Licorice Extract Market Research Report By Type (Powder, Liquid, Capsules, Tablets), By Extraction Method (Water Extraction, Solvent Extraction, Supercritical Fluid Extraction), By Application (Pharmaceuticals, Nutraceuticals, Food and Beverages, Cosmetics and Personal Care), By End User (Healthcare Professionals, Consumers, Manufacturers) and By Regional (North America, Europe, South America, Asia Pacific, Middle East and Africa) - Forecast to 2032

Licorice Extract Market Overview

As per MRFR analysis, the Licorice Extract Market Size was estimated at 1.51 (USD Billion) in 2022. The Licorice Extract Market Industry is expected to grow from 1.59(USD Billion) in 2023 to 2.5 (USD Billion) by 2032. The Licorice Extract Market CAGR (growth rate) is expected to be around 5.16% during the forecast period (2024 - 2032).

Key Licorice Extract Market Trends Highlighted

The licorice extract market has witnessed significant growth in recent years, driven by rising demand for natural ingredients in the food, beverage, and pharmaceutical industries. The growing awareness of licorice extract's health benefits, such as its anti-inflammatory and antimicrobial properties, has further fueled market expansion. Technological advancements have enabled the production of high-quality licorice extracts with standardized active ingredients, leading to increased adoption in both traditional and emerging applications.Key market drivers include the increasing prevalence of chronic diseases and the growing demand for functional foods and supplements. Moreover, the rising consumer preference for natural and plant-based products has created lucrative opportunities for licorice extract suppliers. The market is poised for further growth as the pharmaceutical industry continues to explore the therapeutic potential of licorice extract in treating various ailments, including respiratory and digestive disorders.Recent trends in the licorice extract market point towards the emergence of specialized extracts tailored to specific health concerns. For instance, deglycyrrhizinated licorice extract (DGL) has gained popularity for its anti-inflammatory and ulcer-healing properties. Additionally, the rising popularity of licorice root tea and lozenges has contributed to the market's growth, showcasing the versatility of licorice extract in various product formats.

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

Licorice Extract Market Drivers

• Rising Demand for Licorice Extract in the Food and Beverage Industry

The licorice extract has gained immense popularity in the food and beverage industry because of its distinct flavor and natural sweetness. It is majorly used in the preparation of sweet dishes, Namkeen, culinary dishes, and other food products such as candies, confectioneries, beverages, and bakery products. The rising trend of consumers consuming naturally derived ingredients is driving the licorice extract market, as it is a naturally sweet plant from which licorice rods and extracts are taken.Furthermore, the licorice extract is used to enhance the taste and aroma of food items, and because of its tangy taste, it is used by the manufacturers. In addition to these, licorice extract has a number of health benefits, such as repressing hepatitis B. It also treats other liver disorders, such as cirrhosis and fatty liver. It increases fertility among women as well as men, induces the body for stress, and improves respiratory issues. It has a sweet taste, but still, it does not increase the intake of sugar, and if its powder is applied in food and beverages, it acts as a powerful allergen as the protein in it releases a substance that results in the release of histamine, and the people who are allergic to it should not consume it in any form.

Increasing Applications in the Pharmaceutical Industry

Numerous medicinal properties of licorice extract have attracted significant attention in the pharmaceutical sphere. The substance acts as an expectorant and demulcent in cough syrups and lozenges. Furthermore, licorice extract demonstrated promising results in treating a number of diseases, such as gastrointestinal problems, lung diseases, and skin diseases. In addition, its anti-inflammatory and antiviral effects were of particular interest to scholars, who commenced research on how the substances can be utilized in the treatment of chronic diseases.

Growing Popularity in Personal Care and Cosmetics

Licorice extract is one of the trending ingredients in the personal care and cosmetic product range. It is useful and important too in skincare products, including moisturizers, cleansers, anti-aging creams, etc. The soothing and anti-inflammatory properties of the licorice extract provide a reduction of skin irritation and redness from products for sensitive skin. The antioxidant activity of the licorice extract also helps protect the skin from any environmental harm, making it one of the best products for sunscreen and other skincare products.

Licorice Extract Market Segment Insights

Licorice Extract Market Type Insights

The segmentation of the Licorice Extract Market by Type includes Powder, Liquid, Capsules, Tablets. The Powder segment is expected to hold the largest market share in 2023. The Powder segment is projected to grow at a CAGR of 5.5% from 2024 to 2032. The growth of the Powder segment is attributed to its user-friendly nature and cost-effectiveness. The Liquid segment is expected to be the fastest-growing segment during the forecast period. The growth of the Liquid segment is attributed to the increasing demand for liquid health supplements.The Capsules and Tablets segments are also expected to grow at a significant CAGR during the forecast period. The growth of these segments is attributed to the increasing consumer preference for health supplements in easy-to-consume forms. The Powder segment accounted for 40% of the Licorice Extract Market revenue in 2023. The Liquid segment is expected to be a USD 0.6 billion market by 2032. The Capsules segment is expected to be a USD 0.4 billion market by 2032. The tablet segment is expected to be in the USD 0.3 billion market by 2032. The growth of the Licorice Extract Market is attributed to the increasing demand for natural and herbal supplements.Licorice extract is an herbal sweetener that has been used for centuries in traditional medicine. It is known for its anti-inflammatory, antioxidant, and antiviral properties. Licorice extract is also used as a flavoring agent in food and beverages. The Licorice Extract Market is a highly competitive market with several major players. Some of the major players in the market are Naturex Indena Chr. Hansen Kalsec Now Foods: These players are investing heavily in research and development to bring new and innovative products to the market.

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

Licorice Extract Market Extraction Method Insights

The Licorice Extract Market is divided by Extraction Method into Water Extraction, Solvent Extraction, and Supercritical Fluid Extraction. Water Extraction held the majority of the market share in 2023 and is estimated to maintain its position during the forecast period. The Market revenue of the Water Extraction segment is expected to reach USD 1.02 Billion by 2024, expanding at a CAGR of 5.5%. Solvent Extraction is the second largest segment and is estimated to expand at a CAGR of 5.2% during the forecast period. The third smaller segment was supercritical fluid extraction, which is estimated to grow at the fastest rate of 6.1% CAGR during the forecast period.The growth of this segment can be attributed to the increasing demand for high-quality and pure licorice extracts.

Licorice Extract Market Application Insights

The Licorice Extract Market is segmented by Application into Pharmaceuticals, Nutraceuticals, Food and Beverages, Cosmetics and Personal Care. Among these segments, Pharmaceuticals held the largest market share in 2023 and is projected to continue its dominance throughout the forecast period. The growth of this segment can be attributed to the increasing prevalence of chronic diseases such as cancer, diabetes, and cardiovascular diseases, which require licorice extract as an active ingredient in various medications. Nutraceuticals are another significant segment, driven by the rising demand for natural supplements and functional foods.Food and Beverages segment is anticipated to witness steady growth due to the use of licorice extract as a flavoring agent and sweetener. The Cosmetics and Personal Care segment is expected to expand at a moderate pace, owing to the increasing use of licorice extract in skincare and hair care products.

Licorice Extract Market End User Insights

The Licorice Extract Market is segmented into Healthcare Professionals, Consumers, and Manufacturers. Healthcare professionals are likely to account for the highest market share due to the increasing prevalence of chronic diseases and the rising demand for natural remedies. Consumers are also driving the market growth due to the growing awareness of the health benefits of licorice extract. Manufacturers are investing in research and development to develop new and innovative products that meet the growing demand.

Licorice Extract Market Regional Insights

The regional segmentation of the Licorice Extract Market provides insights into the market's geographic distribution and performance. The market is segmented into five key regions: North America, Europe, APAC, South America, and MEA. North America held the largest market share in 2023, accounting for approximately 35% of the global revenue. This dominance is attributed to the presence of well-established food and beverage industries, along with a growing consumer base seeking natural and healthy ingredients. Europe is another significant region, with a market share of around 28% in 2023.The region benefits from a strong pharmaceutical and cosmetics industry, driving demand for licorice extract in these applications. The APAC region is expected to witness the fastest growth during the forecast period, owing to the increasing demand for licorice extract in traditional medicine and food products in countries like China and India. South America and MEA are expected to have a moderate growth rate, with growing awareness about the health benefits of licorice extract.

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

Licorice Extract Market Key Players And Competitive Insights:

Investing in research and development to enrich the products provided and increase capability is a strategy major market players follow. The leading companies in the market are focused on providing their customers with the tastes they expect; as a result, they develop new products, and their production is consistent with emerging needs and trends. As for the development landscape, one might note that numerous partnerships, acquisitions, and other arrangements have been a response to emerging challenges. They have contributed to the creation of companies with a much stronger market presence and increased access to new resources and technologies. The competitive landscape is rather dynamic, and the companies involved seek to maintain their positions and enhance their market power through new products and mergers.A.M. Todd is a company in Los Angeles, CA, that competes in the industry. It is known for its diverse product portfolio and is among the key players in many regions of the world. As of today, the company provides its customers with access to a variety of extract components, including glycyrrhizic acid, glabridin, and licochalcone A ”. It should be noted that A.M. Todd focuses on quality instead of quantity, and all of its facilities meet GMP and ISO standards. In addition, the company can be proud of its distribution network, which is rather extensive and contributes to its product availability in the market. Meanwhile, Indena is another strong competitor that specializes in the extraction and purification of botanicals. It is known for its licorice extract, which has very high purity and other exceptional qualities. Finally, one should mention that this company has a well-developed research department and is engaged in operations in over 80 countries.

Key Companies in the Licorice Extract Market Include:

• Xilin Natural Ingredients


• Martin Bauer Group


• The Lubrizol Corporation


• Kalsec


• Tokyo Chemical Industry


• Sichuan Shuangdeng Natural Products


• Naturalin BioResources


• Kerry Group


• Weishardt


• Morinaga Milk Industry


• Starwest Botanicals


• Indena


• Yangzhou Jiangyin Tianjiang Pharmaceutical

Licorice Extract Market Industry Developments

The Licorice Extract Market is projected to reach USD 2.5 billion by 2032, exhibiting a CAGR of 5.16% during the forecast period (2024-2032). Increasing demand for licorice extract in the food and beverage industry as a natural sweetener and flavoring agent is a key driver of market growth. Additionally, rising awareness about the health benefits of licorice extract, such as its anti-inflammatory and antiviral properties, is fueling demand in the pharmaceutical and dietary supplement sectors.

Licorice Extract Market Segmentation Insights

• Licorice Extract Market Type Outlook
  
  
  
  • Powder
  
  
  • Liquid
  
  
  • Capsules
  
  
  • Tablets
  
  
  
  

• Licorice Extract Market Extraction Method Outlook
  
  
  
  • Water Extraction
  
  
  • Solvent Extraction
  
  
  • Supercritical Fluid Extraction
  
  
  
  

• Licorice Extract Market Application Outlook
  
  
  
  • Pharmaceuticals
  
  
  • Nutraceuticals
  
  
  • Food and Beverages
  
  
  • Cosmetics and Personal Care
  
  
  
  

• Licorice Extract Market End User Outlook
  
  
  
  • Healthcare Professionals
  
  
  • Consumers
  
  
  • Manufacturers
  
  
  
  

• Licorice Extract Market Regional Outlook
  
  
  
  • North America
  
  
  • Europe
  
  
  • South America
  
  
  • Asia Pacific
  
  
  • Middle East and Africa