The global demand for food and beverage brands has grown significantly due to increased consumer needs. To capture consumer attention, these brands are continuously working to expand their range of products. Benzoic acid plays a crucial role in preserving acidic foods and beverages like jams, pickles, fruit juices, sparkling drinks, and aerated drinks.
Nowadays, process technology is of great affection to consumers around the world mainly as source of food and beverage products such as snacks, fruit juices and processed meat snacks, to meet their daily dietary needs. An increasing number of European consumers now rely on ready-to-eat processed, and packaged food and drink products, instead of the traditional home-cooked meals with breakfast usually skipped. Thus, in the area of preservatives, benzoic acid is a primary component of these processed items, therefore, the industries in the End-Use sector are involved in the developments of benzoic acid. The changing pattern also brings in wonderful chances for firms to notch up their market position by widening their product line and coming up with new products. The growth in number of food and beverage processing plants especially in the developing countries like India, Australia, and China is also fuelling the higher demand of benzoic acids which are used as preservatives. Therefore, these factors act as contributing factors to the rapid increase in demand for Benzoic Acid.
The benzoic acid market has been gaining a lot of traction in recent times as demand for it has greatly increased because of the rapidly growing food and beverage industry. A preservative widely applied in foods, benzoic acid with its potassium, sodium and calcium salts, has gained an outstanding reputation as an inhibitor of mould, bacteria and fungi.
Rising demand for packaged and preserved foods cases an increase of demand of natural preservatives like benzoic acid. The increasing demand for beverages like sweetened fruit juices and carbonated drinks is expected to significantly contribute to the surge in market demand for benzoic acid during the forecast period. Since the application of benzoic acid for the manufacture of phenols and benzoyl chloride will continue to dominate the market, it will act as a significant trigger for the market development.
Report Attribute/Metric | Details |
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Market Opportunities | Increasing changes in the lifestyle of communities due to regional advancement, urbanization, and capacity expansions |
Market Dynamics | Growing requirement of benzoic acid in the food and beverage industry Increasing focus on healthy living and eating Current urbanization and economic development |
Benzoic Acid Market Size was valued at USD 1.06 billion in 2021 . The Benzoic Acid industry is projected to grow from USD 1.09 Billion in 2022 to USD 1.66 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 5.41 % during the forecast period (2022 - 2030). The increase in demand for Benzoic Acid due to increasing consumption of packaged and processed food items with a rise in disposable income of consumers is driving the market growth.
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
The number of food and beverage brands has increased worldwide due to growing demand. These brands are constantly looking to expand their product portfolio to capture the attention of consumers. Benzoic acid is widely used for the preservation of acidic foods and beverages such as jams, pickles, fruit juices, sparkling drinks, aerated drinks, and others.
The consumer's paradigm shift toward processed food and beverage products such as snacks, fruit juices, processed meat snacks, and others to meet their daily meal requirement. 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-Use Industry 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. The increasing number of food and beverage processing units in developing nations such as India, Australia, China, and others are also fueling the demand for benzoic acids.
Moreover, The consumer's paradigm shift toward processed food and beverage products such as snacks, fruit juices, processed meat snacks, and others to meet their daily meal requirement. 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-Use Industryr 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. The increasing number of food and beverage processing units in developing nations such as India, Australia, China, and others are also fueling the demand for benzoic acids. Thus, all these factors contribute to the increasing demand for Benzoic Acid.
Figure 1: Number of people consuming fresh sausage from the counter in Germany from 2018 to 2021, by frequency (in millions)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Manufacturers of packaged and processed food items are concentrating on food safety highly. Using food preservatives that contain benzoic acid would keep them fresh for longer. The sodium, calcium salts, and potassium content have antifungal properties that preserve food. It safeguards against yeasts and molds to a higher extent and bacteria to a lower extent. Also, this natural food preservative maintains the acidic pH value in beverages like sparkling drinks, fruit juices, and soft drinks as well. Moreover, benzoic acid works to preserve acidic food items like pickles.
According to All-India Food Processors' Association (AIFPA), the main drivers of the benzoic acid market growth is the growing requirement of benzoic acid in the food and beverage industry. With the increasing focus on healthy living and eating, this demand growth was imminent. Current urbanization and economic development also affect the growth rate in this market, mainly in the India. More people around the globe are opting for food products with preservatives. Thus, the increasing demand in Benzoic Acid for packaged foods driving the growth of the Benzoic Acid market revenue.
The  Benzoic Acid market segmentation, based on application, Sodium Benzoate, Potassium Benzoate, Benzyl Benzoate, Benzoate Plasticizer, Alkyd Resin, Benzoyl Chloride, Feed Additive, Others. The Benzoate Plasticizer segment held the majority share in 2021 contribution to around ~25-30% in respect to the  Benzoic Acid market revenue. This is primarily owing to the rising demand of Benzoate Plasticizer as an additive. For instance, as per the International Food & Beverage Association published in 2018, there is rising demand for Benzoic Acid.
August 2021: Conagen, a US-based biotech company, has disclosed a natural preservative made by fermentation, p-Coumaric Acid (PCA). The introduction extends the scope of natural preservatives provided by the company’s commercialization partner Blue California. According to the company statement, the clean label trend is flourishing across all the customer product categories.The vice president of innovation at Conagen, Casey Lippmeier, stated in a press release that Conagen is interacting with numerous partners to produce innovative preservation solutions and other applications for PCA. She further explained that applications would rise from the development efforts. The emerging body of literature supports PCA and other associated natural molecules as potential substitutes to artificial ingredients like sorbic acid and benzoic acid.
August 2021:Â LANXESS, a leading specialty chemicals company in Cologne, announced that it has finished acquiring Emerald Kalama Chemical. LAXNESS has inked the agreement on February 14, 2021. The deal closed for around USD 1.04 billion. As per the deal, LAXNESS expands its product portfolio with Kalama Vitroflex plasticizers to produce polysulfide sealants and Modular modifiers. Also, it includes benzoate salts, benzaldehyde, and benzoic acid supplements the LANXESS offer in the future.
The  Benzoic Acid market segmentation, based on End-Use Industry, Food & Beverages, Chemical Industry, Pharmaceutical Industry, Others. The Food & Beverages segment dominated the market in 2021 and is projected to be the faster-growing segment during the forecast period, 2022-2030 Benzoic acid is highly used to make many chemicals such as benzoyl chloride, benzoyl peroxide, and phenol and is also used to synthesize benzoyl chloride. Moreover, it finds application in making other chemicals, dyes, perfumes, herbicides, and others. Further, benzoic acid is most commonly used for the production of phenol. Phenols find application in household cleaners and mouthwash as a disinfectant. The demand for benzoic acid is also increasing due to the rising demand for different chemicals from various application sectors, such as benzoyl chloride, benzoyl peroxide, and phenol. Hence, the increasing use of benzoic acid as an intermediate in the synthesis of different products. Hence, demand in in different applications positively impacts the market growth.
December 2021: Chemcrux Enterprises Ltd announced the Joint Venture Agreement with Kalintis Healthcare Private Limited. The aim is to manufacture and marketing of Active Pharmaceutical Ingredients (API) and Chemicals and their ingredients for distribution and sales. This has further increased market share in the  Benzoic Acid industry.
Figure 2: Â Benzoic Acid Market, by Application, 2021 & 2030 (USD Billion)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Additionally, benzoic acid is used for non-phthalate plasticizers, which include benzoate plasticizers in various applications such as flooring & wall coverings, wires & cables, and consumers goods, among others. These uses are likely to keep the demand for Benzoic Acid high and help it grow, which will boost the Benzoic Acid market in the coming years.
Based on application, the  Benzoic Acid industry has been segmented into food & beverages, chemical industry, pharmaceutical industry, others. Food & beverages held the largest segment share in 2021, owing to the increase in demand and import in China is due to the increasing usage of Benzoic Acid in packaged foods, and others. The other segment is expected to bolster at a 5.51% CAGR during the assessed timeline.
By Region, the study segments the market into North America, Europe, Asia Pacific, Latin America, and MEA. Asia-Pacific Benzoic Acid dominating market accounted for USD 0.40 billion in 2021 and is expected to exhibit a 5.35% CAGR during the study period. This is attributed to Apart from the food and beverage industries, the per capita consumption of plastic is high in India and China, which in turn has increased the use of plasticizers, boosting the benzoic acid market. The Region has strongly registered a rising demand for sodium and potassium benzoate, another factor driving the overall benzoic acid market. The animal feed industry is also maturing in various Asian countries such as India, again boosting the demand for benzoic acid in the Region. The stringent government regulations and an increasing number of small-scale food and beverage industries are also major contributors to fueling the market's growth.
Further, the major countries studied are The U.S, Canada, Germany, France, UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.
Figure 3: Â BENZOIC ACID MARKET SHARE BY REGION 2021 (%)
Source: Secondary Research, Primary Research, MRFR Database and Analyst Review
Europe Benzoic Acid market accounts for the second-largest market share due to the growing demand for the product from various applications, including the food industry. Further, the Germany Benzoic Acid market held the largest market share, and the UK Benzoic Acid market was the fastest growing market in the European region
The Asia-Pacific Benzoic Acid Market is expected to grow at a CAGR of 5.35 % from 2022 to 2030. This is because of the region's increasing usage of Benzoic Acid in food and beverage products, as well as the expanding demand for Benzoic Acid from the chemical industries in developing nations like China and India. Moreover, China Benzoic Acid market held the largest market share, and the India Benzoic Acid market was the fastest growing market in the Asia-Pacific region
For instance, India Benzoic Acid market is the favored destination for Benzoic Acid manufacturers due to the infrastructure projects. On the other hand, China is famous for the synthesis of chemical intermediates. Hence, Asia-Pacific is anticipated to register the highest growth rate over the forecast period from 2022–2030.
Major market players are spending a lot of money on R&D to increase their product lines, which will help the Benzoic Acid market grow even more. Market participants are also taking a range of strategic initiatives to grow their worldwide footprint, including new product launches, contractual agreements, mergers and acquisitions, increased investments, and collaboration with other organizations. Competitors in the Benzoic Acid industry must offer cost-effective items to expand and survive in an increasingly competitive and rising market environment.
One of the primary business strategies adopted by manufacturers in the  Benzoic Acid industry to benefit clients and expand the Benzoic Acid market sector is to manufacture locally to reduce operating costs. In recent years, Benzoic Acid has provided products with some of the most significant benefits.
Emerald Performance Materials (US) produces and markets advanced specialty chemicals for a broad range of consumer and industrial applications. The Company offers sulfated oils, water repellents, waxes, epoxy resins, foam control additives, dyes, and silicone-based products. In August 2021, LANXESS, a leading specialty chemicals company in Cologne, announced that it has finished acquiring Emerald Kalama Chemical. LAXNESS has inked the agreement on February 14, 2021. The deal closed for around USD 1.04 billion. As per the deal, LAXNESS expands its product portfolio with Kalama Vitroflex plasticizers to produce polysulfide sealants and Modular modifiers. Also, it includes benzoate salts, benzaldehyde, and benzoic acid supplements the LANXESS offer in the future.
Also, Thermo Fisher Scientific Inc. (US) is a supplier of scientific instrumentation, reagents and consumables, and software service. The company has a range of products which include technologies for mass spectrometry, genetic sequencing, electron microscopy, protein and molecular biology research. The company serves pharmaceutical and biotech companies, academic and research institutions, clinical diagnostic labs, and government agencies; and environmental, industrial quality and process control sectors. It sells its products and services through direct sales force, e-commerce and third-party distributors in the Americas, Asia-Pacific and Europe.
March 2019: A two-member team at the Indian Institute of Technology (IIT) Madras has successfully converted petroleum waste-product toluene into benzoic acid. Benzoic acid is used as a food preservative (E210) and medicine for fungal/bacterial infection. Toluene is converted into benzoic acid through selective and controlled oxidation in the presence of a catalyst — binaphthyl-stabilized platinum nanoparticles (Pt-BNP).
Benzoic Acid Application Outlook
Benzoic Acid End-Use Industry Outlook
Benzoic Acid Regional Outlook
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