Licorice Extract Market was valued at USD 1.91 Billion in 2022 and is
anticipated to project robust growth in the forecast period with a CAGR of 6.8%
through 2028. The extracts are made from the roots of these therapeutic plants.
The licorice plant's roots are used to make fragrant flavoring and sweet
extracts. Native to southern Europe, Western Asia, and North Africa are these
plants. Glycyrrhizin is a sweet-tasting molecule that contributes significantly
to the sweetness of licorice extracts. It is approximately 30–50 times sweeter
than sugar. Afghanistan, India, China, Italy, Iran, Pakistan, Azerbaijan,
Turkmenistan, Uzbekistan, Turkey, and Iraq are the countries where licorice is
typically farmed. It is extensively utilized in the food and beverage,
cosmetics, pharmaceutical, and tobacco industries. Many diseases, such as
inflammation, respiratory disorders, and digestive distress, have been treated
using licorice extracts and roots for thousands of years, especially in
Asia. With over 300 different chemicals,
including anti-inflammatory, anti-viral, and anti-microbial ones, licorice is a
remarkably versatile plant. For many years, licorice was a common remedy for
conditions like coughs, bronchitis, fever, indigestion, heartburn, stomach
ulcers, and toothaches. This medication is now discovered to be quite helpful
in treating skin infections, cancer memory loss, and hepatitis C. A variety of foods and drinks contain
licorice extract as a flavoring ingredient. To increase the sweetness of some
foods, it is also used as a sweetener. However, it is not the only natural
sweetener or food ingredient on the market. It is more usual and well-known to
utilize stevia, a natural sweetener. Another plant that grows naturally and is
frequently used in place of licorice is anise, which tastes quite similar to
licorice. Alternatives to licorice extract include other naturally occurring
herbs like fennel, basil, chervil, tarragon, and tea tree. The use of licorice
extract as a natural flavoring and sweetener is hampered by these substitutes,
which also operate as a barrier to the industry's expansion.
Key Market Drivers
Health and Wellness Trends
consumers worldwide become more health-conscious, there is a growing demand for
natural and plant-based ingredients. Licorice extract, known for its potential
health benefits, aligns perfectly with this trend. The active compound
glycyrrhizin in licorice has been associated with anti-inflammatory,
antioxidant, and antimicrobial properties, making it a popular choice for
dietary supplements and herbal medicines. Additionally, licorice extract can
support various health issues, including digestive problems, respiratory
ailments, and skin conditions. This growing interest in natural remedies and
functional ingredients drives the demand for licorice extract in the health and
increased focus on maintaining overall well-being has spurred research and
development in the licorice extract market, leading to the discovery of new
applications and benefits. It has also prompted manufacturers to introduce
innovative licorice-based products, such as herbal teas, supplements, and
topical creams, catering to consumers seeking alternatives to synthetic drugs
and chemicals. Consequently, health and wellness trends are a potent driver in
the licorice extract market, offering substantial growth opportunities.
Cosmetics and Personal Care
cosmetics and personal care industry is another significant driver of the
licorice extract market. Licorice extract contains compounds like glabridin,
known for their skin-lightening and anti-inflammatory properties. These
properties make licorice extract a popular ingredient in skincare products,
particularly in the formulation of anti-aging, skin-whitening, and
are increasingly turning towards natural and botanical ingredients in their
skincare routines. As a result, the demand for products containing licorice
extract has grown significantly. Manufacturers often incorporate licorice
extract in various skincare products, including creams, serums, and cleansers,
to cater to this demand. The extract's ability to address skin concerns, such
as hyperpigmentation and redness, has made it a staple in many skincare brands'
skincare industry's commitment to sustainability and eco-friendliness has
further boosted the popularity of licorice extract, as it is perceived as a
more environmentally friendly alternative to certain synthetic chemicals. As
consumers become more educated about the ingredients in their skincare
products, the cosmetics and personal care sector will continue to drive the
licorice extract market's growth.
Food and Beverage Applications
food and beverage industry is one of the major drivers of the licorice extract
market, primarily due to its use as a flavoring and sweetening agent.
Licorice's distinct and versatile flavor is used in a wide range of products,
from candies and confectionery to beverages and baked goods. The use of
licorice extract in these products provides a unique taste that appeals to a
broad consumer base.
extract is used as a natural sweetener, especially in products marketed as
sugar-free or with reduced sugar content. As the global push for reduced sugar
consumption continues, the demand for natural sweeteners like licorice extract
is on the rise. It offers a way for manufacturers to maintain product sweetness
without relying on artificial sweeteners or excessive sugar.
licorice extract is often used to add a touch of sophistication to culinary
creations, with its sweet and slightly spicy undertones. The growing popularity
of gourmet and specialty foods has further fueled demand for licorice extract
in the food industry.
use of licorice extract in traditional medicine and pharmaceuticals is deeply
rooted in history. Licorice has been used for its medicinal properties in
various cultures for thousands of years. In modern times, the pharmaceutical
industry has recognized the therapeutic potential of licorice, leading to a
significant driver in the licorice extract market.
a compound found in licorice extract, is known for its anti-inflammatory and
immune-boosting properties. It has applications in treating respiratory
conditions like bronchitis and asthma. Licorice extract is also used in
formulations for cough syrups and sore throat remedies.
the anti-inflammatory nature of licorice extract has made it a key ingredient
in dermatological products. It can help soothe skin conditions like eczema and
psoriasis, and is utilized in creams and ointments. Additionally, licorice
extract's potential in managing digestive disorders has led to the development
of over-the-counter supplements and prescription medications.
traditional medicine systems like Ayurveda and Traditional Chinese Medicine
(TCM), licorice has long been considered an essential herb with a wide range of
applications. As interest in alternative and holistic healthcare continues to
grow, licorice extract's role in pharmaceuticals and traditional medicine will
remain a vital driver in the market.
Growth in Asia-Pacific Region
Asia-Pacific region, particularly China and India, has witnessed significant
growth in the licorice extract market. These countries are not only major
producers of licorice but also major consumers, both domestically and
internationally. Several factors contribute to the growth of the licorice
extract market in this region.
the rich tradition of herbal medicine in both China and India has provided a
natural platform for the use of licorice extract in various formulations.
Ayurveda in India and Traditional Chinese Medicine have long utilized licorice
as a key ingredient in herbal remedies.
the increasing global demand for traditional and natural remedies has driven
the expansion of the licorice extract industry in Asia-Pacific. China, as a
dominant player in the licorice extract market, exports significant quantities
of licorice and its derivatives to meet international demand.
the pharmaceutical and herbal medicine industries in these countries are
experiencing robust growth, driven by rising healthcare awareness and increased
research and development efforts. This, in turn, boosts the demand for licorice
extract as an essential component in many formulations.