Brown
sugar also called as soft sugar is a granulated white sugar combined
with pure cane molasses. The common brown sugar is produced from
sugar cane or beet. The molasses amount decides the shade of the
sugar in light or dark brown. The light brown sugar has around 3.5%
of molasses by weight and the dark brown sugar has around 6.5% of
molasses and yields deeper color and flavoring. India is one of the
world’s largest producer of sugar cane. According to the United
States Department of Agriculture (USDA), India’s sugarcane
production in 2016/2017 was 309.98 MMT (million metric tons), which
is expected to increase by 15% to 330 MMT by 2017/2018.
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The
global brown sugar market is majorly driven by the growing food &
beverages industry in the past decades and is anticipated to grow
rapidly over the forecast period. Furthermore, the bakery industry is
the largest consumer of brown sugar, owing to increasing demand for
bakery products. According to Germany Trade and Invest, in 2015,
Germany led the European bread market with annual per household
consumption of 62.4 kg, which is the highest among all the other
nations in Europe and thereby, a high utilization of brown sugar for
the manufacture of breads is projected in this region. Moreover,
American Crystal Sugar Company uses liquid brown sugar for the
manufacture of bakery products. Similarly, Imperial Sugar Company
uses brown sugar for the manufacture of sweet rolls.
However,
increasing inclination of consumers towards sugar free products and
increasing health concerns such as heart diseases, diabetes, obesity,
and others are likely to restrain the growth of brown sugar market.
Moreover, World Health Organization (WHO) recommends children and
adults to reduce their sugar to 10% of total energy intake, which
further stands as a restrain in the brown sugar market at a global
level.
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Bakery
Industry is accounted to be the major contributor of the global brown
sugar market, owing to increasing demand for bakery products such as
breads, biscuits, cakes, and others. According to American Bakers
Association, the U.S. bakery industry accounts for US$ 311 billion in
the total economic output of the economy or 2.1% of GDP since the
last couple of years. Furthermore, high consumption of dairy products
is likely to fuel the brown sugar market worldwide.
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