Albany, NY -- (SBWIRE) -- 04/13/2017 -- The global low intensity sweeteners market exhibits a highly consolidated landscape, wherein only four companies hold the lion's share. These companies are Cargill, Inc., E.I. Du Pont de Nemours and Company, Ingredion, and Roquette Freres Company and they cumulatively held a little short of 90% of the global low intensity sweeteners market in 2016. As the major players compete against each other to gain edge, they are eyeing towards consolidation by acquiring smaller companies in regional market, finds Transparency Market Research (TMR) in a new study.

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With strategic acquisitions these companies are targeting penetration into South East Asia and Indonesia, thus strengthening their global presence. Besides this, expansion of existing product portfolio, and investing in research and development activities for the same are also undertaken in view of gaining competitive advantage. Overall the expansion strategies adopted by the leading market players are hailed by veterans in favor of the market. As companies successfully explore more lucrative pockets worldwide, it will translate into increased sales of low intensity sweeteners thus giving impetus to the global market.

According to TMR, the global low intensity sweeteners market is expected to reach US$2.06 bn by the end of 2025. Its valuation in 2016 was at US$1.25 bn. If these figures hold true, the global low intensity sweeteners market will exhibit a CAGR of 5.8% between 2017 and 2025.

Asia Pacific to Continue Exhibiting Lucrative Prospects

Among the key regional segments, Asia Pacific held dominance in 2016 accounting for a market share of 33.2%. Through the course of the forecast period, the region's dominance is expected to remain undisputed. In addition, North America and Europe will continue showcasing lucrative opportunities in the forthcoming years. By application, the beverage segment will rake high revenues for the market, thus emerging at the fore as the leading segment. In 2016, the beverages segment constituted 31.9% of the market.

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Radically Changing Eating Patterns to Tip Scales in Favor of Low Intensity Sweeteners Market

Besides the rising incidence of diabetes and obesity, which is an obvious factor fuelling the demand for low intensity sweeteners, the increasing health consciousness in general is helping the market gain momentum. The eating habits of the present generation has radically changed as people are more inclined towards low calorie food, which has bolstered the demand for low intensity sweeteners. "Even as confectionaries and cafes bourgeon across nations, the low intensity sweeteners market will gain pace with customers preferring healthier variants of popular food and beverages," said a lead TMR analyst.

While diabetes and obesity have gripped a considerably large section of population in developed nations such as the U.S., it gradually expanding its fangs in developing nations, impelling them to opt for healthier food. This has helped the low intensity sweeteners market gain leverage in the emerging nations.

Stringent Regulations Delaying Approvals to Create Potholes in Market's Trajectory

On the downside, stringent regulations on several ingredients often create hurdles for the market. Regulatory bodies such as the Food and Drug Association have their regulations regarding the use of certain ingredients such as low intensity sweeteners. Before fetching approval, low intensity sweeteners have to pass several tests. This could delay their approval and also result in their increased cost. Such factors have a negative impact on the market.

Nevertheless, growth potential of low intensity sweeteners is very high developing nations. The rising research and development in the field of healthy food products and the increasing investment towards health and wellness are expected to boost the low intensity sweeteners market in Asia Pacific and the Middle East. This is mainly on account of the rising incidence of diabetes and obesity witnessed in these regions in the last few years.

Information on which this review is based on, is from a TMR report, titled "Low Intensity Sweeteners Market (Product Type – Tagatose, Xylitol, Trehalose, Allulose, and Isomaltulose; Application Beverages, Confectionery, Pharmaceutical, and Dairy Products) - Global Industry Analysis, Size, Share, Growth, Trends and Forecast 2017 - 2025."

The report segments the global low intensity sweeteners market as:

Global Low Intensity Sweeteners Market, by Product Type
Tagatose
Xylitol
Trehalose
Isomaltulose
Allulose
Others

Global Low Intensity Sweeteners Market, by Application
Beverage
Confectionery
Pharmaceutical
Dairy Products
Others