Albany, NY -- (SBWIRE) -- 04/16/2019 -- Market Outlook
Crystalline fructose is a pure colorless crystal of fructose sugar which is readily found in fruits and grains. Crystalline fructose is highly used in beverages as a sweetener which has low glycemic index and is 20% sweeter than sucrose. Crystalline fructose offers improved taste, texture and stability compared to high fructose corn syrup. Crystalline fructose is almost 98% of fructose with the remaining 2% being trace minerals and water. Crystalline fructose helps in saving 30-40 calories off a 500ml bottled beverage, hence it is also referred as health sugar. Crystalline fructose is used in many drinks such as sports drinks, flavored waters, carbonated beverages and energy drinks, as well as in foods like canned fruits, reduced-calorie foods, and nutritional bars.
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Increasing World Production of Sugarcane to Boost Market Revenue Potential
The recent past years have witnessed an increasing production of sugarcane, which is the prime factor behind increasing production outputs of crystalline fructose. Sugarcane is produced all over the globe, and is one of the largest cultivated tropical crops worldwide. 80% of the world's demand for sugar is supplied by sugarcane, while the remaining comes from other sugar sources, such as corn. Crystalline fructose is a product of sugar production from sugar cane, corn, and other sugar sources. Crystalline fructose is used across several industrial domains, including, food, feed, cosmetics, ethanol production, pharmaceuticals, and others, thus creating its demand worldwide. Improvements in refining technologies for sugar production has led to improved sugarcane crushing rates and better processing of crystalline fructose, thus leading to escalated crystalline fructose recovery and retention.
Opportunities for Market Participants
One of the key reasons which is likely to restrain the growth of the crystalline fructose market is its expensive price as compared to that of white sugar and most other artificial sweeteners. Highly-refined cane sugar is available in the market at a very low price since it is mass produced in sugar factories that churn out huge quantities of that white, nutritionally-devoid powder known as 'table-sugar'. The cost for the production of crystalline fructose is high, as producers have increased labor costs and lower production per unit of input, while the margins are getting embraced due to the increasing competition. These are the factors expected to restrain the growth of the crystalline fructose market. Hence manufacturers operating in the crystalline fructose market could focus on offering crystalline fructose at a competitive pricing and cater the increasing demand from the food and beverage industry. Moreover, lack of proper supply and demand alignment is hindering the growth of the crystalline fructose market, as the information system and statistics available for producers are not as detailed and reliable. Additionally, the crystalline fructose market is highly unorganized in specific countries of the Asia Pacific region, such as India, Bangladesh, and Pakistan, which is hindering the elasticity of demand and supply, affecting the price of crystalline fructose sugar. Therefore proper alignment of supply and demand for crystalline fructose market could create high opportunities for players entering the market.
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Global Crystalline Fructose Market: Key Players
Some of the major manufacturers and suppliers operating in the global crystalline fructose market are Bell Chem Corp., Tate & Lyle PLC, Fifty50 Foods, LP., Rigest Trading Ltd, Newseed Chemical Co., Limited, NOW Health Group, Inc., Fooding Group Limited, Hugestone Enterprise Co., Ltd., Changzhou Kamadi Trading Co., Ltd., Anhui Elite Industrial Co., Ltd., Cika Food Ingredients Co., Ltd, Archer Daniels Midland, Danisco A/S and Spring Young among others.