Rosemary Extract Market Forecasts to 2030 - Global Analysis By Nature (Organic and Conventional), By Form (Liquid, Powder and Other Forms), Distribution Channel, Application and By Geography

According to Stratistics MRC, the Global Rosemary Extract Market is accounted for $874.8 million in 2023 and is expected to reach $1341.7 million by 2030 growing at a CAGR of 6.3% during the forecast period. Rosemary extract is a natural compound derived from the leaves of the Rosmarinus officinalis plant. It contains bioactive components such as carnosic acid and rosmarinic acid, known for their antioxidant and antimicrobial properties. Widely used in food, cosmetics, and pharmaceuticals, rosemary extract serves as a natural preservative, flavor enhancer, and functional ingredient, offering health benefits and enhancing product quality.

According to the Environmental Working Group, 2020, American consumers spent a total of USD 20.4 billion on organic fruits and vegetables, fresh and frozen combined, in 2020, making organic produce now 15% of all fruits and vegetables sold in the U.S.

Market Dynamics:

Driver:

Increasing demand for natural ingredients in food and beverages

The rising demand for natural ingredients in food and beverages serves as a significant driver in the rosemary extract market. Consumers are increasingly seeking healthier and more wholesome products, leading to a preference for natural alternatives to synthetic additives and preservatives. Rosemary extract, with its natural antioxidant properties and flavor-enhancing capabilities, fulfills this demand by offering a clean-label solution for manufacturers. As a result, the market for rosemary extract continues to expand to meet the growing consumer preference for natural ingredients.

Restraint:

Seasonal availability and volatility in raw material prices

The growth cycle and harvest periods of rosemary plants affect raw material availability, leading to fluctuations in supply. Additionally, external factors, such as weather conditions and agricultural yields, further impact prices. These uncertainties in raw material sourcing pose challenges for manufacturers in maintaining stable production costs, pricing strategies, and supply chain management, ultimately affecting profitability and market competitiveness.

Opportunity:

Growing consumer awareness about health benefits

As consumers become more health-conscious, they seek natural and functional ingredients like rosemary extract, known for its antioxidant and antimicrobial properties. This increased awareness drives demand for products promoting wellness and disease prevention. Manufacturers can capitalize on this trend by developing innovative rosemary-based products targeting health-conscious consumers, thereby expanding their market presence and meeting the evolving needs of the health-conscious demographic.

Threat:

Limited shelf life

Limited shelf life poses a threat to the rosemary extract market due to the perishable nature of the product. Rosemary extract, being a natural ingredient, is susceptible to degradation over time, affecting its quality and efficacy. This can lead to product spoilage, reduced potency of active compounds, and loss of flavor and aroma, diminishing consumer satisfaction and brand reputation, which affects market growth.

Covid-19 Impact:

The COVID-19 pandemic has impacted the rosemary extract market, leading to disruptions in the supply chain, production delays, and changes in consumer behavior. While demand for natural ingredients like rosemary extract has remained steady, logistical challenges and economic uncertainties have affected market dynamics. Additionally, shifts towards online shopping and home cooking trends have influenced purchasing patterns, shaping the market's recovery and adaptation strategies.

The food and beverages segment is expected to be the largest during the forecast period

The food and beverages segment is poised to be the largest during the forecast period due to the widespread use of rosemary extract as a natural preservative, flavor enhancer, and functional ingredient in various food and beverage applications. Additionally, rising consumer demand for clean-label products, coupled with increasing awareness of the health benefits of natural ingredients, further drives the adoption of rosemary extract in food and beverage formulations, propelling segment growth.

The liquid segment is expected to have the highest CAGR during the forecast period

The liquid segment is projected to achieve the highest compound annual growth rate during the forecast period due to several factors. Liquid rosemary extracts offers convenience in formulation, ease of integration into various products, and efficient distribution. Additionally, the rising demand for liquid formats in food, beverage, and cosmetic applications, along with the versatility of liquid extract in diverse formulations, contribute to its expected rapid growth.

Region with largest share:

North America is positioned to dominate the rosemary extract market owing to its well-established food and beverage industry and high consumer awareness and demand for natural ingredients. Additionally, the prevalence of health-conscious lifestyles and the growing preference for clean-label products drive the adoption of rosemary extract in various applications. Furthermore, robust research and development activities, coupled with stringent regulations promoting food safety and quality, support the market's growth and dominance in North America.

Region with highest CAGR:

The Asia Pacific region anticipates rapid growth in the rosemary extract market due to increasing awareness of the health benefits of natural ingredients, rising demand for clean-label products, and growing preference for herbal remedies. Additionally, the region's rich biodiversity and favorable climatic conditions support rosemary cultivation, ensuring a stable supply of raw materials. Furthermore, expanding food, beverage, and cosmetic industries in countries like China, India, and Japan drive the market's growth by incorporating rosemary extract into various products.

Key players in the market

Some of the key players in Rosemary Extract Market include Arjuna Natural Pvt Ltd., Danisco (DuPont), Dohler Group, FLAVEX Naturextrakte GmbH, Frutarom Industries Ltd., Guangxi Yulin Jiahe Bio-tech Co., Ltd., International Flavors & Fragrances Inc., Kalsec Inc., Kemin Industries, Inc., Kervan Gida, Monteloeder, Naturex S.A., Nexira, Nutra Green Biotechnology Co., Ltd., Radient Technologies Inc., Robertet Group, Sabinsa Corporation, Shaanxi Guanjie Technology Co., Ltd. and Synthite Industries Ltd.

Key Developments:

In October 2023, Naturex, a global leader in natural ingredients, acquired Herboris, a Spanish manufacturer of rosemary extract. This acquisition will strengthen Naturex's position in the rosemary extract market and expand its range of natural ingredients.

In September 2023, Sabinsa, a global developer of botanical ingredients, acquired Interhealth Nutraceuticals, a Canadian manufacturer of rosemary extract. This acquisition will expand Sabinsa's product portfolio and give it access to Interhealth's proprietary extraction technology.

In August 2023, Kemin Industries, a global leader in specialty ingredients for the food, pharmaceutical, and animal health industries, acquired NEOGEN Corporation's natural products division, which includes a rosemary extract business. This acquisition will expand Kemin's portfolio of natural ingredients and give it access to NEOGEN's expertise in food safety and quality control.

Natures Covered:

• Organic
• Conventional

Forms Covered:

• Liquid
• Powder
• Other Forms

Distribution Channels Covered:

• Direct Sales
• Indirect Sales

Applications Covered:

• Food
• Pharmaceuticals
• Cosmetics
• Dietary Supplements
• Pet Food and Animal Feed
• Other Applications

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2021, 2022, 2023, 2026, and 2030
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

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All the customers of this report will be entitled to receive one of the following free customization options:

• Company Profiling
  • Comprehensive profiling of additional market players (up to 3)
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• Regional Segmentation
  • Market estimations, Forecasts and CAGR of any prominent country as per the client's interest (Note: Depends on feasibility check)
• Competitive Benchmarking
  • Benchmarking of key players based on product portfolio, geographical presence, and strategic alliances