Market Trends of Licorice Extract Industry
Growing Applications of Natural Ingredients
The plant-based ingredients market is majorly being driven by factors, such as rising health concerns, as a result of which the consumers are increasingly seeking food and beverage products containing natural ingredients that are free of added sugar, and artificial flavors, among other such ingredients. Thereby, the growing use of licorice extract in various industrial sectors, such as dairy, bakery, beverages, and dietary supplements, among others, owing to the flavor, and functional properties of these ingredients have helped drive the growth coupled with increased imports to many countries over the review period.
Along these lines, the players in the market have been focused on strategies such as expansions and product innovations to cater to the shifting preferences of customers in the market. For instance, Döhler Group SE provides a wide range of organic components and ingredient products including licorice, that turn the finished product into an original flavor creation with supplementary elements. According to the manufacturer, the licorice extract can be used in craft beers, herbal drinks, immune-booster drinks, water plus, dairy drinks, revitalizing water, non-alcoholic spirits, and cocktails, among other beverages.
Thus, the intense growth of the market studied has been due to the increased applications of licorice extract in food, beverage, and dietary supplement products to satisfy growing consumer demand for higher quality, natural, and sustainable products.
North America is the Fastest Growing Market
The growing number of health-conscious consumers in the region, coupled with the rising preference for organic products, especially among the millennial population, is propelling the sales of licorice extracts in the region. In addition, the rising prevalence of various chronic disorders, such as diabetes and obesity, is expected to grow in the market, as licorice extract can be used as a natural sweetener The rising investments in research and development activities are also expected to provide opportunities for regional manufacturers. The United States market has witnessed greater incorporation of plant-based ingredients in various functional foods. As consumers retransform their food habits, moving away from junk food toward healthier alternatives, food and beverage manufacturers, as well as food service patrons have started introducing healthier food and beverage products made with botanical ingredients to enhance appeal among consumers. For instance, according to International Food Information Council (IFIC), 48 percent of participants in a survey conducted in the United States, in 2021, states that they prefer to buy products with all-natural flavors.
Furthermore, the increasing concerns about the harmful impact of chemicals have been a key factor driving the growth of natural ingredients in cosmetics. For instance, according to a study published in PubMed Central, the skin conditions eczema, athlete's foot, and psoriasis can all be helped by using licorice root extract as a healing agent and has also been demonstrated to reduce inflammation and irritation associated with these illnesses. Furthermore, according to the study licorice extracts have skin-lightening benefits and aid in giving protection against ultraviolet radiation-induced erythema.
