Rare Sugar in ‘Magic Spoon’ Cereal Gets a Hall Pass From FDA

A rare natural sugar called allulose just got a favorable nod from U.S. regulators that could give a boost to companies including Tate & Lyle Plc, Ingredion Inc. and breakfast-cereal subscription startup Magic Spoon.

The Food and Drug Administration issued draft guidance on the sweetener on Wednesday, saying it’s the first time the agency intends to “allow a sugar to not be included as part of the total or added sugars” categories on food labels. London-based ingredient maker Tate & Lyle said the guidance came in response to a petition it made to the FDA.