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Food and Beverages

Global Food Grade Alcohol Market Re...

Historical and Forecast Market Trends

2018-32

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The largest regional market for food grade alcohol is Europe, owing to the massive consumer base in the region. In addition, the age-long popularity of alcohol-based food and beverage products in the region is estimated to bolster the market growth in the coming years. North America, meanwhile, is expected to witness robust growth with a huge number of breweries and distilleries operating to cater to the growing demand for their products. However, the Asia Pacific is expected to witness the highest CAGR, owing to the growing acceptance of alcohol for social drinking on top of a rising young consumer base.

The industry is divided into several segments by type, source, and application. Among the types, ethanol is the most extensively utilised segment that finds its use in most end use industries. This trend of dominance is estimated to prevail even in the years to come. In terms of its applications, owing to the gigantic size of the alcohol beverage industry, the segment is estimated to maintain its top position in the market during the forecast period. Meanwhile, the awareness regarding personal hygiene generated by the widespread coronavirus pandemic has boosted to the pharmaceutical segment of the product.

In January 2019, Wilmar International Limited [SGX: F34], a Singaporean food processing company, announced the completion of the acquisition of its ethoxylation facility in France, Wilmar France Holdings S.A.S., by Ineos Chemicals Holdings Luxembourg S.A. This acquisition comes as a strategic move that guarantees Wilmar a long-term supply of surfactant products produced at Ineos’ network of ethoxylation plants located across Europe. In January 2020, another key player, an Australian company, the Manildra Group, announced the completion of a world-class distillery in Nowra, New South Wales. The largest facility of its kind in Southeast Asia aims to create 100 per cent pure Australian spirits. These developments in the industry are expected to augment the market growth over the forecast period.

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Market Analysis by Type, Source, Application, and Region:

  • The market, on the basis of type, can be divided into ethanol, sorbitol, and xylitol, among others.
  • Based on source, the industry can be divided into sugarcane, sugar beet and molasses, and grains, among others.
  • The applications for food grade alcohol include food, beverages, and pharmaceutical and nutraceutical.
  • The regional markets for food grade alcohol include North America, Europe, the Asia Pacific, Latin America, and the Middle East and Africa.

Key Findings of the Report:

  • The growing acceptance of alcoholic beverages in social gatherings is one of the significant drivers for the growth of food grade alcohol industry.
  • The growing trend of food grade alcohol is aided by the purity of the product and its properties as a preservative and rich flavour, consequently boosting the market growth.
  • The rise in consumer income and expenditure, and expanding urbanisation, leading to the growth in the processed food industry, subsequently boosts the demand for food grade alcohol.
  • The consumption of food grade alcohol in the form of dietary supplements, functional food and beverages, and sanitisation products, among others, are other factors bolstering the demand growth.
  • The industry is driven by the major players with the dynamic development of new products. 

Key Offerings of the Report:

  • The EMR report gives an overview of the global market for food grade alcohol for the periods (2018-2023) and (2024-2032).
  • The report also offers the historical (2018-2023) and forecast (2024-2032) markets for the types, sources, applications, and regions of food grade alcohol.
  • The report analyses the market dynamics, covering the key demand and price indicators in the market, along with an assessment of the SWOT and Porter’s Five Forces models.

The major players in the global food grade alcohol market are key players in the market are Cargill Incorporated, Spectrum Chemical Manufacturing Corp., Manildra Group, Wilmar International Limited, Grain Processing Corporation, Archer Daniels Midland Company (ADM), Greenfield Global Inc., MGP Ingredients, Inc., Cristalco and among others. The comprehensive report by EMR looks into the market share, capacity, and latest developments like mergers and acquisitions, plant turnarounds, and capacity expansions of the major players.

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