STEVIA:
THE NEXT GENERATION
OF SWEETENERS
WORLD HALAL
RESEARCH SUMMIT
23rd - 25th June 2010
Kuala Lumpur Convention
Centre
PureCircle Limited. All Rights Reserved 2010
What is Stevia?
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A genus in the chrysanthemum family
Semi-humid sub-tropical plant
Can be grown easily like vegetable crop
Native to Brazil and Paraguay
Perennial in nature
Mainly grown for its sweetness content
Sweetener extracted from this plant can be substituted for sugar.
Sweetener up to 300 times sweeter than sugar
Zero calorie
Medically possible in treating obesity and high blood pressure
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Stevia Plants
3
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Young Plants
4
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Stevia Farm
5
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Stevia Leaves and Extracts
6
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Structure of the Sweeteners Industry
Sweeteners
Caloric
Zero/Low Calorie
- Sugar
- Honey
- HFCS
High Intensity
Artificial
Natural
- Stevia
- Luo han guo
- Glycyrrhizin
7
- Aspartame
- Saccharin
- Cyclamate
- Sucralose
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Bulk
- Sorbitol
- Xylitol
- FOS-syrup
Market for Stevia
 Huge global Sweetener
market – opportunity over
$60bn
 Sugar
 HFCS
 HIS $3bn+
$50bn
$6.5bn
 Market pull through
 Global obesity and diabetes
epidemics
 Consumers want Natural
 F&B businesses need natural
solution to the calorie issues
 Pepsico, Coke, Nestle, General Mills
announcements : must reduce
calories by 20+%
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 The Natural Solution
is STEVIA
 Natural Mass Commodity
just like Sugar/HFCS
 Regulatory clearances
confirmed in all key
markets
 Major product launches
Product Launches
 Stevia-sweetened products launched
 35 countries across 6 continents
 200 launches in 2009
 154 first 4 months of 2010
 Category:
 Beverage, chewing gum, table-top sweetener, snacks, cereals,
desserts, confectionery, ready meals, dairy, yoghurts, sauces,
dressings, chocolates, bakery
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Product Launches
 Companies:
 U.S.A.
 Pepsico, CocaCola, Merisant,
Cumberland, Apple Rush,
Target Corporation, Arizona
Beverage Company, Kraft,
Starbucks, Lipton, Ragold,
Danone, Nestle, WhiteWave,
Goodman Fielder
 New Zealand
 Frucor, Puredent Gum,
Goodman Fielder
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PureCircle Limited. All Rights Reserved 2010
 Australia
 Hermes Sweeteners, Steaz,
Blue Sky Free, Goodman
Fielder
 Canada
 Pepsico Canada
 Switzerland
 Villars Maîitre Chocolatier
 France
 Abbaye de Sept-fons
 Malaysia
 Nestle
Global Manufacturers Are Adding Stevia Products to
Their Portfolio Across Many Categories
CSD
Sprite Green
SpoonableYogurt
Blue Sky Free
Enhanced Water
Vitamin Water
Zero
Sobe Lifewater
Table Top
Sun Crystals
PureVia
YoCrunch
Meadow Fresh
DrinkableYogurt
Yoco
Bliss
Flavored Water
Bonafont
Supplement
Water
Confectionery
Velamints
Villars
Baked Goods
Salad Dressing
Living Lighter
Wish-bone
Soymilk
Silk Light
Powdered Mix
Crystal Light
Nature’s Splash
Juice
Trop50
Tea
Odwalla
Green Tea
Minute Maid
Sports Drink
Allsport Naturally Zero
G2 Natural
Powerade Play
Success With Zero & Reduced Calorie Offerings
Zero Calorie
Vitamin Water 0
Sobe Lifewater 0
Reduced Calorie
Trop 50
Odwalla
G2
Sprite Green
Bonafont
Silk Light
Allsport
Tazo
Aquafina Plus
Minute Maid
Epika
Lo-Cal Juice
Bliss
Fanta Still
Blue Sky Free
Yoco
Supplement Water
Nature’s Splash
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Chilled Tea
Crystal Light
True Lemon
PureCircle: Stevia-Based Sweeteners
Purified Steviol
Glycosides
Glycosyl Stevia
Stevia Blends
RebA
SW-SG95
RebA-Pal
Stevioside
SW-RA
RebA-Sugar
RebD
Sweta-80
RebA-Eryth
RebB
Sweta-90
Sbio
G1G2-St
SG95
G1G2-RebA
G1G2-Bulk
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Rebaudioside A (‘Reb-A’)
 Molecule found in the Stevia leaf
 100% natural & healthy
 250-300 times sweeter than sugar…with same taste profile
 Zero calorie
 Low glycemic index good for diabetics
 Tooth-friendly!
 PH stable (unlike sucralose) : shelf-life and CSD
 Highly stable in cooking, baking and freezing
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PureCircle RebA
• Rebaudioside A content >97%
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•
Fully complies with 2009 FCC specification
Complies with specifications set in 2008 FDA GRAS notices (GRN252 and 253) and 2010 revised French
regulation
• High volumes of the production enabled by largest extraction and refining facilities in the industry and the most
diversified Stevia supply chain
• Ability to carry out the purification of RebA from any types of extract
• Proven consistent quality and high purity
• Halal and Kosher certified
• cGMP, HACCP, ISO standards
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PureCircle Pure n’ Sweet 95
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JECFA specification standard with 50% Reb A content
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250X sweeter than sugar
•
Completely natural, non-caloric sweetener with zero glycemic
index
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Stable under processing, usage and storage conditions
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Compatible with a wide range of food ingredients
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At about one third the price of sugar, it presents manufacturers
with significant cost savings opportunities
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Replace 30%+ sugar content in new products and with the aid of
flavour modification in existing products
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Halal and Kosher certified
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cGMP, HACCP, ISO standards
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05
01
PureCircle Sweta
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Made from enzymatic treatment of natural steviol glycosides
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100X sweeter than sugar
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Commercially available
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Stable under processing, usage and storage conditions
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Compatible with a wide range of food ingredients
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At about one half of the price of sugar, it presents manufacturers with
significant cost savings opportunities
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•
Replace 50% or more sugar content in many applications
•
Halal and Kosher certified
•
cGMP, HACCP, ISO standards
PureCircle
Limited. All Rights Reserved 2010
05
01
Delivering the highest quality
At PureCircle, delivering the highest quality
product to our customers is critical to both our
success and theirs
How do you define quality?
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01
A Checklist on Quality
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Applications
APPLICATIONS
Food
• Soft drinks
• Alcoholic drinks
• Beverages
• Seasonings
• Confectioneries & Bread
• Yogurt and Dairy products
• Ice cream & sherbet
• Soy sauce & soy paste
• Sea foods
• Table-top sweetener
• Chewing gum
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Pharmaceutical
• Pharmaceuticals
• Cosmetics
•Tooth-paste
Stevia Sweeteners - Applications - JAPAN
Products
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Total, %
Japanese-style pickles
28.1
Dried sea foods
12.6
Soy sauce and soy-paste
6.3
Mashed and steamed fish and meat
4.9
Seasonings
4.8
Sea foods boiled down by soy sauce
2.7
Beverages & yoghurt
17.1
Ice cream and sherbet
12.6
Confectioneries and bread
3.5
Table-top sweeteners, etc.
7.4
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Stevia Sweeteners - Applications – S.Korea
Products
22
Total, %
Soju (distilled liquor, 25%)
15.4
Unrefined rice wine
7.7
Confectionary
7.7
Medicine additive
13.8
Soybean sauce
25.4
Pickle
7.6
Others (ice cake, etc)
22.4
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Stevia – Caloric Comparison in Various Foods
Product
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RebA
Sugar
Carbonated Soft Drink (0.24 L)
1
103
99% Reduction
Lemonade 0.24 L
5
107
95% Reduction
Chocolate Pudding ½ cup
90
172
48% Reduction
Hot Chocolate 0.24 L
64
148
57% Reduction
Yoghurt ½ cup
100
210
52% Reduction
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Benefit
Stevia – Benefits of Stevia Application (I)
Products
Sugar, %
RebA, %
Carbonated Soft
Drinks
Example:
•Canned soft
drinks
9-15
~0.06
Still/RTD
Beverages
Example:
•Juices,
•Non-carbonated
soft drinks
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RebA Benefits
* Reduces calories, making them
suitable for people with low sugar diet;
* Sugar-free labeling;
* Sweet taste at low concentrations
* Synergistic with sugar
* pH 3-9 stable
* Dissolves easily
* Same as for Carbonated Drinks
* Extends and complements flavors
9-15
~0.06
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Stevia – Benefits of Stevia Application (II)
Products
Sugar, %
RebA, %
Dairy Products
Example:
•Plain Yogurt
3 -5
~0.02
•Fruited / Flavoured
Yogurt
6 -12
~0.06
14 - 22
~0.08
•Refrigerated
Chocolate Milk
5-7
~0.04
Seasoning, Sauces
and Canned Foods
5 - 10
~0.09
•Ice Cream
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RebA Benefits
* Same as for Carbonated Drinks
* Non-fermentation properties extend
shelf-life
* Non-cariogenic
* Same as for Carbonated Drinks
* Improves taste
* Shortens salting time and prevents
dewatering
* Extends shelf life
Stevia – Benefits of Stevia Application (III)
Products
Powdered
Beverages
Cordials
Sugar, %
RebA, %
30 - 65
~0.25
* Same as for Carbonated Drinks
* Appropriate use of bulking agents
would be necessary
30 - 65
~0.20
* Same as for Carbonated Drinks
* Extends and complements flavours
~0.10
* Same as for Carbonated Drinks
* Do not cause Maillard reaction
* No browning effect
* Use of bulking agents would be
necessary
Backed Goods
Example
• Biscuits, Cakes
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RebA Benefits
10 - 25
PureCircle Limited. All Rights Reserved 2010
About PureCircle
 Pioneer in extraction of natural goodness from plants
 Leading global producer of natural high-intensity sweeteners,
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including high-purity Rebaudioside A (Reb A)
Vertically integrated supply chain operating in three continents.
Activities range from breeding of proprietary stevia varieties,
sourcing of dry stevia leaves and extraction, and purification of
extracts into sweetening ingredients to the marketing of these
ingredients to food and beverage manufacturers worldwide
Listed on the London Stock Exchange AIM market with the ticker
symbol: LSE.PURE
For more information, visit www.purecircle.com.
PureCircle Limited. All Rights Reserved 2010
PureCircle Produces 90% of Reb A Today
Leaf Market
60%
Extract Market
86%
Refinery Market
91%
PureCircle Share of Market
PureCircle Has Invested $200M in Stevia Infrastructure
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PureCircle Limited. All Rights Reserved 2010
PureCircle Scale Leadership
PureCircle produces 90% of Reb A sold today.
Leaf
Market
Pure
Share
Extract
Market
2005
200
200
25
20
2009
50,000
30,000
4,000
3,500
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Pure
Share
Refinery Pure
Market Share
5
2,200
5
2,000
Extract capacity (4,000 tonnes) is larger than rest of Industry combined
It took PureCircle 3 years and $150m to develop current capacity
3 to 5 years leadership
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Pure
Invested
$50m
$200m
PureCircle Group Corporate Structure
PURECIRCLE LIMITED
Bermuda - LSE listed
23 July 2007
100
PURECIRCLE SDN BHD
Malaysia
3 May 2002
100%
%
PURECIRCLE SA
Geneva, Switzerland
22 May 2008
100%
PURECIRCLE USA Inc.
Delaware, USA
7 November 2008
98%
PURECIRCLE (JIANGXI)
CO., LTD
China
4 January 2002
30
PureCircle Limited. All Rights Reserved 2010
100%
FINLAY PURECIRCLE LTD
Kenya
23 April 2008
100%
*
PURECIRCLE*
AUSTRALIA PTY LTD
Australia
100
%
PURECIRCLE
SOUTH AMERICA SA
Paraguay
21 October 2008
PureCircle Global Network
Russia:
Sales from FY 2009
Switzerland:
European
head office
United States:
North America
head office
Japan:
Sales
China:
Sales office,
leaf buying &
extraction plant
Kenya:
Stevia leaf
plantations &
extraction plant
Paraguay:
Malaysia:
AsiaPac sales office
Refinery& head office
South America sales
office & plantations
Australia:
Sales office
31
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THANK YOU !
32
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33
PureCircle Limited. All Rights Reserved 2010
TABLETOP SWETEENERS
New “Green” Tabletop Category Surpasses Pink & Blue in $ Share, Just
One Year in Market
LEADING SUGAR SUBSTITUTES
($ Share)
Aspartame,
15%
(-15.4%)
Saccharine,
15%
(+333.4%)
(-1.7%)
Sucralose,
55%
(-0.1%)
Stevia, 16%
PureCircle Limited,. All Rights Reserved. 2010
Nielsen: (4 Weeks Ending 2/20/10)
Long Term, PureCircle Can Produce At Half The Cost of
Sugar
Tonnage
FY 2009
300
2 Years
1,500
Long Term
2,000
Pricing Global Accts (Kg)
$250
$160
$90
Pricing per pound in sugar equivalent
Reb A1
Sugar (Historic)
Sugar (Spot)
$.38
$.30
$.53
$.24
$.30
$.45
$.14
$.30
$.45
HFCS
$.16
$.20
$.20
This vision becomes possible only when thinking about stevia as a long terms
strategic ingredient
1
Assumes a ratio of 300X sweeter than sugar
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36
PureCircle Limited. All Rights Reserved 2010
Stevia rebaudiana Bertoni – Sweet Principle
Steviol Glycosides
Compound name
O-R2
CH3
CH2
R2
H
1. Steviol
H
2. Steviolmonoside
3. Rubusoside
H
-Glc
-Glc
4. Steviolbioside
H
-Glc- -Glc(21)
-Glc
5. Stevioside
-Glc
-Glc- -Glc(21)
6. Rebaudioside A
-Glc
-Glc- -Glc(21)
-Glc(31)
7. Rebaudioside B
CH3 COO-R1
R1
H
8. Rebaudioside C
(Dulcoside B)
-Glc
9. Rebaudioside D
-Glc- -Glc(21)
-Glc- -Glc(21)
-Glc(31)
-Glc- -Rha(21)
-Glc(31)
-Glc- -Glc(21)
-Glc(31)
10. Rebaudioside E
-Glc- -Glc(21)
-Glc- -Glc(21)
11. Rebaudioside F
-Glc
12. Dulcoside A
-Glc
-Glc- -Xyl(21)
-Glc(31)
-Glc- -Rha(21)
Private & Confidential ©Avetik Markosyan
Stevia Sweeteners – Commercial Viability – Metric Details
Metric Details: 5. Safety
• Pre-JECFA Stevia sweeteners were approved in many countries including: Japan,
Korea, China, Malaysia, Russia, Thailand, Brazil
•JECFA 2008 JECFA awarded steviol glycosides a permanent ADI of 4mg/kg (steviol
basis) which is equivalent to an ADI of 12mg/kg Rebaudioside A
• Australia and New Zealand approved steviol glycosides in 2008
• US FDA 2008 RebA is Generally Recognized as Safe (GRAS). For one specification
RebA purity has to be not less than 95% (Whole Earth Sweetener Company LLC
GRN252) and at least 97% according to the specification presented by Cargill
(GRN253). Level of use is in the range of 90-500 mg/kg
• In 2009 GRAS was awarded for purified steviol glycosides with rebaudioside A as the
principal component (GRN275 and GRN287)
• For SG95 GRAS notice was filed in 2010 (GRN323), FDA reply expected by August
2010
• France approved RebA in 2009
•EU Food Additive Approval (EFSA): Approval is anticipated in 2011-2012
Private & Confidential ©Avetik Markosyan
Vertically Integrated
From leaf to final product
Our quality advantage is vertical integration
Plant Breeding
Harvesting
Extraction
Purification
Application
Breeding
proprietary
stevia varieties
with higher Reb
A content
Works directly
with local famers
across 3
continents
Producing our own
extract to ensure
quality standards
are met
Purifying Reb A
with an
unmatched
scale/
consistency
Providing
formulation
expertise to
deliver great
tasting products
PureCircle Limited,. All Rights Reserved. 2010
Finished
Product
Supporting
consumer
communications
with equally
powerful stevia
equity
Reb A Price Comparison
•
Reb A price :
Immediate - $180/kg
Mid Term - Approx $150/kg
Long Term - Lower than Sugar price
•
Sugar price :
US sugar price - $0.22/lb = $500/mt
At 250-300 times sweeter = $125 - $150/kg
•
HFCS price : 10 – 20% cheaper than Sugar = $100 - $120/kg
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•
•
•
HIS Sweetener costs (like for like equivalent)
- Splenda/Sucrolose = $60 - $25/kg
- Aspartame = $15/kg
- Saccharine = $12/kg
PureCircle Limited - Private &
Confidential
40
Leaf Quality Development
CHINA
REST OF WORLD
Average
Best
Now
Best
SteviolGlycosides
% content
8-10
10-12
12-14
14-16
Reb A % of the SG
content
40-45
45-50
50-55
55-60
Net Reb A %
3.2-4.5
5-6
6-8
8-10
Implied ratio
(1/Reb A %)
25-30
16-20
12-16
10-12
FY 2009: impurities of > 30-40%
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PureCircle Innovation Leadership
2001 Reb A content was only 15-20%
Leaf Quality over Time
Today
China
SG %
Reb A %
2 Years
Mixed
Long Term
Rest of World
8-10%
12-14%
14-18%
40-45%
55-65%
65-80%
Resutlng Lbs of Leaf necessary to make 1 Lb Reb A
Leaf
35-45
15-20
10-15
Leaf improvements can ONLY occur with major investments OUTSIDE China
Already own proprietary varieties with twice the Reb A content of industry average
05
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