The stevia Market size is valued at US$ 1 Bn in 2024 and is expected to reach US$ 1.79 Bn by 2031, growing at a compound annual growth rate (CAGR) of 10.1% from 2024 to 2031.
Stevia is also referred to as stevia rebaudiana. Stevia products are produced from rebaudioside A (Reb-A), a highly refined stevia leaf extract. Stevia also contains natural sweeteners and is widely used in the preparation of various food products.
Global Stevia Market Regional Insights:
Figure 1. Global Stevia Market Share (%), By Region, 2024
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Global stevia market is expected to grow steadily over the next decade due to increasing health consciousness amongst consumers. Stevia is a natural low-calorie sweetener and is increasingly becoming a popular sugar substitute. Rising prevalence of diabetes and obesity worldwide will drive further adoption of stevia as consumers look to cut back on added sugars. Asia Pacific dominated the global market share due to high stevia production and consumption in China and Japan. However, North America and Europe are expected to witness faster growth due to stringent regulations against high calorie sweeteners.
While stevia's naturally sweet taste provides a feasible alternative to sugar, risks of aftertaste at high consumption levels can limit its use in certain beverages and bakery products. Further research and new stevia varieties may help reduce bitterness and alter stevia's taste, so it can replace sugar more broadly. Cost competitiveness against cheaper sugar and artificial sweeteners also remains a challenge. However, potential health claims could boost stevia's premiumization. Stevia's acceptance into the Generally Recognized as Safe (GRAS) list in the U.S. paved the way for its massive growth potential in North America.
Overall, increasing disease awareness, shifting preferences towards natural ingredients and a favourable regulatory environment indicate bright outlook for stevia worldwide, barring any risks that are associated with overconsumption.
Global Stevia Market Drivers:
The growing demand for low-calorie food products: The demand for healthy and low-calorie food options has been steadily rising across the globe in 2021. With growing health-consciousness and focus on weight management, many consumers are increasingly opting for food products that are low in calories and sugars but still tasty. This shift in preferences is directly fueling the growth of the stevia market.
Stevia is a natural no-calorie sweetener extracted from the leaves of the stevia plant. It has no glycemic impact and is about 200-300 times sweeter than sugar. Food manufacturers are leveraging the properties of stevia by incorporating it into various products as a sugar substitute such as yogurt, fruit juices, baked foods, and other beverages. This allows them to offer reduced calorie or sugar-free options to health-oriented consumers. Stevia usage is helping minimize added sugars and calories in everyday snacks and meals.
In 2020, according to the National Health and Nutrition Examination Survey conducted by the Centers for Disease Control and Prevention in the U.S., the percentage of adults consuming 10% or more of calories from added sugars increased from 31% in 1999–2000 to 34% in 2015–2016. This highlights the growing issue of excessive sugar consumption. To combat this, in 2023, the World Health Organization (WHO) published guidelines recommending reduced intake of free sugars to less than 10% of total energy intake. Such policy moves and efforts to cut down sugar at population level, have raised awareness about low-calorie sweeteners like stevia among consumers as well as food companies. As a result, stevia extraction and production is accelerating globally to meet the exponential spike in demand.
In conclusion, the widespread trend towards wellness-led consuming and avoiding empty calories has generated huge market potential for all-natural and zero-calorie sweeteners like stevia. By offering tasty and convenient low-sugar or sugar-free alternatives, stevia is revolutionizing the food industry landscape and thus enabling healthier product formulations. This expanding role and uptake is expected to serve as a key driver propelling the stevia market to continued growth worldwide in the near future.
Increasing demand for plant-based sweeteners with natural ingredients: Global stevia market is experiencing significant growth driven by rising demand for plant-based sweeteners made with natural ingredients. Stevia is a highly beneficial sweetener that is derived from the leaves of the stevia plant, which is native to South America. Stevia is gaining widespread popularity among health-conscious consumers as it is several times sweeter than sugar but has zero calories. More importantly, it does not spike blood sugar levels like table sugar.
As people become increasingly health-conscious and seek out natural zero-calorie sugar alternatives, the demand for stevia is increasing substantially. According to the United Nations Food and Agriculture Organization (FAO), global obesity rates have nearly tripled since 1975. Obesity and related diseases like diabetes pose serious health risks. As a result, many consumers are actively looking to reduce sugar intake and switch to plant-based natural sweeteners. Stevia satisfies this demand well. The sweetener is also gaining traction among food and beverage manufacturers as a healthier sugar substitute. Products featuring stevia labels are appealing more to present-day consumers.
The trend towards clean label and plant-based products is expected to further propel the stevia market in the near future. The World Health Organization (WHO) recommends reducing free sugar intake to less than 10% of total daily calories. This is driving more product reformulation and new product launches by using natural low-calorie sweeteners like stevia. Growth is expected across multiple categories such as beverages, dairy, bakery, and confectionery. The global move towards sustainable agriculture will also benefit stevia as it is an environment-friendly plant-derived alternative to sugar. With increasing health awareness and natural product preferences, stevia is well-positioned to capture a larger share of the multi-billion-dollar global sweetener market.
Global Stevia Market Opportunities:
Expansion in untapped markets: Stevia is a natural sweetener that has gained significant popularity in 2021 due to increasing health consciousness among consumers globally. As the awareness about the health issues that are associated with artificial sweeteners continues to rise, more people are shifting towards natural alternatives like stevia.
While stevia is widely used in many developed markets, several developing and underpenetrated regions still offer sizable untapped potential for future growth. For example, Middle East & African countries have started adopting western food habits but the consumption of natural sweeteners is still in a nascent stage. These regions are home to over 1.5 Bn people who could embrace stevia as a healthier sugar substitute as their incomes rise. According to reports provided by the United Nations Population Division, the population in Middle East & Africa is expected to double by 2050 which will expand the potential consumer base significantly.
Similarly, many Asian Pacific countries like India, Indonesia, and Vietnam have a high diabetes burden according to the latest data provided by the International Diabetes Federation. However, stevia is yet to make major inroads and gain widespread acceptance in these emerging markets. Its use is predominantly limited to health and wellness segments. If more local food and beverage players promote stevia as a way to offer lower sugar options, it can help tackle diabetes as well as drive its mass consumption. The growing health awareness in Asian Pacific coupled with increasing disposable incomes points towards a favorable future demand scenario.
To capture this substantial untapped demand, companies must focus on awareness campaigns highlighting stevia's benefits and strengthen direct distribution networks in priority regions. Tailoring products and marketing communication to local taste preferences will also be crucial. A multipronged strategy targeting both consumers as well as manufacturers can help boost adoption rates. Tapping into new growth markets in key continents is thus a huge opportunity for stevia producers to expand globally in the near future.
Product diversification and launch of new stevia based food and beverages: As consumers become increasingly health-conscious, they are seeking out natural sweeteners with zero calories like stevia. Product diversification by using stevia as a key ingredient could help meet this growing consumer demand. Stevia is being explored for use in various food and beverage products beyond just drinks. For example, stevia extract could potentially be used to replace sugar or artificial sweeteners in baked goods, yogurts, sauces and dressings to make them healthier with fewer calories and carbohydrates. As the global population pays more attention to diabetes, obesity, and other chronic health issues exacerbated by excessive sugar consumption, there will be immense opportunity for innovative stevia-based products that provide delicious taste without compromising health.
Implementing stevia in diverse product categories through new product launches has the ability to drive significant growth in the stevia market. According to the Food and Agriculture Organization (FAO), global per capita consumption of sweeteners increased by around 23% from 1988-1992 to 2008-2010, predominantly in processed food products FAO, 2020. As processed and packaged foods continue expanding in both developed and developing nations, incorporating stevia's zero-calorie sweetness can help meet increasing sweetener demand in a natural and sustainable way. Companies that successfully diversify beyond just beverages to leverage the health halo of stevia across other popular food segments like snacks, desserts, and breakfast foods stand to witness major returns on investment.
To conclude, widening consumer focus on health combined with opportunities opened by integrating stevia innovation into various global food categories presents a promising future for the stevia industry. Leveraging this through strategic product diversification and new product launches addressing unmet needs could help drive sustained market growth in the near future.
Stevia Market Report Coverage
|Market Size in 2024:
|US$ 1 Bn
|Historical Data for:
|2019 to 2023
|2024 - 2031
|Forecast Period 2024 to 2031 CAGR:
|2031 Value Projection:
|US$ 1.79 Bn
Nestlé S.A., The Coca-Cola Company, PepsiCo Inc., Cargill Inc., Evolva Holding S.A., PureCircle Ltd., Stevia Corp., Ingredion Inc., GLG Life Tech Corp., and Tate & Lyle Plc.
|Restraints & Challenges:
Global Stevia Market Trends:
Shift towards low-calorie and zero-calorie food and beverages: The global demand for low-calorie and zero-calorie food and beverage options has been steadily rising in 2021, as consumers become increasingly health conscious. This shift in consumer preference is having a significant influence on the stevia market. Stevia is a natural sweetener derived from the leaves of the plant species stevia rebaudiana. It is estimated to be 200-300 times sweeter than sugar but has negligible calories. With this unique property, stevia is becoming a popular substitute for sugar and artificial sweeteners in various food and beverage products aiming to reduce calories.
Beverage manufacturers in particular are recognising the opportunity in stevia to meet the demand for low-sugar or no-sugar drinks. For example, according to data provided by the WHO, sales of bottled water increased by 7.8% globally in 2021 as compared to the previous year. Many bottled water brands have started by using stevia as a natural sweetener to enhance the taste of plain water while keeping it calorie-free. The growing health-conscious consumer base is drawn to such stevia-sweetened water products. Similarly, the global sales of carbonated soft drinks have fallen 2.6% from 2020 to 2021 due to the wariness about sugar content. Such examples demonstrate how stevia is enabling major food and beverage businesses to cater to the rising appetite for calorie-conscious yet satisfying choices. This pushes up demand for high-purity stevia extracts globally. Stevia is therefore expected to stay on the trajectory of strong growth to meet the needs of health-driven consumers around the world.
Commercialization of Reb M sweetener: The commercialization of Reb M sweetener extracted from stevia leaves has significantly impacted the global stevia market in 2021. Reb M is around 200-300 times sweeter than sugar but has no calories, thereby making it very attractive to food and beverage companies looking to reformulate products to reduce sugar content. Major food companies have increasingly incorporated Reb M into a wide variety of products such as sodas, yogurt, baking goods, and protein bars. For example, according to reports provided by the Coca-Cola Company's 2022 sustainability report, they have incorporated stevia-based Reb M sweetener into over 190 beverage products across 30 countries worldwide to help lower sugar levels without sacrificing taste.
This rapid rise in commercial utilization of Reb M has fuelled strong demand for higher Reb M content stevia leaf cultivars. As a result, stevia growers and extractors have focused their efforts on developing stevia plant variants with higher Reb M yields through selective breeding and genetic engineering techniques. The FAO 2020 report on agricultural biotechnology noted that from 2018 to 2020, global hectares of stevia grown for Reb M extraction increased by over 25%.
In summary, the commercial success of Reb M sweetener has served as a major driver propelling the expansion of the global stevia market in 2021. The growth of Reb M usage by food and beverage companies is directly influencing innovation in stevia farming and extraction methods. This trend is expected to continue intensifying with consumers’ growing preference for reduced sugar options.
Global Stevia Market Restraints:
Stringent rules and regulations regarding the use of stevia as a food ingredient: Strict regulations regarding the use of stevia as a food ingredient is significantly hampering the growth potential of the global stevia market. Stevia is a natural low-calorie sweetener extracted from the leaves of Stevia rebaudiana plant. It is about 300 times sweeter than sugar but has no calories and glycemic impact. This makes it an attractive sugar substitute for the food and beverage industry. However, various countries have stringent rules around the permissible levels of different stevia glycosides present in stevia extracts. For instance, 2021, the European Union (EU) has approved the use of only Rebaudioside A and Stevioside under certain daily intake levels. Products exceeding these thresholds cannot be marketed in the EU. Similarly, China and India also have their own established standards. This disparity and lack of alignment across acceptance levels created regulatory barriers for companies operating globally. They need to tailor their stevia-based formulations to meet individual country norms.
There are also additional process-related criteria around extraction techniques. Many nations approved only high purity and natural stevia extracts produced through approved methods like enzyme catalysis, while synthetic variants are restricted. Meeting these complex rules increases production costs. As a result, some small manufacturers especially from developing countries fail to comply, thus reducing overall supply. According to the Food and Agriculture Organization of the United Nations, global natural sweetener market witnessed growth of only 2-3% annually between 2020 -2022 due to regulatory hesitancy. The FAO report highlighted regulatory challenges as the principal factor hampering faster adoption of stevia. With rising health consciousness, stevia's market potential is massive. But inconsistent norms continue to hold back its growth trajectory significantly unless harmonized internationally.
Counterbalance: To overcome this restraint, the key market players need to follow the stringent rules and regulations regarding the use of stevia which might increase the global stevia market growth.
New Product launches:
Mergers and Acquisition:
Figure 2. Global Stevia Market Share (%), By Extract Type, 2024
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Top Companies in the Global Stevia Market
Definition:The stevia is a natural sweetener extracted from the leaves of the stevia rebaudiana plant, which is native to Paraguay and Brazil. The active compounds in stevia are called steviol glycosides, which are naturally present in the stevia leaf. Stevia is known for its intense sweetness, with steviol glycosides being about 50 to 300 times sweeter than sugar.
Frequently Asked Questions