Market trends and insights into selected raw materials from our sweetener portfolio
Stevia – natural sweetener
Stevia is a natural sweetener of plant origin with zero calories. It offers a variety of possible uses in the food and beverage industry, including:
- Drinks,
- Ice cream,
- Table sweetener,
- Desserts,
- Dairy products,
- Fruit preserves,
- and pickled foods, for example.
There are various types of stevia with different taste profiles and differing sweetening strength. It is not a so-called “one-size-fits-all” product, and this can make it really difficult to find the right type of stevia for each application.
We are happy to advise you on selecting the right type of stevia at any time. In addition, our partners are also on hand with their technical expertise.
Regarding raw material prices for stevia from China, prices are expected to remain stable based on the costs of the new raw material/the new crop. Other factors such as sea freight costs and lead times need to be observed closely over the coming weeks/months and cannot be predicted at this point in time.
Acesulfam-K – synthetic sweetener
The prices for Acesulfam-K originating in China are falling. In late 2021 and early 2022, the raw material costs were higher and the domestic logistics costs in China rose sharply. This was due primarily to the Covid-19 pandemic.
Since it is now summertime in European countries, demand for Acesulfam-K is currently weak. Thanks to the new Chinese production capacity for Acesulfam-K, it is assumed that the new production/design capacity will be around 15,000 tons per year. In the initial phase, the production capacity is not likely to be fully released, but trial production of the new source is currently underway.
It is expected that these developments will impact strongly on the price and the market situation of Acesulfam-K in future and will lead to falling prices.
Sucralose – artificial sweetener
At the end of last year, the price for sucralose reached a record high. The impact of the dual control policy in China led to a rise in prices for most raw materials, including DMF, which was almost three times as high. Supply in the market was very tight and deliveries were significantly delayed. This high price level continued into the first few months of 2022.
The market price has been falling again for a few weeks, with one reason being the appreciation of the US dollar against the RMB. Another factor is that there is currently a greater supply in the market.
In July 2022 there is to be a one-month maintenance phase in which the most important producers in China will suspend or severely curtail their production.
It is expected that the supply could be curtailed again over the next two months.
Whether or not there will be a further downward trend in prices after the maintenance period depends on many uncontrollable factors that cannot be predicted at this point in time.
If you have any questions on the products or would like to receive a quote, please feel free to get in touch with me:
Stefan Koch
Head of BU Life Science
Phone: +49 40 300 501 8141
E-Mail: s.koch[at]tergroup.com