July 21, 2024
Sodium Benzoate Market

Sodium Benzoate Market Estimated to Witness High Growth Owing to Wide Applications in Food Preservation

The sodium benzoate market has emerged as an indispensable part of the food preservation industry. Sodium benzoate is widely used as a preservative in numerous food items like packaged foods, drinks, and condiments to prevent the growth of harmful bacteria, yeasts, and fungi. It helps increase the shelf life of products by maintaining the quality and taste of food. As consumers seek convenient packaged and ready-to-consume meals, the demand for shelf-stable and preserved food has increased substantially. This has augmented the usage of sodium benzoate globally.

The Global Sodium Benzoate Market is estimated to be valued at US$ 2.23 Bn in 2024 and is expected to exhibit a CAGR of 6.2% over the forecast period 2024 to 2031.

Key Takeaways

Key players: Key players operating in Sodium Benzoate Market are Spectrum Chemicals, Ganesh Benzoplast Ltd., Avantor Inc., Foodchem International Corporation, Merck KGaA, Wuhan Youji Industries Co. Ltd., FBC Industries, Inc., Tengzhou Tenglong Chemical Co., Ltd., CellMark AB, A.M. Food Chemical Co. Limited, Hugestone enterprise co. Ltd., Penta Chemicals, DuPont de Nemours, Inc., Tulstar Products, Inc., Lanxess AG, Akshar International, Ganesh Benzoplast Limited (GBL), Rishi Chemical, Sujata Chemicals.

Key players operating in the sodium benzoate market are focusing on capacity expansion plans to cater to the growing demand. For instance, Ganesh Benzoplast Ltd. plans to increase its production capacity of sodium benzoate by 30% by 2024.

Growing demand: The demand for sodium benzoate is expected to grow steadily driven by the expanding processed food industry worldwide. Changing lifestyles and rising disposable incomes are encouraging demand for convenient packaged food items.

Global expansion: Leading sodium benzoate producers are focusing on strengthening their global footprint through collaborations and acquisitions. For example, Spectrum Chemical acquired PBC Industries and expanded its production and distribution network across North America.

Market key trends

A key trend gaining traction in the sodium benzoate market is the increasing demand for non-GMO and clean label preservatives. Sodium benzoate manufacturers are investing in R&D to develop purer grade products with organic certification to capitalize on this growing demand. Also, the market is witnessing new product launches incorporating sodium benzoate for applications other than food preservation, including personal care and pharmaceuticals. This is expanding the overall market scope over the forecast period.

Porter’s Analysis

Threat of new entrants: The threat of new entrants is moderate as it requires large capital investments and stringent regulatory approval process. However,  Sodium Benzoate Market Regional Analysis is growing at a steady pace providing opportunities.
Bargaining power of buyers: The bargaining power of buyers is high as the product has many substitutes and buyers can switch to alternatives. This forces companies to offer competitive prices.
Bargaining power of suppliers: The bargaining power of suppliers is moderate as raw materials are commodities available from many suppliers globally.
Threat of new substitutes: The threat of new substitutes is high as there are many preservatives that can replace sodium benzoate in food applications. Continuous R&D is carried out to develop better substitutes.
Competitive rivalry: The competition in the market is high as the market is fragmented with many global and local players offering similar products. Companies strive to gain market share through product differentiation and cost leadership.

Geographical regions with highest market value:

North America dominates the market with the largest share in terms of value owing to robust food processing industry and established food safety regulations demanding use of preservatives. The US accounts for majority of the regional market.

Fastest growing region:

Asia Pacific is expected to be the fastest growing region during the forecast period. This is attributed to growing food processing industry, rising disposable incomes, changing food habits and increasing health awareness among consumers in emerging nations such as China and India. Growing demand for packaged and convenience food will also drive the demand.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it

About Author - Money Singh

Money Singh is a seasoned content writer with over four years of experience in the market research sector. Her expertise spans various industries, including food and beverages, biotechnology, chemicals and materials, defense and aerospace, consumer goods, etc.  LinkedIn Profile

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