Sugar Substitutes Market Size & Share Analysis - Growth Trends & Forecasts (2023 - 2028)

Sugar Substitutes Market is segmented by Type (Acesulfame Potassium, Advantame, Aspartame, Neotame, Saccharin, Sucralose, Stevia, and Others); by Application (Food (Baked Foods and Cereals, Confectionery, Dairy and Dairy Alternatives, Sauces, Condiments, and Dressings, and Others), Beverages, and Pharmaceuticals); and by Geography (North America, Europe, Asia-Pacific, South America, and Middle-East and Africa). The report offers market size and forecasts in value (in USD million) for the above segments.

Sugar Substitutes Market Size

Sugar Substitute Market Summary
Study Period: 2018 - 2028
Fastest Growing Market: Asia-Pacific
Largest Market: North America
CAGR: 5.6 %

Major Players

Sugar Substitutes Market Majro Players

*Disclaimer: Major Players sorted in no particular order


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Sugar Substitutes Market Analysis

The sugar substitutes market is projected to grow at a CAGR of 5.6% during the forecast period (2023-2028).

The demand for healthy sugar-free or low-calorie products surged due to COVID-19. The pandemic declined sugar consumption by 2.5 million metric tons compared to pre-COVID, whereas the rate is 5 million tons in Europe. Thus, food and beverage players have been launching products with global low-calorie sweeteners to cater to the demand.

Excessive sugar intake is one of the main reasons for rising obesity and diabetes. However, the intake of the sugar substitutes such as stevia, aspartame, sorbitol, maltitol, neotame, acesulfame, and D-tagatose does not immediately increase blood sugar and also contains low or no calories and does not cause tooth decay or cavities, driving the sales.

The sugar reduction surge across the food industries has been the major factor driving the market studied. Especially the developed markets are witnessing huge demand for low-calorie and low-carb food products, translating into the rise of alternative sweeteners.

Sugar Substitutes Industry Segmentation

Sugar substitutes are chemical or plant-based substances used to sweeten or enhance the flavor of foods and drinks. The sugar substitute market has been segmented by type into acesulfame potassium, advantame, aspartame, neotame, saccharin, sucralose, stevia, and others. By application, the market has been segmented into food, beverages, and pharmaceuticals. The food segment has further been segmented into baked foods and cereals; confectionery; dairy and dairy alternatives; sauces, condiments, and dressings; and others. The report further analyses the market's global scenario, including a detailed analysis of North America, Europe, Asia-Pacific, South America, the Middle East, and Africa. For each segment, the market sizing and forecast have been done based on value (in USD million).

Acesulfame Potassium
Baked Foods and Cereals
Dairy and Dairy Alternatives
Sauces, Condiments, and Dressings
North America
United States
Rest of North America
United Kingdom
Rest of Europe
Rest of Asia-Pacific
South America
Rest of South America
Middle-East and Africa
South Africa
United Arab Emirates
Rest of Middle-East and Africa

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Sugar Substitutes Market Trends

This section covers the major market trends shaping the Sugar Substitutes Market according to our research experts:

Escalating Demand On Plant-based, Clean Label Sweetener

The low-calorie, naturally sweet, plant-based ingredients witnessed a growing demand in the market, with monk fruit and stevia being two high-intensity plant-based sweeteners approved by FDA GRAS. Also, the global demand for a clean label or natural food products is rising, owing to the growing consumer awareness about the negative health effects of artificial ingredients. According to the Food & Health Survey, about 74% of consumers in the United States will avoid sugar in their diets in 2020. Additionally, there is a significant growth in the number of new product launches, focusing on plant-based products to address the growing obesity. Various health organizations, such as the WHO and governments worldwide, have continuously pushed for sugar reduction in food products, especially for children.

Further, the clean label has triggered the demand for natural sweeteners among food and beverage producers. About 63% of the launch of new products focused on the clean label claim. Thus players in the market are investing in R&D to develop an efficient supply chain from farm to the final product.

Global Sugar Substitutes Market - Natural Sweetener, Y-O-Y, Global, 2016-2021

North America Holds a Major Market Share

North America leads the market owing to its increasing awareness of the harmful effects of sugar and benefits of its substitutes and the high expendable incomes of the countries. Also, favorable government initiatives have boosted the region's market. For instance, the FDA has permitted using high-intensity sweeteners such as saccharin, aspartame, acesulfame potassium (Ace-K), neotame, advantame, steviol glycosides, and a few more which has led to an upsurge in demand for the sugar substitutes. Further, consumers in the United States are increasingly seeking plant-based zero-calorie sweeteners to live a healthier lifestyle. Hence, a growing number of food and beverage manufacturers are introducing zero-calorie sweeteners to help these consumers achieve their goals. Thus, in November 2019, a joint venture called Avansya was established between Cargill and Royal DSM, which initiated the production of stevia sweetener at the first commercial-scale fermentation facility in the United States. The facility specializes in producing EverSweet, a non-artificial, zero-calorie stevia sweetener.

Sugar Substitutes Market : Market Share, In %, By Geography, Global, 2021

Sugar Substitutes Industry Overview

The global market for sugar substitutes is fragmented, owing to the presence of large regional and domestic players in different countries. Emphasis is given to the merger, expansion, acquisition, and partnership of the companies, along with new product development are the strategic approaches adopted by the leading companies to boost their brand presence among consumers. Companies are focusing on natural sweeteners that don't have any side effects on consumer health.

Sugar Substitutes Market Leaders

  1. Cargill Incorporated

  2. Tate & Lyle PLC

  3. Ajinomoto Co., Inc

  4. Ingredion Incorporated

  5. ADM

*Disclaimer: Major Players sorted in no particular order

Sugar Substitute Market Concentration

Sugar Substitutes Market News

  • In April 2022, Tate & Lyle expanded production of allulose to meet surging demand for the rare sugar, which has gained popularity after FDA decided to exclude it from the total and added sugars declarations on the Nutrition Facts panel.
  • In March 2022, Cargill launched its stevia products with EverSweet + ClearFlo technology. This new sweetener system combines Cargill's stevia sweetener with a natural flavor and offers several advantages, including flavor modification, faster dispersion, and increased solubility and stability in formulations.
  • In April 2020, Ingredion EMEA launched its first polyol sweetener, ERYSTA® Erythritol. This sweetener enables manufacturers to reduce or replace sugar which acts as 'no added sugar' or 'calorie-reduced,' in multiple applications.

Sugar Substitutes Market Report - Table of Contents


    1. 1.1 Study Assumptions and Market Definition

    2. 1.2 Scope of the Study




    1. 4.1 Market Drivers

    2. 4.2 Market Restraints

    3. 4.3 Porter's Five Forces Analysis

      1. 4.3.1 Threat of New Entrants

      2. 4.3.2 Bargaining Power of Buyers/Consumers

      3. 4.3.3 Bargaining Power of Suppliers

      4. 4.3.4 Threat of Substitute Products

      5. 4.3.5 Intensity of Competitive Rivalry


    1. 5.1 Type

      1. 5.1.1 Acesulfame Potassium

      2. 5.1.2 Advantame

      3. 5.1.3 Aspartame

      4. 5.1.4 Neotame

      5. 5.1.5 Saccharin

      6. 5.1.6 Sucralose

      7. 5.1.7 Stevia

      8. 5.1.8 Others

    2. 5.2 Application

      1. 5.2.1 Food

        1. Baked Foods and Cereals

        2. Confectionery

        3. Dairy and Dairy Alternatives

        4. Sauces, Condiments, and Dressings

        5. Others

      2. 5.2.2 Beverage

      3. 5.2.3 Pharmaceuticals

    3. 5.3 Geography

      1. 5.3.1 North America

        1. United States

        2. Canada

        3. Mexico

        4. Rest of North America

      2. 5.3.2 Europe

        1. Spain

        2. United Kingdom

        3. Germany

        4. France

        5. Italy

        6. Russia

        7. Rest of Europe

      3. 5.3.3 Asia-Pacific

        1. China

        2. Japan

        3. India

        4. Australia

        5. Rest of Asia-Pacific

      4. 5.3.4 South America

        1. Brazil

        2. Argentina

        3. Rest of South America

      5. 5.3.5 Middle-East and Africa

        1. South Africa

        2. United Arab Emirates

        3. Rest of Middle-East and Africa


    1. 6.1 Most Active Companies

    2. 6.2 Most Adopted Strategies

    3. 6.3 Market Share Analysis

    4. 6.4 Company Profiles

      1. 6.4.1 Tate & Lyle PLC

      2. 6.4.2 International Flavors and Fragrances Inc

      3. 6.4.3 Ajinomoto Co., Inc

      4. 6.4.4 PureCircle Ltd.

      5. 6.4.5 Roquette Freres

      6. 6.4.6 Kawarlal & Co.

      7. 6.4.7 ADM

      8. 6.4.8 Ingredion Incorporated

      9. 6.4.9 The Nurtrasweet company

      10. 6.4.10 JK Sucralose Inc

    5. *List Not Exhaustive


**Subject to Availability
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Sugar Substitutes Market Research FAQs

The Sugar Substitutes Market is studied from 2018 - 2028.

The Sugar Substitutes Market is growing at a CAGR of 5.6% over the next 5 years.

The Sugar Substitutes Market is valued at 16 Billion USD in 2018.

The Sugar Substitutes Market is valued at 23 Billion USD in 2028.

Asia-Pacific is growing at the highest CAGR over 2018 - 2028.

North America holds highest share in 2022.

Cargill Incorporated, Tate & Lyle PLC, Ajinomoto Co., Inc, Ingredion Incorporated, ADM are the major companies operating in Sugar Substitutes Market.

Sugar Substitutes Industry Report

Statistics for the 2023 Sugar Substitutes market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Sugar Substitutes analysis includes a market forecast outlook to 2028 and historical overview. Get a sample of this industry analysis as a free report PDF download.

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