Licorice Extract Market Share Analysis

Licorice Extract Market Size, Share, and Forecast Analysis Outlook From 2025 to 2035

The global licorice extract market is moderately fragmented due to the diversity of players across multinational corporations, regional leaders, and niche brands. Multinational corporations such as Mafco Worldwide LLC (USA), Norevo GmbH (Germany), and Maruzen Pharmaceuticals Co. Ltd. (Japan) dominate with a 45% market share, leveraging economies of scale and well-established global distribution networks.

Regional players, such as ASEH Licorice (Iran), Zagros Licorice Co. (Iran), and Sanat Products Ltd. (India), represent about 30% of the market, with regional sourcing and customized products.

Niche brands and start-ups, including Licorice Specialties LLC (USA) and Daphnia Biotech (South Korea), are focused on niche applications in food, pharmaceuticals, and cosmetics, representing 25% of the market. The top five companies together account for 45% of the market, indicating a moderately concentrated industry structure.

Leading Licorice Extract Companies by Market Share

Multinationals dominate the market though regional players show considerable resilience. Consolidation is going to continue to increase as multinationals acquire small players and streamline their supply chains and expand.

Segment Analysis

By Application

The pharmaceutical segment holds the majority share of 45% driven by the medicinal properties of licorice; key players here include Maruzen Pharmaceuticals and Hunan Nutramax, which address the increasing needs for plant-based therapeutics in North America, Europe, and the increasing trend in Asia-Pacific's traditional medicine systems.

The food and beverage sector (40%) uses licorice as a natural sweetener and flavor enhancer, such as Norevo GmbH serving the European confectionery market and Green Earth Products focusing on herbal teas in India.

The segment is also growing in Asia-Pacific and North America, driven by clean-label and functional food trends. The remaining 15% is cosmetics, tobacco, and nutraceuticals. The skin benefits of licorice make it a staple in East Asian skincare, and its use in North American gut health supplements and Chinese tobacco products.

By Form

Powdered licorice extract accounts for 70% of the market share because of its versatility and stability, making it suitable for pharmaceutical tablets, capsules, and dry food formulations. A great focus for manufacturers such as ASEH Licorice and Sanat Products Ltd. is to supply bulk powder to pharmaceutical companies and food processing companies in Europe and Asia.

The powdered form has a higher shelf life, which makes it more convenient for transportation, making it widely accepted in industrial uses. Liquid licorice extract, however, finds usage in applications requiring solubility and ease of incorporation, including beverages and skincare products. Companies like Hunan Nutramax Inc. cater to the herbal tea market, while Korean skincare brands utilize liquid licorice extract for serums and lotions.

Who Shaped the Year

The global licorice extract market in 2024 has been significantly contributed by major players and regional players. Multinational companies, for instance, have introduced organic and clean-label product lines. In this way, Mafco Worldwide LLC met the increasing need for sustainable solutions in pharmaceuticals and food applications.

Regional players such as ASEH Licorice have expanded export capacities to reach markets in the Middle East and Europe. On the other hand, niche players concentrated on vegan and plant-based formulations to find space in functional foods and nutraceuticals.

• Mafco Worldwide LLC: Also recently launched its organic licorice extract powder for clean-label pharmaceutical products to North America, a new addition.
• Norevo GmbH: Launched a sustainable range of licorice extract with Fair Trade certification for confectionery manufacturers in Europe
• Maruzen Pharmaceuticals Co. Ltd.: Developed a patented formulation of licorice extract used in anti-inflammatory skincare products
• ASEH Licorice: Successfully expanded its product portfolio with water-soluble liquid licorice extract for beverage manufacturers in the Middle East.
• Sanat Products Ltd.: Released pharmaceutical-grade licorice extract for drugs against ulcers.
• Licorice Specialties LLC: Marketed licorice-flavored functional candies specifically targeted at the healthy-conscious segment of the United States.
• Hunan Nutramax Inc.: Started a high-grade liquid licorice extract for Chinese herbal tea companies.
• Zagros Licorice Co.: Aims to become the most environmentally friendly producer in the industry to achieve wider market coverage across Europe.
• Daphnia Biotech: Developed vegan-friendly licorice extract products, which were highly sought after for plant-based nutraceuticals across South Korea.
• Green Earth Products Pvt. Ltd.: Partnered with Indian beverage manufacturers to supply natural sweeteners based on licorice.

Key Highlights from the Forecast

• Sustainability: The rise in concerns about sustainability for the extraction of licorice will give it higher demand in Europe and North America.
• Clean-Label Products: Increased utilization of licorice in organic and natural formulations by the food, beverages, and cosmetics industries
• Pharmaceutical Growth: The trend of herbal medication will increase the pharmaceutical segment.
• Cosmetic Applications: Herbal skincare would be the highest growth driver of cosmetic-grade licorice extracts.
• Functional Foods: The demand surge for functional beverages and nutraceuticals would raise food applications
• R&D investment: Advancement in extraction technology to enhance purity and applications in products.

Tier-Wise Company Classification 2025

Key Company Initiatives

Recommendations for Brands

• Focus on Pharmaceuticals: Manufacturers should emphasize the pharmaceutical segment with high-purity extracts, targeting growing demand for herbal medicines. Hunan Nutramax Inc., for example, can expand its East Asian operations based on licorice's anti-inflammatory property.
• Regional Flavor Customization: Develop flavors for different regions, with Asia preferring a sweeter profile and Europe preferring savory notes. For example, Norevo GmbH can develop specific flavors for high-end European confectionery brands.
• Expand Online Channels: Extend e-commerce capabilities as the consumer base for functional foods and cosmetics is expanding. In partnership with a platform like Amazon or Alibaba, market penetration could be achieved.
• Investment in Sustainability: Investment in green production and Fair Trade certificates will appeal to the ethical buyer. A renowned example of adopting green practices is Zagros Licorice Co., which targets the European marketplace.
• Cosmetic Segment Diversification: Use of licorice's brightening and soothing properties to create product lines for skincare markets in East Asia. Brands like Daphnia Biotech could innovate serums targeting Korean consumers.
• FMCG tie-ups: Collaborate with FMCG food and beverage companies to develop new licorice-based innovative products. Mafco Worldwide LLC can team up with confectionery majors of the world.
• R&D for Niche Applications: Explore opportunities in emerging fields like nutraceuticals and plant-based functional foods. Advanced extraction techniques can enhance licorice's applications in gut health supplements.

Future Roadmap

The pharmaceutical segment is likely to continue its stronghold in the market for licorice. The demand for natural and herbal remedies is gaining momentum worldwide, as people opt for these in place of synthetics.

This opens up scope for companies in developing high-purity licorice extracts for application in ulcer treatment and respiratory care products. This requires investment in cutting-edge extraction and purification technologies, ensuring consistent quality and efficacy for the pharmaceuticals industry's rigorous regulatory standards.

The Asia-Pacific region is the most significant area for cosmetic-grade licorice extracts, primarily in skincare, where the active ingredient is sought after for its anti-aging and brightening abilities. Manufacturers should invest in R&D to come up with high-performance licorice-infused serums, lotions, among other premium skincare offerings, to capitalize on the growing demand for natural and plant-based cosmetics in East Asian markets.

In the European and North American markets, there will be a growing demand for sustainably sourced licorice and ethical supply chain practices. Manufacturers will have to invest in eco-friendly cultivation methods, responsible harvesting techniques, and transparent traceability systems to meet the growing consumer demand for sustainable and socially responsible products.

Obtaining relevant certifications, such as organic, fair trade, or B-Corp, will become essential to demonstrate a commitment to environmental and social stewardship, which will resonate with health-conscious and environmentally aware consumers in these regions.

Top Segments Studied in the Licorice Extract Market Report

By Application:

• Pharmaceutical
• Food and Beverage
• Cosmetics, Tobacco, and Nutraceuticals

By Form:

• Powdered Licorice Extract
• Liquid Licorice Extract