Emerging Trends to Drive Botanical Extracts Market Growth at 10.6% CAGR Through 2029

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Botanical Extracts Market Size Growth Forecast: What to Expect by 2025?
The market size of botanical extracts has seen significant expansion in the last few years. The market is predicted to rise from $7.07 billion in 2024 to $7.67 billion in 2025, with a compound annual growth rate (CAGR) of 8.5%. The growth observed in the historical period was influenced by factors such as traditional cures, cultural and customary usage, exploration and commerce pathways, and supportive government laws.

How Will the Botanical Extracts Market Size Evolve and Grow by 2029?
Anticipated to experience swift expansion in the upcoming years, the botanical extracts market is predicted to reach an impressive $11.49 billion by 2029, with a compound annual growth rate (CAGR) of 10.6%. The expansion during the predicted period can be linked to factors such as increased health consciousness, a surge in the demand for functional foods and drinks, a rise in the popularity of plant-based products and herbal supplements, as well as an increase in disposable income. The current market trends to watch out for during this period consist of research and development pursuits, introduction of innovative goods, mergers and acquisitions, as well as government-led initiatives.

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What Drivers Are Propelling the Growth of Botanical Extracts Market Forward?
The botanical extracts market is being propelled forward by the increasing demand for convenience food products. These products are tertiary processed foods that are ready-to-eat. They often use plant extracts to enhance their color and flavor, especially in high-fat and ready-to-eat foods like meat. Botanical extracts, which are rich in concentrated medicinal properties, are used in the food industry for their health benefits. As a result, the rising demand for convenience foods is leading to growth in the botanical extracts market. In 2022, for example, the Economic Research Service of the U.S. Department of Agriculture reported that U.S. consumers spent an average of 11.3% of their total food expenses on meals away from home. As such, the botanical extracts market is driven by the growing demand for convenience food products.

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Which Emerging Trends Are Transforming the Botanical Extracts Market in 2025?
The enhancement of product innovation in the botanical extracts market has become a significant trend showing great potential. Key players in this market are creating extracts that have a higher level of bioavailability. For instance, Layn Natural Ingredients, a company based in China that specializes in creating innovative natural and functional botanical extract ingredients, introduced bio Quercitrin in September 2022. This product is a highly bioavailable version of Quercetin, specifically designed for use in nutraceuticals. What separates bio+Quercitrin from others is its potent antioxidant flavonoid that promotes the removal of free radicals and reduces oxidative stress. Thanks to the addition of a ribose molecule, Layn's bio Quercetin is six times more absorbable and permeable in the small intestine compared to the traditional form of Quercetin. Beyond being a replacement for conventional Quercetin, Layn's bio+Quercitrin is recognized for its stability, solubility, and bioavailability, making it an effective supplement individually or when combined in formulations for both human and pet health.

What Are the Key Segments in the Botanical Extracts Market?
The botanical extractsmarket covered in this report is segmented -

1) By Technology: CO2 Extraction, Solvent Extraction, Steam Distillation, Enfleurage, Other Technologies
2) By Source: Spices, Herbs, Flowers, Leaves, Other Sources
3) By Form: Liquid, Powder, Semi-Solid
4) By Application: Food And Beverages, Pharmaceutical And Nutraceutical, Cosmetics

Subsegments:
1) By CO2 Extraction: Supercritical CO2 Extraction, Subcritical CO2 Extraction
2) By Solvent Extraction: Ethanol Extraction, Hexane Extraction, Other Solvent-Based Methods
3) By Steam Distillation: Traditional Steam Distillation, Water Distillation
4) By Enfleurage: Cold Enfleurage, Hot Enfleurage
5) By Other Technologies: Microwave-Assisted Extraction, Ultrasound-Assisted Extraction, Cold Press Extraction

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Who Are the Key Players Shaping the Botanical Extracts Market's Competitive Landscape?
Major companies operating in the botanical extracts market include International Flavors & Fragrances Inc., Himalaya Herbal Healthcare, Blue Sky Botanics Ltd., Naturex, Synthite Industries Ltd., Nexira, Layn Natural Ingredients Corp., Indesso, Dohler GmbH, Hunan Nutramax Inc., Haldin Natural, Nutra Green Biotechnology Co. Ltd., Kalsec Inc., Arjuna Natural Pvt. Ltd., Shaanxi Jiahe Phytochem Co. Ltd., Tianjin Jianfeng Natural Products Co. Ltd., Bio-Botanica Inc., Nature's Power Nutraceuticals Corp., Synergy Flavors, Martin Bauer Group, Lipoid-Kosmetik, Phytochem India, Plant Extracts International Inc., Kuber Impex Ltd., Ransom Naturals Ltd., MB-Holding GmbH & Co KG, Frutarom Industries Ltd., Biomax Life Sciences Ltd., Organic Herb Inc., Xi'an Sgonek Biological Technology Co. Ltd.

What Geographic Markets Are Powering Growth in the Botanical Extracts Market?
North America was the largest region in the botanical extracts market share in 2024. The regions covered in the botanical extracts market report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East, Africa.

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