Benzoic acid is a commonly used antimicrobial preservative in beverages, especially carbonated beverages. In addition, sodium benzoate is a widely used preservative in soft drinks. Furthermore, there is a shift in consumer preferences towards adopting convenience food and ready-to-drink beverages in different regions such as Europe and North America, thereby driving the demand for benzoic acid. Thus, the strong growth in the food & beverages industry and the growing demand for preservatives to improve the shelf life of the different food products contribute to the strong demand for benzoic acid. Hence, the growing demand for benzoic acid from the food & beverages industry is driving the benzoic acid market growth.
Further, benzoic acid is highly used to make many chemicals such as benzoyl chloride, benzoyl peroxide, and phenol is used to synthesize benzoyl chloride. Moreover, it finds application in making other chemicals, dyes, perfumes, herbicides, and others. Further, benzoic acid is most commonly used for the production of phenol. Phenols find application in household cleaners and mouthwash as a disinfectant. The demand for benzoic acid is also increasing due to the rising demand for different chemicals from various application sectors, such as benzoyl chloride, benzoyl peroxide, and phenol. Hence, the increasing use of benzoic acid as an intermediate in the synthesis of different products is driving the market growth
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Benzoic Acid Market: Strategic Insights
The COVID-19 pandemic caused considerable disruptions in the growth of various industries globally. Similarly, the COVID-19 pandemic had a major impact on the market in 2020, when the supply chain of the biofertilizer's raw material was hampered due to the restriction of goods transport. Eased lockdown norms in several countries and growing seasonal crops have sustained global demand for benzoic acid. In addition to this, the rapid COVID-19 vaccinations program and rise in adoption of organic farming globally are flourishing the growth of the benzoic acid market, and manufacturers of benzoic acid witness significant growth in their business.
The global market is broadly segmented into North America, Europe, Asia Pacific (APAC), Middle East and Africa (MEA) and South and Central America (SAM). The market in North America is segmented into the US, Canada, and Mexico. The market in this region is driven by the increasing use of this compound as a food preservative, intermediate, and plasticizer. The flourished food & beverages industry in the region creates huge demands for food preservatives, including benzoic acid. Further, the chemicals industry is one of the largest manufacturing industries in the US; it serves both domestic and foreign markets. The chemicals industry in the country generates a huge demand for benzoic acid as an intermediate for the synthesis of different chemicals.
Benzoic acid is present in many products, such as perfume, lip balm, lipstick, facial masks, mascara, eyeshadow, and makeup remover. Further, along with women, there is a growth in different cosmetic products among men in their daily routine. Moreover, cosmetic product manufacturers are focusing on product branding, advertising, and new product launching strategies to increase the sales of cosmetics products. Thus, the factors mentioned above are contributing to the strong growth of the cosmetics industry.
Based on application, the global benzoic acid market is segmented into food preservatives, corrosive inhibitor, alkyd resins, synthesis intermediates, plasticizers, feed additives, and others. The synthesis intermediates segment led the global benzoic acid market in 2020. Benzoic acid is also used as an intermediate product for the production of sodium benzoate, potassium benzoate, benzoyl chloride, and benzotrichloride, among others. In addition, it is employed as an intermediate in the synthesis of paints, varnish, wetting agents, aroma compounds, etc. The growth of the automotive and construction industries, among others, leads to a huge demand for paints, which, in turn, drives the requirement for benzoic acid.
MERCK KGAA; LANXESS; SINTEZA; CHEMCRUX ENTERPRISES LTD; I G PETROCHEMICALS LTD; LIAONING HUAYI CHEMICAL INDUSTRY AND COMMERCE CO.,LTD.; TIANJIN DONGDA CHEMICAL GROUP CO., LTD; EASTMAN CHEMICAL COMPANY; FUSHIMI PHARMACEUTICAL CO., LTD.; and THE CHEMICAL COMPANY are some players actively focusing on developing more innovative benzoic acid for various application.
The regional trends and factors influencing the Benzoic Acid Market throughout the forecast period have been thoroughly explained by the analysts at Insight Partners. This section also discusses Benzoic Acid Market segments and geography across North America, Europe, Asia Pacific, Middle East and Africa, and South and Central America.
| Report Attribute | Details |
|---|---|
| Market size in 2021 | US$ 1.03 Billion |
| Market Size by 2028 | US$ 1.5 Billion |
| Global CAGR (2021 - 2028) | 5.5% |
| Historical Data | 2019-2020 |
| Forecast period | 2022-2028 |
| Segments Covered |
By Application
|
| Regions and Countries Covered | North America
|
| Market leaders and key company profiles |
The Benzoic Acid Market market is growing rapidly, driven by increasing end-user demand due to factors such as evolving consumer preferences, technological advancements, and greater awareness of the product's benefits. As demand rises, businesses are expanding their offerings, innovating to meet consumer needs, and capitalizing on emerging trends, which further fuels market growth.
Market players density refers to the distribution of firms or companies operating within a particular market or industry. It indicates how many competitors (market players) are present in a given market space relative to its size or total market value.
Major Companies operating in the Benzoic Acid Market are:
Disclaimer: The companies listed above are not ranked in any particular order.
The global benzoic acid market is highly competitive owing to the presence of several regional and global players. Players compete with each other based on product quality and prices.
The global benzoic acid market is primarily driven by growing demand for benzoic acid from food & beverages industry and increasing use of benzoic acid as an intermediate in the synthesis of different products.
Asia Pacific is estimated to register the fastest CAGR in the global benzoic acid market over the forecast period. The increasing use of food preservatives in different products is highlighting the requirement for safe food preservatives in the region, which fuels the market for benzoic acid in the region.
The synthesis intermediates segment held the largest share of the global benzoic acid market in 2021. Benzoic acid is commonly used as a chemical intermediate for the synthesis of different chemicals. It is the most commonly used component in the production of phenol and caprolactam.
In 2021, Asia Pacific held the largest share of the global benzoic acid market. One of the major factors bolstering the benzoic acid market growth in Asia Pacific is the rise in demand for this substance in the food & beverages industry.
Major market players operating in the global benzoic acid market include Eastman Chemical Company; Foodchem International Corporation; A.M Food Chemical Co., Limited; OASIS FINE CHEM; Spectrum Chemical; LANXESS; Merck KGaA; Tianjin Dongda Chemical Group Co., Ltd; I G Petrochemicals Ltd. (IGPL); and Sinteza.