The global sweet tooth is pushing sugar sales upward. A report from Fortune Business Insights found that the global sugar market is expected to grow from $38.58 billion USD in 2022 to $46.56 billion USD in 2029, representing a 2.72 percent compound annual growth rate (CAGR). 

The pandemic had a significant impact on sugar sales, as demand declined 18.78 percent in 2020, compared to 2019. Lockdowns, supply restrictions and health concerns prompted the downturn, which led to a significant drop in sales. 

Sugar cane leads production, with 86 percent of total sugar crop production. The market, however, has seen growth in several key regions including Asia Pacific, the Middle East and Africa. The demand for alcoholic and non-alcoholic beverages is fueling this growth. An increased demand for baked goods, confectionery and dairy products has also driven market growth as the economy recovers from the pandemic. 

The taste for sugar is also changing globally as consumers look for healthier alternatives. The sale of organic sugars and sugar alternatives continue to grow. This has led manufacturers to continue to develop new varieties and focus more on innovation. 

Countries like China, India, Indonesia and the United Arab Emirates are seeing the highest levels of growth as discretionary income rises and borders open to new products from the West. Meanwhile, in North America, the U.S. and Canada are seeing a drop in sugar consumption due to demand for sugar-free and reduced sugar products. 

Sugar is now an important ingredient in more products than ever. Consumers now see alcoholic and non-alcoholic drinks as a form of snacking which has driven up sales of beverages such as dairy and soft drinks and functional beverages like energy drinks. 

The market continues to be impacted by consumers who are looking for healthier alternatives. According to the Global Diabetes Community, more than 415 million people have diabetes. This number is expected to rise to 642 million worldwide by 2040. 

The sale of stevia, honey and jaggery are also expected to have an impact on sales as consumers look for sugar alternatives.