The global stevia market is expected to grow at a CAGR of 10.22% over the forecast period to reach a total market size of US$1,140.956 million by 2027, increasing from US$57.484 million in 2020. Stevia is a natural food sweetener and has applications in the healthcare and food and beverage industries.
Growing consumer demand for natural sugar alternatives coupled with increasing research and development expenditure by major companies will drive the demand for stevia. In addition, in recent years, the market has witnessed a significant increase in the number of product launches, which is opening up growth opportunities for manufacturers and vendors. However, the availability of low-calorie-based sweetener substitutes is expected to restrain the growth of the market in the coming years. Also, the bitter aftertaste of stevia has been a major concern for companies, and therefore, they are working on solutions that can help to nullify the bitterness.
Growing demand for natural and low-calorie-based sweeteners is expected to drive the growth of the market during the forecast period.
There is an increase in the consumption of sugar in the past few years, which has resulted in spiked sugar levels in the body, hence increasing the blood sugar levels and increasing the risk of diseases like obesity, heart diseases, and diabetes among the population.
According to the International Diabetes Federation, the number of people suffering from diabetes in 2019 was approximately 463 million adults who are between the ages of 20-79 In addition, 79% of those suffering from diabetes were from the low-income and middle-income regions, and 1 out of every 5 people was more than 65 years old. Besides, in order to mitigate the risks of these diseases, people are getting health conscious and shifting their preferences toward low-calorie substitutes for sugar, which are natural sweeteners such as stevia.
Increasing adoption in the dairy industry
Today, stevia is considered a valuable ingredient as it reduces sugar application in the dairy industry. It’s one of the important benefits that include stability and flexibility of use in a wide variety of dairy categories such as yogurt, flavoured milk, and ice cream.
Expanding retail businesses like convenience stores and e-commerce
In recent years, convenience and department stores with supermarkets have witnessed an increase in sales. The development and growth of convenience stores and other retail businesses are directly related to economic growth and the speed of urbanization which are projected to propel the market over the forecast period. Besides, with the growing number of smartphone users, time spent on the internet is also increasing, which drives the growth of e-commerce platforms which in turn increases the scope of distribution of stevia-based products. Besides, the adoption of stevia in zero or low-calorie-based beverages is also catering to the growing demand from health-conscious consumers through various channels of distribution.
North America is holding a significant share in the market
By geography, the stevia market is segmented into North America, South America, Europe, the Middle East, Africa, and Asia-Pacific.
The North American market is expected to hold a significant share of the market owing to the presence of major players coupled with the growing number of product launches in countries like Canada and the United States. In addition, a growing number of health-conscious populations coupled with changing lifestyles are the factors boosting the demand for the product and with the growing demand for food and beverage products made from natural ingredients, the demand for stevia in the region is further expected to increase over the forecast period.
In Europe, the gradual shift of consumers towards stevia on account of the increasing prevalence of diabetes is expected to drive the market during the forecast period. Also, due to the increasing product launches in the region and investments by big market players, the stevia market is anticipated to witness substantial growth over the coming years. Furthermore, expanding the bakery and confectionary and overall food industry is anticipated to widen the growth opportunities for stevia-based product manufacturers and vendors during the course of the forecast period.
For instance, Germany's food retail market has been growing significantly in the last few years, reaching EUR242.5 million in 2017 (source: GTAI) and being described as consolidated and mature with home to major global market players. The Asia-Pacific region holds huge growth potential due to the presence of a significant young population in the region. Growing consumer awareness regarding the health benefits of stevia-based products coupled with the product development of organic stevia has also triggered market growth opportunities in the region over the forecast period.
The pandemic has positively impacted market growth due to the growing demand for less sugary and immunity-boosting food products. The pandemic has prompted health-conscious consumers to switch towards low-calorie or sugar-free food products which has driven the overall market growth in 2020. The increasing health awareness and rising demand for less sugar and organic food items among the global population have forced manufacturers to opt for stevia.
|Market Size Value in 2020||US$57.484 million|
|Market Size Value in 2027||US$1,140.956 million|
|Growth Rate||CAGR of 10.22% from 2020 to 2027|
|Forecast Unit (Value)||USD Million|
|Segments Covered||Type, Application, Distribution Channel, And Geography|
|Regions Covered||North America, South America, Europe, Middle East and Africa, Asia Pacific|
|Companies Covered||Cargill, Incorporated, Ingredion Incorporated, Archer Daniels Midland Company, In The Raw, Pyure, Biosweet Ventures, Evolva Holding S.A, Sunwin Stevia International, Inc.|
|Customization Scope||Free report customization with purchase|
Frequently Asked Questions (FAQs)
Q1. What will be the stevia market size by 2027?
A1. The global stevia market is expected to reach a total market size of US$1,140.956 million in 2027.
Q2. What is the size of the global stevia market?
A2. Stevia Market was valued at US$57.484 million in 2020.
Q3. What are the growth prospects for the stevia market?
A3. The stevia market is expected to grow at a CAGR of 10.22% during the forecast period.
Q4. Which region holds the largest share in the stevia market?
A4. North America is expected to hold a significant share in the stevia market owing to the presence of major players coupled with the growing number of product launches in countries like the Canada and United States.
Q5. What factors are anticipated to drive the stevia market growth?
A5. Growing demand for natural and low-calorie-based sweeteners is expected to drive the global stevia market growth during the forecast period.
Archer Daniels Midland Company
In The Raw
Evolva Holding S.A
Sunwin Stevia International, Inc.
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