Liquorice Shellac Market – Global Industry Size, Share, Trends, Opportunity, and Forecast, Segmented By Type (Bleached Shellac, Dewaxed Shellac, Refined Shellac), By Application (Food, Pharmaceuticals, Industrial, Others), By Region & Competition, 2021-2031F

Forecast Period	2027-2031
Market Size (2025)	USD 454.22 Million
CAGR (2026-2031)	5.12%
Fastest Growing Segment	Pharmaceuticals
Largest Market	Asia Pacific
Market Size (2031)	USD 612.88 Million

Market Overview

The Global Liquorice Shellac Market will grow from USD 454.22 Million in 2025 to USD 612.88 Million by 2031 at a 5.12% CAGR. Liquorice shellac is a specialized natural resin derivative utilized within the confectionery industry as a glazing and finishing agent to impart a high-gloss shine and extend the shelf life of liquorice sweets. The market is primarily propelled by the rising consumer demand for clean-label and plant-based ingredients which encourages manufacturers to replace synthetic petrochemical waxes with natural alternatives. Furthermore the continued expansion of the global premium confectionery sector supports the adoption of high-quality natural glazing agents that ensure superior visual appeal and texture preservation for artisanal and mass-market products alike.

However market expansion confronts a significant challenge regarding the volatility of raw material supply since lac resin cultivation remains heavily dependent on specific climatic conditions and host tree availability. This supply chain vulnerability frequently results in price fluctuations and procurement difficulties for end-users. Underscoring the trade scale of this critical input, according to the India Brand Equity Foundation, in the fiscal year 2024, exports of shellac and lac-based products were valued at US$ 125.59 million. This statistic highlights the substantial yet variable economic foundation upon which the global liquorice shellac market relies.

Key Market Drivers

The expansion of the global confectionery and chocolate industries acts as a primary catalyst for the liquorice shellac market, as manufacturers increasingly rely on this natural resin to provide the characteristic glossy finish and moisture protection required for high-quality sweets. As the consumption of sugar confectionery rises, particularly in the premium segment, the throughput of glazing agents needed to maintain texture and aesthetic appeal in liquorice products has surged. Highlighting the immense scale of this end-use sector, according to the National Confectioners Association, March 2024, in the '2024 State of Treating' report, the United States confectionery category alone reached $48 billion in total sales in 2023. Furthermore, the financial magnitude of key market players underscores the critical demand for reliable raw material inputs; according to Cloetta AB, March 2024, in the 'Annual and Sustainability Report 2023', the major European confectionery and liquorice manufacturer reported net sales of SEK 8.3 billion, signaling robust industrial requirements for finishing agents.

Concurrently, the market is significantly influenced by the rising demand for natural and clean-label food ingredients, compelling producers to substitute synthetic petrochemical waxes with plant-derived or insect-derived alternatives like shellac. This shift is driven by heightened consumer awareness regarding ingredient origins, pushing brands to reformulate products to ensure they meet "all-natural" claims while maintaining shelf stability. This preference for transparent sourcing is quantifiable; according to the Organic Trade Association, May 2024, in the '2024 Organic Industry Survey', total organic sales in the United States reached a record $69.7 billion in 2023, reflecting a broader consumer mandate for clean-label products that directly benefits natural glazing solutions. Consequently, liquorice manufacturers are prioritizing shellac procurement to align with these evolving wellness trends and secure competitive advantage in a health-conscious marketplace.

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Key Market Challenges

The volatility of raw material supply constitutes a critical bottleneck impeding the expansion of the global liquorice shellac market. Unlike synthetic glazing agents which benefit from controlled industrial production, shellac is a natural resin harvested from the Kerria lacca insect, making its availability intrinsically tied to environmental stability. The cultivation process is heavily concentrated in specific climatic zones and is vulnerable to erratic weather patterns, pest infestations, and the declining population of host trees. This biological dependence creates an unpredictable supply chain where yield variations lead to sudden price spikes and procurement inconsistency. For confectionery manufacturers, this instability complicates long-term inventory planning and cost management, often negating the premium appeal of using a natural ingredient.

Consequently, potential market entrants and large-scale confectionery brands may hesitate to fully transition from petrochemical waxes to shellac, fearing that raw material shortages could disrupt production schedules. The inability to guarantee a stable feedstock price discourages the mass adoption required for significant market growth. Highlighting the vast economic footprint of this nature-dependent sector, according to the Shellac and Forest Products Export Promotion Council (SHEFEXIL), in the fiscal year 2023-24, the total export value of the forest products basket, which encompasses the shellac ecosystem, stood at US$ 3,449.69 million. This figure underscores the magnitude of the trade volume that remains exposed to these upstream agricultural and climatic risks, threatening the reliability of the global supply chain.

Key Market Trends

The market is experiencing a pivotal expansion into nutraceutical and dietary supplement applications, where liquorice shellac is increasingly valued as a natural enteric coating and moisture barrier. Unlike its use in confectionery for mere aesthetics, in this sector, the resin is utilized for its functional ability to facilitate delayed release and mask the taste of herbal ingredients, aligning with the rigorous demands of clean-label pharmaceutical delivery systems. This diversification is bolstered by the enduring stability of the wellness economy; according to the Council for Responsible Nutrition, October 2024, in the '2024 Consumer Survey', 75 percent of Americans reported continuing their usage of dietary supplements, maintaining a massive industrial baseline that critically relies on natural encapsulation and glazing excipients.

Simultaneously, the industry is being reshaped by the adoption of sustainable and ethical sourcing practices, driven by aggressive environmental mandates from the major confectionery conglomerates that purchase glazing agents. As leading global food brands strictly enforce decarbonization targets, upstream shellac producers are being compelled to validate their harvesting methods and implement low-emission processing to retain contracts with multinational partners. The scale of this corporate pressure is exemplified by the environmental commitments of key end-users; according to Mars, Incorporated, July 2024, in the '2023 Sustainable in a Generation Report', the company achieved a record 8 percent reduction in greenhouse gas emissions across its entire value chain in 2023, signaling a transformative shift where ingredient suppliers must now demonstrate measurable ecological compliance to compete.

Segmental Insights

The Pharmaceuticals segment is emerging as the fastest-growing category within the Global Liquorice Shellac Market, driven by the escalating demand for natural and biodegradable tablet coatings. Industry growth is propelled by the unique functional properties of liquorice shellac, which serves as an effective moisture barrier and taste-masking agent for bitter active ingredients. Additionally, its ability to facilitate controlled drug release enhances the stability and efficacy of oral medications. This rapid expansion is further supported by the ingredient's non-toxic profile and its Generally Recognized As Safe status recognized by the U.S. Food and Drug Administration, which validates its extensive use in safe medical formulations.

Regional Insights

Asia Pacific commands the leading position in the Global Liquorice Shellac Market, primarily driven by its unparalleled access to raw materials. India and Thailand serve as the global epicenters for lac resin cultivation, ensuring a steady and cost-effective supply chain for manufacturers in the region. This production advantage is complemented by robust demand from the flourishing regional confectionery and pharmaceutical industries, which utilize shellac extensively for glazing and coating. Additionally, the strategic shift toward natural ingredients in food processing supports the sustained expansion of the market across these key Asian economies.

Recent Developments

• In September 2025, Capol GmbH expanded its portfolio further by acquiring Blue Pacific Flavors, a US-based provider of natural and organic flavor systems. This acquisition, effective from the beginning of the month, aims to strengthen the company's position in the North American market and enhance its innovation capabilities across beverage, confectionery, and coating applications. By combining Blue Pacific’s flavor expertise with its own surface treatment technologies, the company intends to deliver more comprehensive ingredient solutions to manufacturers in the Global Liquorice Shellac Market.
• In July 2025, Capol GmbH, a major global manufacturer of surface treatment agents including shellac, finalized the acquisition of the German flavor house Curt Georgi GmbH & Co. KG. This strategic move allows the company to integrate its expertise in glazing and anti-sticking agents with Curt Georgi's long-standing experience in flavor development. The acquisition is designed to create synergetic solutions for the confectionery industry, directly benefiting the Global Liquorice Shellac Market by offering combined coating and flavoring technologies for products like liquorice and dragees.
• In September 2024, Norevo GmbH, a leading supplier of shellac and confectionery ingredients, collaborated with Winkler und Dünnebier Süßwarenmaschinen (WDS) and D&F Sweets to host the second "OTC Symposium" in Aachen, Germany. The event brought together international industry experts to discuss trends in functional confectionery, including enriched gummies and jellies. The symposium addressed critical topics such as recipe development and production technology, underscoring the importance of specialized coating and glazing solutions in the evolving Global Liquorice Shellac Market.
• In May 2024, Lakrids by Bülow, a premium Danish confectionery brand and significant end-user in the market, officially launched its 2024 Summer Collection. The new product line introduced innovative flavor combinations such as Sour Strawberry and Læmon, featuring liquorice cores coated in chocolate and finished with a specialized sugar shell glazing. This launch highlights the continuous product innovation within the sector, utilizing high-quality glazing agents like shellac to achieve the signature texture and appearance required for premium liquorice confectionery.

Key Market Players

• M/S. D. Manoharlal Pvt Ltd
• Mantrose UK Ltd
• Temus Pte Ltd.
• Sunresin New Materials Co.Ltd.
• A.F. Suter & Company Ltd.
• F&C Licorice Group
• Sepidan Osareh Jonoob Co.
• Mafco Worldwide LLC
• Maruzen Pharmaceuticals Co., Ltd.
• Nutra Green Biotechnology Co.,Ltd

By Type	By Application	By Region
Bleached Shellac Dewaxed Shellac Refined Shellac	Food Pharmaceuticals Industrial Others	North America Europe Asia Pacific South America Middle East & Africa

Report Scope:

In this report, the Global Liquorice Shellac Market has been segmented into the following categories, in addition to the industry trends which have also been detailed below:

• Liquorice Shellac Market, By Type:

• Bleached Shellac
• Dewaxed Shellac
• Refined Shellac

• Liquorice Shellac Market, By Application:

• Food
• Pharmaceuticals
• Industrial
• Others

• Liquorice Shellac Market, By Region:

• North America
• United States
• Canada
• Mexico
• Europe
• France
• United Kingdom
• Italy
• Germany
• Spain
• Asia Pacific
• China
• India
• Japan
• Australia
• South Korea
• South America
• Brazil
• Argentina
• Colombia
• Middle East & Africa
• South Africa
• Saudi Arabia
• UAE