Tuesday, October 23, 2012

Healthcare products will promote functional sugar industry

It is believed that domestic healthcare product industry (including nutrition and health food) will provide great platform and opportunities for domestic functional sugar industry in future, according to CCM’s October issue of Sweeteners China News.
On 11 September 2012, the Nanfang Daily reported that the sales value of domestic healthcare product industry reached about USD102.5 billion in 2011. Besides, domestic healthcare product industry is at a stage of rapid development now with the annual growth rate of sales volume of 20% before 2015. Meanwhile, the Chinese government pays more attention to drive the development of domestic healthcare product industry. For example, in the 12th Five-Year Plan of Food Industry of the Chinese government, the production value of domestic healthcare product industry will reach about USD157.2 billion before 2015. Besides, Chinese government plans to launch a series of regulatory measures to ensure the healthy and rapid development of healthcare product industry; such as Health food supervision and management regulations to be launched in coming months by State Food and Drug Administration. Healthcare product is one main downstream product of functional sugars, thus the demand of functional sugars from domestic healthcare product industry will increase in coming years.
The rapid development of domestic healthcare product industry will lead to the rapid output increase of functional sugar in future. In fact, the output volume of some functional sugars had increased with different degrees in the past years (FIGURE), mainly attributed to the increasing demand from domestic healthcare product industry and food industry. In detail, these functional sugars include malto oligosaccharide, isomalto oligosaccharide, fructo oligosaccharide, erythritol, crystalline fructose, xylitol, isomaltitol, etc. 

According to CCM's survey, three leading functional sugar producers in China (TABLE), namely Baolingbao Biology Co., Ltd. (Baolingbao), Shandong Futaste Pharmaceutical Co., Ltd. (Shandong Futaste), Shandong Longlive Bio-technology Co., Ltd. (Shandong Longlive), agree that domestic healthcare product industry will promote the domestic functional sugar industry.
It is predicted that healthcare product industry will be a very important downstream for functional sugar industry in future. The three companies show great confidence in the development of domestic healthcare product industry. They all expressed that with consumers' rapidly increasing health attention and the improvement of people's living standards, the demand of healthcare products will also increase and the healthcare products will become popularized in every age group. Moreover, they revealed that they will pay more attention to develop clients from healthcare product industry. For example, Baolingbao has a planned function sugar project to meet various needs from healthcare product producers in future: a new production line of galacto oligosaccharide with the capacity of 5,000 t/a.
Since the three companies have different products, they don't worry about that competition will be more intense. In fact, healthcare product producers will give priority to the functionality of functional sugars when they select the appropriate functional sugars, which is helpful for the rapid and healthy development of domestic functional sugar industry. In the meantime, domestic functional sugar producers will focus on their current own product in future to avoid  the homogenization of competition. For example, Shandong Longlive said that the company will focus on the development of its current oligosaccharide products.

Source: Sweeteners China News 1210

Content of Sweeteners China News 1210:
Output of foods containing sugar increases slightly in Aug. 2012
China imports 0.58 million tonnes of sucrose in Aug. 2012
Sun Paper to explore xylitol market
Chinese saccharin output reaches 12,375 tonnes in Jan.-July 2012
Export HS Code Classification of Sucralose Products Seminar held in Beijing
Wanfu Biotechnology's net profit decreases in H1 2012
GLG optimistic about prospects for stevia sweetener
Chinese sucralose industry may exert more pressure on Tate & Lyle
Cyclamate meets pessimistic prospect
Chinese GOS industry will develop smoothly in 2012
Healthcare products will promote functional sugar industry
HIS producers not excited about export policy adjustments
H1 2012: Xiwang Sugar and Global Sweeteners perform poorly in starch sugar
Shangdong Longlive performs bad in H1 but may do well in H2 2012
Guilin Layn suffers loss since 2010
Changzhou Niutang still depends on imported L-phe
Corn starch industry may undergo centralization in near future
Ex-factory prices of Chinese sweeteners in Sept. 2012
Temporary purchasing plan may have little positive effect on stabilizing sucrose price
Export overview of some sweeteners and raw materials in China, Aug. 2012
… …

If you are interested in CCM’s September issue of Sweeteners China News, please do not hesitate to contact us by +86-20-37616606, or email us at econtact@cnchemicals.com.

Sweeteners China News is a monthly newsletter published by CCM International Limited. Based on China market, CCM offers timely update and close follow up of China’s various kind of sweeteners market dynamics, analyze the market data and trends, Major columns include market dynamic, company dynamic, raw material supply, price update, import & export analysis, Consumption Trend & Competitiveness.

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