PureCircle, an international producer and marketer of stevia products, has signed a Memorandum Of Understanding (MOU) with British Sugar Group on July 26, 2010 for the formation of The Natural Sweetness Company (TNSC). TNSC will be a sales and marketing joint venture owned equally by both companies.

TNSC will work on developing and marketing a selection of products that combine the benefits of both sugar and Stevia to meet the food and beverage industries' requirements for reduced calorie natural sweet applications.

The JV will operate across British Sugar's core territories of the UK, Spain, Portugal, Ireland, China and Africa.

According to the duo, who have experience in developing proprietary technologies tied to natural, sweet products, this agreement as an important vehicle for growth.

Mark Carr, chief executive of British Sugar Group, said: "We are delighted with our agreement with PureCircle, the global leader in providing high purity Stevia products.

"We look forward to working together to develop a range of products that can provide an attractive proposition for customers seeking lower calorie, natural sweetening solutions. This agreement complements British Sugar's core sugar business and enhances its product portfolio and growth opportunities."

Magomet Malsagov, CEO & president of PureCircle Limited, said: "We know that our global customers want naturally reduced calorie sweetener options provided to them around the world to complement their existing sugar options.

"When we were looking for global partners, British Sugar was the stand out choice across all measures in its core markets. As we work together it is clear that there is a strong alignment in how we see the sweetener market developing."

In 2008 Rebaudioside A (Reb A), a single molecule from the Stevia plant, was granted US Food and Drug Administration (FDA) GRAS (generally regarded as safe) status for use as a sweetener ingredient in beverage and food products.

EU regulatory approval is anticipated in spring 2011.

On a weight basis high purity Rebaudioside A is said to be up to 400 times sweeter than sugar, has no calories, has a low glycemic index and is heat and pH stable.

It is estimated that in excess of 80 per cent of the world's high purity Rebaudioside A has been produced by PureCircle. Stevia is now being grown for PureCircle in 15 countries across South America, Africa, and Asia.