Key Market Overview:
Benzoic Acid Market size was valued at USD 1.30 Billion in 2022, registering a CAGR growth of 5.5% during the forecast period (2023-2030), and the market is projected to be valued at USD 2.04 Billion by 2030.
Benzoic acid is an organic compound that can be represented by the chemical formula C6H5COOH. An aromatic carboxylic acid is formed when a carboxyl group is connected to a benzene ring; this type of acid is an example of that. Typically, under normal conditions, this compound can be found in the form of a colorless, crystalline solid. The term benzoate is used to refer to the esters and salts formed from C6H5COOH. Due to the antimicrobial and preservative properties of benzoic acid, it is used in various industries including food, pharmaceutical, cosmetics, plastic industries, and chemical industries.
Moreover, key manufacturers in the benzoic acid market engaged in investing in research and development and expansion activities for benzoic acid products, which impact enhancing the market demand. For instance, in the year 2021, Lanxess AG acquired Coca-Cola Co. supplier Emerald Kalama the world\'s largest producer of benzoic acid. The acquisition elevated the company to be one of the leading providers of benzoic acid-based products for flavors and fragrances for the consumer sector. Based on regions, Asia Pacific is expected to be the fastest-growing region in the benzoic acid market during the forecast period owing to the rapidly growing end-user industries such as food and beverages, chemicals, and pharmaceuticals.
Global Benzoic Acid Report Coverage:
|Report Attributes||Report Details|
|Market Size in 2030 (USD Billion)||2.04 Billion|
|CAGR (2023-2030)||5.5 %|
|By Application||Benzoates, Benzoate Plasticizers, Alkyd Resins, Animal Feed Additives, and Others.|
|By End Use Industry||Food and Beverages, Chemicals, Pharmaceuticals, Personal Care, Flooring and Film, and Others.|
|By Sales Channel||Direct Sales and Indirect Sales.|
- Asia-Pacific [China, Southeast Asia, India, Japan, Korea, Western Asia]
- Europe [Germany, UK, France, Italy, Russia, Spain, Netherlands, Turkey]
- North America [United States, Canada, Mexico]
- Middle East & Africa [GCC, North Africa, South Africa]
- South America [Brazil, Argentina, Columbia, Chile, Peru]
|Key Players||Lanxess AG, Wuhan Youji Industries Co., Tianjin Dongda Chemical Group, Liao Ning Huayi, Chemical Industry & Commerce Co., Thomas Scientific, I G Petrochemicals Ltd. (IGPL), Chemcrux Enterprises Ltd., Asiamerica Group, Inc., Spectrum Chemical Mfg. Corp. and Velsicol Chemical LLC.|
• The food industry is one of the major users of benzoic acid as a preservative, and the increasing demand for processed food and beverages is driving the demand for benzoic acid. The growing trend of convenience and the increasing demand for processed food and beverages are driving the demand for food preservatives such as benzoic acid.
• Benzoic acid is used in the manufacturing of several pharmaceutical products, including tablets, capsules, creams, ointments, and gels. Thus, increasing the demand for pharmaceutical products is driving the demand for benzoic acid.
The use of benzoic acid as a food preservative is regulated by various food safety authorities around the world, and there are certain restrictions on the maximum permitted levels of benzoic acid in food products. This can limit the use of benzoic acid in certain food products.
With the growing trend of clean labels and natural ingredients, there is a rising demand for natural preservatives, including benzoic acid, which is derived from natural sources such as berries and cinnamon. Furthermore, it is also used as a preservative in cosmetics and personal care products, and there is a growing demand for natural preservatives in this industry. Benzoic acid is considered a safer and more effective alternative to synthetic preservatives.
Benzoic Acid Market Competitive Landscape:
The market is highly competitive, with a large number of players operating at the global and regional levels. The players compete on various parameters such as price, quality, innovation, and customer service. They are constantly investing in research and development to improve their products and expand their market share. Mergers, acquisitions, and partnerships are also common strategies employed by companies to enhance their market position and expand their product portfolio. Key players in the market include-
• Lanxess AG
• Wuhan Youji Industries Co.
• Tianjin Dongda Chemical Group
• Liao Ning Huayi
• Chemical Industry & Commerce Co.
• Thomas Scientific
• I G Petrochemicals Ltd. (IGPL)
• Chemcrux Enterprises Ltd
• Asiamerica Group, Inc.
• Spectrum Chemical Mfg. Corp.
• Velsicol Chemical LLC.
• In August 2021, Lanxess AG acquired Emerald Kalama Chemical, one of the largest manufacturers of benzoic acid. This is one of the largest acquisitions of Lanxess AG that elevated the company to be one of the leading providers of benzoic acid-based products for flavors and fragrances for the consumer sector.
• In July 2021, Adven collaborated with Eastman, a producer of plasticizers, benzoates, and benzoic acids. However, this collaboration enhanced the production and sales of the company in Asia, North America, and Europe region.
Benzoic Acid Market Segmentation:
The application segment is categorized into benzoates, benzoate plasticizers, alkyd resins, animal feed additives, and others. The benzoates are widely used in the food, beverage, and cosmetic industries. In 2022, the benzoates accounted for the highest market share due to their preservative, antimicrobial, flavoring agent, and pH-adjusting properties. Furthermore, the benzoate plasticizers segment is anticipated to be the fastest-growing segment in the benzoic acid market. Benzoate plasticizers have a wide range of applications in the polymer industry. However, benzoate plasticizers are used in various industries including the automotive, packaging, and construction industry. Thus, the industrial applications of benzoate plasticizers are contributing to the dominance of the segment.
By End Use Industry
The end-use industry is divided into food and beverages, chemicals, pharmaceuticals, personal care, flooring and film, and others. There is a growing trend toward using natural preservatives in the food industry, and benzoic acid is one such preservative. It can be derived from natural sources such as berries and cinnamon, making it a more attractive option for consumers who are looking for clean labels and natural ingredients. Therefore, the food and beverages segment accounted for the highest share of the benzoic acid market. However, personal care is expected to be the fastest-growing segment in the benzoic acid market due to the prevalence of benzoic acid in personal care products. It is known for its ability to inhibit the growth of microorganisms, including bacteria and fungi, which can cause spoilage, odor, and infection. Hence, the increasing demand for cosmetics and personal care products is expected to drive the growth of the segment.
By Sales Channel
The sales channel segment is divided into direct sales and indirect sales. Direct sales channels allow manufacturers and suppliers of personal care products to reach a wider audience, often through independent sales representatives who can promote and sell their products directly to consumers. These sales channels can provide a more personal touch, as customers can receive advice and recommendations from a representative who is knowledgeable about the products. Therefore, direct sales accounted for the highest share of the benzoic acid market. Furthermore, the indirect sales segment is anticipated benzoic acid. Indirect sales channels provide opportunities for manufacturers and suppliers to educate intermediaries and end consumers about the benefits and proper use of benzoic acid in personal care products. This can help to build awareness and understanding of the importance of using effective preservatives in personal care products, while also addressing any concerns or questions that intermediaries or consumers may have.
By region, the market is categorized into North America, Europe, Asia Pacific, Latin America, and Middle East & Africa.
Asia Pacific region accounted for the highest market share in 2022. This is due to the presence of key players operating in the benzoic acid industry, including Wuhan Youji Industries Co., Tianjin Dongda Chemical Group, Liao Ning Huayi, and Chemical Industry & Commerce Co. among others. Further, advancements and early adoption of benzoic acids for various applications such as benzoates, benzoate plasticizers, alkyd resins, and animal feed additives among others are additionally contributing to the dominance of the region. However, North America is expected to be the fastest-growing region in the benzoic acid market during the forecast period. This is due to the region holds a strong manufacturing base and has governmental support for the development of palm vein biometrics.