Botanical Extracts Market

Botanical Extracts Market Size Analysis

According to a recent survey conducted by ChemView Consulting, the Global Botanical Extracts Market grew at a CAGR of 6.7% between 2017-2021 and is estimated to be US$ 5,102.7 Mn in 2022. Currently, the market is anticipated to grow at a CAGR of 7.6% and is expected to reach a valuation of US$ 10,615.1 Mn by 2032 end.

Throughout the projected period, the market is anticipated to grow. There will likely be a rise in demand for plant extracts due to the rising prevalence of deficiency disorders, including anemia, scurvy, rickets, etc., and the resulting surge in the need for nutritional supplements.

Market Dynamic

VARIOUS HEALTH BENEFITS ASSOCIATED WITH THE PRODUCT WILL DRIVE THE MARKET FOR BOTANICAL EXTRACTS

The global plant extracts market is anticipated to experience moderate to high growth projected due to its various health advantages and capacity to function as a substitute for contemporary treatment methods. Growing appetite for ready meals, expanding knowledge about the benefits of organic goods versus synthetic products, and increasing preference for food and other uses are all expected to drive the market’s growth.

LACK OF TECHNOLOGY AND PRICE VOLATILITY HAMPER THE MARKET GROWTH

Botanical ingredients manufacturers work with raw materials such as tea leaves, ginseng roots, and others to produce extracts, concentrate, and other formulations. Raw materials are agricultural commodities, so the market for these is extensive. Raw materials prices frequently fluctuate due to demand from the different industries in which they can be used, economic conditions, and trade relationships. This disrupts the cost structure and profit margin of botanical ingredient manufacturers. The market presents challenges for these manufacturers

THE RISE IN `MEDICATION FOR CHRONICLE ILLNESS WILL CREATE MORE OPPORTUNITIES FOR THE MARKET

Due to the expanding number of chronic and lifestyle disorders, a far more innovative approach that addresses the illness while minimizing negative consequences is required. Botanical pharmaceuticals can replace allopathic drugs. These drugs are made from organic substances with medicinal or health-improving effects. As a result, growing awareness of the negative side effects of allopathic medications is another driving factor in the market. Botanical extracts have no negative side effects, unlike other chemical-based ingredients in personal care and cosmetics, pharmaceuticals, and food and beverage products.

COVID-19 Impact

A particularly vicious virus has recently swept the globe and severely impacted the business operations of several industries. The COVID-19 pandemic had a varied impact on the global market. The implementation of stringent movement and trade restrictions across major economies, in covalence with the multi-fold increase in air freight costs, disrupted the global supply chain and thus hampered the industry growth. On the flip side, the dramatic rise in demand for immunity-boosting products significantly increased the usage of botanical extracts. The market value might not catch up to the pre-COVID-19 value until 2027.

Market Segments Covered in Report

By Source :

• Flowers
• Herbs
• Fruits
• Spices
• Tea Leaves
• Others

By Form :

• Powder
• Liquid

By Technology :

• CO2 Extraction
• Solvent Extraction
• Steam Distillation
• Enfleurage
• Others

By Application

• Cosmetics & Skincare
• Pharmaceutical
• Food & Beverage
• Others

By Region and Country:

• North America (U.S., Canada)
• Latin America (Brazil, Mexico, Rest of Latin America)
• Europe (Germany, Italy, France, UK, Spain, Netherlands, Norway, Russia, Rest of Europe)
• Asia-Pacific (China, Japan, South Korea, India, Indonesia, Thailand, Vietnam, Australia & New Zealand, Rest of Asia-Pacific)
• Middle East (Saudi Arabia, Turkey, UAE, Rest of Middle East)
• Africa (South Africa, Nigeria, Egypt, Rest of Africa)

Segment-Wise Analysis

Which Technolgy Will hold the highest market share?

Carbon Dioxide extract is a novel and superior extraction technology. It utilizes plant components, including fruit, vegetables, herbs, and spices. This method results in greater extraction of herbal ingredients without burning the taste buds. The extract flavors soft drinks, confectionery, and dairy products. CO extracts are utilized in medicinal, nutritional, and oral care products.

Why are personal care products projected to ensure the most revenue during the forecast period?

At 32.0% of the market, personal care products had the greatest revenue share. In the personal care and cosmetics industry, botanical extracts can be used as a source of proteins and minerals. Powdered botanical extracts are often used as coloring agents, emulsifiers, preservatives, flavor enhancers, and antioxidants in food products. Powdered botanical extracts can also help increase skin hydration levels, which is beneficial for treating various skin conditions such as rosacea and hyperpigmentation.

Why is the food and beverage sector expected to expand the fastest during the forecast period?

The food and beverage sector held the largest market share in 2021 and is expected to retain its dominance throughout the projected timeline. It is expected that food producers will continue to search for ways to preserve their product quality while extending the shelf life of their products, with botanical extracts holding much potential as an ingredient. Because health concerns are often associated with additives, manufacturers have gravitated towards natural ingredients.

Region-Wise Analysis

The regions analyzed for the market include North America, Europe, Latin America, Asia Pacific, Middle East, and Africa.

• In 2021, the Europe market held a sizeable revenue share of 31.2%. The beverage industry is expanding because of the increasing trend for RTD beverage as customers’ preferences change from carbonated drinks to ones containing healthy, organic components such as kombucha and matcha.
• Asia Pacific’s botanical extracts market is expected to grow due to the increasing inclination toward a healthy lifestyle. The rising food & beverages industry, coupled with an improving economic outlook, is also driving regional product demand.

Competition Analysis

The market giants’ growing strategic alliances are what drive the competitive dynamics. To increase their global presence and pave the way for potential future growth prospects, these businesses have used various growth strategies, such as acquisitions, mergers, partnerships, collaborations, and the development of new products.

Some of the key developments that have taken place in the Botanical Extracts Market include:

• In March 2022, For a White Lavender bio-regeneration project, Symrise worked with CRIEPPAM. The following generation of Symrise’s White Lavender plants will be produced thanks to their collaboration with CRIEPPAM.
• In May 2022, A post-workout painkiller was introduced by Arjuna Natural. The major goal is to offer clients a secure, all-natural herbal medicine that instantly relieves pain.

A list of some of the key suppliers present in the market are:

• Symrise
• Kancor
• Synthite Industries Ltd.
• Ransom Naturals Ltd.
• India Essential Oils
• G. Industries
• Flavex Naturextrakte GmbH
• Arjuna Natural Pvt. Ltd.
• Firmenich SA
• Robertet Group
• Sami Spices
• doTERRA

Report Coverage and Highlights

• Our comprehensive, data-backed, and facts-oriented report provides niche and cross-sectional analysis at global and country levels.
• Assessment of the historical (actual data) and current market size (2017-2021), market projections (2022-2032), and CAGR.
• The market assessment across North America, Europe, East Asia, South Asia & Pacific, Latin America, Middle East, and Africa.
• Competitive tactical intelligence, key strategies adopted by top players, production capacity and company shares analysis, product brand surveys, and export-import analysis
• Pricing analysis to set and benchmark your current or future offerings across each product type helps you understand whether your pricing strategy is aligned with market expectations and can be compared to market disruptions.
• Predictions on critical supply and demand trends and technological expertise needed to address operations scalability.
• Consumer behavior shifts and their implications for players, list of end-users, and their consumption analysis.
• Key drivers, restraints, opportunities, and emerging trends impacting the market growth.
• Value chain analysis (list of manufacturers, distributors, end-users, and average profitability margins).
• Strategic market analysis, recommendations, and future headways on crucial winning strategies.