Global Powdered Sodium Benzoates Market Size (2024-2030)

In 2023, the Global Powdered Sodium Benzoates Market reached a valuation of USD 685.82 Million and is anticipated to achieve a market size of USD 998.30 Million by 2030. The market is forecasted to exhibit a CAGR of 5.51% during the period from 2024 to 2030.

Market Overview:

Powdered Sodium Benzoate serves as a crucial food preservative, extending the shelf life of packaged goods, particularly items within the acidic pH spectrum such as soft drinks, jams, and pickles. Its utility also extends to cosmetics, personal care products, and pharmaceuticals, where it functions as an adjuvant. The principal markets for sodium benzoates encompass the US, Europe, and the Asia Pacific region. Derived as the Sodium Salt of Benzoic Acid, it results from the reaction of Benzoic Acid with Sodium hydroxide. This crystalline salt is predominantly available in various forms such as powder, granules, flakes, and even in noodle and nanopowder formats. Renowned for its antimicrobial and antifungal properties, it plays a pivotal role in the food industry as an essential additive and in the pharmaceutical industry as a vital intermediate. Moreover, it is utilized as a flavor enhancer and adjuvant in the food and beverage domain. Additionally, its rust and corrosion-inhibiting attributes find application in the Manufacturing Sector. Further diversification of use includes incorporation into Cosmetic and personal care products.

Consumers' transition towards processed and packaged food and beverage items such as fruit drinks, snacks, and processed meats has intensified the demand for sodium benzoates. In several European economies, the trend of forgoing traditional meals like breakfast has redirected consumer preferences toward processed food and beverage products. Sodium benzoate, as a preservative, forms an indispensable ingredient in these processed goods, thereby augmenting its market presence.

Impact of COVID-19 on the Global Powdered Sodium Benzoates Market:

The onset of shutdowns and lockdowns precipitated a substantial decline in demand across various channels, resulting in heightened inventory levels among numerous trade partners and challenges in clearing existing stocks. Throughout the initial quarter of 2020, sodium benzoate manufacturers encountered significant disruptions in their raw material supply chains owing to the COVID-19 pandemic and its rapid transmission rate. However, the utilization of sodium benzoate as a preservative within the food industry emerged as a significant growth catalyst for the market. Its prevalent use as an anti-microbial agent in lower pH products such as jams, salad dressings, carbonated beverages, and pickles has solidified its status as a favored food preservative due to its ease of production, colorlessness, and cost-effectiveness.

Market Drivers:

The expansion of the powdered sodium benzoate market globally is driven by factors such as the burgeoning population and heightened awareness:

Globally, the powdered sodium benzoate market has witnessed an upsurge, propelled by growth trajectories observed in the pharmaceutical and food & beverage sectors. Factors such as the burgeoning urban populace, escalating demand for pharmaceutical requisites, heightened consumer consciousness, and the expanding packaged food industry collectively contribute to the advancement of the global powdered sodium benzoate market. Moreover, the market is poised for growth due to rising disposable incomes and the surging global demand. The entry of new players and their enhanced manufacturing capacities are also instrumental in creating new and lucrative opportunities in the global market.

The substantial investments in research and development activities are paving the way for market expansion opportunities on a global scale:

The burgeoning capital injections into research and development endeavors, fueled by escalating demands primarily within the food and beverage sectors, alongside the pharmaceutical domain, underscore a rising awareness among consumers, expanded applications, and burgeoning sales. These factors collectively drive the growth of the powdered sodium benzoate market.

Market Restraints:

Stringent regulatory frameworks imposed by official bodies may impede global market growth:

The stringent regulations concerning food safety standards enforced by governmental and authoritative bodies in certain economies, in response to reported health issues scrutinized by entities such as the Food and Drug Administration (FDA) and the World Health Organization (WHO), are likely to hinder the growth trajectory of the global powdered sodium benzoate market throughout the forecast period.

Powdered Sodium Benzoates Market – By Application:

• Beverages and Food
• Pharmaceuticals
• Cosmetics
• Others

The segmented categories for the powdered sodium benzoates market based on application encompass Beverages and Food, Pharmaceuticals, Cosmetics, and Others.

The market is primarily dominated by the Beverages and Food segment, which constitutes the majority of the global market share with an estimated 45.3% in 2022, as indicated in a report by the International Program on Health and Safety. Sodium benzoate finds its primary use in the beverage sector.

In terms of total revenue growth, the Cosmetic segment is projected to experience the fastest Compound Annual Growth Rate (CAGR) of 6.9% during the forecast period. Research indicates that sodium benzoate, a safe component at concentrations of up to 5%, serves as an antifungal preservative. It is widely utilized in cosmetics and food products, exhibiting high effectiveness against fungi, yeasts, and bacteria.

Powdered Sodium Benzoates Market – By Distribution Channel:

• Offline
• Online

The distribution channels for the powdered sodium benzoates market are divided into Offline and Online modes.

Powdered Sodium Benzoates Market – By Region:

• North America
• Europe
• Asia-Pacific
• South America
• Middle-East and Africa

The segmentation of the powdered sodium benzoates market based on regions includes five major regions – North America, Europe, Asia-Pacific, South America, and Middle-East and Africa.

Europe emerges as the leading market for powdered sodium benzoates, securing the highest revenue share of 39.3% in 2022. The demand for powdered sodium benzoate experienced a downturn in the European region during the final quarter of 2021 due to the economic and market recovery from the pandemic-induced slowdown. Moreover, the occurrence of animal diseases such as "African swine fever" in Germany imposed restrictions on EU compound feed production across the region.

In 2022, the Asia-Pacific region held a revenue share of approximately 16.2%. The prices of powdered sodium benzoate surged in Asia-Pacific during the initial month of 2022 owing to heightened demand from end-user industry verticals and decreased feedstock prices. Additionally, the increased disposable income and expanding population in the region resulted in heightened demand for powdered sodium benzoate in the food and cosmetics industries.

The Middle East and Africa exhibit a swiftly expanding demand for food and beverages, a trend expected to persist during the forecasted period. This growing need, coupled with strategic investments by various governments in the food and beverage sector, is anticipated to elevate the demand for powdered sodium benzoate in the region.

Powdered Sodium Benzoates Market – By Companies:

1. Foodchem International Corporation
2. Avantor Inc.
3. Merck KGaA
4. Ganesh Benzoplast Ltd.
5. Spectrum Chemicals
6. Wuhan Youji Industries Co. Ltd.
7. FBC Industries, Inc.
8. TengzhouTenglong Chemical Co., Ltd.
9. CellMark AB
10. A.M. Food Chemical Co. Limited
11. Hugestone enterprise co. Ltd.
12. PENTA CHEMICALS

The continuous progress and investments by prominent players in the powdered sodium benzoates market have enabled them to establish a significant competitive edge, consequently propelling global market growth.