Dive Brief:
- Wholesome Sweeteners, a U.S.-based organic sweetener manufacturer, has announced its acquisition of TruSweets, an organic candy maker. The companies did not disclose financial details of the deal.
- The acquisition will expand Wholesome Sweeteners' portfolio to include TruSweets' two candy brands, Surf Sweets and TruJoy Sweets.
- The deal offers Wholesome Sweeteners a larger presence in the growing better-for-you candy and free-from foods markets. TruSweets is already sold in both natural food stores and mainstream grocery stores, and its recipes are free from GMOs, gluten, corn syrup, and artificial colors and flavors.
Dive Insight:
"Better-for-you candy is a large and growing market. Consumers are actively seeking 'free-from' products to address their desire for cleaner food options. We're thrilled to welcome TruSweets to the Wholesome Sweeteners brand family. We're looking forward to building on the great path they have forged to give consumers organic candies that they enjoy eating and can trust buying," Wholesome Sweeteners CEO Nigel Willerton said in a statement.
Health-conscious consumers are seeing value in the free-from foods market as these products tend to be made with more natural ingredients and are usually devoid of allergens, gluten, GMOs, and/or artificial additives. According to Mintel, about 84% of U.S. consumers of free-from products said they believe free-from products are more natural or less processed, and about 43% said free-from foods are healthier.
USDA's Food Safety and Inspection Service recently released guidelines for companies concerning food allergens, which was what initially spawned the free-from foods industry in the U.S., according to free-from foods maker Enjoy Life Foods.
The candy industry hasn't had to worry as much as the rest of the processed food industry regarding artificial ingredients, considering candy's perception as a treat. Transparency remains the greater concern, though as evidenced by this acquisition, the organic candy market is seen as an opportunity.