Brown Sugar Market Size, and Growth Rate Analysis:
Brown Sugar Market was estimated at USD 18.30 billion in 2016 and is expected to reach an over of USD 26.5 billion by the end of the assessment period. The Brown Sugar Market is supposed to experience moderate growth to record a CAGR of about 8% over the forecast period 2021-2026.
Brown sugar is a sweet sugar that has a distinctive color due to the presence of molasses Natural brown sugar can be considered as unpolished or partly refined soft sugar that includes sugar crystals with leftover molasses, whereas, the commercial brown sugar is developed by adding this molasses to the polished white sugar. The brown sugar industry expands with the increasing demand from various sectors of the food and beverage industry. It is therefore expected to show steady growth in the coming years. Brown sugar is generally produced by adding sugar cane molasses to white sugar crystals, which is sufficiently refined to control the ratio of sugar crystals to molasses carefully and to reduce manufacturing costs. Brown sugar prepared in this way is often rougher than its unrefined counterpart, and its molasses can be easily removed from the crystals by a simple wash to obtain white sugar crystals.
On the other hand, with unrefined brown sugar, washing will reveal underlying crystals that are whitish in color due to the presence of molasses. The white sugar used may come from the cane or beet, as the nutritional value, chemical composition, color and taste of fully refined white sugar are the same for practical purposes. The recent developments in the food and beverage industry have acted as a propellant for the rapid expansion of the global brown sugar market, which is anticipated to witness exponential growth in the future. Brown sugar is also known as sweet sugar due to the natural hygroscopic property conferred by the presence of molasses.
Brown Sugar Market Drivers and Restraints:
One of the main drivers of the global brown sugar market has been the growth of the urban food and beverage industry in recent years. Demand for soft drinks, in particular, has received a boost due to growing demand in urban areas, where sugary drinks are becoming increasingly popular, and is expected to continue to be a vital driver of the brown sugar market for years to come. The increasing demand for energy drinks and fruit-based or fruit-flavored drinks is likely to remain a critical driver of the brown sugar market. Due to the molasses content of brown sugar, its brown color makes it unpopular for regular usage in households as table sugar. The expanding bakery sector is considered as the principal consumer for brown sugar, supporting the industry growth further in the succeeding years. Bakery products are finding huge demand globally because of the economic dynamics of the food and beverage sector, following the rise in disposable incomes of urban consumers, resulting in increased demand for luxury items such as baked goods.
The hygroscopic nature and molasses content of brown sugar also make it desirable compared to conventional sugar in the bakery industry, as unrefined molasses mixes better with baking ingredients, which is likely to stimulate market demand of brown sugar for years to come. Growing demand for bakery products in urban areas is expected to be one of the main drivers of the global brown sugar market due to increased demand for western bakery products in developing economies. The rise of the native bakery industry in developing markets, such as Asia-Pacific and Latin America, is presumed to emerge as a significant factor, spurring growth in this market in the coming years, thanks to the increasing popularity of bakery products in the urban areas of these regions. Domestic bakery manufacturing is also anticipated to increase significantly in emerging economies due to growing consumer interest, leading to a sharp increase in demand for brown sugar during the outlook period.
Regional Insights:
Among all regions, the Asia-Pacific brown sugar market dominated global business followed by North America and is supposed to continue to dominate during the forecast period. Brown sugar is produced mainly by countries with a tropical climate, such as China, Thailand, Vietnam, India, Korea, and Indonesia. Indonesia is among the countries that produce brown sugar and has high power as an exporter of this sugar.
Brown sugar is extensively used as a sweetener, flavor and color enhancer in Indonesia. It is one of the alternatives to satisfy the sugar needs in Indonesia. This sugar is also manufactured extensively in developing nations like Mexico, India, etc., where the popularity of the product is multiplying. Europe includes nations like the United Kingdom, France, Italy, Germany, and Spain. Europe's brown sugar market is the third-largest region in terms of revenue. Factors such as increased intake of sweetened drinks and growing production of sugar are foreseen to propel the market growth in the area.
Recent Developments in the Brown Sugar Industry:
Brown Sugar Market Segmentation:
Based on Type:
Based on Application:
Based on Distribution Channel:
Impact of COVID-19 on Brown Sugar Market:
Uncertainty about employment increases, with the likelihood that a point of sale was employed at the closing store. Outlets that will continue to exist will do so with significantly less seating capacity and reduced overall demand due to public perception and reduced unjustified departures, further impacting the number of employees needed. The return of migrant labor to their country of origin will also affect the availability of skilled labor and there may be a shortage of people who are well adjusted to the limited jobs available. It will be a two-sided problem for both operators and F&B employees. As per the industry experts, this phase is survival of the fittest. So while many operations will deteriorate, some will merge with larger companies. Today, as the entire nation grapples with the problem of a global recession, all sectors are in an unprecedented situation where they are forced to make difficult decisions that could have colossal tax effects on their businesses. By being forced to endure this challenge, the F&B sector does so for the benefit of the entire community, although it will take some time to recover from losses incurred during the closing phase. While the strong performance in the last quarter will be austere, expectations for a strong rebound in the days after the close are not predictable and will be a daunting task. The road to profitability will not be easy and companies will need to adopt innovative and more efficient methods of doing business and creating new sources of income to maintain their presence in the market.
Regional Analysis:
The global Brown Sugar Market has been categorized based on geography in four regions, namely North America, Asia Pacific, Europe, Latin America, and Middle East and Africa. Europe dominated the worldwide brown sugar market in 2016. According to the Environmental Protection Agency, EU sugar production is expected to increase to 21 million tonnes in 2018 from 16.9 million tonnes in 2016. According to the United States Department of Agriculture (USDA), Canadian exports of processed food and beverage products were approximately $ 25.5 million in 2016, an increase of 6.7% from 2015. According to the Food and Agriculture Organization of the United Nations (FAO), sugar production in China is expected to increase by 25% until 2020 to 13.7 metric tons. This increase is mainly concentrated in the yields of sugar beet and sugar cane. In many economies, such as China, India, Australia, and others, brown sugar has become part of people's diets, which in turn leads to the easy incorporation of brown sugar into the local food and beverage industry. According to the Food and Agriculture Organization of the United Nations (FAO), Thailand has been one of the main sugar exporters with 7 to 8 million tons of sugar exported each year, thus contributing to the growth of this market in the region.
Leading Company:
AkzoNobel NV had the largest share of the Brown Sugar Market in terms of sales and revenue in 2017
Top Leading Companies Covered in this market report are:
1. Introduction
1.1 Market Definition
1.2 Study Deliverables
1.3 Base Currency, Base Year and Forecast Periods
1.4 General Study Assumptions
2. Research Methodology
2.1 Introduction
2.2 Research Phases
2.2.1 Secondary Research
2.2.2 Primary Research
2.2.3 Econometric Modelling
2.2.4 Expert Validation
2.3 Analysis Design
2.4 Study Timeline
3. Overview
3.1 Executive Summary
3.2 Key Inferences
3.3 Epidemology
4. Drivers, Restraints, Opportunities, and Challenges Analysis (DROC)
4.1 Market Drivers
4.2 Market Restraints
4.3 Key Challenges
4.4 Current Opportunities in the Market
5. Market Segmentation
5.1 Type
5.1.1 Light Brown Sugar
5.1.2 Dark Brown Sugar
5.1.3 Y-o-Y Growth Analysis, By Type
5.1.4 Market Attractiveness Analysis, By Type
5.1.5 Market Share Analysis, By Type
5.2 Application
5.2.1 Bakery
5.2.2 Confectionary
5.2.3 Ice-Creams
5.2.4 Beverages
5.2.5 Y-o-Y Growth Analysis, By Application
5.2.6 Market Attractiveness Analysis, By Application
5.2.7 Market Share Analysis, By Application
5.3 Distribution Channels
5.3.1 Hypermarkets and Supermarkets
5.3.2 Convenience Stores
5.3.3 Retailers
5.3.4 Speciality Stores
5.3.5 Y-o-Y Growth Analysis, By Distribution Channels
5.3.6 Market Attractiveness Analysis, By Distribution Channels
5.3.7 Market Share Analysis, By Distribution Channels
6. Geographical Analysis
6.1 Introduction
6.1.1 Regional Trends
6.1.2 Impact Analysis
6.1.3 Y-o-Y Growth Analysis
6.1.3.1 By Type
6.1.3.2 By Application
6.1.3.3 By Distribution Channels
6.1.4 Market Attractiveness Analysis
6.1.4.1 By Type
6.1.4.2 By Application
6.1.4.3 By Distribution Channels
6.1.5 Market Share Analysis
6.1.5.1 By Type
6.1.5.2 By Application
6.1.5.3 By Distribution Channels
6.2 North America
6.1.1 Introduction
6.1.2 United States
6.1.3 Canada
6.3 Europe
6.2.1 Introduction
6.2.2 U.K
6.2.3 Spain
6.2.4 Germany
6.2.5 Italy
6.2.6 France
6.4 Asia-Pacific
6.3.1 Introduction
6.3.2 China
6.3.3 India
6.3.4 Japan
6.3.5 Australia
6.3.6 South Korea
6.5 Latin America
6.4.1 Introduction
6.4.2 Brazil
6.4.3 Argentina
6.4.4 Mexico
6.4.5 Rest of Latin America
6.6 Middle East & Africa
6.5.1 Introduction
6.5.2 Middle-East
6.5.3 Africa
7. Strategic Analysis
7.1 PESTLE analysis
7.1.1 Political
7.1.2 Economic
7.1.3 Social
7.1.4 Technological
7.1.5 Legal
7.1.6 Environmental
7.2 Porter’s Five analysis
7.2.1 Bargaining Power of Suppliers
7.2.2 Bargaining Power of Consumers
7.2.3 Threat of New Entrants
7.2.4 Threat of Substitute Products and Services
7.2.5 Competitive Rivalry within the Industry
8. Market Leaders' Analysis
8.1 AkzoNobel NV
8.1.1 Overview
8.1.2 Product Analysis
8.1.3 Financial analysis
8.1.4 Recent Developments
8.1.5 SWOT analysis
8.1.6 Analyst View
8.2 Masco Corporation
8.3 Hempel A/S
8.4 Axalta Coating Systems Ltd.
8.5 Jotun A/S
8.6 The Valspar Corporation
8.7 Nippon Paint Holding Co. Ltd.
8.8 BASF SE
8.9 PPG Industries Inc.
9. Competitive Landscape
9.1 Market share analysis
9.2 Merger and Acquisition Analysis
9.3 Agreements, collaborations and Joint Ventures
9.4 New Product Launches
10. Market Outlook and Investment Opportunities
Appendix
a) List of Tables
b) List of Figures
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