Acquiring a producer of maple syrup and natural sweeteners appears to be a strategic and timely decision for Hain Celestial. The products offered by Clarks complement the existing brands within the organic and natural foods company. Furthermore, the rising trend of natural sweeteners—including maple syrup, honey, plant-derived sweeteners like stevia, and fruit-based syrups—reflects consumers’ growing desire to lower their sugar consumption. The American Heart Association recommends a limit of 29 pounds of added sugar annually for men and 20 pounds for women, yet the USDA reported that each American consumed an astonishing 128 pounds in 2016. This indicates a clear need for the nation to reduce its intake of sugar and artificial sweeteners such as corn syrup. Nevertheless, consumers still seek to satisfy their sweet cravings, leading them to explore healthier food and beverage options that provide better alternatives to traditional sugary products.
With the increasing public interest in all things maple, Hain Celestial’s acquisition of a maple syrup manufacturer could not be better timed. The popularity of maple aligns perfectly with consumers’ preferences for natural, healthier ingredients. Observers suggest that millennials, who are particularly mindful of their dietary choices and sources, are eager to try new products, especially those that evoke nostalgic memories of their parents or grandparents’ consumption habits.
Hain Celestial, recognized for its flagship tea and its “healthy” consumer packaged goods (CPG) brands like Garden of Eatin’, Earth’s Best, and the recently acquired Better Bean, has long been seen as a potential acquisition target due to its focus on natural and organic products favored by health-conscious consumers. Major food and beverage corporations rumored to be considering a takeover of Hain Celestial include General Mills, Kellogg, Nestlé, Danone, Mondelez, Coca-Cola, and PepsiCo. Incorporating Clarks into Hain Celestial’s portfolio could enhance its appeal as an acquisition target.
Additionally, the Food and Drug Administration is set to mandate that food manufacturers disclose the grams of added sugar in packaged foods and beverages as part of the updated Nutrition Facts label. With this deadline approaching, many large food companies are either launching new products or reformulating existing ones to be healthier for consumers, which includes reducing or substituting artificial sweeteners and processed sugars with more beneficial ingredients. Acquiring a company like Hain Celestial that already features a natural sweetener manufacturer could yield significant advantages. Furthermore, this acquisition could potentially complement Hain Celestial’s offerings, such as calcium citrate with vitamin D chews, aligning with consumer demands for health-oriented products. In this evolving market, the integration of Clarks could indeed sweeten the deal for Hain Celestial, establishing it as a formidable player in the health-focused food industry.