Sweet Retreat: The Global Decline in Sugar Consumption

The global sugar market faces challenges from health-conscious consumers, sugar taxes, and the rising use of weight-loss drugs. This has led to a decline in sugar consumption in the US and Europe, resulting in factory closures and lower prices. Analysts predict this trend may persist.

Sugar consumption is on a downward trend across the United States and Western Europe, with global figures stagnating. This trend is attributed to increased taxes on sugary soft drinks and the growing use of weight-loss medications, according to industry analysts and executives.

The decline in demand has precipitated sugar factory closures in both regions, contributing to a drop in sugar prices to their lowest levels in five years. Furthermore, the burgeoning popularity of weight-loss drugs is expected to further drive this trend, with sugar consumption in Western Europe dropping by 6.7% and in the US by 4.4% over the past two years.

Future projections by the International Sugar Organization suggest global sugar consumption will grow by a mere 0.5% in the 2026/27 season, a historically low figure. Influential factors include GLP-1 drugs, known to adjust dietary preferences away from sweet and fatty foods, reducing calorie intake by a significant margin.

(With inputs from agencies.)