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Cargill is a global ingredient leader committed to nourishing the world in a safe, responsible, and sustainable way. We are committed to being our customers' co-creation partner of choice, leveraging unique market insights, a full portfolio of ingredients and beverage-focused expertise to help them innovate to new heights.

           

Sweetening the Future for Dairy and Dairy-Alternative Beverages

By Allison Leibovich
chocolate milk

Image Credit: HandmadePictures/iStock / Getty Images Plus via Getty Images

April 28, 2025

Regardless of shifting trends, one truth remains: consumers want less sugar. From parents scanning labels to fitness enthusiasts seeking functional beverages, the demand for reduced-sugar options has never been stronger. 

Surveys continue to find American shoppers are disillusioned with the sweet stuff. The latest data from the International Food Information Council finds three-quarters of U.S. consumers wish to limit or avoid its consumption—up 25 percentage points over the last decade.

Yet despite the desire to tamp down sugar intake, consumers won’t compromise on taste and other sensory characteristics. They expect reduced-sugar and no-sugar-added products to deliver similar indulgent experiences as their full-sugar counterparts. Further complicating the formulation picture, scrutiny around artificial ingredients is trending upward, too. As manufacturers embark on formulation projects, that’s the consumer lens sweetener solutions must deliver against.

Challenges in Sugar Reduction

Addressing these expectations isn’t always easy. Even in beverages, sugar’s influence stretches well beyond sweetness, impacting viscosity, mouthfeel, and the overall flavor profile. Lowering sugar levels can alter the entire taste experience. That’s why we take a holistic approach to formulation, using a diverse toolkit to fine-tune sweetness, texture, and flavor nuances. 

Cargill’s comprehensive portfolio, which spans stevia, erythritol and allulose, plus plant proteins, texturizers, stabilizers, emulsifiers and more, enables brands to refine their formulations to meet consumer demands without compromising indulgence. 

  • For brands that prefer a leaf-based solution, our ViaTech® stevia leaf extract line includes options tailored for use in dairy and plant-based applications. They’re a great choice for products aiming for low to moderate sugar reductions.
  • For deeper cuts, including no-sugar-added, we often recommend EverSweet® stevia sweetener, which is made via fermentation.  It’s light years away from early stevia iterations, offering improved taste and delivering a higher sweetness intensity with a more sugar-like taste.
  • Beyond individual sweeteners, our ability to create sweetener blends adds even greater formulation flexibility. Pairing stevia with complementary sweeteners like erythritol and allulose improves upfront sweetness, rounds out the flavor profile, and helps bring back bulk and recreate mouthfeel. We also offer texturizers and stabilizers that can improve mouthfeel, adding body and creaminess to formulations.
  • For the most complex challenges, EverSweet® stevia sweetener + ClearFlo™ natural flavor provides an additional layer of functionality. The resulting sweetener system offers wide-ranging benefits that include an improved sweetness profile, flavor-modification properties, greater solubility and stability, and enhanced mouthfeel.

Leveraging these sugar-reduction solutions, we help brands create beverages with less sugar — or no added sugar at all — without compromise. The result? Drinks that are just as satisfying and delicious, so consumers never feel like they’re missing out.  

67%

Likely to check ingredients

Source: Cargill IngredienTracker, 2025

56%

Concerned about artificial sweeteners

Source: HealthFocus International, U.S. Trend Study, 2024

76%

Try to limit or avoid sugars

Source: IFIC, 2024 Food and Health Survey

Innovation in Action

Still, sugar reduction is just one piece of the puzzle. Today’s consumers also expect added protein, functional benefits and indulgent flavors. To showcase those possibilities, we’ve created innovative concepts that demonstrate how different ingredients can work together to optimize taste and functionality in real-world applications that consumers will love. 

When it comes to chocolate milk, taste is non-negotiable — especially for kids. If it doesn’t hit the mark, they won’t drink it. But with added sugar under increasing scrutiny, parents are looking for lower-sugar options they can feel good about serving. Cargill’s ViaTech stevia leaf extract offers a label-friendly way to reduce sugar while maintaining the indulgent taste kids crave. For brands reformulating existing products, our team can support a gradual, stepwise approach — helping young consumers adjust to lower sugar levels without sacrificing

chocolate milk

Image Credit: WS Studio/iStock / Getty Images Plus via Getty Images

plant base beverage

Image Credit: etorres69/iStock / Getty Images Plus via Getty Images

Plant-based beverages come with unique formulation challenges, particularly high-protein options, which can bring bitterness, astringency and off-notes. Our Plant-Based Pea Protein and Coconut Milk Hydration Beverage concept uses EverSweet® stevia sweetener to overcome these hurdles, delivering a smooth, well-balanced taste without added sugar. 

Sugar does more than sweeten — it adds body and texture, too. Without it, no-sugar-added beverages can feel thin and unsatisfying. Our Mexican Chocolate Mocha concept solves this with a strategic blend of EverSweet® stevia and Zerose® erythritol, creating a rich, full-bodied experience with zero added sugar. 

Mexican Chocolate Mocha

Image Credit: AegeanBlue/E+ via Getty Images

RTD latte

Image Credit: Rimma_Bondarenko/iStock / Getty Images Plus via Getty Images

RTD lattes are a go-to indulgence, but their high sugar content can be a turnoff for health-conscious consumers. Our London Fog Plant-Based Pea Protein and Coconut Milk Latte concept offers a better solution, leveraging our advanced EverSweet® + ClearFlo® sweetening system to balance flavors, smooth out astringency, and deliver a creamy, café-style experience — without added sugar.

Many plant-based protein powders fall short on taste and texture, but our Plant-Based Protein Powder Beverage concept overcomes these challenges. Using PURIS® 2.0 pea protein, Gerkens® Sweety Bliss cocoa powder and EverSweet® stevia sweetener, we crafted a delicious protein drink mix, packed with 19 grams of protein per serving and no added sugar. 

Plant-Based Protein Powder

Image Credit: Alexey Avdeev/iStock / Getty Images Plus via Getty Images

As these concepts highlight, our comprehensive sugar-reduction toolkit allows us to take a nuanced approach to sugar reduction, customizing solutions based on application, flavor profile and consumer preferences. By tailoring sweetening strategies to each application, we help brands meet their product development targets while ensuring consumers enjoy a satisfying sensory experience.


The Future of Sugar Reduction

As consumer demand for sugar reduction continues to grow, dairy and dairy-alternative brands must stay ahead of the curve. It’s not just about removing sugar — it’s about making smarter choices that deliver on taste, nutrition and functionality.

Consumers rarely focus on a single claim in isolation. Along with less sugar, they may also want higher protein and no artificial ingredients. Cargill has the depth of resources to help brands navigate all those needs, helping brands connect the dots – and sweeten the future of dairy and dairy-alternative beverages.

KEYWORDS: sugar reduction

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Allison Leibovich, Marketing Manager for Dairy and Dairy Alternatives, Cargill

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