Ingredion Pushes Ingredient Systems for Cost-Neutral Sugar Reduction in APAC

Jakarta, Indonesia — 16 September 2026

Ingredion is shifting its Southeast Asian strategy towards integrated ingredient systems, moving beyond single-ingredient solutions. This approach addresses the industry's complex challenge of reducing sugar and salt content while simultaneously preserving desirable textures and managing tight formulation costs, as highlighted at Fi Asia Indonesia 2026. Raymond Deidrick, Ingredion’s VP and general manager for Texture and Healthful Solutions for ASEAN, noted a pronounced industry trend away from isolated ingredients towards combined solutions that deliver specific functional outcomes.

Commercial viability drives this shift. Deidrick explained that while sugar reduction often inflates formulation expenses in Southeast Asia, cost-neutrality can be achieved by optimising the entire recipe. For instance, replacing an expensive masking flavour in conjunction with sugar reduction can offset costs, demonstrating that savings must be identified across the full ingredient bill rather than per component. This holistic view is crucial, particularly for Indonesian manufacturers, where affordability consistently outweighs health or texture as a primary concern, according to Ingredion.

Consumer insights from Ingredion’s 2025 ATLAS research reveal market complexities: 87% of Indonesian consumers would pay up to 30% more for reduced-sugar offerings, yet price remains a critical purchasing factor for over 40% of APAC consumers. This dichotomy necessitates a detailed understanding of customer priorities, which Ingredion addresses through 'solutions briefs' to align technical and sales teams on specific reformulation targets and acceptable trade-offs for texture, health claims, and cost.

Texture is a significant driver in Indonesia, with nearly 80% of consumers favouring products featuring multiple textures – one of the highest rates in APAC. This preference extends to contrasting elements like creamy and crunchy sensations, and even nuanced differences in 'crunch' types. Ingredion is showcasing innovations such as mochi donuts for texture retention, milk skin yogurt, and fried chicken coatings designed to maintain crispiness for up to eight hours while reducing oil absorption by up to 18%.

Beyond beverages, sugar and salt reduction is expanding into savory categories, notably sauces. Ingredion reports success in achieving 25% sugar and salt reductions in savory sauces for Indonesian clients, with concepts demonstrated at Fi Asia offering 50% reductions in products like lite tomato ketchup. This expansion into savory applications presents new opportunities for healthier product lines that also aim for cost parity or reduction.

Looking ahead, Ingredion identifies high-performing clean label ingredients and accelerated formulation support as critical for the next three to five years. Rapid shifts in consumer preferences demand faster product development cycles, prompting Ingredion to leverage AI in navigating its ingredient portfolio to enhance formulation efficiency.

What this means for Indonesia

Indonesian supplement manufacturers and brand owners must adapt formulation strategies to balance consumer demand for healthier options (87% willing to pay more for reduced sugar) with an overarching price sensitivity. Focus on multi-texture product innovation is critical, as nearly 80% of Indonesian consumers prefer it; this impacts ingredient sourcing and product design. Reformulation projects must adopt an ingredient system approach to manage costs, as single-ingredient swaps often increase expenses. Brands can leverage the expanding savory reduction trend, applying sugar/salt reduction to functional food formats. Compliance readiness for evolving clean label standards and swift product iterations, potentially aided by AI, will define competitive advantage in this dynamic market.

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