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Sweet Deal

Kim Anderson, of NewTree Fruit Company, explores how no and low-sugar innovation can be a platform for growth

Words: Kim Anderson
Artwork: Abby Morrice

The Big Idea:

Consumers are increasingly demanding low and no-sugar beverage options.

The next growth stories will blend health, function, and flavor.

NewTree Fruit Company’s partnership with Finlays Solutions makes it perfectly positioned to help brands and operators capitalize.

Globally, sugar consumption is between 200% and 400% higher than recommended by the World Health Organization, resulting in consumers increasingly taking action. With as many as three in four adults worldwide looking to reduce sugar in their diets, the shift is no longer confined to the health conscious.

For beverage brands, this presents both pressure
and possibility.

Low sugar, high opportunity
The trend towards low sugar is already well established. In some markets, zero-sugar sodas already account for 30% of sales and are expected to exceed $50 billion globally by 2032 [Fortune Business Insights]. Meanwhile, sales of RTD coffee and tea are projected to reach $160B+ by 2030 with an annual growth rate of 6.2% - 7%. Within this, the specialized sub-market for reduced sugar is accelerating even faster, with a CAGR of 8.9% globally by 2030 [Grandview Research].

Changing tastes
But consumers aren’t simply aiming to reduce sugar. They’re also seeking a greater variety of beverages, which are tailored to different occasions, and have an eye on more functionality and cleaner ingredients. The strongest demand is coming from younger consumers, who increasingly want drinks that do more than just refresh. That’s why we’re seeing formulations that don’t just offer no and low sugar, but also mood enhancement, natural hydration, and ingredients that offer energy boosts without the accompanying sugar crash.

This is where tea, coffee and fruit have a distinct advantage. Tea and coffee are naturally low in sugar and already associated with energy, antioxidants and everyday ritual. Add in a high-nutrient-density ingredient such as De-Sugared fruit juice, and you’ve created a powerhouse beverage.

The edge of innovation
The challenge is meeting this demand without compromising on taste. At NewTree Fruit Company, our goal is to be an industry leader in sugar reduction and added nutrition through our patented De-Sugaring technology. This removes 100% of the naturally occurring sugars from fruit and vegetable juices, while maintaining the nutrient profile, natural acidity, and brilliant color of the original fruit.

In partnership with Finlays Solutions, we’re now creating new possibilities for low and no-sugar beverages. Think zero-sugar blueberry and peach iced teas, and raspberry lime, sparkling-cold brews, which contain up to 15% real fruit juice, without added sugar or calories.

The opportunity ahead
In this new era, sugar reduction doesn’t need to be a constraint. It can be a catalyst for creating better all-round beverages. The brands that win will be those that treat it not as a reformulation challenge alone, but also as an opportunity to create the next wave of beverages, which are more functional, more natural and more aligned with changing consumer expectations.

In this new era, sugar reduction doesn’t need to be a constraint. It can be a catalyst for creating better all-round beverages.”

NewTree Fruit Company is dedicated to improving nutrition while reducing sugar consumption among consumers worldwide. With its patented De-Sugaring Technology, NewTree has successfully reduced sugar to 1g or less in an 8oz juice-based product while maintaining taste and delivering the full nutritional value of two servings of fruit. For more information, please visit www. newtreefruit.com

Kim Anderson
Director, Business Development and Sales NewTree Fruit Company