Global Liquid Smoke Market - 2022-2029

Global Liquid Smoke Market - 2022-2029

Market Overview

The global liquid smoke market was valued at USD XX million in 2021. It is forecasted to reach USD XX million by 2029, growing at a CAGR of XX% during the forecast period (2022-2029).

Liquid smoke is a water-soluble chemical used to enhance or retain a food's flavor. Liquid smoke is made from burnt wood/chips of trees and is often used to flavor and color fish, meat, sauces, and dairy items by various methods such as spraying, dipping, and atomizing. Growing consumer awareness of liquid smoke products that extend the shelf life of food without grilling or roasting while also adding flavor is predicted to be a positive factor driving the market.

Market Dynamics:

Growing demand of new flavors in food and beverage industry is driving the market growth

Liquid smoke is used to provide a smokey flavor to some recipes without actual wood smoke. Liquid smoke can add a unique flavor to a variety of foods, including shellfish and fish, sauces, meat, bakery and dairy items, desserts, ice cream, chocolates, and even beverages. Spray, marination, immersion, injection, and various other methods can be used to apply it to food. Liquid smoke is applied directly to food packaging for commercial reasons via touch surfaces, conveyor belts, etc. According to scientific evidence, liquid smoke reduces the risk of food contamination and bacterial multiplication. Liquid smoke can limit the growth of certain food-borne diseases such as Staphylococcus, Listeria monocytogenes, and others.

Furthermore, people with busy lives like to buy food that can be prepared quickly, and liquid smoke allows them to make tasty cuisine with a clean label taste and a good preservation solution. Because undesirable components such as phenolic derivatives are removed during the production of liquid smoke, its consumption has no link to chronic diseases like cancer.

Market Segmentation:

Meat segment accounted for the highest share in global liquid smoke market

In 2021, meat dominated the market, accounting for more than XX percent of total sales. The liquid smoke products' perfect replication of onsite-generated smoke from wood makes them a popular use among meat product consumers. The category is being driven by the burgeoning meat-processing industry, emerging innovative processes, and expanding applications of liquid smoke solutions. A similar pattern can also be seen in many sauce recipes. A crucial driving reason is incorporating liquid smoke into sauces to increase flavor, such as barbeque, dry seasoning, or blending new flavors.

The liquid smoke market based on the product can be further segmented into hickory, mesquite, applewood, and others. In 2021, the Hickory category will provide the most income. Hickory is a well-known wood for smoking barbecued meats and other foods cooked on the grill. Furthermore, it has a sweet, smoky flavor that appeals to customers' tastes and is consumed in huge quantities, driving the hickory segment's growth.

Geographical Penetration:

North America is the dominating region during the forecast period

The market was dominated by North America, which accounted for XX percent of total sales. The demand for smoky-flavored meats, sauces, dairy, and pet food products has increased dramatically, propelling the industry forward in this region. In this region, Red Arrow International LLC and Colgin are two of the most prominent liquid smoke producers. Furthermore, North America has more than 35 processed meat plants that use liquid smoke in considerable quantities, making it the world's largest producer and consumer.

With a CAGR of XX percent, Asia Pacific is predicted to be the fastest-growing area. Factors such as rising purchasing power, developing economies, and the use of liquid smoke in a variety of meat products and other recipes are expected to fuel market growth in this region. Furthermore, firms such as Kerry, Azelis, and Besmoke are driving the liquid smoke market forward.

Competitive Landscape:

The liquid smoke market is largely organized and dominated by a small number of competitors. To stay relevant in the global liquid smoke market, leading companies rely on methods such as product introduction and acquisition. Azelis S.A., B&G Foods, Inc., Colgin, Inc., Kerry Group, Plc, Ps Seasoning, Ruitenberg Ingredients B.V., Smoked Flavours Pty Ltd, and Urban Platter are among the important players in the market. On October 26, 2018, Kerry Groupe stated that it had reached an agreement to buy AATCO Food Industries LLC and Fleischmann's Vinegar Company Inc.

COVID-19 Impact: Negative impact on the global liquid smoke market

The COVID-19 pandemic has significantly influenced the global liquid smoke market. Due to demand and supply chain interruptions, decreased productivity rates, and employee health difficulties, the liquid smoke market has been heavily damaged by the COVID-19 pandemic. During the pandemic, there was a lockdown, which caused manufacturing industries to be disrupted. Restaurants remained closed due to the lockdown, resulting in a significant loss. Furthermore, manufacturers' production capacity decreased, which hindered the liquid smoke market's growth.