Global Plant Extracts Market - 2023-2030

Global Plant Extracts Market - 2023-2030

The Global Plant Extracts Market reached US$ 35.2 billion in 2022 and is expected to reach US$ 87.7 billion by 2030 and is expected to grow with a CAGR of 12.1% during the forecast period 2023-2030.

Plant extracts are concentrated preparations derived from plant materials that contain a wide range of bioactive compounds known as phytochemicals. These extracts are obtained through various extraction methods, utilizing solvents and concentration techniques to isolate and concentrate the desired active compounds. Phytochemicals are naturally occurring chemical compounds found in plants that are responsible for their medicinal and functional properties. They include a diverse range of compounds such as polyphenols, flavonoids, alkaloids, terpenes, and many others. These phytochemicals exhibit various biological activities, such as antioxidant, anti-inflammatory, antimicrobial, and anticancer effects.

The market trend toward natural and organic products has led to a surge in demand for plant extracts. Consumers are seeking plant-based alternatives in various industries such as food and beverages, cosmetics, pharmaceuticals, and personal care products. For instance, the demand for natural plant-based skincare products has witnessed significant growth, with plant extracts like aloe vera, green tea, and chamomile being widely used.

Market Dynamics

Increasing Consumer Demand for Natural and Plant-Based Products is Driving the Plant Extracts Market

Consumers are becoming more conscious of their health and are actively seeking products that offer potential health benefits. According to a survey by Nielsen, 53% of global consumers prefer to buy products with all-natural ingredients. This trend is driving the demand for natural and plant-based products, including those incorporating plant extracts.

The adoption of plant-based diets and lifestyles is on the rise globally. According to a report by The Good Food Institute, the plant-based food market reached USD 7 billion in 2020, with sales growing by 27% compared to 2019. This shift towards plant-based diets creates a demand for plant-based ingredients, including plant extracts, for food and beverage products.

Rising Demand for Herbal Supplements and Traditional Medicines is Expected to Foster the Plant Extracts Market

Consumers are increasingly seeking natural and holistic approaches to health and wellness. According to a survey conducted by the National Center for Complementary and Integrative Health (NCCIH) in the United States, herbal supplements are the most commonly used natural product among adults, with an estimated 23.8% of adults using them.

Traditional medicine systems, such as Traditional Chinese Medicine (TCM), Ayurveda, and Traditional Japanese Medicine (Kampo), have a long-standing presence in many regions. These systems heavily rely on herbal remedies and plant-based formulations. For instance, according to the World Health Organization (WHO), 60% of the world's population relies on herbal medicine and 80% of the world's population relies on traditional medicine for their primary healthcare needs.

Complex Regulatory Landscape is Holding Back the Plant Extracts Market

The regulatory requirements for plant extracts vary across different regions and countries. Each jurisdiction may have its own set of regulations and guidelines governing the production, quality control, labeling, and safety of plant extract-based products. Complying with multiple regulatory frameworks can be complex and time-consuming for manufacturers, hindering market growth.

Some regions have specific regulations or restrictions on certain phytochemicals found in plant extracts. For instance, regulations may limit the concentration or use of certain active compounds due to safety concerns or potential misuse. Complying with these specific regulations can pose challenges for manufacturers and limit the market potential of certain plant extracts.

COVID-19 Impact Analysis

The COVID-19 Analysis includes Pre-COVID Scenario, COVID Scenario, and Post-COVID Scenario along with Pricing Dynamics (Including pricing change during and post-pandemic comparing it with pre-COVID scenarios), Demand-Supply Spectrum (Shift in demand and supply owing to trading restrictions, lockdown, and subsequent issues), Government Initiatives (Initiatives to revive market, sector or Industry by Government Bodies) and Manufacturers Strategic Initiatives (What manufacturers did to mitigate the COVID issues will be covered here).

Segment Analysis

The global plant extracts market is segmented based on type, form, application, and region.

By Application, the Food & Beverages Segment is Estimated to have Significant Growth During the Forecast Period

Consumers are increasingly seeking natural and clean-label ingredients in their food and beverages. Plant extracts offer a natural alternative to synthetic additives and flavorings, aligning with consumer preferences for clean-label products. Functional foods and beverages, which offer additional health benefits beyond basic nutrition, have gained significant popularity. Plant extracts are often used in the formulation of functional products due to their bioactive compounds and potential health-promoting properties.

Plant extracts find applications in various food and beverage products, including bakery goods, confectionery, beverages, dairy products, sauces, dressings, and snacks. They can be used as flavorings, colorants, preservatives, and natural additives, enhancing the sensory profile and nutritional value of the final products. For instance, botanical extracts provide a great opportunity to boost products with active ingredients or add more naturalness to the recipe.

Geographical Analysis

Asia Pacific is the Fastest Growing Market in the Plant Extracts Market

The Asia Pacific region is known for its rich biodiversity, which provides a diverse range of plant species suitable for extract production. Traditional herbal practices have been deeply ingrained in the culture of many Asian countries, leading to a long-standing tradition of using plant extracts for various purposes.

The Asia Pacific region has a large and growing population, along with rapid urbanization. This population growth, coupled with changing lifestyles and increasing disposable incomes, drives the demand for various products, including those utilizing plant extracts. For instance, On November 8, Changsha Customs and Changsha Municipal Government jointly established the ""WTO/TBT-SPS National Notification of the People's Republic of China"" Consulting Centre (Changsha) Plant Extract Product Technical Trade Measures Research Centre of the General Administration of Customs.

Competitive Landscape

The major global players in the market include Symrise AG, Sensient Technologies, INB Hauser Pharmaceutical Services, Inc., NATIVE EXTRACTS Pty Ltd, Martin Bauer GmbH & Co. KG, International Flavors & Fragrances, Inc., Koninklijke DSM N.V., Döhler, Givaudan, and Shaanxi JiahePhytochem Co., Ltd.

Why Purchase the Report?
• To visualize the global plant extracts market segmentation based on type, form, application, and region, as well as understand key commercial assets and players.
• Identify commercial opportunities in the market by analyzing trends and co-development.
• Excel data sheet with numerous data points of plant extracts market-level with all segments.
• The PDF report consists of cogently put-together market analysis after exhaustive qualitative interviews and in-depth market study.
• Product mapping is available as Excel consists of key products of all the major market players.

The global Plant Extracts market report would provide approximately 61 tables, 59 figures and 190 Pages.

Target Audience 2023
• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies