Sugar Market

Sugar Market Size and Share:

The global sugar market size was valued at 194.9 Million Tons in 2024. Looking forward, IMARC Group estimates the market to reach 223.1 Million Tons by 2033, exhibiting a CAGR of 1.36% during 2025-2033. Brazil currently dominates the market, holding a significant market share of 25.0% in 2024. The growing consumption of various processed food products among individuals, rising adoption in the pharmaceutical industry, and wide availability through various distribution channels represents some of the major factors bolstering the growth of the market in Brazil.

A key factor that is catalyzing the market for sugar is the growing consumption of processed foods and drinks. Soft drinks, confectionery, bakery, snacks and many other items contain sugars as an ingredient. A rise in population especially in urban areas and shift of diets from traditional meals to junk foods and convenience food has led to higher demand for sugar since most these foods rely on sugar for flavor and preservation. Another factor considered is the increase in the food service market particularly in the developing countries to which demand on sugar is still escalating. The case of sugar is that the demand is highly responsive to other consumption patterns that incline toward sweet and luxurious food and drinks products.

The United States has emerged as a key regional market for sugar. Due to expansion in confectionery and bakery sectors, sugar market in United States is experiencing significant growth. These industries have been growing because of higher disposable income, higher spending and inclination toward quality and gourmet foods and beverages, and beverages. Sugar is an essential ingredient in cakes, pastries, chocolates, candies, etc., its consumption depends on the growth in cake, pastries, chocolates, and candies markets. Foods containing sugar also incorporate more sugar during festivities, events, and other festivities and celebrations. Many novelties at the moment within the industry such as low calorie and exotically flavored products also help to preserve the demand for sugar in US.

Sugar Market Trends:

Increasing consumption of beverages

One of the major uses of sugar is to enhance the taste and color of beverages that require incorporation of this substance. It also contributes to increasing the flavour, and texture as well as improving shelf-life, moderating acidity and lending viscosity or thickness across different types of beverages. In addition to this, increasing number of requests for numerous types of drinks including mojitos, cocktails, mocktails, energy drinks, sports drinks, and shakes, among different people across the world is also fostering the sugar market. A survey among the consumers and cocktails in 2022 reported that 45% of Indians have a desire to consume cocktails with high spirits and flavors. Further, the rising daily consumption of sugar in tea and coffee in households is a factor that increases the market growth significantly.

Rising sales of personal care products

The rising consumer preference for natural ingredients in personal care products that do not harm the skin or cause allergies is strengthening the growth of the market. The global beauty and personal care products market size reached USD 529.5 Billion in 2024. As a result, there is a rise in the demand for sugar in scrubs as it assists in providing smooth and moisturized skin while reducing the signs of aging. It also aids in removing layers of dead cells on the skin and adding silky texture to hair by preventing limpness. This, coupled with the increasing utilization of sugar to lighten and brighten the skin tone, is propelling the market growth.

Wide availability through different distribution channels

At present, the wide availability of sugar across various distribution channels is strengthening the growth of the market. Moreover, sugar is economical, and its easy availability provides convenience and comfort to individuals across the globe. According to the NIH, the population in United States consumes around 300% of daily recommended intake of sugar. In line with this, it is an essential product that is utilized daily and available in different colors, forms, and textures to attract a wide consumer base. Apart from this, the rising sales of sugar through online platforms around the world is propelling the growth of the market.

Sugar Industry Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the global sugar market, along with forecast at the global, regional, and country levels from 2025-2033. The market has been categorized based on product type, form, end-use sector, and source.

Analysis by Product Type:

• White Sugar
• Brown Sugar
• Liquid Sugar
   

White sugar dominates the sugar market with 67.5% due to its widespread use across industries and consumer households. Its refined nature and neutral taste make it highly versatile, suitable for diverse applications such as baking, confectionery, beverages, and processed foods. White sugar's ability to dissolve quickly and blend seamlessly enhances its appeal for both industrial and home cooking purposes.

Brown sugar is a rich source of minerals, such as iron and calcium, and has a different color and flavor as compared to white sugar. It assists in reducing fatigue and maintaining healthy red blood cells (RBCs) in the body. Besides this, the rising adoption of brown sugar among health-conscious individuals, as it aids in strengthening bones and teeth, is impelling the growth of the market.

Liquid sugar is generally used to enhance the taste and color of various food items, particularly bakery products. In addition, it assists in preventing food from drying out and extending the shelf life of different products.

Analysis by Form:

• Granulated Sugar
• Powdered Sugar
• Syrup Sugar
   

Granulated sugar leads the market with around 79.0% of market share in 2024. Granulated sugar is white in color, undergoes processing and is widely available in the form of grains. It easily dissolves, melts, and blends in a variety of other ingredients. Moreover, it is extracted from sugar beets or sugarcane and utilized to prepare desserts.

Powdered sugar easily dissolves at room temperature and provides a smooth texture to the product. In addition, it is used in cakes, cookies, and muffins as an alternative to regular granulated sugar.

Syrup sugar is less processed, has a lower glycemic index and a longer shelf life as compared to granulated sugar. Moreover, the rising preference for syrup sugar in beverages and baked goods due to its easy dissolving property is offering a favorable sugar market outlook.  

Analysis by End-Use Sector:

• Food and Beverages
• Pharma and Personal Care
• Household
   

Food and beverages leads the market with around 45.5% of market share in 2024. Sugar is extensively used in the F&B sector due to the increasing demand for beverages among individuals across the globe. In line with this, it finds application in the production of bakery products, such as cakes, cookies, ice creams, and chocolate bars, which is contributing to the growth of the market.

It is also utilized in pharma as an excipient to add bulk and consistency to tablets, and assist with appearance and ease of transport and storage. Besides this, it is used in personal care products on account of its exfoliating capabilities.

Sugar is also used to prepare daily beverage items, such as tea, coffee, juice, and milkshakes in households. In addition, the growing demand for sugar, as it assists in enhancing the flavor of a product by providing a sweet taste, is creating a positive market outlook.

Analysis by Source:

• Sugarcane
• Sugar Beet
   

Sugarcane leads the market with around 77.8% of market share in 2024. Sugarcane is the primary crop that is utilized in the production of sugar and mainly cultivated in tropical and sub-tropical regions. Sugarcane juice is extracted, purified, filtered, and crystalized into raw sugar. Technological advancements in the production of sugarcane crops to enhance their quality and yield is impelling the growth of the market. There is a rise in the utilization of sugarcane due to the increasing demand for sugar among individuals around the world.

Sugar beet is rapidly gaining popularity as it consumes less water compared to sugarcane, which is impelling the growth of the market. In addition, key manufacturers are encouraging the adoption of sugar beet by constructing factories or manufacturing plants, which is propelling the growth of the market.

Regional Analysis:

• Brazil
• India
• United States
• European Union
• China
• Thailand
• Others
   

In 2024, Brazil accounted for the largest market share of over 25.0%. Brazil held the biggest share in the market as it is the leading producer of sugar due to the favorable climatic conditions. Moreover, governing agencies of the country are implementing stringent rules and regulations and providing subsidies to encourage local output, which is supporting the growth of the market. In addition, the growing demand for beverages and confectioneries among individuals in the country is offering a favorable market outlook.

Apart from this, other countries, such as India and the United States are also witnessing increasing demand for sugar on account of the rising adoption of processed food products among the masses.

Key Regional Takeaways:

United States Sugar Market Analysis

In 2024, the United States accounts for over 73.70% of the sugar market in North America. The sugar market in the United States is driven by the growing demand for sugar in the food and beverage industry, with significant consumption in soft drinks, snacks, and processed foods. However, there is a noticeable shift towards health-conscious behaviors. As per CDCP, more than 63% of adults aged 18 or older stated drinking sugar-sweetened beverages once or more daily. Also, according to the Agriculture and Agrifood, Canada, baked goods sales in the United States increased at a CAGR of 5.9%. Thus, the rising baked goods is also driving the market growth. The rising production of biofuels, particularly ethanol from sugarcane and corn, further supports the market’s growth, especially due to government incentives. Trade policies, such as tariffs on sugar imports, also impact domestic producers and consumer prices. Despite the health trend, sugar remains a dominant ingredient, and evolving consumer preferences are expected to shape future market dynamics.

Asia Pacific Sugar Market Analysis

The sugar market in the Asia-Pacific (APAC) region is primarily driven by the expanding food and beverage industry, particularly in rapidly urbanizing countries like China and India. With India’s urban population projected to reach 675 Million by 2035, becoming the second-largest urban population globally after China, the demand for sugar is expected to surge. This growth, accelerated by changing lifestyles post-COVID-19, is particularly evident in the rising consumption of processed foods and beverages, which require substantial sugar inputs. While the pandemic temporarily slowed urbanization, global urban population growth, projected to add 2.2 Billion people by 2050, is expected to reignite demand for sugar-based products. In addition, strong local sugar production in countries like India, Thailand, and China, combined with government support for sugarcane farming, continues to drive market expansion.

Europe Sugar Market Analysis

In Europe, the sugar market remains robust, primarily driven by the high consumption of sugar in the food and beverage industry, particularly within confectionery, baked goods, and beverages. Germany is the second-largest consumer of sugar globally, with the average German consuming 102.9 Grams of sugar daily, according to the Washington Post. This high level of consumption highlights the region's strong reliance on sugar, especially in processed foods and drinks. The sugar beet industry is also a critical contributor to Europe's sugar market, with countries like France, Germany, and the UK playing a significant role in its production. The EU's common agricultural policy, which provides subsidies to local sugar producers, helps ensure a stable and consistent supply of sugar within the region. Additionally, the increasing production of biofuels, driven by renewable energy targets, has further bolstered the demand for sugar beets and sugarcane for ethanol production, thus supporting overall market growth. The combination of high domestic consumption, strong industry infrastructure, and government support helps maintain a thriving sugar market in Europe.

Latin America Sugar Market Analysis

In Latin America, the sugar market is primarily driven by large-scale sugarcane production, with Brazil leading as one of the world’s largest producers. Brazil’s sugarcane fields performed exceptionally well in the marketing year from April 2023 to March 2024, producing a record 705 Million Metric Tons (MMT). This remarkable production supports both the domestic demand for sugar and the export market. The shift towards more modern and urban lifestyles increases the consumption of confectionery, baked goods, and beverages, driving continued growth in the region's sugar market. Additionally, the growing popularity of biofuels, particularly ethanol derived from sugarcane, continues to be a significant driver in countries like Brazil and Argentina.

Middle East and Africa Sugar Market Analysis

In the Middle East, the sugar market is influenced by the increasing demand for sugar in food and beverages, particularly in countries with rapidly growing urban populations like Saudi Arabia and the UAE. The Gulf Cooperation Council (GCC) region is one of the most highly urbanized areas globally, with 85% of the population currently living in cities, a figure expected to rise to 90% by 2050. This urbanization, along with rising disposable incomes, is driving the consumption of processed and sugary foods.

Competitive Landscape:

Major sugar producers are expanding their product offerings beyond traditional white sugar to include brown sugar, organic sugar, liquid sugar, and specialty sugars like icing sugar. These products cater to niche markets such as health-conscious consumers and the food and beverage industry, allowing companies to tap into new revenue streams. Besides, with growing environmental concerns, key players are adopting sustainable practices, including eco-friendly farming techniques, reducing water usage, and promoting renewable energy in sugar production. This not only aligns with consumer preferences for ethical products but also helps companies comply with tightening environmental regulations. Moreover, Companies are strengthening their global presence by entering emerging markets in Asia, Africa, and South America, where sugar consumption is rising. This includes establishing new production facilities, partnerships with local distributors, and targeting fast-growing segments like packaged foods and beverages.

The report provides a comprehensive analysis of the competitive landscape in the sugar market with detailed profiles of all major companies, including:

• Suedzucker AG
• Tereos
• Cosan
• Mitr Phol Sugar Corporation., Ltd.
• Associated British Foods
• Nordzucker AG
• Biosev (Louis-Dreyfus)
• Wilmar International Limited
• Thai Roong Ruang Group
   

Latest News and Developments:

• June 2024: The Gujarat Cooperative Milk Marketing Federation (GCMMF) has expanded its organic product range by introducing sugar, jaggery, and tea. Currently offering 24 organic products, including wheat flour, rice, and pulses, the federation aims to further diversify its offerings. The managing director confirmed the upcoming launch. The brand, known for its dairy products, entered the organic food market in 2022 with the launch of organic whole wheat atta.
• March 2024: Food tech company Incredo, Inc. has launched Incredo Sugar G2, a concentrated version of its award-winning sugar reduction solution, Incredo Sugar. This clean-label, patent-pending sugar-carrier complex is designed for use in baked goods, chocolates, spreads, and gummies. Incredo Sugar G2 is now available to food manufacturers and CPGs in North America and Europe.
   

Sugar Market Report Scope:

Key Benefits for Stakeholders:

• IMARC’s report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the sugar market from 2019-2033.
• The sugar market research report provides the latest information on the market drivers, challenges, and opportunities in the global market.
• The study maps the leading, as well as the fastest-growing, regional markets. It further enables stakeholders to identify the key country-level markets within each region.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the sugar industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.