Stevia product market forecasts key global growth over five years, amid rising consumer demand
Product ranges within the stevia-based market have been forecast for significant CAGR of 6.97% between 2022 and 2027, rising some $245 million, amid sustained consumer demand for natural solutions within confectionery, according to a new study, writes Neill Barston.
The report from the Technavio group stated that the APAC ( Asia Pacific) region is anticipated to make up 36% of the sector’s rise in fortunes, mirroring its wider economic development driving requirements for enhanced offerings across the wider food and drink sector.
Furthermore, the study revealed that demand for natural sweeteners is on the rise as health-conscious consumers are looking for alternatives to artificial sweeteners that have been linked to side effects such as weight gain and diabetes. In addition, stevia stands out as the leading natural sweetener widely used in products such as baked goods, beverages, and snacks. This shift reflects the market’s growing preference for healthier options.
Hence, these factors are expected to drive market growth during the forecast period. Increased demand for stevia from the nutraceutical industry is a major trend in the market.
As the study noted, countries such as India are witnessing increasing demand for sugar-free confectionery, beverages and sugar-free bakery products that have shown a strong marker for continued segment expansion.
However, as the latest industry study revealed, the stevia market remains fragmented, as competition between major players remains strong, with the potential for new players to enter the segment considered to be a notable possibility. The major companies named in its analysis including Ingredion, Cargill, Sweegen, Tate & Lyle and ADM, have well-established economies of scale and market presence and generally rely on positioning technological advances, and the price of the products.
Moreover, Confectionery Production’s own reporting on the sector from major events around the world including ISM, Gulfood Manufacturing and Sweets & Snacks Expo (including fast-developing companies such as the UKraine’s Steviasun, pictured, main image), have revealed a marked upturn in the number of emerging and key businesses that have expanded their product portfolios to embrace ‘next generation’ stevia series that have addressed consumers significant concerns over impact on taste from the use of Stevia. As such, the latest iteration of product ranges are now considered by many market observers as being far closer in their flavour profiles than has been achieved in the past decade or so.
As the report found, the stevia market is segmented application (beverage sector, food sector, and pharmaceuticals, as well as by type (powder extract and liquid extract), with distinct geographical differences appearing across Asia, North America, Europe, South America, and Middle East and Africa.