Kraft Heinz Launches Ketchup Zero Ahead of Expected Sugar Tax Hike

FMCG
June 27, 2025

Kraft Heinz is staying one step ahead of changing regulations with the launch of Ketchup Zero, a no-sugar-added version of its iconic condiment, just as governments worldwide ramp up efforts to reduce sugar consumption through taxation.

With increasing pressure on food and beverage companies to cut sugar from their products, Kraft Heinz has taken a proactive approach. The introduction of Ketchup Zero comes at a strategic moment, as discussions around expanding sugar taxes to include a wider range of products (beyond soft drinks) gain momentum in several countries.

Why Now?
Many governments, including the UK and several EU nations, are considering stricter sugar legislation in response to growing concerns over obesity and public health costs. This could mean higher taxes for sugary condiments, sauces, and even ready meals.

By introducing Ketchup Zero now, Kraft Heinz is positioning itself ahead of the curve, appealing to both health-conscious consumers and regulators. The product contains zero added sugar, while still aiming to deliver the same rich tomato flavour that fans love.

Consumer Demand Meets Compliance
Consumer preferences are shifting. More people are actively reading nutrition labels and cutting back on added sugars. Ketchup Zero taps into that market, while also helping Kraft Heinz future-proof its portfolio against tightening regulations.

In a press statement, the company emphasized its commitment to “providing more choice without compromising on taste,” highlighting a broader shift toward healthier innovation.

What It Means for the Market
This move signals a larger trend: legacy food brands are no longer waiting for laws to force reformulation. They're pre-empting policy and in some cases, using it as a launchpad for new product lines.

If sugar taxes do expand to include sauces and condiments, Kraft Heinz will already have a compliant, consumer-ready option on shelves. And for competitors? The pressure is on.

Final Thoughts
Whether motivated by health trends, tax policy, or competitive strategy, Ketchup Zero shows how major food brands are adapting in real time. It's not just about cutting sugar, it's about staying relevant in a rapidly changing food landscape.

Image Credit: Kraft Heinz

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