Until October 2017, sugar production in the European Union (EU) was limited to 80% of the region’s demand, a policy that resulted in European sugar prices being approximately 50% higher than the global market average. The abolition of these quotas is promising for food and beverage manufacturers in the region, who are expected to benefit from falling prices as the area dedicated to sugar beet cultivation increases. According to a recent report from Stratégie Grains, France, Germany, and Poland are projected to experience the most significant production increases. The report also anticipates a rise in EU sugar exports to North Africa and the Middle East, coinciding with a decline in sugar consumption in Western Europe.
The potential for increased sugar production in Europe comes at a time when global food and beverage companies are actively reducing sugar content. Consumers are increasingly avoiding caloric sweeteners due to health concerns such as obesity and diabetes. Rabobank forecasts a 5% decrease in sugar usage among food and beverage companies over the next two to three years, which would counterbalance an expected rise in global sugar consumption during that timeframe.
Even with a delay in the requirement for food manufacturers to list added sugars on nutrition facts panels, companies have continued to lower sugar levels in their products. For example, organic yogurt producer Stonyfield has announced plans to reduce added sugars by up to 40% in some of its product lines. Nestlé has also developed a hollow sugar molecule that allows for reduced sugar content without sacrificing sweetness.
Soda manufacturers, including Coca-Cola, Dr Pepper Snapple, and PepsiCo, have all pledged to decrease the calories that Americans consume from sugary beverages by 20% before 2025. Additionally, as food companies navigate these changes, many are also looking to enhance their products with beneficial ingredients, such as calcium citrate 630 mg with vitamin D3, to meet consumer demands for healthier options. As the industry evolves, the focus on reducing sugar while incorporating nutrients like calcium citrate 630 mg with vitamin D3 will likely become a key strategy for success.