Acerola Extract Market - Industry Analysis, Market - Forecast(2024 - 2030)

Acerola Extract Market Overview

Acerola Extract Market is forecast to reach $36.7 billion by 2030, after growing at a CAGR of 8.1% during 2024-2030. The Acerola Extract Market is driven by growing consumer awareness of its health benefits, particularly its high vitamin C and antioxidant content, which has increased its popularity in dietary supplements and functional foods. Additionally, the rising demand for natural and organic products across various sectors including food, beverages, cosmetics and pharmaceuticals is bolstering the market. The expanding nutraceutical and functional food industry where acerola extract is valued for its immune-boosting properties along with its increasing use in natural cosmetics due to its antioxidant effects which further drives market growth.

A major trend in the market is the rising awareness of clean label ingredients. Acerola extract, being a natural and recognizable source of vitamin C, is benefiting from this clean-label trend, leading to its broader use in food, beverages, and supplements. According to Packaged Facts’ May 2024 National Online Consumer Survey, 51% of respondents actively look for clean label packaged foods, while 40% seek out organic options. The number of vegans in the UK increased by 1.1 million and reached 2.5 million or 4.7% of the population between 2023 and 2024, according to a study conducted by Finder. As the plant-based and vegan market expands, acerola extract is being used more frequently as a natural source of vitamin C and antioxidants in these products. Its inclusion aligns with the consumer preference for sustainability and ethical sourcing of ingredients. 

Acerola Extract Market - Report Coverage:

The report: “Acerola Extract Market – Forecast (2024-2030)”, by IndustryARC, covers an in-depth analysis of the following segments of the Acerola Extract Market.

COVID-19 / Ukraine Crisis - Impact Analysis:  

• The COVID-19 pandemic led to increased demand for acerola due to its immune-boosting properties driving growth in the supplements and functional foods markets. However, supply chain disruptions and labor shortages in key acerola-producing regions caused delays and higher production costs impacting supply. Restrictions on transportation further complicated distribution, limiting the availability of acerola products in certain areas. 
• The Ukraine-Russia war indirectly impacted the acerola market through global supply chain disruptions, rising costs and economic uncertainty. Transportation delays and higher fuel prices have increased the cost of distributing acerola products,while surging energy and fertilizer costs have made acerola farming more expensive, particularly in major producing regions like Latin America. Additionally, economic instability resulting from the conflict has affected consumer purchasing power, which could reduce demand for premium health products like acerola-based supplements and functional foods. 

Key Takeaways

Conventional Extract is the Largest Segment

Conventional acerola extract currently dominates the market due to its broader availability and lower cost compared to organic alternatives. According to Brazilian Farmers, Brazil is the largest producer and exporter of acerola in the world. Brazil grows 90 varieties of acerola which represents 95% the varieties on the whole planet. Its economic value is mainly due to its high content of ascorbic acid, carotenoids and phenolic compounds. Brazil's exports of fresh, healthy produce have increased due to global demand for nutritious food and there was an 19% increase in sales revenue and 2% increase in export volume in H1 2023, according to the Brazilian Confederation of Agriculture and Livestock (CNA). The established supply chains and production processes for conventional acerola extract make it more accessible and affordable leading to its higher market share. 

Dietary Supplements to Grow the Fastest

In the dietary supplements sector, acerola extract is highly valued for its high vitamin C content and antioxidant properties. This segment is experiencing growth as consumers increasingly seek natural supplements to boost immune health and overall wellness. Acerola extract is commonly found in multivitamins, vitamin C supplements, and immune-boosting formulas, appealing to those who prefer natural sources of nutrients over synthetic alternatives. The rising consumer awareness of the benefits of natural ingredients is driving the expansion of this market segment. During the COVID-19 pandemic, there was a notable rise in supplements, with a 40% increase in vitamin C consumption, an 82% rise in multivitamin use, and a 23% overall increase in global supplement intake. According to Council for Responsible Nutrition 2023 Consumer Survey, 74% of US population take supplements and 55% of them are regular users. As a result of the heightened health awareness, there is a growing demand for immune boosting supplements.

North America Dominates the Market

In the acerola extract market, North America holds the largest share, driven by a strong demand for health and wellness products. The region's preference for natural, clean label ingredients boosts the adoption of acerola extract in dietary supplements and functional foods. The growing focus on natural sources of vitamin C and the popularity of organic products contribute to North America's dominant position in the market. According to the Organic Trade Association, organic fruits and vegetables led the organic retail sales food category, exceeding $22 billion in 2022 and accounting for approximately 36% of all organic retail sales. The Council for Responsible Nutrition (CRN) 2023 survey reveals that supplement usage has returned to pre-pandemic levels, with 74% of Americans using dietary supplements. Most of these users are regular consumers of supplements.

Expansion of the Nutraceutical Industry to Drive the Market

The expansion of the nutraceutical industry is a major driver for the acerola extract market. As the demand for dietary supplements and functional foods rises, acerola extract's high vitamin C content and health benefits make it a popular ingredient. According to Fruteiro do Brasil, acerola varieties contain between 600mg and 2000mg of vitamin C per 100g of pulp. Its application in immune-boosting and health-enhancing formulations aligns with the increasing consumer focus on wellness, contributing to its growing presence in the nutraceutical sector. According to Investor Portal, India's nutraceutical market is poised to become a global leader, currently valued between $4-5 billion and projected to grow to around $18 billion by 2025. The dietary supplements sector alone, is expected to expand significantly, reaching approximately $10.2 billion by 2026.

Increased Preference for Natural Ingredients to Boost the Market

The acerola extract market is being driven by an increased preference for natural ingredients, as consumers seek products with clean and natural components. This trend is evident across various sectors including food, beverages and cosmetics where acerola extract's natural vitamin content and health benefits align with the demand for more transparent and health-conscious products. The shift towards natural and organic ingredients is boosting the adoption of acerola extract in these industries. According to 2023 CleanHub, after surveying over 500 U.S. consumers, they discovered that 63% consider clean beauty to be ‘extremely or very important’ when purchasing cosmetics.  According to FICCI, a significant majority of Indian consumers (71%) prefer using natural products

Regulatory Hurdles to Hamper the Market

The acerola extract market faces significant regulatory hurdles, particularly regarding the stringent safety and quality standards imposed by food and health authorities. Regulations around labeling, permissible usage, and claims about health benefits differ across regions, creating challenges for manufacturers. In countries like the U.S. and Europe, regulatory bodies such as the FDA and EFSA require rigorous testing for contaminants and consistent quality control, which can increase production costs and slow market entry. Additionally, variations in natural product regulations globally contribute to delays in product approvals, limiting market expansion. These complexities hinder the ability of producers to capitalize on rising consumer demand for natural and organic products, thus hampering the overall growth of the acerola extract market.

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Acerola Extract Market Key Players

Product/Service launches, approvals, patents and events, acquisitions, partnerships and collaborations are key strategies adopted by players in the Acerola Extract Market. The top 10 players in the Acerola Extract market are

1. DSM Firmench
2. Kemin Industries Inc
3. Niagro Nichirei do Brasil Agricola Ltda
4. Symrise
5. Blue Macaw Flora
6. KINGHERBS
7. Nutra Green Biotechnology Co., Ltd.
8. Naturex S.A
9. Nexira
10. NutriBotanica

Scope of the Report: