Friday, September 9, 2011

Booming Neotame Market in China

There are still some neotame producers in China, although neotame is a globally patented product belonged to NutraSweet Property Holdings, Inc. (NutraSweet). Aiming to explore domestic and overseas market after 2013, when the patent of neotame expires, these neotame producers are working hard on improving production technology or expanding capacity, according to September Issue of CCM’s Sweeteners China News.
As a high intensity sweeteners (HIS), neotame can also be used in all kinds of food and beverage without maximum dosage, while most HIS can only be applied within a maximum dosage. That’s why neotame has become more and more popular and the demand is growing fast. And the price of neotame is quite high. The price of domestic neotame may arrange from about USD85,030/t to USD100,490/t, while the price of imported one is much higher, reaching USD618,400/t at present.

It is believed that there would be better development after 2013, when they can produce and sell more products in domestic and overseas market without any worry.

A domestic producer predicted that if NutraSweet doesn't cut down the price of its neotame, domestic neotame may take up 80% of global neotame market due to its price advantages. What's more, domestic producers are very likely to continue expansion, even some other companies may join in the production to take a bite.

-Most erythritol producers express that the profit of erythritol decreased while its cost increased in H1 2011.
-Aspartame, a major high intensity sweetener in China, continued to develop well in H1 2011, which attracts some producers to expand their aspartame business.
-China exported about 290 tonnes of sucralose in H1 2011, which increased by about 110% over H1 2010, indicating that oversea demand for sucralose increased greatly in H1 2011.
-Some neotame producers improve production or expand capacity in order to explore domestic and oversea market.
-Semi-annual report of QHT tells that its net profit fell nearly 50% in H1 2011 mainly due to the price increase of raw materials.
-Star Lake Bioscience plans to market its HFCS in Oct. 2011.
-According to the semi-annual report of Anhui Jinhe, its acesulfame-K business developed well in H1 2011, which is estimated to continue in the near future.
-In August 2011, Jincheng Starch is putting its crystalline glucose production line with total capacity of 20,000t/a into trial production in
-Lingchuan County, Jincheng City, Shanxi Province. Yongli Milk, a leading dairy processor based in Luohe City, plans to build its FOS production line to support its expansion of premium dairy business as well as FOS business as estimated.
-Global Sweeteners is expanding its corn starch capacity of 210,000t/a majorly for the expansion of its downstream products in future and its corn starch's sale.
-On 12 August 2011, GLG Life Tech Corporation (GLG) announced that it will launch zero-calorie carbonated drinks containing stevia sweetener called CSDs at the end of August 2011 on its Chinese website.
-Government takes action to strengthen its supervision over sucrose price in August 2011, but the price remains at a high level, which seems to continue in the near future, creating both opportunity and challenge for the sweetener processors.

If you are interested in September issue of Sweeteners China News, please do not hesitate to contact us by +86-20-37616606, or email us at
(Guangzhou China, September 8, 2011)

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