Food Grade Carbon Dioxide Market Research Report By Application (Beverages, Food Packaging, Medical and Healthcare, Industrial Processing, Agriculture), By Grade (Food Grade No. 1, Food Grade No. 2, Food Grade No. 3), By Source (Natural Gas, Ethanol, Coal), By Purity (99.9% Purity, 99.95% Purity, 99.99% Purity), By End User (Food and Beverage Manufacturers, Pharmaceutical Companies, Hospitals, Research and Development Laboratories, Industrial Businesses) and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Af

Food Grade Carbon Dioxide Market Overview:

As per MRFR analysis, the Food Grade Carbon Dioxide Market Size was estimated at 4.59 (USD Billion) in 2022. The Food Grade Carbon Dioxide Market Industry is expected to grow from 4.68 (USD Billion) in 2023 to 5.6 (USD Billion) by 2032. The Food Grade Carbon Dioxide Market CAGR (growth rate) is expected to be around 2.02% during the forecast period (2024 - 2032).

Key Food Grade Carbon Dioxide Market Trends Highlighted

The food-grade carbon dioxide market is projected to witness significant growth, driven by the increasing demand for carbonated beverages and packaged food products. The rising consumer preference for healthy and convenient food options is fueling the growth of the carbonated beverage industry, leading to a corresponding increase in the demand for food-grade CO2. Additionally, the expansion of the food processing and packaging sectors, particularly in emerging markets, is creating new growth opportunities for the food-grade CO2 market. Recent trends indicate a shift towards sustainable and environmentally friendly food production practices, which is driving the adoption of natural carbonation methods using food-grade CO2.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Food Grade Carbon Dioxide Market Drivers

Growing Demand for Carbonated Beverages

Consumption of carbonated beverages such as soft drinks, beer, and sparking water has been on the rise and thus a major driving force to the Global Food Grade Carbon Dioxide Market Industry. The carbon dioxide is used in carbonating these beverages which acts as a source of the hissing sound produced once a bottle of these drinks is opened. Consumption of carbonated beverages is also on the rise, and more food grade carbon dioxide will be needed. The ever-increasing per capita Income and changing lifestyles in emerging economies such as China and India will be a major factor in hiking the demand for better and conveniently packaged carbonated beverages.The busy life and on-the-go consumption of packed foods and beverages will also have an impact on the food grade carbon dioxide market Industry.

Expansion of the Food and Beverage Industry

The expansion of the food and beverage industry is another important factor driving the Global Food Grade Carbon Dioxide Market Industry. Carbon dioxide is used in many food and beverage applications such as food preservation, freezing and in the packing of food stuffs. It is also used as a propellant for whipped cream and other types of dairy products. The expansion of the food and beverage industry is a result of a growing population and the urbanization of many developing countries.Additionally, the persistent demands for processed and packed foods, as well as the increased consumption of convenience foods, is also expected to drive the demand for food grade carbon dioxide for the years to come.

Increasing Stringency of Food Safety Regulations

Food Safety Regulations Increasing the stringency of food safety regulations is a major driver of the Global Food Grade Carbon Dioxide Market Industry. Food grade carbon dioxide is essential to keep food products safe. It helps to prevent bacteria and mold and extend the shelf life of food products. With consumers becoming more and more conscious about food safety, the demand for food-grade carbon dioxide is likely to rise. Global Food Grade Carbon Dioxide Market Industry is being driven by the fact that food safety regulations are becoming increasingly stringent, particularly in developed countries.

Food Grade Carbon Dioxide Market Segment Insights:

Food Grade Carbon Dioxide Market Application Insights

The Global Food Grade Carbon Dioxide Market is segmented into five major applications, namely, Beverages, Food Packaging, Medical and Healthcare, Industrial Processing, and Agriculture. Beverages held the largest market share in the year 2023 and the segment is expected to dominate in the forecast period 2023-2032 as well. The increasing demand for carbonated soft drinks, beer, and wine is primarily propelling the market growth for the food-grade carbon dioxide market. Furthermore, Food Packaging is another significant application of food-grade carbon dioxide.Such kinds of grades are used to manufacture modified atmosphere packaging for the preservation of food products by displacing oxygen and restricting the growth of spoilage microorganisms. Additionally, the increasing penetration of MAP technology in the food and beverage industry is expected to drive the demand for food-grade carbon dioxide in the Food Packaging segment as well. Moreover, Medical and Healthcare is another application that is witnessing an increasing demand for such grades. Food-grade carbon dioxide is used as a propellant in medical aerosols, including inhalers and nebulizers.Additionally, it is also used as the surgical gas for the laparoscopic surgeries. The increasing prevalence of respiratory diseases and the rising number of surgical procedures are further accelerating the demand for the market. Furthermore, Industrial Processing is another application of the food-grade carbon dioxide market. It is used as a solvent in the extraction process of caffeine and other food ingredients. Furthermore, its use as a refrigerant in industrial refrigeration systems and as a fire suppressant in different industries is primarily elevating the demand for the sector.The increasing demand for processed food products and the rising penetration of carbon dioxide-based refrigeration systems are further contributing to the growth of the Industrial Processing segment. Additionally, Agriculture is also expected to assist in the market growth of the food-grade carbon dioxide market in the coming future. The grades are used for the enhancement of plant growth and yield by boosting photosynthesis and reducing stress levels. Overall, the Global Food Grade Carbon Dioxide Market is expected to grow in the upcoming years on the back of the increasing demand from various end-use industries.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Food Grade Carbon Dioxide Market Grade Insights

The Food Grade Carbon Dioxide Market is segmented by Grade into Food Grade No. 1, Food Grade No. 2, and Food Grade No. 3. Food Grade No. 1 is the highest quality grade and is used in applications where purity is critical, such as in the production of carbonated beverages and food packaging. Food Grade No. 2 is a slightly lower quality grade and is used in applications where purity is not as critical, such as in the production of dry ice and fire extinguishers. Food Grade No. 3 is the lowest quality grade and is used in applications where purity is not a concern, such as in the production of fertilizers and chemicals.The Food Grade Carbon Dioxide Market was valued at USD 4.68 billion in 2023 and is expected to grow to USD 5.6 billion by 2032 at a CAGR of 2.02%. Food Grade No. 1 is expected to account for the largest share of the market over the forecast period due to its high purity and wide range of applications.

Food Grade Carbon Dioxide Market Source Insights

The Global Food Grade Carbon Dioxide Market is segmented by source into Natural Gas, Ethanol, and Coal. In 2023, the Natural Gas segment is expected to account for the largest share of the market, with a valuation of USD 2.6 billion. This is due to the abundance and cost-effectiveness of natural gas as a. The Ethanol segment is expected to grow at the fastest CAGR of 2.5% from 2023 to 2032, owing to the increasing demand for bio-based products. The Coal segment is expected to account for a smaller share of the market, but it is still an important source of carbon dioxide for food-grade applications.

Food Grade Carbon Dioxide Market Purity Insights

The Global Food Grade Carbon Dioxide Market is segmented by Purity into 99.9% Purity, 99.95% Purity, and 99.99% Purity. Among these, the 99.9% Purity segment held the largest market share in 2023, accounting for over 55% of the Global Food Grade Carbon Dioxide Market revenue. This is due to its wide range of applications in the food and beverage industry for carbonated soft drinks, beer, and wine. The 99.95% Purity segment is expected to register the highest CAGR during the forecast period, owing to its increasing demand in the pharmaceutical industry for the production of medical gases and drugs.The 99.99% Purity segment is expected to grow steadily, driven by its use in the semiconductor industry for etching and cleaning processes. Overall, the Global Food Grade Carbon Dioxide Market segmentation by Purity provides valuable insights into the market dynamics and helps industry participants identify potential growth opportunities.

Food Grade Carbon Dioxide Market End User Insights

The End User segment of the Global Food Grade Carbon Dioxide Market is categorized into Food and Beverage Manufacturers, Pharmaceutical Companies, Hospitals, Research and Development Laboratories, and Industrial Businesses. Among these, Food and Beverage Manufacturers hold the largest market share due to the extensive use of Carbon Dioxide in carbonating beverages, preserving food products, and maintaining freshness. Pharmaceutical Companies are another major consumer, utilizing Carbon Dioxide for drug manufacturing, sterilization, and packaging.Hospitals rely on Carbon Dioxide for various medical applications, including surgical procedures, anesthesia, and patient monitoring. Research and Development Laboratories leverage Carbon Dioxide as a solvent and carrier gas in scientific experiments. Industrial Businesses employ Carbon Dioxide in welding, metalworking, and fire extinguishing systems. The Global Food Grade Carbon Dioxide Market Segmentation provides valuable insights into the target customer base, enabling market players to tailor their strategies accordingly. Market growth is expected to be driven by increasing demand from these end-user industries, particularly in emerging markets.

Food Grade Carbon Dioxide Market Regional Insights

The Global Food Grade Carbon Dioxide Market segmentation by region includes North America, Europe, APAC, South America, and MEA. North America held the largest market share in 2023 and is expected to continue dominating the market throughout the forecast period. The growth in this region is attributed to the increasing demand for carbon dioxide in the food and beverage industry, as well as the presence of a number of major food and beverage companies in the region. Europe is the second-largest market for food grade carbon dioxide and is expected to grow at a steady pace in the coming years.The growth in this region is driven by the increasing demand for carbon dioxide in the food and beverage industry, as well as the growing adoption of carbon dioxide-based technologies in the food processing industry. The APAC region is the fastest-growing market for food grade carbon dioxide and is expected to grow at a CAGR of over 5% during the forecast period. The growth in this region is attributed to the increasing demand for carbon dioxide in the food and beverage industry, as well as the growing population and urbanization in the region.South America and MEA are expected to grow at a moderate pace during the forecast period.

Source: Primary Research, Secondary Research, MRFR Database and Analyst Review

Food Grade Carbon Dioxide Market Key Players And Competitive Insights:

Major players in Food Grade Carbon Dioxide Market industry are continuously engaging in research and development activities to expand their product portfolio and gain a competitive edge. Leading Food Grade Carbon Dioxide Market players are focusing on developing innovative and sustainable solutions to cater to the evolving needs of customers. To maintain their dominance in the market, these companies are investing heavily in strategic partnerships, acquisitions, and collaborations.One of the leading players in the Food Grade Carbon Dioxide Market industry is Praxair Technology, Inc. The company offers a range of food-grade carbon dioxide products and services, and it has a strong global presence with operations in over 50 countries. Praxair Technology has a large portfolio of intellectual property, which gives it a competitive advantage in the market. The company is committed to providing innovative and sustainable solutions to its customers, and it has a strong focus on research and development.A notable competitor in the Food Grade Carbon Dioxide Market industry is Air Liquide. The company is a global leader in the production and distribution of industrial gases, and it has a strong presence in the food and beverage industry. Air Liquide offers a range of food-grade carbon dioxide products and services, and it has a global network of production and distribution facilities. The company is committed to providing high-quality products and services, and it has a strong focus on customer satisfaction.

Key Companies in the Food Grade Carbon Dioxide Market Include:

• Chart Industries


• Coregas


• Industria Chimica Emiliana


• Linde


• Carbogas


• INEOS


• Solvay


• Double A Welding


• Praxair


• Matheson TriGas


• Air Products and Chemicals


• Carbon dioxide American


• The Royal Dutch Shell


• Air Liquide


• Messer

Food Grade Carbon Dioxide Market Industry Developments

The Food Grade Carbon Dioxide Market is expected to continue its growth trajectory in the coming years. According to a recent report, the market is projected to reach USD 5.6 billion by 2032, expanding at a CAGR of 2.02% from 2024 to 2032. This growth is attributed to the increasing demand for carbon dioxide in the food and beverage industry, particularly for carbonating soft drinks and preserving food products. Additionally, growing awareness about the environmental benefits of carbon dioxide as a natural refrigerant is driving market expansion. Recent developments include the launch of innovative carbon capture and utilization technologies, which are expected to further enhance the market's growth potential.

Food Grade Carbon Dioxide Market Segmentation Insights

• Food Grade Carbon Dioxide Market Application Outlook


• Beverages


• Food Packaging


• Medical and Healthcare


• Industrial Processing


• Agriculture

• Food Grade Carbon Dioxide Market Grade Outlook


• Food Grade No. 1


• Food Grade No. 2


• Food Grade No. 3

• Food Grade Carbon Dioxide Market Source Outlook


• Natural Gas


• Ethanol


• Coal

• Food Grade Carbon Dioxide Market Purity Outlook


• 9% Purity


• 95% Purity


• 99% Purity

• Food Grade Carbon Dioxide Market End User Outlook


• Food and Beverage Manufacturers


• Pharmaceutical Companies


• Hospitals


• Research and Development Laboratories


• Industrial Businesses

• Food Grade Carbon Dioxide Market Regional Outlook


• North America


• Europe


• South America


• Asia Pacific


• Middle East and Africa