Benzoic Acid Market Size
|2019 - 2029
|Base Year For Estimation
|Fastest Growing Market
*Disclaimer: Major Players sorted in no particular order
Need a report that reflects how COVID-19 has impacted this market and its growth?
Benzoic Acid Market Analysis
The Benzoic Acid Market is projected to grow at a CAGR of 5.6 % over the next five years.
With the sudden outbreak of the COVID-19 pandemic, the strict government regulations led to increased demand for canned or packaged food and beverages worldwide; thus, the demand for the Benzoic acid market, which acts as a preservative, across the globe is growing drastically. The benzoic market has seen positive growth due to its prominence in the application segments in the past couple of years and is expected to continue attaining growth at a faster pace over the phase of the pandemic.
Food preservation is essential to raise the shelf life of canned food, instant food, and packaged food products, which accelerated the growth of the Benzoic acid market globally. The benzoic acid market is blooming owing to the increasing popularity of canned, packaged, or ready-to-eat food commodities among consumers all over the globe. However, to keep food safe and bacteria-free for a longer time, food producers are predicted to adopt such ingredients and elements that are budget friendly and safe, which is predicted to propel the demand for benzoic acid. Also, according to Food and Agriculture Organizationn, report ,benzoic acid and its salts are utilized as microbiological preservatives in a wide range of processed foods and beverages owing to their water-solubility, benzoic acidsalts are commonlyy utilizedd as food additives. The Join Expert Committee On Food Additives (JECFA) requirements of benzoic acid and its salts, such as sodium benzoate, potassium benzoate, and calcium benzoate, were developed and are now maintained to ensure that the quality of food additive grade materials is well-controlled by legislation in all countries.
Furthermore, benzoic acid is utilized for preparing phenols in the chemical sector and preservatives in toothpaste and mouthwash, which are essential commodities and is also used as a replacement for phthalate plasticizers with non-phthalate plasticizers, particularly in European and North American regions, which has created a great market opportunity for benzoic acid manufacturers with increasing application in paper industries. Apart from this, the benzoic acid market is propelling high growth owing to its usage in different ointments in pharmaceuticals for fungal skin disease treatment such as anti-aging, burns, ringworm, or athlete's food.
Benzoic Acid Market Trends
Increasing Demand For Processed Foods
The consumer's paradigm shifted toward processed food and beverage products such as snacks, fruit juices, processed meat snacks, frozen meals, and others to meet their daily meal requirement. With the rise in urbanization, growing middle-class population, increase in the number of working women, and the rise in disposable income, the developed and developing regions across the globe are witnessing a rising demand for processed and packaged food, which is thereby increasing the need for food packaging and processing solutions. Therefore, to preserve the freshness, safety, taste, appearance, and texture of processed foods, preservatives like benzoic acid are extensively used in processed and convenience food products. For instance, according to the United States Department of Agriculture, the forecast sales of packaged dairy products between 2017-2022, was 12.3%.
As an illustration, the Mexican market has witnessed an increase in the popularity of ready-to-eat (RTE) food products specially packaged versions of Mexican dishes and recipes, amidst growing urbanization. This trend has been strengthening the overall growth of food ingredients like preservatives, among others. Additionally, the prevalence of skipping meals such as breakfast in many European countries has increased consumers' preference for processed and packaged food and beverage products. As preservatives, including benzoic acid, are an important ingredient in processed food and beverage products, the end-user industries are actively looking for innovation in benzoic acid, which in turn has provided a great opportunity for the manufacturers to attain a significant market position through expanding their product portfolio and product launches.
North America Holds the Largest Share
Among North American countries, the United States is one of the most developed and sophisticated markets in the world. Health and wellness trends, clean labels, organic, functional, innovative product launches, and other value additions are the major drivers for this market. Sodium benzoate was the first chemical preservative that was approved to be used in food manufacturing by the Food and Drug Administration (FDA). Benzoate is used in different food and beverage products such as salad dressings, pickles, sauces, condiments, and fruit juices, among others, and has a varied daily intake capacity mentioned as specified by the government. Furthermore, the growth of the beverage industry across key product categories including fruit juice and carbonated drinks is anticipated to fuel the demand for food acidulants such as benzoic acid. According to statistics discovered by Beverage Digest Factbook 26th edition launched in 2021, carbonated beverage consumption per capita is 38 gallons in the United States. The United States still has some of the highest consumption rates in the world, with over 50 percent of respondents of a recent international survey stating that they consumed soft drinks at least multiple times a week if not every day. Thus, benzoic acid is most effective in low pH environments, specifically less than 5, thereby, making it suitable for use in acidic foods like beverages.
Furthermore, according to Agriculture and Agri-Food Canada, in 2021, the sales of bread totaled over USD 2.66 billion in revenue in the United States. The growing consumption of bakery products in different regions is creating a propelling market for food ingredients like food preservatives including benzoic acid, which plays an important role in the manufacture of bakery products.
Benzoic Acid Industry Overview
Benzoic acid is a highly fragmented market with the presence of a large number of local players across the globe. The extensive application of benzoic acid in various end-user industries has resulted in an increasing number of product launches by active manufacturers to consolidate their presence in the global market. The key players such as Lanxess AG, I G Petrochemicals Ltd. (IGPL), Merck KGaA, Chemcrux Enterprises Ltd, and The Chemical Company are also expanding their product range to capture maximum application areas of benzoic acid and attain a prominent share in the market. The giant manufacturers have intensified their research and development efforts to develop niche and innovative products based on the end-user industry's requirements.
Benzoic Acid Market Leaders
I G Petrochemicals Ltd. (IGPL)
Chemcrux Enterprises Ltd
The Chemical Company
*Disclaimer: Major Players sorted in no particular order
Benzoic Acid Market News
August 2021: Lanxess AG, a German-based specialty chemical acquired Emerald Kalama Chemical. As per the company, the acquisition Strengthened the Consumer Protection segment: aroma chemicals and preservatives for food, household, cosmetics, and personal care applications.
July 2021: Adven Oy company partnered with Eastman Chemical company which manufactures benzoic acid, sodium benzoate, and plasticizers in its plant in Estonia. With this, the innovative energy project in Estonia Eastman will significantly increase the production and export of the company's products to Europe, North America, and Asia.
April 2021: Eastman Chemical Company acquired 3F Feed & Food, one of the European leaders specializing in the technical and commercial development of additives for animal feed and human food in Spain. According to the company, the acquisition will strengthen and support its business in the Additives & Functional Products segment.
Benzoic Acid Market Report - Table of Contents
1.1 Study Assumptions and Market Definition
1.2 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
4.1 Market Drivers
4.2 Market Restraints
4.3 Porter's Five Forces Analysis
4.3.1 Threat of New Entrants
4.3.2 Bargaining Power of Buyers/Consumers
4.3.3 Bargaining Power of Suppliers
4.3.4 Threat of Substitute Products
4.3.5 Intensity of Competitive Rivalry
5. MARKET SEGMENTATION
5.2.1 Food & Beverage
5.3.1 North America
126.96.36.199 United States
188.8.131.52 Rest of North America
184.108.40.206 United Kingdom
220.127.116.11 Rest of Europe
18.104.22.168 Rest of Asia-Pacific
5.3.4 South America
22.214.171.124 Rest of South America
5.3.5 Middle-East and Africa
126.96.36.199 South Africa
188.8.131.52 Saudi Arabia
184.108.40.206 Rest of Middle-East and Africa
6. COMPETITIVE LANDSCAPE
6.1 Most Adopted Strategies
6.2 Market Position Analysis
6.3 Company Profiles
6.3.1 Lanxess AG
6.3.2 I G Petrochemicals Ltd (IGPL)
6.3.3 EastMan Chemical Company
6.3.4 Chemcrux Enterprises Ltd
6.3.5 Merck KGaA
6.3.6 The Chemical Company
6.3.7 Ganesh Benzoplast
6.3.8 Huayin Jinqiancheng Pharmaceutical Co. Ltd
6.3.9 Wuhan Youji Industry Company Limited
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
Benzoic Acid Market Research FAQs
What is the current Benzoic Acid Market size?
The Benzoic Acid Market is projected to register a CAGR of 5.60% during the forecast period (2024-2029)
Who are the key players in Benzoic Acid Market?
I G Petrochemicals Ltd. (IGPL), Merck KGaA, Chemcrux Enterprises Ltd, The Chemical Company and Lanxess AG are the major companies operating in the Benzoic Acid Market.
Which is the fastest growing region in Benzoic Acid Market?
Asia-Pacific is estimated to grow at the highest CAGR over the forecast period (2024-2029).
Which region has the biggest share in Benzoic Acid Market?
In 2024, the North America accounts for the largest market share in Benzoic Acid Market.
What years does this Benzoic Acid Market cover?
The report covers the Benzoic Acid Market historical market size for years: 2019, 2020, 2021, 2022 and 2023. The report also forecasts the Benzoic Acid Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Benzoic Acid Industry Report
Statistics for the 2024 Benzoic Acid market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Benzoic Acid analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.