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UK fruit juices, energy and juice drinks sales struggle as war on sugar rages - research

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The UK market for fruit juices, energy and juice drinks is estimated to have fallen in 2015 by 0.6% in value terms and by 0.8% in volume terms compared to the previous year, according to a recently-published report by market intelligence provider, Key Note.

The combined segment has struggled in recent years, mainly due to the high-profile campaign against sugar, with numerous public health organisations, officials and other stakeholders issuing warnings - widely reported across media outlets - about excessive sugar consumption as a contributing factor to the prevalence of obesity and diabetes in the UK.

Soft drinks have largely borne the brunt of these attacks, with CSDs highlighted as a key contributor to sugar intake among adults, while juice drinks account for one of the major sources of intake among children.

Fruit juices have also been affected significantly in recent years as a result of warnings in 2013 regarding their high levels of fruit sugars, or fructose; this had such a dramatic impact on the market due to the prior positioning of fruit juices as being healthy beverages on the basis of their all-fruit content.

Continued pressure on the UK Government to tackle sugary soft drinks has led to two key public bodies - Public Health England and the House of Commons Health Committee - endorsing the suggestion of additional taxation on full-sugar soft drinks to reduce sugar intake.

Additional taxation has been heavily criticised by the industry and the current Government has so far resisted introducing tax measures, preferring instead to rely on reformulation and similar activities by the industry.

However, the authorities' plans for sugar reduction measures, including financial controls, are expected to be revealed later this year in its upcoming childhood obesity strategy, following the considerable impact of the public debate on sales across the soft drinks market.


Sectors: Soft drinks, Water

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