Erythritol Market

Global Erythritol Market Size (2024 to 2029):

Global Erythritol market is estimated to have a global market value of USD 0.38 billion by 2029 and 0.28 billion by 2024 with a Compound Annual Growth Rate CAGR of 6.3%.

Erythritol is generally a non-caloric organic compound that has wide applications as food additives or as sugar alcohol. It is around 65-70 % as sweet as sucrose, but its sweetness will not affect the blood sugar and cause tooth decay problems when consumed. Erythritol can also be used as part of the substrate in daily food products. Naturally, it is obtained from some fruits, but for large-scale industrial use, it has to be manufactured from the yeast called Moniliella pollinis. The erythritol market is also affected by this specific yeast market due as it is the main ingredient in the industrial manufacturing process of erythritol. The various forms (Powder, Granular) of erythritol have their applications in different industries. 

According to the World Health Organization (WHO) publications, around 400 million people are likely to be suffered from diabetic complications. This could be a great opportunity for the erythritol market to increase its potential consumers with the creation of proper awareness with strategic promotional activities and campaigns. These potential consumers are expected to increase during the forecast period due to the less effect of erythritol on blood sugar. Stevia, the product substitute for erythritol, could be a limiting factor for the market, but the varying legal status of stevia in different countries is an opportunity for erythritol to increase its market sales volume. 

Global Erythritol Market Drivers:

The increase in the adoption of erythritol by the people acts as a market driver.The sucrose-like and non-caloric nature of erythritol makes it more adopted by people for consumption. Because of the nature of erythritol, it is safe to consume and is deemed by the Food and Drug Administration (FDA), which would be an added advantage to increase the adoption of erythritol in food consumption. Caloric food and sugar intake are the most important aspects considered by people. The low effect on the blood sugar of the consumer could be a primary reason for the usage of it in making low glycemic sweeteners. These sweeteners would help people who want to manage weight and blood sugar levels. People nowadays are concentrated on sweeteners that have to be sweet but with less calorific value and shouldn’t affect blood sugar levels. The rise in the health consciousness among global consumers about diabetes, along with the POST-COVID consumer behavior change in food preferences, drive the growth of the erythritol market during the projected period. 

Global Erythritol Market Restraints:

In a desire to dominate the market, there is vast competition present among the key market players acts as a restraint to the erythritol market. There is a threat to market growth with a new product substitute presence in the market. For instance, stevia would act as a substitute because of the zero-calorie natural sweetener nature. The stringent regulations and standards vary with the countries around the world, be a limiting factor for the market to grow. The inflation in the key nations’ economies remains in the upper band. The fluctuating raw material cost and changes in the packaging material cost, type & standards are the few restraints in the market that could limit the market expansion and erythritol adoption by the users.

Impact Of COVID-19 on the Erythritol Market:

The negative impact on the erythritol market is noticed due to the COVID-19 pandemic. Many companies have seen a rise in expenditure, which affected their balance sheets of the company. The increase in expenditure is the result of the pandemic and money spent on the safety of the workforce, employee virus testing kits, maintaining workplace safety measures, high absenteeism of the employees due to illness, and quarantine maintenance. Along with this market had been affected by the increased cost of agriculture raw materials and packaging materials. Challenges in the supply level are also seen due to the imposition of travel restrictions. The supply and demand of the market had been severely affected due to the delay in the production operations and delivery of the product distribution to the consumer stores. The drop in revenue is reported because of the closure of the departmental stores and supermarkets. Exports have also seen a downturn due to the prolonged global economic slump, which has been extraverted by the existing COVID-19 problems. 

REPORT COVERAGE: 

This research report on the Global Erythritol Market has been segmented and sub-segmented based on form, application, & region. 

Global Erythritol Market - By Form:

• Powder
• Granular

The powder form of erythritol is expected to dominate the erythritol market during the forecast period. The wide usage of erythritol in powder form in the pharmaceutical industry is the market's favorable feature. The erythritol powder is used to change the taste of medicine, and its form is easy for application in the pharma industries. The easily soluble nature of the powder form in drinks and some other sweets will make it more requirement in the food & beverage industry than the granular form of erythritol. 

Global Erythritol Market - By Application:

• Beverage
• Bakery
• Confectionery Dairy Products
• Personal Care
• Pharmaceutical

Based on the application Confectionery dairy products and Beverage’s category are expected to have a significant share in the Erythritol market. The consumer percentage for sweets and bakery products is high across the world and is a market driver. The market is also influenced by the consumer segment who want sweets, confectionery, and bakery products at a low calorific value to control their obesity. There could be a rapid increase in the use of personal care products for erythritol use in the coming years due to the zero side effects of it on the human body. The pharmaceutical industry would include the adoption of erythritol in the application of dietary supplements for type II diabetes patients. 

Global Erythritol Market - By Region:

• North America
• Europe
• Asia Pacific
• Latin America
• Middle East & Africa 

North America is expected to dominate the erythritol market in terms of market shares and CAGR during the forecast period. According to some reports from authorized organizations, it is stated that the U.S. is one of the countries with more obese people in the world. This indicates that most of the consumers in this region are prone to the threat of diabetes in the future. This could drive the market in the North American region. The pharmaceutical companies that are largely present in this region act as a market growth factor. The next high market share holding region is Europe, where the Food & Beverages industries are the potential consumers of the market. The asia-Pacific region, followed by Europe expected to have a high share of the market. 

KEY MARKET PLAYERS:

Key Market Players of Global Erythritol Market are Ingredion Inc, Cargill, Cerestar Holding B.V, Unterhofer & Partner KG, Jungbunzlauer, Mitsubishi-Chemical Foods, Foodchem International Corporation, Shandong Sanyuan Biotechnology, Zibo ZhongShi GeRui Biotech, Baolikang Biological Feed Co. Ltd.

RECENT HAPPENINGS IN THE MARKET:

• In 2022, Zinc gluconate and mono-magnesium citrate are two mineral salts launched by Jungbunzlauer. Zinc gluconate is derived from the neutralization process between the gluconic acid with the high-purity zinc source. The mono-magnesium citrate is derived from the partial neutralization process of the magnesium salt of citric acid.

• In 2022, Shandong Sanyuan Biotechnology Co., Ltd. has been involved in the participation in various activities such as research and development, erythritol manufacturing & sale, and some other new multi-functional sweeteners.

• In 2021, an agreement was made between Cargill and Croda for the acquisition of the majority of Croda's performance technologies and industrial chemicals business. Cargill could expand its bio-industrial footprints for serving industrial manufacturing in the “Greener” ingredient solutions through this investment.