Key Trends, Challenges and
Opportunities for the Food &
Beverage Industry
Andrew Briscoe, CAE
President & CEO
The Sugar Association
August 5, 2014
The Sugar
Association
Established in 1943 - U.S. sugar cane and beet growers and
processors.
Mission
All-natural sugar is an important part of a healthy diet and
lifestyle. The mission of the Sugar Association is to promote
the consumption of sugar through sound scientific principles
while maintaining an understanding of the benefits that sugar
contributes to the quality of wholesome foods and beverages.
The Sugar Association - Primary Objectives
• The promotion of sugar
• Responding to the
disparagement of sugar
• Accuracy in labeling to help
consumers understand
what is sweetening their
foods or beverages
A Competitive Market
30 Sweeteners in the U.S. Marketplace
Caloric Sweeteners
•Dextrose
•Glucose Syrup
•Crystalline Fructose
•High Fructose Corn Syrup
•Honey
•Sugar / Sucrose
•Molasses
•Maltodextrin
•Trehalose
•Agave
•Coconut Palm Sugar
•Rice Syrup
Sugar Alcohols/Polyols
• Sorbitol
• Mannitol
• Xylitol
• Erythritol
• D-Tagatose
• Isomalt (Palatinat)
• Lactitol
• Maltitol
• HSH Hydrogenated Starch
Hydrolysates, Maltitol
Syrups
Alternative Sweeteners
• Stevia
• Reb – A (approved by FDA)
• Monk Fruit
Artificial Sweeteners
• Saccharin
• Aspartame
• Acesulfame-K
• Sucralose
• Neotame
• Alitame
Artificial Sweeteners Not
Yet Approved By FDA
•Cyclamates
• Neohesperidine
• Thaumatin
Total Deliveries of U.S. Sugar, Fiscal Years 1980 – 2009
10.75
10.5
10.25
Million Tons, Raw Value
10
9.75
9.5
9.25
9
8.75
8.5
8.25
8
7.75
7.5
80
82
84
86
88
90
92
94
96
98
00
02
04
06
08
Fiscal Year
FY 2010 Deliveries Estimated at 11.106 Million Tons, Raw Value; June 2011
Source: USDA. ERS. World Agricultural Outlook Board. World Agricultural Supply and Demand Estimates, Table 16.
© The Sugar Association, Inc.
July 2011
Federal Fiscal Year U.S. Sugar Deliveries for Domestic Food Use
Total Deliveries
12,000
+ 750
2002
2003
2004
2006
2008
2009
2007
2010
2011
11,700
11,600
11,487
2012
2013
2014
2015
+ 113
+ 100
Change From Previous Fiscal Year + 593
+ 428
+ 341
+ 174
0
11,073
9,913
10,184
10,019
2005
10,442
2001
10,506
9,000
9,678
9,504
9,750
9,894
10,500
10,000
Thousand Short Tons, Raw Value
11,250
10,870
23.1 % increase between
2003 – 2015 (1.92% per yr.)
+ 2,196,000 tons
Projection
11,212
Estimate
+ 414
+ 342
+ 165
+7
- 64
- 106
- 271
- 139
- 390
 750
Source Report: USDA. ERS. World Agricultural Outlook Board. World Agricultural Supply and Demand Estimates, 529-16;
Accessed May 14, 2014.
© The Sugar Association, Inc.
May 14, 2014
U.S. Population Growth 2012 – 2013
2012 Population
312,780,968
0.73% annual
growth
between 2012
and 2013.
Sugar and Sweeteners Outlook – July 2014:
Deliveries for human consumption have totaled
7.675 million STRV through the end of May, about
2.7 percent more than the delivery level for the
same period last year.”
USDA Caloric Sweetener Total
Supply Availability (1970)
1%
16%
Refined Sugar
Corn Sweeteners
Honey + Other
83%
United States Department of Agriculture. Economic Research Service.
Food Consumption, Prices, and Expenditures , 1970 – 97.
Statistical Bulletin No. 965. April 1999.
USDA Caloric Sweetener Total
Supply Availability (2000)
1%
44%
55%
Refined Sugar
Corn Sweeteners
Honey + Other
United States Department of Agriculture. Economic Research Service. Sugar and
Sweetener Situation and Outlook Yearbook. Report SSS-231. May 2001.
Trends and Statistics – Calorie Control Council
1986-2010– 187 million Americans (59%)
http://www.caloriecontrol.org/usfaves.html
65% of Americans are overweight or obese – Surgeon General 2007
Dietary Guidance
And, the Challenges of Obesity
U.S. Federal Dietary Guidelines
• 1980- Avoid too much sugar
• 1985- Avoid too much sugar
• 1990- Use sugars only in moderation
• 1995- Choose a diet moderate in
sugars
• 2000- Choose beverages and foods to
moderate your intake of sugars
• 2005- No specific sugars guideline
• 2010- Reduce intake of calories from
added sugars
Science And Data
Are On Our Side
Major reviews of the scientific literature
confirms sugar intake is not a causative
factor in any lifestyle disease, including
obesity.
Institute of Medicine Food and Nutrition Board’s
Macronutrients Report
September 5, 2002
“Based on the data available on dental caries, behavior,
cancer, risk of obesity and risk of hyperlipidemia, there is
insufficient evidence to set a UL for total or added sugars.”
However, they go on to say, “Although a UL is not set for
sugars, a maximal intake level of 25 percent of less of
energy from added sugars is suggested based on the
decreased intake of some micronutrients of American
subpopulations exceeding this level.”
March 2010 expert report to the
European Food Safety Authority
reaffirmed past conclusions:
“Available data do not allow
the setting of an UL for total or
added sugars, neither an
accepted intake (AI) nor a
recommended intake range.”
Scientific opinion of the panel on dietetic products, nutrition and allergies on a
request from the EC on population reference intakes on carbohydrates and dietary
fibre (March 2009)
Sugars Consumption Has Not Increased Dramatically
1970 – 23.73
Teaspoons
2012 – 24.69
Teaspoons
LossAdjusted Per Capita Availability1
Calories Available
Relative Share
1970  2009
Change
Commodity Group
2009
1970
2009
Fats and Oils
411
596
185
18.9%
23.0%
Grains
432
619
187
19.9%
23.9%
Sugar and Sweeteners
402
440
38
18.5%
17.0%
Meat, Eggs and Nuts
463
473
10
21.3%
18.2%
Vegetables
125
118
-7
5.8%
4.5%
Fruits
70
87
17
3.2%
3.4%
Dairy
267
261
-6
12.3%
10.1%
2,169
2,594
425
Total
1
1970
Available at http://www.ers.usda.gov/data/foodconsumption/FoodGuideSpreadsheets.htm; last update: February 1, 2011.
Promoting Sugar
Key Messages
• Sugar is all natural
• Just 15 calories per teaspoon
• Is an important ingredient that has been
used safely for over 2000 years
• And it is a sweetener you can pronounce
The Sugar Association Website
Use Social Media to Amplify the Message
Feature Member Websites on Facebook
and Twitter
YouTube Video
Jones Soda Announces Switch to Sugar 11-29-06
Wall St. Journal – “A Soda Maker, Touting Health, Moves to Sugar”
PICK-A-POP CASE OF JONES SODA
Pepsi Announces Plans for “Made With Real Sugar”
Products 4-8-14
US Sucrose Deliveries to Beverage Sector,
Calendar Years 2000 – 2010
Thousand Short Tons, Refined Value
450
4 year growth =
+ 194,000 strv =
+ 85.1 %
422
341
351
312
270
242
237
228
214
189
168
158
90
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
Calendar Year
Source: USDA. Economic Research Service, Briefing Room. Sugar and Sweetener Yearbook Tables: Excel (.xls)
Spreadsheets, Table 20a. http://www.ers.usda.gov/briefing/sugar/Data/data.htm. Last ERS Update: February 7, 2011.
© The Sugar Association, Inc.
April 5, 2011
Threats and Opportunities
for Sugar Consumption in the U.S.
Overview of Major
Challenges
• 29 Other Sweeteners in the U.S. Marketplace- Key
competitors spending $80M+ on advertising their products
• Challenges of Obesity – Sugar Being Targeted
• 2015 U. S. Federal Dietary Guidelines
• FDA Food Labeling – Nutrition Facts Panel Proposed Rule re
“Added Sugars” Subcategory
• Global Initiatives – WHO Guidance on Sugars recommendation to limit free sugars intake to 5% - 10% of
calories
• Inaccurate Media Reports, Academics Selling Books
Added Sugars Labeling
Efforts to Limit Free Sugars to 5
to 10% of Calories
Challenge: How to respond without bringing more
attention to the misinformation
• Inaccurate Media Reports
• Academics Selling Books
Tools to Confront
Challenges, Misinformation and Threats
• Submit science based comments and petitions
• Write letters to USDA and HHS Secretaries
• Meetings with regulatory agency officials
• Congressional help / support
• PR – engaging the media and social media audiences
• Participating in Food and Beverage Industry Alliances /
Coalitions
• Build our E-commerce Web Pages to support all natural
sugar-based products