The Global Stevia Market To Grow At a CAGR Of Approximately 7% For The Forecast Period
Stevia is a herb whose leaves are used as a sugar substitute and is considered as a natural low-calorie sweetener. Dulcoside, rebaudioside, diterpene glycosides, stevioside, and steviolbioside are some of the elements which are responsible for its sweet taste.
It is a natural sweetening agent and has enormous health benefits, including low-calorie content, low carbohydrates, cardiac stimulant properties, and is 200-300 times sweeter than sugar. Stevia is highly used in additives & preservatives, sweetening agents, confectionery items, and convenience food and medicines among others.
Stevia Market is projected to grow at a CAGR of 7% over the forecast period and its expected revenue from Stevia ingredients and products will range from USD 8 billion to USD 11 billion in 2018. Stevia will replace 30-40% of all dietary sweeteners in the coming years, according to a report by WHO.
Taking into consideration, the revenues of this market was high in dairy food products and bakery segment and is expected to exhibit the highest growth in terms of revenue during the forecast period. Additionally, beverages and dietary supplements is also witnessing a significant growth and is a key sector for the companies to enhance their product offerings in the domain.
Increasing Use Of Stevia Market In The Food and Beverages Industry To Boost The Market Demand
Considering the various growth factors, the demand for beverages involving Stevia will be high over the forecast period. More than 45% of the U.S. households use stevia products. Furthermore, Cargill Inc is subjected to invest USD 5.3 million in stevia fermentation techniques in partnership with Evolva Holding, which will foster the global market demand.
Increasing health concerns among the diabetic patients will be another major factor for the growing demand for the product. Beverages companies are moving towards stevia to reduce the number of artificial sweeteners like Splenda to attract the consumers and produce more healthy drinks.
High Demand From Emerging Economies
North America and the Asia Pacific together accounted for more than 65% of the market share of stevia ingredients and its products in 2013. However, the Asia Pacific is the dominant region for cultivation and production of stevia plants and is leading the stevia/stevia rebaudiana market. China, India, and others in the APAC region are the leading producers of this herb. Additionally, China is the largest producer of this herb, contributing to 80% of the global production share.
America and Europe accounted for the second and third largest regions leading the Stevia market. Rising health concerns and growing demand for healthy foods will be the major factors responsible for increasing the demand for the product in these regions.
Nevertheless, Europe is projected to witness a high growth rate in the coming years, owing to the increasing number of health-conscious consumers in the region.
Rising Innovations To Fuel The Future Opportunities
The future of this Stevia market depends on the research and development initiatives for new variants of stevia, new applications of stevia for zero-calorie products, and to bring innovations to enhance the flavor of products, which are likely to accelerate the growth of the stevia market in future. Increasing demand for stevia in the pharmaceutical sector is also projected to foster the demand.
With emerging technology and increasing awareness through social platforms such as online marketing and strengthening supply chain, particularly in countries such as India, Brazil, and Russia, will further present potential growth opportunities for the global market.