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High Fructose Corn Syrup Market size is valued at $ 479m by 2019 and is anticipated to grow at a CAGR of 5.10% during the forecast period 2020-2025. The High Fructose Corn Syrup Market growth rate is attributed to the fact that it is widely used in food industry a replacement for sucrose coupled with increasing demand for soft drinks, carbohydrate drinks, jams, confectionery products, dairy products as a diet food. High-fructose corn syrup (HFCS), also known as glucose-fructose is a sweetener made manufactured from corn starch processed by glucose isomerase to convert some of its glucose into fructose. It is derived as a liquid sweetener from corn syrup using a process called wet milling. From improvement’s made in governmental policies on HFCS has resulted it into a cost effective sugar substitute for sugar in various manufacturing commodities including processed foods, bakery products, dairy products, confections, and beverages which is anticipated to propel the High Fructose Corn Syrup Market during the forecast period 2020-2025.
Application Type- Segment Analysis
On the basis of Application type, beverage segment held the major share of the market in terms of revenue and is expected to grow with a CAGR of 3.88%. The reason may be attributed to the growing demand for energy drinks and awareness regarding the use of natural ingredients. The growing concern regarding the usage of artificial sweeteners in the manufacturing of beverages. The changing consumer habits to a ready-to-eat meals and convenience foods coupled with the development of healthy variants of existing beverage products is anticipated to further expand the consumption rate over the projection period of 2020-2025. Moreover, Companies are also investing heavily in promotions and brand awareness campaigns regarding the growing demand for fat-free, sugar-free, and low-sugar confectionery products which is anticipated to bolster the HFCS market.
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By Geography – Segment Analysis
North America dominated the High Fructose Corn Syrup Market with a share of 39% in 2019. The application of High Fructose Corn Syrup has grown rapidly over the last few years owing to the growing awareness among consumers, huge demand for healthy snack products coupled with the presence of major manufacturers, such as Archer Daniels Midland and Tate & Lyle continues to expand its market. The production of HFCS in North America has been primarily for the domestic market, until recent years, wherein, most of the produce has gone into exports, mostly owing to the large corn availability in the region are to cater the High Fructose Corn Syrup Market in the forecast period of 2020-2025. According to a report published by Economic Research Services, the U.S. exported more than 1.124 million metric tons (dry weight basis) of HFCS in the third quarter of 2017, while it exported 1.121 million metric tons (dry weight basis) of HFCS to all countries in 2016.
Drivers – High Fructose Corn Syrup Market
Rising demand for cost-effective sweeteners
With the rise in demand of various ready-to-eat food & beverage products, there has been a growing concern regarding the usage of artificial sweeteners in the manufacturing of various food & beverages products. Also, with increasing demand for sweeteners owing to a surge of food & beverages industry cost-effective benefits of the product when used as a sugar substitute as compared to conventional sugar can be considered as a High Fructose Corn Syrup key driver of the market during the forecast period 20202-2025.
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Challenges – High Fructose Corn Syrup Market
Increased Concern Regarding Diet Intake
The major challenge for the market is the increasing concerns regarding the diet intake and reduced consumption of sweetened products globally as there is a Growing adoption of zero calories sweetener as a substitute for high fructose corn syrup as it causes obesity, diabetes, increasing risk of cardiovascular diseases and digestive issues. The stringent rules and regulations regarding the processing and preservation prior to distribution and sales is the major problem for some of the regions in Europe.
High Fructose Corn Syrup Industry Outlook
Product launches, mergers and acquisitions, joint ventures and geographical expansions are key strategies adopted by players in the High Fructose Corn Syrup Market. In 2019, High Fructose Corn Syrup Market share is fragmented by the top ten players present in the market. High Fructose Corn Syrup Market top 10 companies are Archer Daniels Midland Company, Cargill Inc., Tate & Lyle Plc, Global Sweeteners Holdings Limited, Ingredion Incorporated, Showa Sangyo, Japan Corn Starch Co. Ltd., Kerry Group Plc, COFCO Rongshi Bio-technology Co. Ltd, Roquette Frères and others.
In February 2017, JAPAN CORN STARCH CO., LTD. announced the obtainment of a patent for the newly formulated product offering. The product is a high-fructose corn syrup termed as “HFCS 70”, which ensures that body maintains equal to fructose glucose liquid sugar utilized in major soft drinks while also maintaining the significant sweetness of fructose. This development is set to help in developing a new sweetening taste in its applicable food products
North America dominated the High Fructose Corn Syrup Market with a share of 39% in the year 2019.
The factors such as growing applications of high-fructose corn syrup, development of organic sweeteners, wide usage across the food and beverages, healthcare, pharmaceutical, personal care products, and other sectors are amongst the major factor projected to impel growth of High Fructose Corn Syrup Market.
Growing consumer demand for nutritional snack bars and healthy baked goods coupled with rising technological innovation in the food processing sector, growing demand for products containing low-calorie sweeteners derived from natural ingredients coupled with the rising awareness among the population regarding the adverse effects of excessive sugar consumption are the key factors owing to the growth in the segment during forecast period 2020-2025.
A. Corn Starch Market
B. Sugar Substitutes Market
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