The global rice syrup market was valued at US$ 635.8 million in 2018 and is projected to reach US$ 928.4 million by 2027; it is expected to grow at a CAGR of 4.3% from 2019 to 2027.
Rice syrup is a processed form of cultured rice. The rice is fermented using beta and alpha amylase enzymes that break down the starch content into simple molecules of sugar such as glucose, maltose, and fructose. Owing to the presence of excessive concentration of starch, the rice syrup finds its application as sweeteners or sweet enhancers in food processing. However, the processing and refining processes hamper the nutritional value of this product. The market is driven by the wide application of rice syrup as an alternative sweetener. Rice syrup is available as a liquid nutritive sweetener solution. In addition, an upsurge in the popularity of organic rice syrup due to the growing health-consciousness among consumers also drives the market growth.
The rice syrup market, based on application, is segmented into bakery and confectionery; beverages; dessert and dairy products; meat, poultry, and seafood products; infant formula; and others. In 2018, the bakery and confectionery application segment accounted for the largest share of the market, whereas the dessert and dairy products segment is expected to register the fastest CAGR during the forecast period. The dominance of the segment is primarily attributed to the rising demand for bakery and confectionery products in emerging economies of Asia Pacific. Rice syrup is odorless and clear yellow viscous sweet syrup, and it is used in bakery and confectionaries products that require high amount of invert sugars. Rice syrup is increasingly being used in bakery items such as cookies, cakes, and muffins as well as in the preparation of hard candies, pancakes, muffins gums, and jellies. The syrup is used to add viscosity and texture, along with providing stability to bakery and confectionery items. Additionally, it is also used for decorating these food items as it offers shine and lusciousness; this adds to the demand for rice syrup from restaurants and cafes. With the shift in consumption patterns of consumers, coupled with the rise in demand for convenience food products, the demand for rice syrup is expected to rise in the bakery and confectionery industry.
Impact assessment of COVID-19
The COVID-19 outbreak first began in Wuhan (China) in December 2019, and since then, it has spread at a fast pace worldwide. As of March 2020, China, Italy, Iran, Spain, the Republic of Korea, France, Germany, and the US are among the worst-affected countries in terms confirmed cases and reported deaths. According to the latest WHO figures, there are ~332,930 confirmed cases and 14,510 total deaths globally. The COVID-19 outbreak has been affecting economies and industries in various countries due to lockdowns, travel bans, and business shutdowns. Chemicals and materials is one of the major industries suffering serious disruptions such as supply chain breaks, technology events cancellations, and office shutdowns as a result of this outbreak.
The rice syrup market is broadly segmented into North America, Europe, Asia Pacific (APAC), South America (SAM), the Middle East and Africa (MEA). In 2018, Asia Pacific held the largest share of the global rice syrup market, followed by North America. The growth of the rice syrup market in Asia Pacific is primarily attributed to rapid growth in the food and beverage industry. The increasing consumer awareness about health and rising preference toward natural sweeteners is driving the demand for rice syrups in this region. Further, the increasing use of rice syrup as a substitute to table sugar is another major factor fueling the rice syrup market in Asia Pacific. Moreover, end-user industries such as bakery and confectionary, dairy, and beverages boost the demand for rice syrup in the region.
Axiom Foods, Inc., Malt Products Corporation, California Natural Products, Cargill Incorporated, Gulshan Polyols Ltd., Habib Rice Products Ltd., Lundberg, Meurens Natural, Windmill Organics Ltd. and Wuhu Deli Foods Co., Ltd are among the players present in the global rice syrup market.
The overall global rice syrup market size has been derived using both primary and secondary sources. The research process begins with exhaustive secondary research using internal and external sources to obtain qualitative and quantitative information related to the global rice syrup market. Also, multiple primary interviews were conducted with industry participants and commentators to validate data and analysis. The participants who typically take part in such a process include industry expert such as VPs, business development managers, market intelligence managers, and national sales managers, and external consultants such as valuation experts, research analysts, and key opinion leaders specializing in the rice syrup market.