The Botanicals Market refers to products derived from plants or plant materials. Botanical ingredients are extracted from various parts of plants such as roots, leaves, stems, flowers etc. They provide numerous health and medicinal benefits. Common botanical ingredients used in various industries include botanical fragrances, botanical flavors, botanical extracts etc. Some examples include essential oils, phytochemicals, antioxidants etc. Botanical ingredients are finding wide applications in food & beverages, dietary supplements, personal care & cosmetics and other industries owing to their natural origin and versatile functionality. The growing preference for natural products over synthetic or chemical ones among conscious consumers is driving the demand for botanical ingredients globally.
The Botanicals Market is estimated to be valued at US$ 112.31 Bn in 2024 and is expected to exhibit a CAGR of 6.5% over the forecast period 2024-2031.
Key Takeaways
Key players operating in the Botanicals Market are DSM, AmbePhytoextracts, Berje, Indesso, Lipoid Kosmetic. DSM is one of the leading producers of botanical extracts globally.
The rising demand for natural ingredients from the food & beverage industry is a major factor driving growth of the Botanicals Market. Consumers are increasingly preferring food products with natural ingredients over chemical or artificial flavours & fragrances.
Technological advancements in extraction techniques are helping manufacturers derive a wide range of ingredients from plants. Supercritical CO2 extraction and subcritical extraction methods allow for selective and efficient extraction of bioactive compounds without use of solvents. This is increasing the applications of botanical extracts in industries.
Market Trends
Growing demand for functional foods - Botanical ingredients are increasingly being used in functional foods & beverages for their medicinal and nutritional benefits. Products containing botanical extracts that offer specific health benefits such as weight management, heart health, immunity boosting are gaining traction.
Rising application in natural personal care - The personal care industry is witnessing a major shift towards natural and organic products made from botanical ingredients such as essential oils, herb and plant extracts. They are commonly being used in products like skin care, hair care, cosmetics etc.
Market Opportunities
Increasing penetration in emerging markets - Countries in Latin America, Asia Pacific and Africa currently offer significant untapped potential for botanical suppliers owing to rising health awareness, disposal incomes and changing consumer preferences in these regions.
New product development - Continuous research into botanicals is helping identify new bioactive compounds that can be used across industries for novel application and new product development. This will drive future market demand.
Impact Of COVID-19 On Botanicals Market Growth
The COVID-19 pandemic has significantly impacted the Botanicals Market growth globally. During the initial lockdown phase, demand from end-use industries such as food and beverages, cosmetics, and personal care products declined sharply as manufacturing and distribution activities were disrupted. Supply chain constraints led to higher procurement costs for botanical extracts. However, with rising health awareness among people, demand for herbal and plant-based products increased as immunity boosters. Manufacturers experienced higher demand for botanical extracts with anti-viral and anti-bacterial properties such as ginger, turmeric, aloe vera, ginkgo biloba etc.
As nations eased lockdowns, demand from food and dietary supplement sectors picked up rapidly. During the pandemic, consumers preferred natural and organic food products for nutrition and safety. This boosted botanical applications in functional food and supplements. The nutraceuticals industry also witnessed growth driven by demand for natural remedies. However, cosmetics sector recovery was slower due to discretionary spends downturn.
Going forward, demand from healthcare and wellness segments is expected to drive long-term growth opportunities. Manufacturers are investing in R&D to develop new formulations using botanicals for immunity, antiviral, and antibacterial efficacy. Sustainable sourcing and certifications will gain importance. Companies are likely to enhance digital marketing and e-commerce strategies to reach customers amid geographical supply chain challenges.
Geographical Regions With Major Botanicals Market Concentration
The Asia Pacific region accounted for the largest market share in terms of value, primarily led by China, India and other developing nations. Abundant availability of raw materials and lower production costs have made APAC a major global sourcing hub. Latin American countries such as Brazil and Argentina also contributed significantly led by native plant biodiversity and agricultural commodities exports.
North America and Western Europe were other major regional markets driven by technical applications in pharmaceuticals and personal care sectors. However, demand in these developed markets is shifting more towards premium, natural and organic products categories. Overall, the botanicals industry landscape is concentrated in tropical and agriculturally productive emerging countries with diverse botanical resources.
Fastest Growing Regional Market For Botanicals
The African region is expected to witness the fastest market growth during the forecast period led by Sub-Saharan Africa. Abundant native botanical wealth and low-cost agricultural production provide competitive advantages. Countries like South Africa, Nigeria, Kenya etc. are focusing on developing natural products industries and adopting international certifications to boost exports. Rising health awareness, population growth and urbanization also support demand growth. Innovation in value-added extracts and formulations tailored for African and global markets present lucrative opportunities. favourable government policies, sustainable cultivation practices and partnerships with global market leaders can accelerate African botanicals industry transformation.
Get more insights on this topic: https://www.ukwebwire.com/botanicals-market-is-estimated-to-witness-high-growth-owing-to-anti-aging-and-reduced-side-effects-of-botanical-extracts-usage/
About Author:
Ravina Pandya, Content Writer, has a strong foothold in the market research industry. She specializes in writing well-researched articles from different industries, including food and beverages, information and technology, healthcare, chemical and materials, etc. (https://www.linkedin.com/in/ravina-pandya-1a3984191)
What Are The Key Data Covered In This Botanicals Market Report?
:- Market CAGR throughout the predicted period
:- Comprehensive information on the aspects that will drive the Botanicals Market's growth between 2024 and 2031.
:- Accurate calculation of the size of the Botanicals Market and its contribution to the market, with emphasis on the parent market
:- Realistic forecasts of future trends and changes in consumer behaviour
:- Botanicals Market Industry Growth in North America, APAC, Europe, South America, the Middle East, and Africa
:- A complete examination of the market's competitive landscape, as well as extensive information on vendors
:- Detailed examination of the factors that will impede the expansion of Botanicals Market vendors
FAQ’s
Q.1 What are the main factors influencing the Botanicals Market?
Q.2 Which companies are the major sources in this industry?
Q.3 What are the market’s opportunities, risks, and general structure?
Q.4 Which of the top Botanicals Market companies compare in terms of sales, revenue, and prices?
Q.5 Which businesses serve as the Botanicals Market’s distributors, traders, and dealers?
Q.6 How are market types and applications and deals, revenue, and value explored?
Q.7 What does a business area’s assessment of agreements, income, and value implicate?
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
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