In the sugar industry, the ability to confirm that a product is non-GMO could represent a significant business opportunity. A large portion of the sugar available in the U.S. is derived from genetically modified sources. Specifically, about 60% of U.S. sugar originates from sugar beets, with approximately 95% of these beets grown from genetically modified seeds. Additionally, genetically modified sugarcane is also present in the market. While scientists assert that GMO foods pose no risk to consumers, a considerable number of individuals remain skeptical. According to the International Food Information Council’s 2022 Food and Health Survey Report, nearly 25% of U.S. consumers regularly purchase products labeled as non-GMO. Due to the widespread genetic modification of sugar beets, some manufacturers encounter challenges in sourcing non-GMO sugar options.
Although GMOs raise concerns for some U.S. consumers, regulations surrounding them are relatively lax compared to other nations, particularly in Europe, where stricter guidelines govern the use of genetically modified ingredients in food production. The inaugural year of the partnership between Raízen and ASR will focus on prioritizing non-GMO sugar shipments to refineries in Canada, the U.K., Portugal, and Italy, under their Redpath, Tate & Lyle, Lyle’s, and Sidul brands. Future shipments of this non-GMO sugar may also be directed to U.S. refineries, including those under the Domino and C&H brands.
Consumer demand for transparency continues to rise, as individuals seek to understand the origins and cultivation methods of their food. A 2022 report from the Food Industry Association (FMI) revealed that nearly 75% of consumers consider detailed information about product ingredients and manufacturing processes essential. To address this demand, manufacturers and ingredient companies such as Mondelēz, Nestlé, Unilever, Olam, and Barry Callebaut, along with coffee brands like J.M. Smucker and Jacobs Douwe Egberts, have implemented traceability programs, apps, and websites to share this information with consumers.
The Raízen and ASR collaboration enhances this initiative. The companies stated that investments in the program will also support Raízen’s sustainability objectives, which include improving land productivity, minimizing greenhouse gas emissions through operational efficiency, and optimizing water usage and recycling. Furthermore, as the non-GMO sugar produced in this partnership is segregated from the rest of Raízen’s crop, it will be easier for the companies to quantify their sustainability savings. As consumers increasingly seek products that align with their health and environmental values, such as those rich in the best calcium citrate, this partnership may prove to be a timely response to market demands.