerns and obesity issues

    In recent years, there has been a significant increase in demand for low-calorie food products due to rising health concerns and obesity issues. With an increasing number of people looking to adopt healthier lifestyles and maintain a balanced diet, low-calorie foods have become a popular choice for consumers. The World Health Organization (WHO) defines obesity as a medical condition in which excess body fat accumulates to the extent that it may have a negative effect on health. This has led to an increased focus on healthy eating habits and the need for low-calorie food products.

    Furthermore, the COVID-19 pandemic has also contributed to the growing demand for low-calorie food products, as people have become more health-conscious and focused on building their immunity.  In a survey conducted by the International Food Information Council (IFIC), 85% of American consumers reported that they have changed their food habits to improve their health since the pandemic began. The demand for low-calorie food products is being driven by several factors, including government initiatives promoting healthy eating, a shift towards healthier lifestyles, and an increase in the number of people suffering from lifestyle-related diseases such as diabetes and cardiovascular disease.

    Consumers are increasingly seeking out low-calorie alternatives to their favorite foods, including snacks, beverages, and processed foods. Manufacturers of low-calorie food products are responding to this demand by introducing new products, reformulating existing products, and marketing their products as healthy and nutritious.

    The increasing consumer preference for low-calorie and sugar-free products appears to drive the demand for sugar alcohols, suggesting a potential shift in dietary habits towards healthier alternatives.

    U.S. Department of Agriculture

    Sugar Alcohol Market Drivers

    Rising Health Consciousness

    The increasing awareness regarding health and wellness among consumers is a pivotal driver for the Global Sugar Alcohols Market Industry. As individuals seek to reduce sugar intake due to its association with various health issues, sugar alcohols present a viable alternative. This shift is particularly evident in the food and beverage sector, where products labeled as low-calorie or sugar-free are gaining traction. The Global Sugar Alcohols Market is projected to reach 4.3 USD Billion in 2024, reflecting this growing demand. Consequently, manufacturers are innovating to incorporate sugar alcohols into a wider array of products, thereby expanding market reach.

    Market Trends and Projections

    The Global Sugar Alcohols Market Industry is poised for substantial growth, with projections indicating a market size of 4.3 USD Billion in 2024 and an anticipated increase to 8.7 USD Billion by 2035. This growth trajectory suggests a robust CAGR of 6.61% from 2025 to 2035, reflecting the increasing adoption of sugar alcohols across various sectors. The market dynamics are influenced by factors such as health trends, regulatory support, and technological advancements, which collectively contribute to the evolving landscape of sugar alternatives. As consumer preferences shift towards healthier options, the Global Sugar Alcohols Market is likely to expand significantly.

    Technological Advancements in Production

    Technological innovations in the production of sugar alcohols play a crucial role in shaping the Global Sugar Alcohols Market Industry. Advances in fermentation and enzymatic processes have enhanced the efficiency and cost-effectiveness of sugar alcohol production. These improvements not only lower production costs but also increase the quality and purity of the final products. As manufacturers adopt these technologies, they can offer a wider range of sugar alcohols, catering to diverse consumer preferences. This trend is likely to contribute to the market's growth trajectory, as the Global Sugar Alcohols Market adapts to evolving consumer demands and industry standards.

    Expansion of the Food and Beverage Sector

    The continuous growth of the food and beverage sector significantly influences the Global Sugar Alcohols Market Industry. With the rising demand for low-calorie and sugar-free products, sugar alcohols are increasingly utilized as sweeteners and texturizers. This trend is particularly pronounced in the production of confectionery, dairy, and baked goods, where sugar alcohols enhance flavor without the caloric burden of traditional sugars. As the market evolves, projections indicate that the Global Sugar Alcohols Market could achieve a valuation of 8.7 USD Billion by 2035, driven by the expanding applications of sugar alcohols in diverse food categories.

    Regulatory Support for Sugar Alternatives

    Government regulations promoting the use of sugar alternatives bolster the Global Sugar Alcohols Market Industry. Many countries are implementing policies aimed at reducing sugar consumption to combat obesity and related health issues. For instance, initiatives encouraging the use of sugar substitutes in processed foods are becoming more prevalent. This regulatory environment not only supports the adoption of sugar alcohols but also incentivizes manufacturers to innovate and reformulate products. As a result, the Global Sugar Alcohols Market is likely to experience sustained growth, with a projected CAGR of 6.61% from 2025 to 2035, reflecting the favorable regulatory landscape.

    Consumer Preference for Natural Ingredients

    The growing consumer preference for natural and clean-label ingredients significantly impacts the Global Sugar Alcohols Market Industry. As consumers become more discerning about the ingredients in their food, there is a marked shift towards products that are perceived as healthier and more natural. Sugar alcohols, often derived from natural sources, align well with this trend. Manufacturers are increasingly highlighting the natural origins of their sugar alcohols to appeal to health-conscious consumers. This alignment with consumer preferences is expected to drive the market forward, as the demand for natural sweeteners continues to rise.

    Market Segment Insights

    Segment Insights

    Sugar Alcohols Type of Cover Insights

    The Sugar Alcohols Market segmentation, based on the type, includes sorbitol, xylitol, mannitol, maltitol, and others. The Xylitol segment held the majority share in 2021 contributing concerning the Sugar Alcohols industry revenue. The Xylitol has been categorized as sugar alcohols. It is a lower-calorie sugar substitute along with a low glycemic index. It has been a common ingredient in various product that has been commonly found such as from sugar free chewing gum to toothpaste.

    It has been added in various food products like sugar-free candies, jams & jellies, honey, yogurt, nut butters, and in some dental care products also there are added such as toothpaste, mouthwash, and other fluoride products. It is a natural sugar alcohol that assist in preventing the cavities. Figure 1: Sugar Alcohols Market, by Type, 2021 & 2030 (USD Billion)  

    Source: Secondary Research, Primary Research, Market Research Future Database and Analyst Review

    Sugar Alcohols Source Insights

    The global source market data has been bifurcated by fruits, vegetables, grains, sugarcane & molasses, and others. Vegetable is a kind of plant life or plant product, usually refers to the fresh edible portions of certain herbaceous plants—roots, stems, leaves, flowers, fruit, or seeds. These plant sections are either eaten fresh and natural or prepared in a several ways, usually as a savory, rather than sweet, dish. Like sorbitol includes Aubergine, broccoli, fennel, ready-made salads, paprika and red cabbage, and in mannitol olives, asparagus, sweet potatoes, and carrots. This has further broadened the growth opportunity for the sugar alcohols industry. 

    Figure 2: Sugar Alcohols Market, by Source, 2021 & 2030 (USD Billion)  

    Source: Secondary Research, Primary Research, Market Research Future Database and Analyst Review

    Sugar Alcohols Form Insights

    Based on form, the global sugar alcohols industry has been segmented into powder and liquid. Powder is a loose material that is developed in extremely tiny, dry, solid grains. There's a border in between a grain and a powder, but typically powders have the quality of clumping together, while grains are looser and more separate. Like xylitol that is one of the sugars alcohol types which is used as a sweetener in the form of a white crystalline powder.

    It occurs naturally in low collection in the fibres of many fruits and vegetables and can be extracted from a variety of berries, oats, and mushrooms as well as fibrous materials such as corn husks and bagasse. It is a chemically pure and have no additives, preservatives, or colors.       

    Sugar Alcohols Regional Market Insights

    By Region, the study segments the market into North America, Europe, Asia-Pacific and the Rest of the World. The Europe region has become a significant player in the Sugar Alcohols Market, and the trend towards healthier consumption habits is continuing to grow. Europe basically includes France, Germany, Italy, Spain & Portugal, Austria & Switzerland, UK & Ireland, Benelux, Nordics, Central and Easter Europe, Southern Europe, and Rest of the Europe are all included in the analysis of the European market.

    According to the Union of European Soft Drinks Associations (UNESDA) it has been revealed that increasing health and nutrition awareness that assist the Europeans manage intake of added sugars by soft drinks to reduce calories by 10 percent by 2025. Along with associations the key sugar reduction players, including SweeGen, Kerry, Roquette and Sensient, also investing to launch the products those are containing low calorie or sugar in the product.  The growing trend of clean label products and the reduced calorie products, manufactures have started focusing on these key forcing areas to capitalize the demand in the region.

    For instance, in June 2022, Ingredion EMEA organized a campaign the taste sweet liberation for representing the products of sweeteners as low calorie or sugar reducing ingredients in food and beverage products and also offered the consumers to try the product with low sugar. Manufactures are also focused on introducing new product and investing on expansions which will drive the market growth. For instance, in April 2020, Ingredion EMEA introduced its first polyol sweetener under the brand name- ERYSTA Erythritol.

    This launch enabled the manufacturers of food and beverages to replace or reduce sugar to fulfil the claims associated with nutrition and health claims, including reduced calorie and no added sugar, in ranges applications. Further, the major countries studied are U.S, Canada, Germany, France, the UK, Italy, Spain, China, Japan, India, and Australia. 

    Figure 3: SUGAR ALCOHOLS MARKET SHARE BY REGION 2021 (%)  

    Get more detailed insights about Sugar Alcohols Market Research Report - Forecast to 2030

    Key Companies in the Sugar Alcohol Market market include

    Industry Developments

    In 2023: Companies like Archer Daniels Midland, Cargill, and Ingredion, major players in the sugar alcohol market, might have invested in research to develop new sugar alcohols with improved taste profiles. This could involve masking aftertastes or creating sugar alcohols that blend better in different applications. 

    November 2022 Cargill Incorporated introduced its ingredients at the Food Ingredients Europe (FIE), such as a series of plant-based ingredients along with its soluble fibre for bakery and confectionery applications. 

    November 2022 Tate & Lyle announced the expansion of its product portfolio of reduced sugar alternatives as it launched Erytesse Erythritol – which contains 70% of the sweetness of sucrose and has zero calories. July 2022 Roquette Frères announced about the expansion of the PEARLITOL SD mannitol range for APIs. June 2022 Ingredion Inc launches a new ad campaign in EMEA to create awareness regarding the product portfolio of texturizers and sweeteners to fulfill the surging demand of consumers for improved Nutri-Score and reduced-sugar products.

    Future Outlook

    Sugar Alcohol Market Future Outlook

    The Global Sugar Alcohols Market is projected to grow at a 6.61% CAGR from 2024 to 2035, driven by rising health consciousness and demand for low-calorie sweeteners.

    New opportunities lie in:

    • Develop innovative sugar alcohol blends for enhanced flavor profiles in food products.
    • Expand distribution channels in emerging markets to capture growing health-focused consumer segments.
    • Invest in R&D for sustainable production methods to reduce environmental impact and costs.

    By 2035, the Sugar Alcohols Market is expected to exhibit robust growth, reflecting evolving consumer preferences and industry advancements.

    Market Segmentation

    Sugar Alcohols Form Outlook

    • Powder
    • Liquid

    Sugar Alcohols Source Outlook

    • Fruits
    • Vegetables
    • Grains
    • Sugarcane & Molasses
    • Others

    Sugar Alcohols Regional Outlook

    North America
    • US
    • Canada
    • Mexico
    Europe
    • France
    • Germany
    • Italy
    • Spain & Portugal
    • Austria & Switzerland
    • UK & Ireland
    • Benelux
    • Nordics
    • Central & Easter Europe
    • Southern Europe
    Asia-Pacific
    • China
    • Japan
    • India
    • Australia & New Zealand
    • Rest of Asia-Pacific
    Rest of the World
    • South America

    Sugar Alcohols Application Outlook

    • Bakery Products
    • Confectionery & Chewing Gums
    • Beverages
    • Dairy & Frozen Desserts

    Sugar Alcohols Type of Cover Outlook

    • Sorbitol
    • Xylitol
    • Mannitol
    • Maltitol
    • Others

    Report Scope

    Attribute/Metric Details
    Market Size 2022 USD 3.81 billion
    Market Size 2023 USD 4.03 billion
    Market Size 2030 USD 6.2 billion
    Compound Annual Growth Rate (CAGR) 7.0% (2023-2030)
    Base Year 2022
    Forecast Period 2023-2030
    Historical Data 2019 & 2021
    Forecast Units Value (USD Billion) and Volume (Billion Sq. Meter)
    Report Coverage Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
    Segments Covered Type, Source, Form, Application, and Region
    Geographies Covered North America, Europe, Asia Pacific, and Rest of the World
    Countries Covered The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Mexico, GCC Countries and South Africa.
    Key Companies Profiled ADM (Archer Daniels Midland Company), Cargill, Incorporated, Ingredion Incorporated, Tate & Lyle, DuPont, Associated British Foods plc., Roquette Frères, Mitsubishi Corporation, International Flavors & Fragrances, Inc., and Suedzucker AG
    Key Market Opportunities Increasing research & development activities for the production of new sugar alcohols with improved properties and applications.
    Key Market Dynamics Increasing demand for low-calorie food products due to rising health concerns and obesity issues. Growing demand for sugar alcohols in the pharmaceuticals and food and beverages industry.

    Market Highlights

    Author
    Pradeep Nandi
    Senior Research Analyst

    I have a bachelor's degree in mechanical engineering and an MBA. I have more than two years of expertise in the retail, food, and beverage, chemical, and material industries, and hence have developed a sound cross-domain expertise. A firm believer in lifelong learning and sharing of knowledge. Having a proclivity for hatching ideas and trying to absorb as much information as possible in a short amount of time. Introducing corporates to the data and insight, which enables them to move from probability to possibility, has been my key areas of interest. 

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    FAQs

    How much is the sugar alcohols market worth?

    Sugar Alcohols Market is pegged at USD 6.2 billion as of 2030.

    How Big is the U.S sugar alcohols market?

    US sugar alcohols market is poised to grow at 75.8% market share during 2021.

    What is the growth rate of the sugar alcohols market?

    Sugar Alcohols Market is poised to grow at 7.0% CAGR during 2023-2030.

    Which region held the largest market share in the sugar alcohols market?

    Europe region held the largest market share in the Sugar Alcohols Market and market share of 37.2% in 2021.

    Who are the key players in the sugar alcohols market?

    ADM (Archer Daniels Midland Company), Cargill, Incorporated, Ingredion Incorporated, Tate & Lyle, DuPont, Associated British Foods plc., Roquette Frères, Mitsubishi Corporation, International Flavors & Fragrances, Inc., and Suedzucker AG are some of the vital players operating in the sugar alcohols market.

    Which type led the sugar alcohols market?

    Usage of Xylitol is poised to drive the sugar alcohols market, which is poised to grow at 7.0% CAGR during 2023-2030

    Which source had the largest market share in the sugar alcohols market?

    Vegetables is poised to hold an upper hand when it comes to sales of sugar alcohols across diverse geographies.

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