Rice Syrup Market: Overview
The market size for rice syrup was USD 1.4 billion in 2021, and it is projected to grow at a CAGR of 3.5 percent during the forecast period. The growing focus of health-conscious consumers on finding alternatives for artificial sweeteners in bakery products, desserts, dairy products, etc., is enhancing the demand for rice syrups. Organic rice syrup is considered a low-calorie sweetener and is widely utilized as an alternative to high fructose corn syrup. Growing applications of rice syrup in confectionaries, bakeries, beverages, dairy products, etc., driving the market growth. Product manufacturers are taking efforts to rise the production of organic food products. There is a growing demand for such products after the COVID-19 pandemic. Small and medium-scale product manufacturing companies are taking advantage of the increasing trend of consuming packaged food items and marking their presence in the global market.
Rapid urbanization, changing food habits, the growing popularity of packaged food items, and awareness of consuming clean-label products are some of the factors enhancing the demand for rice syrups in developing economies. The growing trend of convenience food owing to a hectic lifestyle is a major factor contributing to the growth of the rice syrup market. Rice syrup is increasingly being utilized to provide texture to food items, including bakery and confectionery. Extended shelf-life is also a key factor attracting several food manufacturers to utilize rice syrups in packaged food items. Market players are focusing on product development and utilizing innovative strategies to stay ahead of the global rice syrup market competition.
During the COVID-19 pandemic, consumers were more worried about their food. The growing number of COVID-19 cases is anticipated to boost demand for natural and organic foods. Plant-based foods are in high demand among health-conscious consumers in developing countries. Due to growing global consumption, market stakeholders from several countries have been working tirelessly to grow the production of plant-based foods. Manufacturing companies in the food and beverage sector are utilizing a strategic approach to generate lucrative revenue opportunities. Various health practitioners around the globe utilize this low-calorie sweetener with high fructose content.
Rice Syrup Market: COVID-19 Impact
During the COVID-19 pandemic, various major rice exporting countries enacted policies to ensure adequate domestic supply. Some countries have also stopped awarding new contracts for rice exports in 2020. Mobility and logistics have been restricted by social distancing regulations, which have deceased rice availability in many countries' domestic markets and contributed to lower export volumes. As a result, the market for rice products and rice syrup has been critically impacted. Rice export prices enhanced sharply, as they had during previous price shocks, threatening the food security of countries that depend on rice imports. Although rice export restrictions were relieved and quarantine measures were relaxed, rice prices in some regions continued to be relatively high, resulting in a reduction in rice product consumption.
Rice Syrup Market: Drivers
Increasing Awareness of Using Rice Syrup as Natural Sweetener Drives Market Growth
The demand for plant-based sweeteners with natural components is a major factor in generating revenue opportunities for global rice syrup manufacturers. The growing utilization of rice syrup in the food processing industry is anticipated to witness value-grab opportunities for manufacturers. Rice syrups are broadly utilized as a natural sweetener in the food & beverage industry. This factor is likely to fuel market growth in the upcoming years. Furthermore, innovative product providing, particularly in the U.S., where rice syrup has been recently accepted as a natural sweetener, is attributed to fuel the market during the forecast period. Consumers are more conscious about the food they eat after the threatening spread of the COVID-19 virus. The growing awareness of utilizing rice syrup as a natural sweetener enhances the demand for products. Producers of the rice syrup market are growing their production capacity to fulfill the rising demand from consumers.
Rising Health Awareness in Consumers Augmenting Market Growth
Consumers are now more conscious of the food they eat after the COVID-19 pandemic. The increasing number of COVID-19 cases is anticipated to revive the growth of natural and organic food products. Plant-based food products are highly demanded by health-conscious consumers in emerging countries. Market stakeholders from various countries have been effortlessly working on growing the production of plant-based food owing to growing consumption all over the world. Strategic approaches by manufacturing companies in the food & beverage sector are generating lucrative revenue opportunities. This low-calorie sweetener with high-fructose content is adopted by various health practitioners around the globe. The growing adoption of products made from natural sweeteners, such as rice syrups, is due to the growing prevalence of diabetes, high blood pressure, and numerous heart complications in people. Food products that contain sugar substitutes, including rice syrups, are free from synthetic agents and harmful chemicals. This factor is responsible for the growing popularity of rice syrups in the food industry, enhancing the global rice syrup market during the forecast period.
Rice Syrup Market: Restraints
Negative Effect of Product to Hamper Market Growth
The factors such as the negative impact of the product could impede the growth of the rice syrup market during the forecast period. Furthermore, complying with stringent regulations and different standards around the globe, increasing competition, inflation estimated to remain above the upper band during the short term in key nations, and fluctuating raw material prices are some of the factors that restrain the rice syrup market over the forecast period.
Rice Syrup Market: Segment Overview
Rising Demand for Sugar Alternative is Flourishing Demand for Organic Rice Syrup
The organic rice syrup market is driven by the increasing demand for sugar substitute products during the forecast period. Consumers are being aware related to the health concerns over sugar consumption which led them to utilize alternative sugar products. Growing health diseases such as diabetes, high blood pressure, and several heart diseases have resulted in finding the alternatives like rice syrup. Moreover, another considerable factor in the growth of the organic rice syrup market is that it is produced from organic rice, which doesn't contain pesticides or fertilizers, chemicals, and other synthetic agents, which makes it a high-quality sweetener. Moreover, organic rice syrup doesn't include any fructose, which is related to various health consequences such as insulin resistance, fatty liver, and others. This makes organic rice syrup a healthy alternative to sugar which is providing potential growth to the organic rice syrup market during the forecast period. However, organic rice syrup is a derivate of brown rice that presents traces of arsenic which can cause serious harm to the human body, such as cancer.
With Increased Demand for Brown Rice Syrup in Infant, Infant Formulae Category Dominated Market
Breast milk is the most important for infants as it assists in providing the necessary immunoglobulins to create their immune systems. World Health Organization (WHO) suggested complete breastfeeding for the first six months and continued breastfeeding for as long as possible. In recent years, rice syrup has been growingly being utilized in infant nutrition as a healthy alternative to breast milk for better digestion. Brown rice syrup can also assist in treating diarrhea in infants by promoting better digestion and supplementing adequate nutrition. As such, rice syrup is anticipated to have broader opportunities in infant formulae during the forecast period.
Rice Syrup Market: Regional Landscape
Europe Dominates Market due to Growing Popularity of Organic Food in this Region
Europe is attributed to dominate the rice syrup market during the forecast period. The increasing popularity of organic, natural, and healthy ingredients in food is anticipated to be a potential driver for the growth of the rice syrup market in the region during the forecast period. Furthermore, various stringent regulations by the European Union (EU) over the distribution of rice syrup are guzzling a sense of confidence among health-conscious consumers, thereby boosting the sales of rice syrup in Europe. The demand for rice syrup in households further enhances the rice syrup market. Consumers in the region are inclined toward different glucose as a part of their breakfast ingredients, thus fueling the demand for the rice syrup market. The increasing bakery industry in the region is also enhancing the demand for rice syrups as an ingredient during the forecast period.
The Asia Pacific is anticipated to be the fastest-growing region during the forecast period owing to the growing awareness of functional foods and dietary supplements in this region is predicted to drive the market. Growing awareness related to the different health benefits of several rice products has assisted in growing consumption of these products owing to which there is an increase in the rice syrup market in the Asia Pacific during the forecast period.
Global Rice Syrup Market: Competitive Landscape
In July 2018, Ciranda Inc., a global organic, non-GMO, and fair trade ingredient supplier, cooperated with a Pakistan-based rice exporter, Matco Foods Ltd., to produce two assortments of sweeteners, viz., organic clarified rice syrup and organic rice syrup. Both these products are produced from brown rice. The syrups are verified organic, kosher and Non-GMO Project verified. Furthermore, In July 2018, Wuhu Deli Foods Co., Ltd. participated in the international food expo - IFT18 (Institute of Food Technologists), which conducted over 20,000 food professionals and other market participants such as distributors and providers together to promote mutual business collaborations.
Few of the players in the Rice Syrup Market include Suzanne’s Specialties (U.S), Nature’s One, Inc. (U.S), Wuhu Deli Foods Co. Ltd. (China), Axiom Foods (U.S), California Natural products (U.S), Associated British Foods Plc (UK), Cargill, Incorporated (U.S), ADM (U.S), Wuhu Haoyikuai Food Co. Ltd. (China), GulshanPolyols Ltd. (India), Habib Rice Products Ltd. (Pakistan), Nature Bio-Foods Ltd. (Netherlands)
Global Rice Syrup Market is Segmented as Below:
By End Use
Key Elements Included In The Study: Global Rice Syrup Market
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