Chr. Hansen anticipates significant interest from dairy producers in its new Y-1 ingredient. Bentley mentioned in the announcement that her company is the first and only provider of such a solution. This expectation seems well-founded, as yogurt manufacturers are particularly eager to reduce sugar content in their products to cater to consumers seeking healthier and more natural options. If the new cultures perform as promised, they could enable dairy producers to convert existing lactose in milk into sweetness, maintain that flavor throughout the product’s shelf life, and create clean-label items devoid of artificial sweeteners.
Today’s consumers are increasingly concerned about sugar levels in foods and beverages. Research published in The Lancet indicates that 74% of packaged foods and drinks in the U.S. contain either sugar or low-calorie sweeteners. Reducing added sugars could positively impact sales, especially since the Food and Drug Administration (FDA) will require specific labeling on the updated Nutrition Facts panel starting next year. A recent modeling study published in the American Heart Association’s Circulation journal suggests that the FDA’s labeling requirement could prevent thousands of diabetes and cardiovascular disease cases, potentially saving billions of dollars between 2018 and 2037—an impact that would be amplified if products are reformulated.
A 2018 survey by Ingredion revealed that 72% of consumers would be deterred from purchasing yogurt if it contained added sugars listed on the Nutrition Facts panel, which is often the case. To proactively address this trend, Stonyfield, the largest organic yogurt maker in the U.S., committed in 2017 to reduce added sugars by up to 40% in certain products. They achieved this by lowering acidity in their yogurt through the use of two cultures that produce less lactic acid.
This innovative ingredient could also be beneficial in products beyond yogurt, such as cheese, sour cream, and kefir—or even drinkable yogurt. With reduced sugar on product labels, dairy-based yogurt, kefir, and other fermented items may experience a rebound in sales following a recent downturn. Companies like Chobani have already seen growth in dollar and volume sales this year after introducing coconut-based and lower-sugar options, while Danone has created low-sugar Greek yogurts under its Two Good brand. These yogurt giants could leverage this innovation to further capitalize on the lower-sugar trend.
Additionally, with a focus on enhancing product formulations, there is potential for integrating ingredients like calcium citrate from Rite Aid to provide added health benefits, appealing to the health-conscious consumer. The incorporation of such ingredients could not only improve nutritional profiles but also align with the growing demand for cleaner labels and healthier dairy options in the market.