G0417 Liquid Sugars and Blends

Have a look at our Introduction and Brochure for a description of our consultancy work.

The objective of this study was to assist the client in determining if there were a potential for business development in liquid sweetener blends including liquid sweeteners in general and liquid sugars. Although a number of specialised liquid sweetener products had been introduced, they sold relatively little. The client wondered whether this was due to lack of effort on the marketing of these products, and whether increased efforts will or can result in improved sales and stronger relationships with customers.

Method

This study obtained information on the EU and US markets and trends for liquid sugar and blends from a wide variety of sources. These included interviews with knowledgeable individuals in a number of producing companies and in companies that were actual or potential customers for such products.

Specifically, the study collected data on the liquid sugar and sweetener markets in Europe and the United States. In all cases information was sought on the products made and sold, the producers and customers, indications of market volumes and price premiums for liquid or blended products, and on local trends and drivers.

Discussions with actual or potential customers focused on the use of liquid sugars and blends. The study sought to determine whether there were actual or potential uses for liquids and blends, whether additional value could be created for liquid products and whether liquids had value compared to dry products.

Large quantities of data were obtained and these are presented in full. The data has been analysed to provide an overview of the markets and trends for liquid sugar and for sweetener blends in Europe and the US.

Click here for a PDF of the contents of the study or look below for an outline.

Contents Include

Objective and Background

Method

Principal Findings

  • Markets
  • Sugar Companies and Products
  • Customer Views
  • Customer Trends

Conclusions

  • Markets
  • Sugar Companies and Products
  • Customer Trends

Recommendations

Liquid Sugar Markets, Drivers and Barriers

  • Overview
  • Market Drivers – Liquid Sugars and Blends
    • Possible Benefits for Customers
    • Possible Benefits for Sugar Companies
  • Barriers to Use – Liquid Sugars and Blends
    • Disincentives for Customers
    • Disincentives for Sugar Companies
  • Success Factors
    • Liquid Sugars
    • Blends
  • Liquids – Volumes and Values
  • Liquids – Market Drivers
  • Market Drivers – Customers’ Views
    • QC/QA and Safety Issues
    • Improved Quality and Colour
    • Avoiding Particle Size Changes
    • Operational, Logistical and Convenience Advantages
    • Use of Available Equipment
    • Flexibility
    • Cost Reduction
    • Occasional Operational Advantages
  • Barriers – Customers’ Views
    • Cost and Transportation
    • Cost of Capital Equipment
    • Equipment Maintenance
    • Shelf-Life
    • Reduced Flexibility
    • Availability of Equipment in Existing Plants
    • Reluctance to Be ‘Locked’ in to Suppliers
    • Willingness and Ability to Tailor Sweetener Blends
    • Previous Conclusions (1995) on Customer’ Views of Sugar Blends
  • Market Drivers – Suppliers’ Views
    • Customer Demand
    • Defence To Competition
    • Gain Customer Loyalty
    • Better Margins
    • Quota Change
  • Barriers – Suppliers’ Views
    • Historic Failure
    • Marketing, Sales and Customer/Technical Support
    • Poor Understanding of Customer Needs
    • Absence of Additional Profit
    • Transport
    • Responsibility for Quality and Microbiological Safety
    • Reluctance by Customers on Safely and Hygiene
    • Cannibalisation
    • Dependence on Other Suppliers
    • Quotas on Blend Ingredients
    • The Misconception that Standard Blends will be Useful

Liquid Markets – Success Factors

  • Liquids in General
    • Pro-Active Approach
    • Process Advantages
    • Geographical Location
    • Successful Marketing and Customer/Technical Support
    • Customers with Equipment To Use Liquids
    • Sufficient Volumes
    • Identification and Market Focus of Customers
    • Cultural ‘Openness’ To the Idea and A Suitable Business Structure
  • Sweetener Blends
    • Marketing Problem Solving
    • In-House Support
    • In-House Ingredient Capability
    • Independent Business Unit
    • Customer Understanding
    • Follow Customer Trends
    • Make Longer Term Investments

Market Trends for Liquid Sugars and Sweetener Blends

Sugar Products

  • Products
  • Overview of Liquid Sugar Producers & Products

Sugar Companies

  • Europe
    • 14 companies
  • United States
    • 7 companies
  • US Blenders
    • 3 companies
  • Other Producers of Liquid Sugar
    • 2 companies

Customers for Sugars and Liquid Sugars

  • Overview
  • Trends in the Food Industry & Effect on Sugar Use
    • Beverages
    • Bakery
    • Confectionary
    • Dairy / Ice Cream
    • Grocery / Canned Goods
  • Customer Contact Overview

Contact Reports – Sugar Companies

  • 21 companies

Others Including Blenders

    4 companies

Contact Reports from 44 Customers

  • 6 Bakery
  • 7 Beverages
  • 10 Confectionary
  • 9 Groceries / Canned Goods
  • 11 Icecream / Dairy
  • 1 Other

Appendix 1 – Overview of the Sugar Industry

  • World Sugar Market
  • European Sugar Market
  • Overview of Current Events in the Sugar Industry

Appendix 2 – Specifications

Tables

  • Table 1 Sugar Producers in Europe and Their Liquid Sugar Production
  • Table 2 Key Figures from CSM
  • Table 3 Key Figures for Eridania Beghin Say (1999-2001)
  • Table 4 Products, Brands and Markets of Eridania Beghin Say
  • Table 5 Pfeifer & Langen’s Product List
  • Table 6 Key Figures for the Sugar/Sweeteners Segment
  • Table 7 Tate & Lyle’s Sugar Products
  • Table 8 Sugar Producers in the US and Their Liquid Sugar Production
  • Table 9 Global Beverage Market per capita Consumption by Category 2000
  • Table 10 Top-10 Csd Companies (2001)
  • Table 11 Top-10 Csd Brands (2001)
  • Table 12 Global Functional Soft Drinks Market by Type (2000)
  • Table 13 Beverage Trends 1999-2000
  • Table 14 Top Ten UK Bakeries by Turnover 1999/2000 (£)
  • Table 15 UK Retail Sales of Cake and Cereal Bars by Sector (1995-1999)
  • Table 16 Market Share of Craft & Industrial Bakeries (% Turnover)
  • Table 17 Ranking of Countries by per capita Sugar Confectionary Consumption (Lb)
  • Table 18 Europe’s Top 10 Dairy Processors
  • Table 19 Refrigerated Cultured Dairy Foods — Sales 2000 v 1999
  • Table 20 Top Ten Ice Cream Brands (Supermarkets Only – US)
  • Table 21 Companies Surveyed and Application Sectors Covered in US and EU
  • Table 22 Types of Sugar (Dry or Liquid) and Blends Used by Companies and Divided by Geographical Region
  • Table 23 Types of Sugar (Dry or Liquid) and Blends Used by Companies and Divided by Application Sector
  • Table 24 White Sugar Production
  • Table 25 Number of Sugar and Refinery Companies
  • Table 26 Sugar Companies and Their Refineries
  • Table 27 Import – Export Statistics 1998/99
  • Table 28 Import – Export Statistics 1997/98
  • Table 29 Import – Export Statistics 1996/97
  • Table 30 Import – Export Statistics 1995/96

Figures

  • Figure 1 European Sugar Companies 
  • Figure 2 Companies Contacted and View on the Future of Liquid Sugars
  • Figure 3 Raw Material, Intermediates and End Product for Orafti’s Raftisweet.
  • Figure 4 Structure of the Main Parts of Suedzucker
  • Figure 5 Contacts and Their Impressions of Liquid Sugars
  • Figure 6 Breakdown of Sugar Production by Source
  • Figure 7 Top 5 Sugar Producing Countries (2000 – 2001)
  • Figure 8 Top 5 Sugar Exporting Countries (2000 – 2001)
  • Figure 9 Top Five Sugar Consuming Countries (2000 – 2001)
  • Figure 10 European Sugar Ratios by Company (2000 – 2001)
  • Figure 11 Average Spot Price of White London Sugar Number 5 (1970 – 2000)
  • Figure 12 World Sugar Consumption and Average Consumption of Last 20 Years
  • Figure 13 Current Sugar Companies by Production Quota
  • Figure 14 US High Intensity Sweetener Markets

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