all report title image
  • Published On : Dec 2021
  • Code : CMI1984
  • Industry : Bulk Chemicals
  • Pages : 140
  • Formats :

Definition of Market/Industry:

Citric acid is an organic acid that is present in fruit and is also prepared synthetically in a laboratory. It imparts sourness &tartness and improves the flavors of the food products. Moreover, it also inhibits microbial growth and thus extends the shelf-life of the food. Furthermore, in the pharmaceutical industry, it is used in the production of digestive medicine.

The global citric acid market is estimated to be valued at US$ 3,604.7 million in 2021 and is expected to exhibit a CAGR of 4.6 % over the forecast period (2021-2028).

Recent Developments:

  • In March 2021, ADM Expands Partnership with Farmers Business Network for investigate ways to speed up the development of innovations and ensure their long-term viability.
  • In November 2020, Jungbunzlauer is building a new citric acid plant in Austria to cover later demand and ensure stable supply.
  • In June 2021, Cargill Incorporated announced it will invest $140 million for expanding the production capacity of its citric acid facility in Uberlândia and Minas Gerais.

Figure 1. Global Citric Acid Market Value (US$ Mn), by Region 2020

Citric Acid  | Coherent Market Insights

Europe (Region) held dominant position in the global citric acid market in 2020, accounting for 36.8% share in terms of volume, followed by Asia Pacific and North America, respectively. Because the rapid expansion of RTD foods and RTE beverages is driving an increase in demand for Citric Acid.

Drivers:

Rising demand for convenience food & beverage products is augmenting the market growth of citric acid. It is used as a natural ingredient in the preparation of convenience food & beverages as it offers acidity, plays an important role as a preservative & antioxidants, and improves the taste of food as a flavor. For instance, Cargill, uses anhydrous citric acid and liquid citric acid in order to manufacture sauces, oils, soups, fillings, creams, fats, and mayonnaises.

The growing demand for natural and organic food additives is propelling the market growth of citric acid. Also, strict regulations regarding the use of natural food ingredients due to growing awareness regarding synthetic food additives are again expected to foster market growth. For instance, regulatory bodies such as Food & Drug Administration (FDA) in North America and European Food Safety Authority (EFSA) in Europe are becoming more stringent regarding ingredients used in food and pharmaceutical products and their proper labeling. 

Market Opportunities

The growing popularity of vitamins and supplements is creating enormous growth opportunities for the market of citric acid. Citric acid is used in the supplement as a flavor enhancer and is also used as a preservative in the vitamins and supplements. Increasing demand for citric acid from patients suffering from kidney stones as citric acid can chelate with calcium and reduce urine acidity, thereby reducing kidney stones. Thus, the versatility functions of the citric acid are projected to propel the market growth of the citric acid.

Expansion of the processed food industry across countries such as India, China, and Brazil is expected to bring new market opportunities. According to the India Brand Equity Foundation, the Indian food processing industry accounts for 32 percent of the country’s total food market, one of the largest industries in India and is ranked fifth in terms of production, consumption, export, and expected growth. Also, the growth of the processed food industry is attributed to the growth in the agriculture industry. 

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Citric Acid Market Report Coverage

Report Coverage Details
Base Year: 2020 Market Size in 2021: US$ 3,604.7 Mn
Historical Data for: 2017 to 2020 Forecast Period: 2021 to 2028
Forecast Period 2021 to 2028 CAGR: 4.6% 2028 Value Projection: US$ 4,923.4 Mn
Geographies covered:
  • Region: North America, Latin America, Europe, Asia Pacific, Middle East and Africa 
Segments covered:
  • By Forms: Powder, Anhydrous, Monohydrous, Liquid
  • By Grade: Food Grade, Industrial Grade, Pharmaceutical Grade
  • By End-use: Food & Beverages, Pharmaceutical/Personal Care, Animal Feed, Metal Finishing & Cleaning, Others
  • By Application: Acidulant, Cleaning Agent, Binding Agent, Preservative, Others
Companies covered:

Archer Daniels MidlandCompany, Jungbunzlauer Suisse AG, Basel, Pfizer Inc., Shandong Juxian Hongde Citric Acid Co. Ltd., Delek Group, Cargill, Incorporated, Weifang Ensign Industry Co., Ltd., Tate & Lyle plc., COFCO Biochemical (AnHui) Co. Ltd., and RZBC GROUP

Growth Drivers:
  • Rising demand for convenience food & beverage products
Restraints & Challenges:
  • Side-effects associated with the excessive consumption of citric acid

Market Trends

Increasing disposable income of consumers is encouraging them to spend on food products due to the growing health &wellness trend. This is creating a huge demand for citric acid. According to the Economic Research Service United States Department of Agriculture, in 2018 Americans spent an average of 9.7% of their total disposable income on food at home and food away from home. $1.7 trillion was spent on total food expenditures in the U.S. in 2018, up to $78.2 billion from the previous year.

Manufacturers are introducing citric acid-based products in various food products such as confectionery, diabetic baked products, and ice creams is one of the growing trends in the market. Citric acid-based products are also used in other food products such as low-calorie sugar, low-fat dairy products, low-calorie jellies, and dietary beverages & snacks. Thus, increasing use of citric acid-based products in the aforementioned industries is projected to foster market growth.

Figure 2. Global Citric Acid Market Share, By Form 2020

Citric Acid  | Coherent Market Insights

Key Takeaways of the Graph:

The Powder form citric acid held dominant position in the market and accounted for 89.3% share in the global citric acid market in 2020.

Powder form citric acid and liquid citric acid is use for  to manufacture sauces, oils, soups, fillings, creams, fats, and mayonnaises because it plays an important role as a preservative & antioxidants, and improves the taste of food as a flavor. Apart from Citric acid powder can also be sprinkled on ready-made recipes or raw fruits. When making cheeses such as ricotta cheese and paneer, citric acid ensures a perfect acid balance without adding additional flavors.

Market Restraints

Side-effects associated with the excessive consumption of citric acid is projected to hinder the market growth. Excessive consumption may cause health problems such as diarrhea, loss of appetite, stomach cramps, vomiting, and increased sweating.

Shifting preferences for low-calorie beverages that do not contain artificial sweeteners among health-conscious consumers is expected to hinder the demand for citrus-flavored drinks. This factor is expected to restrict market growth.

Competitive Section:

Company Names 

  1. Archer Daniels Midland Company
  2. Jungbunzlauer Suisse AG, Basel
  3. Pfizer Inc.
  4. Shandong Juxian Hongde Citric Acid Co. Ltd.
  5. Delek Group
  6. Cargill, Incorporated
  7. Weifang Ensign Industry Co., Ltd.
  8. Tate & Lyle plc.
  9. COFCO Biochemical (AnHui) Co. Ltd.
  10. RZBC GROUP

Citric acid belongs to the class of natural substances known as flavonoids. These are a class of naturally occurring organic chemicals which are thought to have a health benefit when consumed in appropriate quantities (these should not exceed 50 mg per serving). There are a variety of uses for this type of acid based product both in the culinary arts and in various manufacturing industries. Citric acid is a naturally occurring organic acid found in many fruits and vegetables. In fact, it has been utilized for thousands of years already in food manufacturing industry.

Market Dynamics:

Growing demand for natural food ingredient is driving growth of the citric acid market. Moreover, increasing popularity of vitamins and supplements is again fostering growth of the market. Furthermore, expansion of the processed food industry across India and China is further anticipated to augment growth of the market. According to the India Brand Equity Foundation, India’s food processing sector is one of the largest in the world and its output is expected to reach US$ 535 billion by 2025-26. This sector is expected to generate 9 million jobs by 2024.

On the other hand, side-effect associated with excessive consumption is expected to hinder growth of the market.

Key features of the study:

  • This report provides in-depth analysis of the citric acid market, and provides market size (US$ Million & Tons) and compound annual growth rate (CAGR%) for the forecast period (2021–2028), considering 2020 as the base year
  • It elucidates potential revenue opportunities across different segments and explains attractive investment proposition matrices for this market
  • This study also provides key insights about market drivers, restraints, opportunities, new product launches or approval, market trends,  regional outlook, and competitive strategies adopted by key players
  • It profiles key players in the global citric acid market based on the following parameters – company highlights, products portfolio, key highlights, financial performance, and strategies
  • Key companies covered as a part of this study include Archer Daniels Midland Company, Jungbunzlauer Suisse AG, Basel, Pfizer Inc., Shandong Juxian Hongde Citric Acid Co. Ltd., Delek Group, Cargill, Incorporated, Weifang Ensign Industry Co., Ltd., Tate & Lyle plc., COFCO Biochemical (AnHui) Co. Ltd., and RZBC GROUP
  • Insights from this report would allow marketers and the management authorities of the companies to make informed decisions regarding their future product launches, type up-gradation, market expansion, and marketing tactics
  • The global citric acid market report caters to various stakeholders in this industry including investors, suppliers, product manufacturers, distributors, new entrants, and financial analysts
  • Stakeholders would have ease in decision-making through various strategy matrices used in analyzing the global citric acid market

Detailed Segmentation:

  • Global Citric acid Market, By Form:
    • Powder
    • Anhydrous
    • Monohydrous
    • Liquid
  • Global Citric acid Market, By Application:
    • Acidulant
    • Cleaning Agent
    • Binding Agent
    • Preservative
    • Others
  • Global Citric acid Market, By Grade:
    • Food Grade
    • Industrial Grade
    • Pharmaceutical Grade
  • Global Citric acid Market, By End Use:
    • Food & Beverages
      • Bakery & Confectionery
      • Dairy
      • Convenience Food
      • Beverages
      • Jams & Preserve
      • Others
    • Pharmaceutical/Personal Care
    • Animal Feed
    • Metal Finishing & Cleaning
    • Others
  • Global Citric acid Market, By Region:
    • North America
      • By Forms:
        • Powder
        • Anhydrous
        • Monohydrous
        • Liquid
      • Global Citric acid Market, By Grade:
        • Food Grade
        • Industrial Grade
        • Pharmaceutical Grad
      • By Application Type:
        • Acidulant
        • Cleaning Agent
        • Binding Agent
        • Preservative
        • Others
      • Global Citric acid Market, By End Use:
        • Food & Beverages
          • Bakery & Confectionery
          • Dairy
          • Convenience Food
          • Beverages
          • Jams & Preserve
          • Others
        • Pharmaceutical/Personal Care
        • Animal Feed
        • Metal Finishing & Cleaning
        • Others
      • By Sub region
        • Canada
        • U.S.
    • Latin America
      • By Forms:
        • Powder
        • Anhydrous
        • Monohydrous
        • Liquid
      • Global Citric acid Market, By Grade:
        • Food Grade
        • Industrial Grade
        • Pharmaceutical Grad
      • By Application Type:
        • Acidulant
        • Cleaning Agent
        • Binding Agent
        • Preservative
        • Others
      • Global Citric acid Market, By End Use:
        • Food & Beverages
          • Bakery & Confectionery
          • Dairy
          • Convenience Food
          • Beverages
          • Jams & Preserve
          • Others
        • Pharmaceutical/Personal Care
        • Animal Feed
        • Metal Finishing & Cleaning
        • Others
      • By Country
        • Brazil
        • Argentina
        • Mexico
        • Rest of Latin America
    • Europe
      • By Forms:
        • Powder
        • Anhydrous
        • Monohydrous
        • Liquid
      • Global Citric acid Market, By Grade:
        • Food Grade
        • Industrial Grade
        • Pharmaceutical Grad
      • By Application Type:
        • Acidulant
        • Cleaning Agent
        • Binding Agent
        • Preservative
        • Others
      • Global Citric acid Market, By End Use:
        • Food & Beverages
          • Bakery & Confectionery
          • Dairy
          • Convenience Food
          • Beverages
          • Jams & Preserve
          • Others
        • Pharmaceutical/Personal Care
        • Animal Feed
        • Metal Finishing & Cleaning
        • Others
      • By Country
        • U.K.
        • Germany
        • Italy
        • France
        • Spain
        • Russia
        • Rest of Europe
    • Asia Pacific
      • By Forms:
        • Powder
        • Anhydrous
        • Monohydrous
        • Liquid
      • Global Citric acid Market, By Grade:
        • Food Grade
        • Industrial Grade
        • Pharmaceutical Grad
      • By Application Type:
        • Acidulant
        • Cleaning Agent
        • Binding Agent
        • Preservative
        • Others
      • Global Citric acid Market, By End Use:
        • Food & Beverages
          • Bakery & Confectionery
          • Dairy
          • Convenience Food
          • Beverages
          • Jams & Preserve
          • Others
        • Pharmaceutical/Personal Care
        • Animal Feed
        • Metal Finishing & Cleaning
        • Others
      • By Country
        • China
        • India
        • Japan
        • ASEAN
        • Australia
        • South Korea
        • Rest of Asia Pacific
    • Middle East and Africa
      • By Forms:
        • Powder
        • Anhydrous
        • Monohydrous
        • Liquid
      • Global Citric acid Market, By Grade:
        • Food Grade
        • Industrial Grade
        • Pharmaceutical Grad
      • By Application Type:
        • Acidulant
        • Cleaning Agent
        • Binding Agent
        • Preservative
        • Others
      • Global Citric acid Market, By End Use:
        • Food & Beverages
          • Bakery & Confectionery
          • Dairy
          • Convenience Food
          • Beverages
          • Jams & Preserve
          • Others
        • Pharmaceutical/Personal Care
        • Animal Feed
        • Metal Finishing & Cleaning
        • Others
      • By Sub region
        • Middle East
        • Africa
  • Company Profiles
    • Archer Daniels Midland Company
    • Jungbunzlauer Suisse AG, Basel
    • Pfizer Inc.
    • Shandong Juxian Hongde Citric Acid Co. Ltd.
    • Delek Group
    • Cargill, Incorporated
    • Weifang Ensign Industry Co., Ltd.
    • Tate & Lyle plc.
    • COFCO Biochemical (AnHui) Co. Ltd.

Frequently Asked Questions

The global citric acid market size is estimated to be valued at US$ 3,604.7 million in 2021 and is expected to exhibit a CAGR of 4.6% between 2021 and 2028.
Rising demand for convenience food & beverage products and growing demand for natural and organic food additives are the factors fuelling growth of the market.
The Powder form citric acid segment is the leading component segment in the market.
Side-effects associated with the excessive consumption of citric acid is expected to hinder growth of the market.
Major players operating in the market include, Archer Daniels Midland Company, Jungbunzlauer Suisse AG, Basel, Pfizer Inc., Shandong Juxian Hongde Citric Acid Co. Ltd., Delek Group, Cargill, Incorporated, Weifang Ensign Industry Co., Ltd., Tate & Lyle plc., COFCO Biochemical (AnHui) Co. Ltd., and RZBC GROUP
Europe region is expected to hold dominant position in the market over the forecast period. The growth of the market in the region is driven by 30.4% (Citric acid has various applications such as in acidulant, flavourant and preservative in foods and beverages and in pharmaceutical and cosmetic due to the high demand for citric acid in the food and beverage industry in the region so Europe region dominating the market.

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