ISOMALT

Page 1
 PRODUCT CHARACTERISTICS
► Alternate names Isomalt
Isomaltitol
Palatinitol
► Chemical name :6-O-alpha-D-Glucopyranosyl-D-sorbitol (1,6-GPS) and
1-O-alpha-D-Glucopyranosyl-D-mannitol dihydrate (1,1-GPM)

► CAS No. 64519-82-0

► Appearance White, odorless powder or granules
► Molecular formula C12H24O11
► Melting point 145 to 150 deg. C

Storage
► The product should be stored at room temperature with container tightly
closed in a dry place.

Page 2
 PRODUCT SPECIFICATION

Description Value
Isomalt (GPS+GPM) ≥98 g/100g
D-Mannitol ≤0.5 g/100g
D-Sorbitol ≤0.5 g/100g
Water Content ≤7 g/100g
Ash Content ≤0.1 g/100g

Reduced Sugars(as glucose) ≤0.3 g/100g

Heavy Metals ≤10 mg/kg

Lead ≤0.3 mg/kg
Nickel ≤2 mg/kg
Arsenic ≤0.2 mg/kg

Page 3
 PRODUCT SPECIFICATION
Salient features

Isomalt has low hygroscopicity, low cooling effect, provides bulk texture and preservative benefits
of sucrose in sugar-free and calorie-reduced products.

Isomalt when used alone contributes 45% to 65% of the sweetness that would result from the
same amount of sucrose. Isomalt can be heated without losing its sweetness or being broken
down. Therefore, it is used in products that are boiled, baked or subjected to higher temperatures.

Isomalt enhances flavor transfer in foods, dissolves in the mouth and does not have the cooling
effect characteristic of some other polyols. Its sensory properties make isomalt a suitable
ingredient for candies, chocolates, baked products and flavored applications such as fruit, coffee
and chocolate. It is used in tooth-friendly sweets, in calorie reduced foods and in special products
for diabetics.

Isomalt absorbs very little moisture. Therefore, products made with it tend not to be sticky. This
non-absorption of moisture makes isomalt an ideal ingredient in manufacture of candies and
chewing gums, where the candy that doesn’t stick to the wrapper is a key objective. Use of
isomalt also increases shelf life and can be used in hard candies that need to be stored in humid
climates.

Isomalt can cause gastric distress if consumed in higher quantities.

Page 4
 PRODUCT APPLICATION
Food sector

► Isomalt is a synthetic sugar alcohol and bulk sweetener with reduced calorific
value compared to sugar and is noncariogenic (tooth-friendly).

► Isomalt is used in the food sector in dairy, bakery and confectionery sectors
as a sweetener, bulking, anti-caking and glazing agent in low-calorie candies,
toffees, chewing gum, chocolates, ice creams, baked goods, ready-to-eat
cereals, fruit spreads, jams, preserves, etc.

Page 5
 PRODUCT APPLICATION
Pharmaceutical sector

► Isomalt can be used as excipient in the pharmaceutical industry for powder

blends and compression applications as well special ground grades for
processing technologies such as wet granulation, roller compaction and
fluid bed agglomeration.

► Its characteristics makes it suitable for various direct oral applications like
tablets, capsule and sachet fillings. It shows compactibility, flowability and
very low hygroscopicity. Its sweet, well balanced taste is an advantage for
the formulation of direct oral applications, even in combination with active
ingredients of unpleasant taste profiles.

► Isomalt is used in the pharma sector in infant formulas, cough syrups,

multivitamin/mineral supplements, pan-coated tablets, lozenges.

Page 6
 Regulatory status

► Isomalt was approved for consumption in the United States in 1990. Isomalt
has received health claims for both its low glycaemic and tooth friendly
characteristics by EFSA (European Food Safety Authority) and dental health
claim by The US Food and Drug Administration (FDA).

► Countries that have approved isomalt include USA, Australia, Canada, New
Zealand, Mexico, Switzerland and several others.

Page 7
 TRADE ANALYSIS

► Annual import / export

Period : April 2015 to March 2016 (12 months)

► Import 538 tonne
► Export Nil

Period : April 2016 to Nov 2016 (8 months)

► Import 533 tonne
► Export Nil

Page 8
 COUNTRY WISE IMPORT
–April 2015 to March 2016

Quantity
Country
(in tonne)

Germany 519

Belgium 19

Total 538

Page 9
 CIF PRICE OF IMPORTED PRODUCT

Country of import: Germany

Date of import Quantity ( in kg) Price (in Rs. per kg)

20-Apr-2016 10,200 158

31-May-2016 18,750 156

24-June-2016 17,304 157

11-Aug-2016 18,750 147

23-Sep-2016 18,750 148

21-Nov-2016 18,750 147

Source: Port bulletins

Page 10
 SUPPLY ANALYSIS

► Isomalt is presently not produced in India.

► No new project for isomalt is under advanced stage of

planning or implementation in the country at present.

Page 11
 DEMAND ANALYSIS

Demand driver
► Isomalt is largely used in the food sector in dairy, bakery and confectionery
sectors. The application sectors are growth oriented.

► Low calorie content, texture and taste that are similar to common sugar and
several other such properties make isomalt an attractive product in various foods.

► Sugar substitutes or products containing sweeteners such as isomalt are targeted

at consumers looking for weight reduction, have diabetes or other health
conditions. The increasing prevalence of lifestyle-related diseases such as obesity
and diabetes has increased consumer focus on low calorie food ingredients and is
expected to drive the demand for alternate sweeteners such as isomalt.

Growth rate in demand

► Annual Average Growth Rate (AAGR) in demand through 2023: 7%

Page 12
 Indian demand – April 2017 to March 2018

► Indian demand: 700 tonne

Sample of consumers
► Wrigley India Ltd. for chewing gums
► Hindustan Unilever for hard candies
► J.B Chemicals and Pharmaceuticals for sugar free
lozenges

Page 13
 Demand supply scenario

in tonne

Period Gap in supply

Production Demand
(April to March) met by imports

2017-18 Nil 700 700

2022-23 Nil 980 980

► It is considered that the demand growth would be 7 % per annum.

► It is considered that there would be no production, since no new

project is in advanced stage of planning or implementation in the
country at present.

Page 14
 GLOBAL SCENARIO
Period: 2016

Global production / demand: Around 60,000 tonne

Global producers

Global producers of isomalt include the following

Name of the organisation Location

Beneo Platinit GmbH Germany, Belgium
Cargill-Cerestar USA
Guangxi Weikete Biological China
Qingdao Honeycon Bio-Technology Co. Ltd China
Shandong Futaste Co China
Mitsui Sugar Co. Ltd Japan

Page 15
 GLOBAL SCENARIO

Global use pattern

► Sweetener is the largest application segment and accounts for over

90% of the total demand.

► Growing end-use industries such as commercial candy, cake

decorations, sugar sculptures in emerging economies of Asia Pacific
and Latin America are anticipated to drive the demand for isomalt.

Page 16
 GLOBAL SCENARIO

New project in Thailand

► Evonik has formed a joint venture with Thai company Rajburi Sugar by recently
investing in isomalt project.

► Evonik has announced that as one of the world's largest specialty chemical
companies, it will produce isomalt together with Rajburi Sugar in Asia. Rajburi Sugar
is one of the key manufacturers of sugar in Thailand and for the entire region, and is
increasingly engaged in producing low-calorie alternatives.

► The partners have officially opened a demonstration plant in Ratchaburi (Thailand).

► The company has also stated that the facility will employ a special, high-yield
production process developed and patented by Evonik. Total investment is in the low
single-digit million euro range.

Page 17
 PROCESS OUTLINE
► Isomalt is manufactured in a two-stage process.

► Sucrose is first transformed into isomaltulose by enzymatic conversion, which is in turn

hydrogenated to obtain isomalt, which is a two component mixture of 1,6 GPS and
1,1 GPM.

► 1,6-GPS 6-O-alpha-D-Glucopyranosyl-D-sorbitol and

► 1,1-GPM 1-O-alpha-D-Glucopyranosyl-D-mannitol dihydrate

Step 1: Sucrose to isomaltulose

► Enzymatic transglycosylation of sucrose using the immobilized cells of alpha-glucosyl

transferase, obtained from Protaminobacter rubrum, results in an isomaltulose-
containing solution with purity of approx. 80%.

► Subsequently, the isomaltulose solution is thickened and isomaltulose is obtained by

crystallization. The crystals are collected by centrifugation and dried.

Page 18
 PROCESS OUTLINE
Step 2: Isomaltulose to isomalt

► For the production of isomalt, the isomaltulose is redissolved and hydrogenated

under moderate and slightly alkaline pH values in fixed bed reactor. Catalysts such
as Raney nickelis used too give isomalt, which is an equimolar mixture of 1-O-alpha-
D-Glucopyranosyl-D-mannitol dihydrate (1,1-GPM) and 6-O-alpha-D Glucopyranosyl-
D-sorbitol (1,6-GPS).

► After further purification steps, the isomalt solution is thickened by means of multi-
stage falling film evaporator plants and crystallized to obtain crystals of isomalt.

Raw material requirement

Basis: One tonne of isomalt

► Requirement of sucrose: 1.6 tonne

Page 19
 SWOT ANALYSIS

Strength Weakness

Growth in demand in view of its Lack of experience in process

important use in the growth oriented operation in the country.
application sectors such as food
sector, confectionery sector and
pharmaceutical sector.

Opportunity Threat

Absence of production capacity, Import dumping possibilities, posing

providing opportunity for new project competitive threat for the project in
in India. Indian market.

Page 20
 RECOMMENDATION
Suggested capacity and project cost

► Suggested capacity 300 tonne per annum

► Raw material Sucrose

► Project cost Around Rs.15 crores

(excluding land, preliminary & pre operative expenses, technical know-how
and working capital)

Technology source
► Technology for the project may be acquired from abroad.

Page 21
 RECOMMENDATION

Factors influencing the position for the industry

► Isomalt is a speciality chemical finding application largely in the food,

confectionery and pharmaceutical sector in India.

► The demand for the product is likely to go up steadily in the coming years, in
view of the expected growth of the consuming sector in the country.

► As there is no production of isomalt, strong case exists to create fresh

capacity for isomalt in the country.

Page 22