Global Caster Sugar Market - Forecast(2023 - 2028)

Global Caster Sugar Market Overview

Global Caster Sugar Market Size is estimated to reach $11.3 billion by 2027. Furthermore, it is poised to grow at a CAGR of 7.4% over the forecast period of 2022-2027. Caster sugar, sometimes known as ultra-fine sugar, is a sugar replacement for meringues that is easy to work with. It is also utilized in baking, sweets, cocktails, and drinks. Caster sugar is a finer-grained white sugar than typical granulated sugar & it is derived from sugarcane or sugar beet. It is found in disaccharide form which is also known as sucrose. Confectionery and powdered sugar, on the other hand, generally contain maize starch. Small crystal caster sugar caramelises more evenly and combines easier. Powdered sugar, unlike other refined sugars, contains no fat, protein, or fibre. In baking, sweets, beverages, desserts and cocktails, caster sugar is used. Caster sugar offers baked goods greater volume than granulated sugar while also making them lighter in texture. It functions as a food preservative and inhibits the growth of bacteria. It is also used to keep huge ice crystals from forming in frozen foods like ice cream. Sugar, on the other hand, promotes fermentation in yeast-based goods. It's also used in baked goods to keep moisture in and prevent staleness. As food demand continues to rise, an increasing number of bakeries and cafes, as well as the rapid expansion of the hospitality industry fueled by economy and international tourism trends, are projected to boost market growth. Increased use of caster sugar in food processing industry is propelling growth of global caster sugar market, as well as brand awareness advertising by manufacturers, are the fundamental reasons driving the Global Caster Sugar Market during the forecast period 2022-2027.

Global Caster Sugar Market Report Coverage

The report: “Global Caster Sugar Market Forecast (2022-2027)", by Industry ARC covers an in-depth analysis of the following segments of the Global Caster Sugar Market.

By Product Type: Organic Caster Sugar and Blending Caster Sugar.
By End Use Industry: Food & Beverages, Pharmaceuticals, Cosmetics and Others.
By Source: Sugar cane source and Sugar beet source.
By Distribution Channel: Supermarkets, Hypermarkets, E-commerce websites and Others.
By Geography- North America (U.S., Canada, Mexico), Europe (Germany, United Kingdom (U.K.), France, Italy, Spain, Russia, and Rest of Europe), Asia Pacific (China, Japan India, South Korea, Australia, and New Zealand, and Rest of Asia Pacific), South America (Brazil, Argentina, Chile, Colombia and Rest of South America), and Rest of the World (the Middle East, and Africa).

Key Takeaways

• Geographically, North America held a dominant market share in the year 2021 owing to rise in the demand for Caster Sugar in food & beverage industry.
• Higher consumption of beverages, dairy products, and bakery and confectionery products due to a busy lifestyle, changing dietary habits, and increased consumption of beverages, dairy products, and bakery and confectionery products will help to the market's growth during the forecast period of 2022-2027.
• However, increased awareness of the consequences of excessive sugar consumption and the rising prevalence of diabetes around the world may stymie the market. Sugar prices are projected to fluctuate in the forecast period, putting pressure on caster sugar producers all over the world.
• A detailed analysis of strengths, weaknesses, opportunities, and threats will be provided in the Global Caster Sugar Market Report.

Global Caster Sugar Market Segmentation Analysis- By Product Type

Global Caster Sugar Market based on product type can be further segmented into Organic Caster Sugar, Regular Caster Sugar. The Natural Caster Sugar segment held a dominant market share in the year 2021. Natural sugar demand is increasing due to trend like ‘Go Organic’ in food & beverage industry. Natural Caster Sugar is made up from natural, organic farming practices without use of any chemical pesticides of insecticides, although both form of sugar is identical in terms of chemical composition. Consumers like to pay extra for healthy & environment friendly products to consume. Also awareness & brand promotion by key manufactures increase Natural sugar market strength in forecast period.

However, the Blending Caster Sugar is estimated to be the fastest-growing, with a CAGR of 8.3% over the forecast period of 2022-2027 owing to its distinct taste. Depending on the desired flavour profile, the beverage can be sweetened with sugar, corn syrup, or other artificial sweeteners. For flavouring purposes, blending Caster Sugar may also be made with natural ingredients such as herbs and fruit extracts, which will boost demand for blending Caster Sugar in the predicted period. Many customers are seeking for low-sugar, low-calorie, organic, and healthy beverages that not only suit their demands, but also fit into their keta or vegan diets, resulting in a market growth during the forecast period.

Global Caster Sugar Market Segmentation Analysis- By End Use Industry

Global Caster Sugar Market based on end use industry can be further segmented into Food & Beverages, Pharmaceuticals, Cosmetics, Others. The Food & Beverages segment held a dominant market share in the year 2021. Caster sugar is primarily used as a preservative and prevents the growth of microorganisms in a variety of food and beverage products such as confectioneries and bakery goods. It's also used to keep huge ice crystals from forming in frozen foods like ice cream. Sugar, on the other hand, promotes fermentation in yeast-based goods. It's also used in baked goods to keep moisture in and prevent staleness. It's a sugar deal for meringues that dissolves instantly. It's also used in baking, desserts, cocktails, and drinks.

However, pharmaceutical is estimated to be the fastest-growing, with a CAGR of 9.1% over the forecast period of 2022-2027 owing to its used in capsule & tablets to assist appearance, ease of transport & storage. Sugar coated tablet is protected from the damaging effect of air & moisture & it is easier to swallow due to improved flavour. In syrup caster sugar is used to mask unpleasant taste of active ingredients & to maintain viscosity. Caster sugar also used in syrup to boost instant energy in cold & flue & also sugar extend shelf life of product. Such factors boost pharmaceutical segment in forecast period.

Global Caster Sugar Market Segmentation Analysis- By Geography

The Global Caster Sugar Market based on Geography can be further segmented into North America, Europe, Asia-Pacific, South America, and the Rest of the World. North America held a dominant market share of 32% in the year 2021. This is attributed to reasons like the presence of key market players and their product developments. Key manufacturers are promoting their products in innovative ways. Also bakery item consumption in countries in North America is significantly high and such items are in high demand during various festive occasions and seasons.

Furthermore, the Europe is estimated to be the fastest-growing, over the forecast period of 2022-2027. Delicious bakery products, particularly cakes and cookies, are well-known in European countries. Belgium, France, Italy, and Switzerland all have a large variety of cakes that are popular with both locals and tourists. The increasing number of tourists is one of the key drivers of the cake industry in Europe. Caster sugar is expected to be a significant market in Europe. Sugar is currently consumed in the UK at a rate of roughly 2 million tonnes per year, with demand coming mostly from two industries: food and beverage industry and retail. Approximately 85% of demand comes from food and beverage manufacturers, where it is utilised as an ingredient in food and beverage products, with the remaining 15% coming from the retail sector, which includes customers, cafés, and restaurants. Factors like as rising disposable income, more industrialization, and the humid and arid climate in many European countries are also fuelling the Caster Sugar Market's growth in the European region.

Global Caster Sugar Market Drivers

Increasing demand for clean labelled food Aid in Market Growth

Consumers, particularly millennials, have a distinct viewpoint on the food they consume. As people have become more health-conscious, demand for organic, all-natural, delicious, healthful, and clean-label ingredients has increased. A majority of customers throughout the world now want clean label foods due to FDA updated clean label regulations that shows servings in bold font & serving size & daily value is updated which attract health conscious consumers. The average life expectancy in numerous nations in Sub-Saharan Africa is much less than 60 years, compared to more than 80 years in Europe and Japan owing to healthy food consumptions, which is predicted to boost caster sugar sales and contribute to market growth over the forecast period.

Application of Caster Sugar in Various Industries is propelling the market growth

Caster Sugar used in various industries like food & beverage industry in various beverages, juice, jam, jelly, cream, bakery-confectionery & others; in pharmaceutical in for preparation of anti-biotic & cough syrup; in cosmetics industry well known company L’OREAL Paris launched its product range in pure sugar scrubs like Resurface & Energize Kona Coffee Scrub, Purify & Unclog Kiwi Scrub & others for manufacturing of scrub owing to exfoliating properties of caster sugar and generated a 1.7% growth hike in company's revenue, such diverse properties propelling the market growth in forecast period.

Global Caster Sugar Market Challenges

Increasing Number of Diabetics Patients Around the World to Hinder Market Growth

Sugar content is a source of concern for consumers, as it has been related to obesity. Low-calorie, high-cocoa, and practical ingredient-based sweets are among the healthier options sought by consumers. Consumers all across the world are growing concerned about the quantity of functional claims on candy labels. Additionally, rising awareness of the perils of excessive sugar consumption and the rising prevalence of diabetes around the world, current data by WHO shows that 442 million people in worldwide living with diabetes & 1.5 million death are directly attributed to diabetes in each year that may stymie the caster sugar market. Sugar prices are projected to fluctuate in the forecast period, putting pressure on caster sugar producers all over the world. Such factors may have an impact on the growth of Global Caster Sugar throughout the forecast period.

Global Caster Sugar Industry Outlook

Product launches, mergers and acquisitions, joint ventures, and geographical expansions are key strategies adopted by players in the Global Caster Sugar Market. The top 10- Global Caster Sugar Market companies are-

1. Conan
2. Louis Dreyfus Company
3. ASR Group
4. AB Sugar
5. Stereos
6. Wilmar International Ltd
7. American Crystal Sugar Company
8. Michigan Sugar Company
9. Amalgamated Sugar Company
10. Nordzucker AG

Recent Developments

• In February 2021, Joint venture of Cosan SA & Royal Dutch Shell Plc, named Raizen buy Biosev SA by paying to Biosev shareholders $670.3 million with 3.5% of Raizen preferred shares and additional 1.49% of redeemable shares but full purchased price is not disclosed by company. Company got 35 mill in Brazil with with sugar cane crushing capacity of 105 million tonnes per year.
• In February 2021, ASR Grop (American Sugar Refining Inc) made an investment in Bonumose to produce commercial low-cost, plant-based alternative sweeteners tagatose & allulose to meet a wide range of consumer needs. Bonumose developed and patented a production process for high-purity rare sugars, including tagatose and allulose, from low-cost, abundant, plant-based starches. These products have fewer calories than traditional sugars and a negligible glycemic index impact.
• In November 2020, Louis Dreyfus Company Holdings B. V. (LDCH) signed agreement to sell indirect 45% equity stake in Louis Dreyfus Company B.V, (LDC) to Application Driven Quality of Service (ADQ) & also signed long term commercial supply agreement for sale of agri- commodities to the United Arab Emirates.

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