Bolstering Growth in Food & Beverages Production Owing to an Increase in Disposable Income and Consumption Scale of People is Driving the Sodium Acetate Market Growth

Sodium Acetate is a hygroscopic powder salt of acetic acid which due to its rich chemical nature and solubility is majorly used in the food & beverage sector as additives and seasoning agents for dairy products, confectionaries and others. Population growth coupled with rapid urbanization and improvement in living standards has increased the consumption scale of food items, especially dairy products, which has increased their production. According to Statistics Canada, in March 2022, specialty cheese production stood at 27,259 tons, showing a 1% increase in comparison to March 2021. Such growing production will accelerate the usage of sodium acetate as an additive thereby boosting market growth. The Sodium Acetate Market size is observed to grow at a CAGR of 7.5% during the forecast period 2022-2027 and will reach an estimated revenue of US$257.7 million by 2027.

Based on the end-use industry the Sodium Acetate market can be segmented into food & beverage, building & construction, wastewater treatment, textiles, cosmetics & personal healthcare and medical healthcare. The sodium acetate market’s leading segment is evaluated to be food & beverages and during the forecast period 2022-2027, the segment is expected to grow at a CAGR of 7.8%. Rapid consumption of dairy products such as butter and cheese especially in the younger population has increased the production volume of such items. According to the data provided National Agriculture Statistical Service, in July 2022, butter production in the US stood at 15.2 million pounds, showing a 3.4% increase in comparison to July 2021. Such growing production will stimulate the demand and usage of sodium acetate in the food & beverages sector as an additive.

Based on geography the Sodium Acetate market can be segmented into North America, South America, Europe, APAC and the Rest of the World. According to IndustryARC's analysis, in 2021, the Asia-Pacific region emerged as the most profitable region in the market and held a 43.8% share of the total revenue earned by the market globally. Major Asia-Pacific countries such as India and China are among the top producers of dairy products such as milk. The rapid population growth in the region coupled with favorable investments has increased the productivity of the food & beverage sector. According to a US Department of Agriculture report, in 2022, China’s raw milk production is estimated to increase by 4.5% in comparison to 2021. Such an increase in productivity will drive the demand and usage of sodium acetate in the Asia-Pacific region as a food additive and preservative.

Key companies holding a major share in the Sodium Acetate market are Merck, FoodChem International Corporation, Estelle Chemicals Private Limited, N.B enterprise, Cayman Chemicals, Avantor Performance Materials LLC, Gelest Inc, Daito Chemicals Co. Ltd, Nandosal Chem Industries Pvt Ltd, Karn Chem Corporation.