The global organic acids market size was evaluated at $11.48 billion in 2022 and is slated to hit $21.10 billion by the end of 2030 with a CAGR of nearly 7.90% between 2023 and 2030.

An organic acid is a compound that is organic and possesses acidic properties. One of the most prevalent examples of organic acid is carboxyl acid, which is classified as a weak acid and does not completely dissociate in mediums such as water, in contrast to other strong minerals.

Compared to hydrochloric acid or other strong acids, the simplest form of organic acids (such as formic acid and acetic acid) are primarily employed in stimulation treatments due to their lower reactivity. Lactic acid, acetic acid, formic acid, citric acid, oxalic acid, uric acid, malic acid, tartaric acid, carboxylic acid, and others are among the most prevalent examples of organic acids.

Organic Acids Market

The Organic Acids Market size is predominantly driven by its use in food and beverage applications, including bakery, confectionery, dairy, and beverages and others. The surge in the COVID-19 pandemic in 2020 had a temporary impact on the growth of the Organic Acids industry by resulting in the country-wise shutdown of food and beverage processing sites, a shortage of labour, and the decline of the supply and demand chain worldwide.

Consequently, the food and beverage production activities were negatively impacted. According to a 2020 report by the International Civil Aviation Organization, the COVID-19 pandemic is still having a significant impact on the food processing industry and its related supply chain. Nevertheless, the demand for Organic Acids Market share in the food and beverage market has been steadily increasing since 2021, as a result of the consistent recovery in food and beverage production activities.

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Organic acids are organic compounds that possess mild acidic properties and have a low molecular mass. They can be generated by fermenting biomass, molasses, starch, or agro-industrial residues, including cassava bagasse, coffee husk, apple pomace, soybean, sugarcane, maize cobs, press-mud, wheat bran, citric pulps, and fruit peels.

acids that are frequently employed include carboxyl, formic, lactic, propionic, gluconic, malic, and benzoic acid. Organic acids significantly improve the chelation of metallic ions and stimulation remedies for oil and gas. They are extensively employed as preservatives, emulsifiers, acidulants, antioxidants, and flavour enhancers.

Organic acids are less reactive than the mineral acids that are conventionally employed and can be employed in extreme temperatures. Consequently, they are widely employed in the production of pharmaceuticals, animal nutrition, and food and beverages.

It has been projected to experience substantial growth as a result of key drivers, such as the increasing demand for convenience food, the utilisation of organic acids in animal feed, and the production of organic acids from cost-effective renewable sources.

The global organic acids market may be impeded by the high cost of raw materials and technological barriers. The regulatory policy's laxity significantly supports the global organic acid market and creates a significant growth opportunity. Organic acids are feeble acids that do not completely dissociate in water when contrasted with mineral acids.

Organic acids with lower molecular masses, such as lactic acid and formic acid, are soluble in water. Conversely, organic acids with higher molecular masses, such as benzoic acid, are 100% intractable in neutral form. The fermentation process was previously the sole method of producing lactic acid and formic acid; however, technological advancements in biotechnology and chemical synthesis have rendered it obsolete.

Various agro-industrial residues, including coffee husk, apple pomace, soybean, sugarcane, press-mud, citric pulps, wheat bran, and kiwi fruit rind, are employed for the synthesis of organic acids. The expansion of the food and beverage sector in the Asia-Pacific region is contributing to the demand for organic acids. In addition, the healthcare industry's increasing demand for organic acids, population expansion, and GDP growth are all significant factors driving increased demand for organic acids.

Historic Outlook of the Organic Acid Market from 2017 to 2021 Compared to the Forecast for 2022 to 2032

Organic acids are frequently employed in the food processing industry due to their ability to effectively combat fungi, including yeast, and their reduced antibacterial activity. It contributes to the preservation of the pH level of ingested nutrients and the acidification of the diet.

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Dietary acidification with organic acid also enhances environmental hygiene by preventing the deterioration of animal feed by microbial and fungal agents. Because of these factors, the demand for organic acids is anticipated to increase at a compound annual growth rate (CAGR) of 5.3% during the forecast period, as opposed to the 4.5% CAGR that was observed from 2017 to 2021.

Additionally, the market will experience growth in the years ahead as consumers transition from synthetic additives to natural additives.

Animal, plant, and microbial constituents contain substantial quantities of organic acids. A combination of amides, esters, and peptides form their covalent bonds.

Organic Acids Market

Organic acids of microbiological origin are frequently manufactured on a large industrial scale. The production of organic acid by microorganisms is considered a viable method for the acquisition of building block compounds from renewable carbon sources. In order to enhance their sales, organic acid producers are emphasising the development of cost-effective, innovative processes.

Global Organic Acids Market: Competitive Players

The global organic acids market is led by players like:

  • The Dow Chemical Company
  • BioAmber
  • DSM Cargill
  • Genomatica

 

The global organic acids market is segmented as follows:

By Type

  • Gluconic Acid
  • Acetic Acid
  • Formic Acid
  • Fumaric Acid
  • Lactic Acid
  • Citric Acid
  • Propionic Acid
  • Other Acids

 

By Source

  • Starch
  • Biomass
  • Chemical Synthesis
  • Molasses

 

By Application

  • Food
  • Industrial
  • Feed

 

Global Organic Acids Market: Regional Segment Analysis

  • North America U.S.
  • Europe UK France Germany
  • Asia Pacific China Japan India
  • Latin America Brazil
  • Middle East and Africa

 

Market Drivers for Organic Acids

An increase in demand from the pharmaceutical industry

Formic acid has been employed in the pharmaceutical industry for an extended period of time. Formic acid is employed as a pharmaceutical intermediate in the production of a variety of medications, including amidopyrine and vitamin B. The demand for aminopyrine medicines is on the rise due to the global increase in measles cases.

For instance, according to UNICEF, the number of measles cases reported worldwide increased by 79% in the first two months of 2022 compared to the same period in the previous year. Additionally, according to the International Trade Administration, local pharmaceutical production in Japan was US$59,958 in 2017, US$62,570 in 2018, US$87,027 in 2019, and US$84,600 in 2020.

It is anticipated that this production will increase in Japan. In the same vein, the pharmaceutical industry is anticipated to expand at a rate of 10% annually from 2017 to 2028, as a result of a rise in pharmaceutical production and sales in the country, as per the Ministry of Health of Vietnam. Therefore, it is anticipated that the market will be stimulated in the years ahead by the substantial increase in medical production.

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Increasing utilisation in the culinary and beverage sector

The food and beverage processing industry employs organic acids. The increased use of organic acids as a fueling agent in beverages and to combat microorganisms in food processing production are both expected to stimulate the market in the future. The expansions and developments of companies' capacity are stimulating the market. In China, BASF has established a second production unit for propionic acid, which has a capacity of more than 65 MMT annually.

Furthermore, the EU, the U.S., New Zealand, and Australia have all approved lactic acid as a food additive.. Yoghurt, koumiss, cottage cheeses, kefir, and a variety of beverages contain lactic acid. Consequently, the Organic Acids market is anticipated to experience substantial development in the coming years as a result of the increased utilisation of lactic acid in the food and beverage industry.

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