Licorice Root Market Size, Share, Growth, and Regional Forecast, 2026 to 2033

The global licorice root market size is expected to be valued at US$ 1.2 billion in 2026 and projected to reach US$ 1.9 billion by 2033, growing at a CAGR of 7.1% between 2026 and 2033.

This robust growth is primarily driven by the escalating demand for natural sweeteners and functional ingredients in the food and beverage industry, alongside a surging consumer preference for herbal-based medicinal products. As health-conscious populations pivot away from synthetic additives, the multifunctional properties of licorice root ranging from its anti-inflammatory benefits to its role as a high-potency natural flavor enhancer have solidified its position across various industrial sectors. The expansion of the global wellness industry and the increasing utilization of glycyrrhizin in pharmaceutical formulations further underpin this consistent upward trajectory.

• Leading Region: Asia Pacific, holding around 40% market share, supported by strong cultivation in China and Central Asia, extensive use in traditional medicine systems, and a well-established botanical extraction industry.
• Fastest-Growing Nature Segment: Organic Licorice Root, fueled by increasing consumer demand for pesticide-free botanicals, sustainable sourcing practices, and premium herbal ingredients used in nutraceutical and cosmetic products.
• Market Drivers: Rising demand for plant-based sweeteners and clean-label ingredients is accelerating the use of licorice root extracts as natural flavor enhancers and sugar alternatives in food and beverage products.
• Opportunities: Expanding adoption of licorice extracts in the cosmetic and personal care industry, particularly for skin-brightening, anti-inflammatory, and anti-hyperpigmentation formulations in premium skincare products.
• Key Developments: In February 2026, global confectionery manufacturers highlighted evolving flavor and texture trends ahead of ISM Cologne 2026, where Zhaoan Huazhijie Food Co., Ltd. prepared to showcase its liquorice candy portfolio. In December 2025, the Ministry of Commerce of the People's Republic of China announced the 2026 export quota allocation plan covering agricultural products including licorice and its derivatives.

Driver - Rising Demand for Plant-Based Sweeteners and Clean-Label Ingredients

The global transition toward sugar reduction and the adoption of clean-label alternatives. According to the World Health Organization (WHO), the rise in lifestyle-related diseases has prompted strict regulatory mandates on sugar consumption, leading manufacturers to seek natural high-intensity sweeteners. Licorice root contains glycyrrhizin, a compound that is significantly sweeter than sucrose, making it an ideal candidate for low-calorie confectionery and beverages. Organizations like the International Food Information Council (IFIC) note that modern consumers increasingly scrutinize ingredient lists for recognizable plant-derived components. This shift has encouraged major brands such as Whole Earth Brands to expand their natural sweetener portfolios, driving significant volume growth in the Food Grade segment across North American and European markets.

Restraints - Stringent Regulatory Scrutiny and Safety Concerns Regarding Glycyrrhizin

A significant barrier to market expansion is the rigorous regulatory environment concerning the safe consumption levels of licorice derivatives. The Food and Drug Administration (FDA) and the European Food Safety Authority (EFSA) have established strict guidelines because excessive intake of glycyrrhizin can lead to adverse effects such as hypertension and potassium depletion. These safety concerns require manufacturers to provide precise labeling and often necessitate the production of Deglycyrrhizinated Licorice (DGL) for certain health applications. Such compliance burdens increase operational costs for producers like Ransom Naturals Ltd. and can limit the product’s use in mainstream food categories. This regulatory pressure acts as a bottleneck, particularly in developed regions where consumer safety oversight is highly intensive and transparent.

Opportunity - Surging Innovation in the Cosmetic and Personal Care Industry

There is a burgeoning opportunity for market participants to tap into the high-growth Cosmetic Grade segment. Licorice root extract, specifically the compound glabridin, is highly prized in the beauty industry for its skin-brightening and anti-hyperpigmentation properties. As the Personal Care Products Council (PCPC) highlights a significant shift toward green chemistry and botanical skincare, licorice is being formulated into premium anti-aging creams and sun-care products. Brands that focus on high-potency, standardized extracts can command premium pricing in the prestige beauty market. Companies like Shaanxi Fujie Pharmaceutical Co., Ltd. are increasingly targeting this sector by providing sustainable and ethically sourced extracts that align with the clean beauty movement favored by millennial and Gen Z demographics globally.

Form Insights

The liquid extract segment is the leading segment accounting for a dominant share in 2025. This leadership is justified by its high solubility and ease of integration into diverse applications such as syrups, beverages, and pharmaceutical tinctures. Manufacturers favor liquid formats for their standardized concentrations of glycyrrhizin, which ensure consistency in industrial-scale production. Meanwhile, Powder is identified as a significant contributor to the food processing and cosmetic industries due to its long shelf life and concentrated flavor. The Whole/dried root remains a staple in traditional herbal shops and for the production of stick licorice, catering to the artisanal and traditional medicine segments that prioritize minimal processing.

Nature Insights

The conventional segment currently holds the leading position, accounting for an estimated 86% market share in 2025. This dominance is driven by its widespread availability and more competitive pricing, making it the primary choice for large-scale industrial applications in the tobacco and confectionery sectors. However, the organic segment is identified as the fastest growing segment through 2032. This rapid growth is fueled by the escalating consumer demand for pesticide-free and sustainably harvested botanicals. Authentic data from the Organic Trade Association (OTA) indicates that consumers are increasingly willing to pay a premium for certified organic licorice in the health supplement and premium skincare categories, encouraging producers like Arjuna Natural Ltd. to expand their organic-certified cultivation areas.

Asia Pacific Licorice Root Market Trends and Insights

Asia Pacific currently holds the leading market share of 40% in 2025, deeply rooted in the long-standing tradition of licorice use in Traditional Chinese Medicine (TCM) and Ayurveda. China is the global hub for both production and consumption, with a vast infrastructure for the processing of licorice derivatives. The region benefits from extensive manufacturing advantages and a well-established supply chain that serves both domestic and international markets.

Innovation in this region is focused on the integration of licorice into functional beverages and dietary supplements. Countries like India and Japan are seeing a surge in demand for licorice-based wellness products, driven by an aging population and a cultural affinity for herbal remedies. Regulatory support for botanical medicine in these nations has fostered an innovation ecosystem where companies like Maruzen Pharmaceuticals Co., Ltd. thrive. Furthermore, the expansion of the e-commerce sector in Southeast Asia is making premium licorice products more accessible to urban consumers, ensuring that Asia Pacific remains the primary engine for global market value.

North America Licorice Root Market Trends and Insights

North America is identified as the fastest growing region for the licorice root market through 2032. The market leadership in the U.S. is driven by the explosive growth of the natural sweetener industry and the rising popularity of herbal dietary supplements. Organizations such as the American Botanical Council (ABC) have been instrumental in educating consumers about the clinical benefits of licorice root, particularly for adrenal support and digestive health.

The innovation ecosystem in North America is characterized by a high volume of new product launches in the functional food and clean beauty sectors. Major players like Whole Earth Brands are leveraging the demand for zero-sugar alternatives to expand their retail presence. Regulatory clarity from the FDA regarding the use of DGL and standardized extracts has fostered consumer trust. Additionally, the region's strong focus on R&D has led to the development of sophisticated licorice-based formulations in the pharmaceutical sector, making it a critical region for high-value segment growth.

The licorice root market exhibits a moderately consolidated structure, where a group of established global ingredient suppliers and specialized regional processors hold significant influence. Key market leaders like Whole Earth Brands, Maruzen Pharmaceuticals, and Azelis Group NV dominate the industry through extensive distribution networks and advanced extraction capabilities. These companies employ strategies focused on vertical integration, long-term sourcing contracts, and strategic acquisitions to secure raw material supplies and expand their technological portfolios. Key differentiators include the ability to provide standardized active compounds and the attainment of prestigious certifications such as USDA Organic and ISO. Emerging business models are increasingly prioritizing traceability and direct-from-farm sourcing to satisfy the transparency demands of global pharmaceutical and cosmetic clients.

Key Developments:

• In February 2026, the global confectionery industry highlighted evolving texture and flavor trends ahead of the ISM Cologne 2026, where Zhaoan Huazhijie Food Co., Ltd. prepared to showcase its liquorice candy portfolio and manufacturing capabilities.
• In December 2025, the Ministry of Commerce of the People's Republic of China released the First Allocation Plan for Export Quotas of Certain Agricultural Products for 2026, which includes licorice and related products under the regulated export framework.