Global Sugar Market - Forecasts from 2024 to 2029

Global Sugar Market - Forecasts from 2024 to 2029

The global sugar market is projected to grow at a CAGR of 2.58% to reach US$75.243 billion by 2029 from US$66.229 billion in 2024.

Sugar is among the foremost fundamental food components around the world. Universally, sugar has various applications, such as a sweetener, preservative, fermentation substance, flavoring & coloring agent, and numerous more. It is usually obtained from sucrose, which is primarily concentrated in sugarcane plants or sugar beets. The application of sugar is basically in the pharmaceutical and food & beverages industry. Powdered sugar is generally utilized for baking and flavoring by the bakeries. In contrast, granulated sugar is the most used sugar form globally, used in residential populations and various commercial outlets. The liquid sugar is commonly used by food processors, for adding flavors and texture to products.

One of the major drivers for the increasing market measure of the global sugar industry can be the increment in the global trade of sugar. With its application across different businesses like food, beverages, and the pharmaceutical industry, the demand for sugar globally has moreover witnessed an enormous increment. The US Department of Agriculture, Foreign Agricultural Service data on the export of raw sugar from different nations expressed that the worldwide trade of raw sugar saw a consistent rise, particularly in nations like Brazil, India, Thailand, and Australia, among others. In 2021-22, the export of raw sugar in Brazil was recorded at 25,950 thousand million tons, which developed to approximately 28,200 thousand million tons in 2022-23.

Similarly, Thailand's and India's raw sugar exports increased in a similar time period. In 2022-23, Thailand's total export of raw sugar was about 6,871 million tons, and India's was 8,303 million tons.

Moreover, the global sugar market is estimated to grow moderately, fueled by the growing sugar production and the increasing consumption of confectionary and processed products worldwide. This fuels the demand for market expansion. In addition, favorable government regulations and guidelines for sugar farmers will propel the sugar industry’s growth and are expected to pave the way for future market expansion.

GLOBAL SUGAR MARKET DRIVERS:

The rising global demand for food and beverages is anticipated to boost the demand for sugar globally.

The major factor for the increment within the worldwide sugar market is the rising requirements for food and beverage items globally. In the food and beverage industry, sugars are utilized for diverse purposes, like to progress the taste, sweetness, and texture of the products. They moreover act as a preservative that increments the shelf life of the items. Additionally, the global demand for food and beverage items will grow multifold with the rise in the population worldwide.

The growth in the global manufacturing of food and beverage items is anticipated to push the requirement for sugar forward in the anticipated period. The Canadian Agriculture and Agri-Food data stated that the food and beverage processing industry is among the largest manufacturing industries in the country, which accounts for around 18.2% of the total manufacturing sales within the country. In Canada, beverage manufacturing accounted for about US$14.9 billion in 2022, whereas sugar and confectionery manufacturing in 2022 accounted for about US$5.2 billion in 2022. Additionally, fruit and vegetable preservation and manufacturing comprised about US$10.2 billion in the same year. With the inclusion of different sweetener-based products, the share of sugar and confectionery is anticipated to rise, thereby propelling the growth of the sugar industry in the coming years.

Global Sugar Market Geographical Outlook

The United States region is predicted to contribute significantly to market growth.

The development of the sugar industry in developed economies such as the United States will be affected in a substantial way by the expansion of various government initiatives within the nation. For instance, as per the report of the United States Government Accountability Office (GAO) in 2023, the U.S. sugar program under the administration of the USDA has resulted in various benefits for sugar producers nationwide. This is primarily due to the program offering high costs to farmers for domestic sugar production, in this manner making businesses operated under the sugar farms more beneficial in the long term compared to other farms in the region.

Further, measures such as sugar loans are promoted in the country, which is anticipated to provide lucrative prospects for domestic sugarcane and sugar beet processors. This will propel the total sales under these categories, thereby supporting market growth. For instance, in the 2021 crop year, according to USDA, the total sales stood at US$1.8 billion for sugar beet and around US$1.5 billion for sugarcane, respectively.

Moreover, the advanced products provided by major companies in the nation are anticipated to boost market expansion in the years ahead. For example, U.S. Sugar is a well-known company in South Florida, well known for its sweet corn, sugarcane, and citrus items. It gives about 10% of all the sugar produced in the United States regions. Further, strategic mergers and collaborations are also aiding in the market growth. For instance, U.S. Sugar announced in March 2021 that it had agreed to buy the business and resources of Imperial Sugar Company, a port refiner with business in Georgia and Kentucky, from Louis Dreyfus Company.

Additionally, according to USDA estimates, sugar imports have increased multifold, contributing significantly to the sugar market during the forecast period. For instance, in 2023, the sugar imports reached around 3119 (thousand metric tons) from 2922 (thousand metric tons) in 2020. Therefore, the import-export trade will grow in the coming years, fuelled by rising sugar demand in the country.

Global Sugar Market Key Players:

Cargill, Incorporated- Cargill, Incorporated is one of the global leaders in the sugar industry, providing a wide range of products to meet the requirements of all end users. It strives to emerge as a strategic business partner for various key Industries to supply as per their sugar needs.
Raizan SA - Raizan SA is a key producer of sugar and related products, with a major presence in Brazilian and international markets.
Archer Daniels Midland (ADM) - Archer Daniels Midland is a leading manufacturer, providing a comprehensive range of sugar and sweetener products. The company's products are well known for their reliability and quality parameters.

Market Segmentation:

The Global Sugar Market is segmented and analyzed as below:

By Product Type
Granular
Powder
Liquid
By Application
Dairy
Beverages
Confectionary & Bakery
Processed Food
Others
By Geography
North America
United States
Canada
Mexico
South America
Brazil
Argentina
Columbia
Venezuela
Ecuador
Peru
Others
Europe
Austria
Belgium
Bulgaria
Czech Republic
Denmark
Finland
France
Germany
Hungary
Ireland
Italy
Netherlands
Poland
Portugal
Romania
Russia
Slovakia
Slovenia
Spain
Sweden
UK
Middle East and Africa
Saudi Arabia
Israel
UAE
Turkey
Morocco
Ethiopia
Algeria
Egypt
Others
Asia Pacific
China
India
Japan
South Korea
Australia
Philippines
Indonesia
Vietnam
Malaysia
Thailand