Sweetener Market Size Is Likely To Reach a Valuation of Around $154.6 Billion by 2035

The sweetener market size was valued at $88.1 billion in 2023, and is estimated to reach $154.6 billion by 2035, growing at a CAGR of 4.9% from 2024 to 2035

WILMINGTON, DE, UNITED STATES, August 7, 2025 /EINPresswire.com/ -- A sweetener is a substance that is used to make food and drinks taste sweet. It can be natural sweeteners , like sugar from sugar cane or honey, or artificial sweeteners, like aspartame or sucralose. Sweeteners are added to a wide range of products, from sodas and candies to baked goods and sauces, to enhance their flavor. Some sweeteners are low in calories or do not raise blood sugar levels, making them popular choices for people who want to limit their sugar intake or manage health conditions like diabetes.

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Sugar is the most common food additive that is used in the production of different kinds of food & beverages. It adds taste to the product, ensuring that the food & beverage maintains its distinct taste and increases the shelf life. Sugar in the diet, particularly in liquid form, increases the risk of dental cavities, obesity, and type 2 diabetes. In 2016, Soft Drinks Industry Levy introduced a sugar tax, and in 2018, it was implemented and adopted by 39 countries from different regions. The tax was issued to encourage healthy habits and overcome obesity-related ailments in consumers. The concept was that if the sugar content of a beverage exceeded 5g per 100 mL, the tax would be charged. This law posed a challenge for manufacturers, particularly small-scale industries that had no other option than sugar.

The sugar tax compelled the manufacturers to increase the prices of the goods to benefit from sales. Large-scale manufacturers, on the other hand, have turned to using sugar alternatives to avoid paying taxes. Currently, after the advent of the pandemic, the governments of different countries have increased the strictness toward the use of sugar and have increased the tax amount to discourage manufacturers and consumers to opt for sugary products. The sugar tax is acting as a restraint on the sweetener market growth.

The adoption of high-intensity sweeteners is heavily reliant on the unique needs of end users, which promotes the introduction of new rivals. Furthermore, because the sweeteners industry is dominated by advanced technology, a moderate capital expenditure is necessary to build sweetener production facilities. Furthermore, products differ in nature, resulting in substantial entry barriers for new entrants. As a result, the risk of new entrants to the worldwide market is low to moderate. End customers demand efficient and cost-effective sweeteners; nevertheless, the products on the market have significant restrictions due to concentration levels and other environmental laws. As a result, the danger of alternatives in the sweeteners industry is moderate to high. This provides the key players with the sweetener market opportunities for improving and innovating the existing product available on the market.

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The significant factors impacting the growth of the sweetener market include the sale of processed food & beverages, innovations in product offerings, and the popularity of low/zero calorie sweeteners. Moreover, the risk of developing diabetes & other ailments and the negative impact of high prices discourage the distribution of sweeteners, which affects the market growth. In addition, the market is influenced by the increase in health consciousness among consumers. However, each of these factors is anticipated to have a definite impact on the sweetener market demand during the forecast period.

The sweetener market is segmented into type, application, distribution channel, and region. Based on type, the market is segmented into sucrose, starch sweeteners & sugar alcohol, and high-intensity sweeteners. As per application, it is segmented into bakery & cereal, beverages, dairy, processed food confectionery, and tabletop sweeteners. Based on distribution channels, it is segmented into supermarkets & hypermarkets, departmental stores, convenience stores, online stores, and others. Region wise, it is analyzed across North America (the U.S., Canada, and Mexico), Europe (Germany, UK, France, Italy, Spain, and the rest of Europe), Asia-Pacific (China, Japan, India, Australia, Malaysia, Thailand, Indonesia, and rest of Asia-Pacific), and LA (Brazil, Argentina, rest of LA), MEA (UAE, South Africa, and rest of MEA).

Based on type, the market is segmented into sucrose, starch sweeteners & sugar alcohol, and high-intensity sweeteners. The sucrose segment gained a major share in the global market in 2023 and is expected to sustain its market share during the forecast period as sucrose is the most common form of a sweetener that is used by the global population for consumption and is easily available in the market. There is an increase in the demand for processed food owing to the rise in the global population, which, in turn, increases the usage of sugar to ensure the production process is running smoothly.

According to sweetener market trends, based on application, it is segmented into bakery & cereal, beverages, dairy, processed food confectionery, and tabletop sweeteners. The processed food segment gained a major share of the global market in 2023 and is expected to sustain its market share during the forecast period. Changing lifestyles and increasing urbanization have led to a rise in convenience food consumption, where sweeteners are often used as ingredients. Additionally, with the growing health consciousness among consumers, there is a shift towards low-calorie and sugar-free options in processed foods. Moreover, advancements in food technology have enabled the development of innovative products with enhanced taste profiles, further driving the demand for sweeteners in the processed food industry.

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According to the sweetener market analysis, based on distribution channels, it is segmented into supermarkets & hypermarkets, departmental stores, convenience stores, online stores, and others. The supermarkets & hypermarkets segment accounted for the major sweetener market share size in 2023 and is expected to sustain its share during the forecast period. Supermarkets & hypermarkets offer a convenient experience of diverse shopping under a single roof to the consumers. Supermarkets & hypermarkets provide consumers with a premium advantage, i.e., higher availability of sweetener products at discounts, the assistance of sales representatives, and easy checkouts. These advantages are expected to drive the growth of supermarkets & hypermarkets during the forecast period.

Based on region, it is analyzed across North America (the U.S., Canada, and Mexico), Europe (Germany, UK, France, Italy, Spain, and the rest of Europe), Asia-Pacific (China, Japan, India, Australia, Malaysia, Thailand, Indonesia, and rest of Asia-Pacific), and LA (Brazil, Argentina, rest of LA), MEA (UAE, South Africa, and rest of MEA). Asia-Pacific dominated the sweetener market in 2023 and is expected to remain dominant during the sweetener market forecast period. The dominance of the market is largely due to the deep product knowledge among the consumers and the increase in the consumption of sugar by the local population. The industry is witnessing an increase in the demand for healthy sweeteners as customers turn toward healthier food options. In this region, sedentary lifestyles and lifestyle changes have increased the adoption of alternative sweeteners. The region has the maximum presence of manufacturers and suppliers. In addition, an increase in purchasing power, high growth rate, and development in new food habits, including the consumption of low-calorie sodas and diet drink supplements increase the sweetener market demand.

Major players such as Ajinomoto Co, Inc., Archer Daniels Midland Company, Associated British Foods Plc, and Cargill Incorporated have adopted product approval, partnership, agreement, and acquisition as key developmental strategies to improve the product portfolio of the sweetener market.

Key Takeaways

By type, the sucrose segment was the highest revenue contributor to the sweetener industry in 2023 and is expected to grow at a significant CAGR during the forecast period.
By application, the beverages segment was the highest revenue contributor to the market in 2023 and is expected to grow at a significant CAGR during the forecast period.
By distribution channel, the supermarkets and hypermarkets segment was the highest revenue contributor to the market in 2023 and is expected to grow at a significant CAGR during the forecast period.
By region, Asia-Pacific was the highest revenue contributor to the market in 2023 and is expected to grow at a significant CAGR during the forecast period.

David Correa
Allied Market Research
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