Daesang Takes Bold Steps to Expand Allulose Biz with Sweevero in North America

Daesang Corporation Strengthens Allulose Operations in North America

Daesang Corporation, a leading figure in the food and biotechnology sectors from South Korea, has recently quadrupled its North American allulose sales—a remarkable 450% increase from the previous year. This surge reflects Daesang's strategic endeavors to capture the burgeoning demand for sugar-reduced food products through its global brand, Sweevero.

Since its entrance into the North American market in 2023, Daesang has successfully diversified the use of allulose across a wide array of food applications. The company's initiatives cater to industries ranging from beverages to dairy and confectionery, showcasing its commitment to meeting the evolving needs of health-conscious consumers.

The recent trend toward sugar reduction among consumers, spurred by an increasing focus on health and a shift in eating patterns due to medications like GLP-1, has significantly contributed to the rise in demand for lower-sugar products. As companies aim to meet these consumer preferences, ingredients such as allulose are experiencing growing popularity.

Allulose is unique as a naturally occurring sugar found in small amounts in foods like figs and raisins. It delivers about 70% of the sweetness of regular sugar but with only 10% of the calories, positioning it as an attractive alternative for food manufacturers. In carbonated drinks and sports beverages, it helps lower sugar content while preserving taste integrity. Similarly, in desserts such as jams and ice cream, allulose reduces calorie density without compromising flavor or texture.

Recognizing North America as a critical market for its allulose and sugar reduction initiatives, Daesang is broadening its offerings. With the Sweevero brand launched in 2024, the company aims to provide a comprehensive suite of solutions, including customized allulose blends, complementary sweeteners, and taste modulation technologies.

In 2023, Daesang allocated around KRW 30 billion to construct a dedicated allulose production facility within its starch and sweetener plant located in Gunsan, South Korea. Coupled with numerous patents covering enzymes involved in allulose production, this facility ensures a reliable supply base. Meanwhile, Daesang’s U.S. subsidiary plays a crucial role in fortifying customer support throughout North America, enabling the company to maintain quality control.

As part of its initiative to broaden global outreach, Daesang participates in leading food and ingredient trade shows such as Natural Products Expo West and Food Ingredients Europe. These platforms provide opportunities for Daesang to showcase its allulose solutions, enabling partnerships with local food manufacturers and facilitating the acquisition of new clients.

With the current successes in North America, Daesang is strategizing further expansions into other significant markets, including Canada, Latin America, Europe, Japan, and Southeast Asia. The company's ambition is to adapt to shifting regulatory environments and market needs while enhancing their production capacities and establishing a more diverse supply chain.

"As health awareness and the interest in reducing sugar intake escalate in North America, the demand for allulose is surging. Our objective is to assist our partners in addressing sugar reduction challenges, especially regarding flavor and product quality," stated Hyo-hoon Lee, Daesang’s head of Ingredient Marketing. By combining its robust production capabilities with tailored solutions, Daesang intends to deepen collaborations with global food entities, fortifying its position in key markets.

Since its inception in 1956, Daesang has evolved into a global frontrunner in the production of fermented foods. The company boasts an extensive array of products, including kimchi, sauces, and ready-to-eat meals, with its headquarters located in South Korea and manufacturing subsidiaries across several countries. Daesang remains dedicated to innovation within food manufacturing, promising significant advancements in the realm of sugar-reduction solutions.