Global Organic Licorice Extracts Market Size, Share and Trends Analysis Report – Industry Overview and Forecast to 2033

Organic Licorice Extracts Market Size

• The global organic licorice extracts market size was valued at USD 712.52 million in 2025 and is expected to reach USD 938.25 million by 2033, at a CAGR of 3.5% during the forecast period
• The market growth is largely fueled by the increasing consumer preference for natural, organic, and plant-based ingredients in food, beverages, dietary supplements, and personal care products, driving manufacturers to incorporate organic licorice extracts in their formulations
• Furthermore, rising awareness of clean-label and functional ingredients, combined with demand for health-promoting and herbal products, is establishing organic licorice extracts as a preferred choice across multiple industries. These converging factors are accelerating adoption, thereby significantly boosting the industry’s growth

Organic Licorice Extracts Market Analysis

• Organic licorice extracts, derived from licorice root, are widely used as natural sweeteners, flavoring agents, and bioactive ingredients in food, beverages, dietary supplements, and cosmetic products, offering health benefits such as anti-inflammatory, antioxidant, and skin-soothing properties
• The escalating demand for organic licorice extracts is primarily fueled by growing health consciousness, increasing consumer inclination toward plant-based and functional products, and the expanding trend of herbal and clean-label formulations across global markets
• North America dominated the organic licorice extracts market in 2025, due to strong demand for natural and organic ingredients in food, beverages, dietary supplements, and personal care products
• Asia-Pacific is expected to be the fastest growing region in the organic licorice extracts market during the forecast period due to increasing urbanization, rising disposable incomes, and growing awareness of herbal and functional products in countries such as China, Japan, and India
• Powder segment dominated the market with a market share of 47.3% in 2025, due to its ease of handling, longer shelf life, and precise dosage control across industrial applications. Powdered organic licorice extracts are widely preferred by food and beverage and dietary supplement manufacturers due to their uniform solubility and compatibility with standardized formulations. The ability to blend powder forms seamlessly into dry mixes and capsules further supports their high adoption. Strong demand is also supported by efficient storage and transportation benefits compared to paste and block forms. Consistent quality and scalability reinforce the powder segment’s leadership across global markets

Report Scope and Organic Licorice Extracts Market Segmentation   

Organic Licorice Extracts Market Trends

Rising Demand for Clean-Label and Natural Ingredients

• A significant trend in the organic licorice extracts market is the growing consumer preference for natural, plant-based, and clean-label ingredients in food, beverages, dietary supplements, and personal care products. Manufacturers are increasingly reformulating products to meet health-conscious consumer expectations, which is positioning organic licorice extracts as a key ingredient for functional and herbal formulations
  • For instance, Mafco Worldwide LLC has introduced organic liquid licorice extracts for premium beverages and confectionery applications, enabling manufacturers to offer clean-label products with natural sweetness and health benefits. Such initiatives are driving widespread adoption in Europe and North America, reinforcing the trend toward plant-based and natural ingredient integration
• The trend is further strengthened by the rising focus on functional benefits such as anti-inflammatory, antioxidant, and skin-soothing properties of licorice extracts, making them attractive for both food and cosmetic applications. Consumers are actively seeking ingredients that provide added health value, which is accelerating incorporation into functional foods, beverages, and herbal skincare lines
• Regulatory encouragement and certification programs for organic ingredients, such as USDA Organic or EU Organic standards, are also supporting the trend. Companies are leveraging these certifications to enhance credibility and meet stringent consumer expectations for purity, traceability, and sustainability
• In addition, the expansion of e-commerce and online retail channels has made it easier for manufacturers and small-scale formulators to access certified organic licorice extracts, thereby broadening market reach and increasing product experimentation
• Rising urbanization, higher disposable incomes, and growing awareness of herbal products in emerging markets are also contributing to the trend. These factors are creating a favorable environment for manufacturers to innovate and launch products featuring organic licorice extracts, establishing them as a core ingredient in health-oriented formulations

Organic Licorice Extracts Market Dynamics

Driver

Growing Consumer Preference for Plant-Based and Functional Products

• The growing inclination of consumers toward plant-based and functional products is a primary driver of the organic licorice extracts market. As awareness of health and wellness increases, consumers are seeking natural ingredients that provide nutritional and functional benefits beyond basic sustenance
  • For instance, Bio-Botanica Inc.’s distribution agreement with Gillco Ingredients expanded access to its licorice extract portfolio for food, beverage, and dietary supplement manufacturers in the U.S., enabling companies to meet rising consumer demand for plant-based and functional formulations. Such initiatives are strengthening the market by ensuring consistent supply and improving availability of high-quality, organic extracts
• The market is further driven by the rising incorporation of licorice extracts in dietary supplements, herbal beverages, functional foods, and natural cosmetic products. These applications leverage the bioactive properties of licorice root, including immune support, anti-inflammatory effects, and skin benefits, enhancing product differentiation and consumer appeal
• Increasing popularity of clean-label and sustainable products is motivating manufacturers to adopt organic licorice extracts as alternatives to synthetic additives and artificial sweeteners. This aligns with consumer demand for ethical and health-promoting ingredients, thereby accelerating market adoption
• The expansion of organic product portfolios by major food, beverage, and cosmetic companies also reinforces the driver. Companies such as Zagros Licorice Co. and MAFCO Worldwide are actively introducing certified organic extracts to meet regulatory standards and consumer expectations, promoting broader acceptance in multiple regions

Restraint/Challenge

Supply Chain Limitations and Quality Standardization Issues

• The organic licorice extracts market faces challenges related to supply chain constraints and difficulties in maintaining consistent quality standards. Licorice cultivation is limited to specific regions, and variations in root quality can impact the purity and bioactive content of the final extract
  • For instance, S.A. Herbal Bioactives LLP has highlighted the need for controlled sourcing and rigorous quality assurance to ensure consistency across batches, reflecting a broader challenge for manufacturers in securing reliable, certified organic raw materials. Such issues can restrict production capacity and affect timely delivery to global markets
• In addition, processing organic licorice extracts requires specialized extraction techniques to preserve bioactive compounds and maintain flavor integrity. Variability in extraction methods and standardization protocols across different suppliers creates inconsistencies that can hinder market expansion
• Strict regulatory frameworks governing organic certification, such as USDA Organic or EU Organic standards, add another layer of complexity. Manufacturers must comply with traceability, labeling, and production requirements, which increases operational costs and limits flexibility in sourcing raw materials
• Finally, fluctuations in global licorice root supply due to climatic conditions, geopolitical factors, or agricultural challenges can disrupt availability and affect market growth. Ensuring a steady supply of high-quality organic licorice extracts remains a critical challenge that companies must address to sustain market momentum

Organic Licorice Extracts Market Scope

The market is segmented on the basis of form, application, and distribution channel.

• By Form

On the basis of form, the organic licorice extracts market is segmented into paste, block, powder, and others. The powder segment dominated the market with the largest revenue share of 47.3% in 2025, driven by its ease of handling, longer shelf life, and precise dosage control across industrial applications. Powdered organic licorice extracts are widely preferred by food and beverage and dietary supplement manufacturers due to their uniform solubility and compatibility with standardized formulations. The ability to blend powder forms seamlessly into dry mixes and capsules further supports their high adoption. Strong demand is also supported by efficient storage and transportation benefits compared to paste and block forms. Consistent quality and scalability reinforce the powder segment’s leadership across global markets.

The paste segment is anticipated to witness the fastest growth from 2026 to 2033, supported by rising use in cosmetics and personal care formulations. Paste forms enable easier incorporation into creams, gels, and syrups, improving texture consistency and processing efficiency. Growing demand for natural and organic ingredients in skincare products accelerates adoption of paste variants. Manufacturers favor paste for its concentrated profile and reduced processing steps in liquid-based applications. Increasing product innovation in herbal cosmetics further drives growth momentum.

• By Application

On the basis of application, the organic licorice extracts market is segmented into food and beverage, cosmetics and personal care, dietary supplements, tobacco products, and others. The food and beverage segment accounted for the largest market share in 2025, driven by extensive use of organic licorice as a natural sweetener and flavoring agent. Rising consumer preference for clean-label and plant-based ingredients supports sustained demand in confectionery, beverages, and functional foods. Organic certification enhances product appeal among health-conscious consumers. The extract’s multifunctional properties, including flavor enhancement and masking bitterness, further strengthen adoption. Regulatory support for natural additives also reinforces segment dominance.

The cosmetics and personal care segment is expected to register the fastest growth during the forecast period, driven by increasing demand for herbal and organic skincare products. Organic licorice extracts are widely used for their skin-brightening, anti-inflammatory, and soothing properties. Growing awareness of plant-based actives in premium beauty formulations accelerates market penetration. Expansion of natural cosmetic brands globally supports rising consumption. Product differentiation through organic positioning further fuels growth.

• By Distribution Channel

On the basis of distribution channel, the organic licorice extracts market is segmented into online and offline. The offline segment dominated the market in 2025, driven by strong presence of established distributors, specialty ingredient suppliers, and direct B2B sales networks. Manufacturers and bulk buyers prefer offline channels for quality verification, technical support, and long-term supply agreements. Physical distribution ensures consistent availability and customized sourcing solutions for industrial clients. Established relationships and regulatory compliance support offline channel strength. Bulk purchasing advantages further contribute to its dominance.

The online segment is projected to witness the fastest growth from 2026 to 2033, supported by increasing digitalization of ingredient sourcing. Online platforms offer wider product visibility, transparent pricing, and easier access for small and medium-scale buyers. Growth of e-commerce in nutraceutical and cosmetic ingredient procurement accelerates adoption. Improved logistics and digital certification tools enhance buyer confidence. Expanding global reach through online channels strengthens growth prospects.

Organic Licorice Extracts Market Regional Analysis

• North America dominated the organic licorice extracts market with the largest revenue share in 2025, driven by strong demand for natural and organic ingredients in food, beverages, dietary supplements, and personal care products
• Consumers in the region increasingly prefer clean-label and plant-based products, boosting the adoption of organic licorice extracts in confectionery, functional foods, herbal beverages, and skincare formulations
• This widespread adoption is further supported by high disposable incomes, growing health consciousness, and robust organic certification frameworks, establishing organic licorice extracts as a favored natural ingredient in both industrial and consumer applications

U.S. Organic Licorice Extracts Market Insight

The U.S. market captured the largest revenue share in 2025 within North America, fueled by rising awareness of herbal and natural ingredients in dietary supplements and functional foods. Consumers are increasingly prioritizing natural sweeteners and plant-based actives in food, beverage, and cosmetic formulations. The expansion of organic and natural product lines by leading companies, combined with growing e-commerce penetration for ingredient sourcing, further propels the market. In addition, stringent food safety regulations and demand for certified organic ingredients are driving adoption across commercial and retail segments.

Europe Organic Licorice Extracts Market Insight

The Europe market is projected to expand at a substantial CAGR throughout the forecast period, primarily driven by increasing consumer preference for natural and organic ingredients in food, beverage, and personal care applications. Rising health consciousness, coupled with regulatory support for clean-label products, fosters market growth. European consumers are also drawn to functional and herbal ingredients that provide added health benefits. The market is witnessing significant growth across dietary supplements, cosmetics, and specialty food products, with organic licorice extracts being integrated into both new product launches and reformulations.

U.K. Organic Licorice Extracts Market Insight

The U.K. market is anticipated to grow at a noteworthy CAGR during the forecast period, driven by the escalating demand for organic and natural products in food, beverage, and cosmetic sectors. Concerns regarding artificial additives and chemical-based ingredients are encouraging manufacturers and consumers to adopt plant-based alternatives. The U.K.’s strong retail and e-commerce infrastructure, alongside rising herbal supplement consumption, is expected to continue to stimulate market growth.

Germany Organic Licorice Extracts Market Insight

The Germany market is expected to expand at a considerable CAGR during the forecast period, fueled by growing awareness of natural health products and demand for premium, eco-friendly ingredients. Germany’s well-developed organic food and cosmetics industry, combined with high consumer willingness to pay for certified natural extracts, promotes market adoption. Manufacturers increasingly incorporate organic licorice extracts into functional foods, beverages, and skincare products, supported by strong distribution networks and retail presence.

Asia-Pacific Organic Licorice Extracts Market Insight

The Asia-Pacific market is poised to grow at the fastest CAGR during the forecast period of 2026 to 2033, driven by increasing urbanization, rising disposable incomes, and growing awareness of herbal and functional products in countries such as China, Japan, and India. The region's expanding food, beverage, and personal care industries, along with government initiatives promoting organic agriculture, are driving demand. Moreover, APAC is emerging as both a production hub and a growing consumer base for organic licorice extracts, enhancing accessibility and affordability.

Japan Organic Licorice Extracts Market Insight

The Japan market is gaining momentum due to rising health consciousness, strong preference for natural ingredients, and increasing adoption in functional foods, beverages, and skincare. Japanese consumers highly value plant-based actives for their health and cosmetic benefits, boosting demand. The integration of organic licorice extracts in nutraceuticals and herbal beauty products is accelerating growth. In addition, an aging population is driving demand for convenient, natural, and health-promoting products across residential and commercial sectors.

China Organic Licorice Extracts Market Insight

The China market accounted for the largest revenue share in Asia-Pacific in 2025, attributed to rapid urbanization, expanding middle-class population, and increasing demand for functional foods and natural ingredients. China is witnessing growing interest in herbal supplements and natural sweeteners, with organic licorice extracts becoming increasingly popular in beverages, dietary supplements, and skincare products. Government support for organic farming, coupled with the presence of domestic manufacturers and exporters, is further propelling market growth.

Organic Licorice Extracts Market Share

The organic licorice extracts industry is primarily led by well-established companies, including:

• NOREVO (China)
• FC Licorice (U.S.)
• MAFCO Worldwide LLC (U.S.)
• Zagros Licorice Co. (Iran)
• VPL Chemicals (U.S.)
• Aseh Co. (Japan)
• Maruzen Pharmaceuticals Co., Ltd. (Japan)
• Vital Herbs (U.K.)
• S.A. Herbal Bioactives LLP (India)
• AOS Products Pvt. Ltd. (India)
• Herbochem (India)

Latest Developments in Global Organic Licorice Extracts Market

• In September 2024, Bio‑Botanica Inc. entered into an exclusive distribution agreement with Gillco Ingredients (an Azelis Company) to supply its botanical extract portfolio, including organic licorice extracts, across the U.S. food, beverage, and dietary supplement sectors. This partnership significantly enhances Bio‑Botanica’s market reach, enabling wider accessibility of high-quality organic licorice extracts for manufacturers prioritizing clean-label and plant-based ingredients. The collaboration strengthens supply chain efficiency in North America, supports consistent product availability for large-scale production, and positions the company to capture a larger share of the rapidly expanding natural and organic ingredient market
• In July 2024, VDF FutureCeuticals launched a new USDA‑certified organic licorice root extract line with standardized glabridin content, specifically targeting dietary supplements in North America. This product launch addresses growing consumer demand for verified, high-purity organic ingredients and supports formulators in developing health-focused, clean-label products. By providing consistent quality and standardized bioactive content, the launch enhances trust and reliability in the organic licorice extract market, expands opportunities in nutraceutical and functional food applications, and strengthens the company’s competitive positioning
• In March 2024, F&C Licorice established a state-of-the-art extraction facility in Italy to expand production capacity for high-purity licorice extracts serving the European market. The facility enables scalable manufacturing to meet rising demand from pharmaceutical, food, and cosmetic sectors. This expansion ensures consistent supply of premium organic extracts, reduces lead times for European clients, and reinforces the company’s presence as a key player in the region. By supporting large-scale and specialized production, the facility strengthens market confidence in reliability and quality, fostering growth in high-value applications
• In March 2024, Zagros Licorice Co. formed a strategic partnership with European distributors to increase access to its premium organic licorice extracts across EU markets. The partnership enhances market penetration, streamlines distribution channels, and allows the company to cater to pharmaceutical, nutraceutical, and food industries more efficiently. By broadening availability and promoting certified organic products, this collaboration addresses growing consumer demand for natural and functional ingredients, encourages adoption in value-added products, and accelerates overall market growth in the region
• In February 2024, Mafco Worldwide introduced a line of organic liquid licorice extracts tailored for premium beverage and confectionery applications in Europe. This launch meets the surging demand for clean-label, plant-based flavoring solutions and supports the expansion of natural ingredient offerings in functional foods and specialty beverages. By providing liquid extracts with high consistency and ease of formulation, Mafco facilitates product innovation for manufacturers and strengthens its competitive position in the European market. The launch contributes to accelerating adoption of organic licorice extracts among food and beverage companies focusing on sustainability and consumer wellness trends

SKU-63687