Herbal Extract Market - Databook 2025 to 2034

The global herbal extract market size surpassed USD 43.38 billion in 2024 and is predicted to reach around USD 103.55 billion by 2034, registering a CAGR of 9.09% from 2025 to 2034.

Highlights of the Herbal Extract Market

• Asia Pacific dominated the global market share in 53% in 2024.
• North America is anticipated to grow at the fastest rate in the market during the forecast period.
• By source, the fruits, flowers and bulbs segment held a dominant presence in the market in 2024.
• By source, the leaves segment experienced significant expansion in the market.
• By type, the phytomedicines segment accounted for a considerable share of the market in 2024.
• By type, the essential oils segment is set to experience the fastest rate of market growth from 2025 to 2034.
• By application, the pharmaceutical & dietary supplements segment dominated the herb extract market.
• By application, the food & beverage segment is anticipated to grow with the highest CAGR in the market during the studied years.

Industry Valuation and Growth Rate Projection

The herbal extract market talks about an herbal extract, which is a liquid substance created by extracting a part of the herbal raw material through solvents like water, methanol, or alcohol. Herbal extracts are now widely used as a part of alternative medicine in nutraceuticals, biomedical treatments, Ayurveda, and homeopathy. Some of the common applications of these extracts include cosmetics, food, and the pharmaceutical industry.

People have begun realizing that herbal and natural ingredients can help them recover from symptoms leading to neurological disorders as well. In addition to more wellness products, consumers' demand for instant food availability is on the rise due to lifestyle changes.

Herbal Extract Market: Stats and Figures

• In 2023, over 25% of the Ayurvedic and herbal products sent overseas by India went to the US, as per the Indian Ministry of AYUSH.
• Following the data obtained from the Ministry of Commerce and Industry, during the first eleven months of the financial year winding up in February 2025, the exports of Ayush and herbal products were valued at $621.58 million.
• As stated by the World Health Organization (WHO), approximately 80% of the global population makes use of herbal medicine. 
• In 2023, protein powders and spoon-fed honey packs were sold with an increase of 68% and 1,095%, in that order, in China, according to Sekkei Digital.

How AI Has Benefitted the Market

• The herbal extract market has seen an increase in demand for AI, especially in the field of medicine. Identification of herbal plants can be a highly time-consuming process, and integrating it with AI can help scientists and researchers look for good-quality plants speedily. This further benefits the herbal drug industry.
• Herb Agriculture: AI-driven systems help with the diagnosis of plant diseases and provide answers to improve crop yield, ensuring the effectiveness of Ayurvedic products.
• Natural Language Processing (NLP): The Ayurvedic texts can be studied via NLP algorithms, and the preparation of herbs becomes easier for the producers.
• Educating patients: Using virtual health assistants, AI can help patients gather information about herbal treatments, while also providing tailored plans.
• Identifying components: Complicated components of Traditional Chinese Medicine (TCM) can be recognized by AI from plants as well as microorganisms.

Industry Leader Announcements

• Ajit Kumar Shasany, director at National Botanical Research Institute (NBRI):

Talking about the use of herbal extract in Pio, a soft drink, Shasany said, "The product is a unique blend of modern nutraceutical concepts with traditional knowledge in the soft drink category, where the product is fortified with medicinal plants having color and taste similar to synthetic beverages. The herbal plant extract used in the drink has hepatoprotective, antioxidant, immuno-enhancing, cardio-tonic, diuretic, and digestive properties. The technology and process of the soft drink have also been patented."

Geographical Insights 

The worldwide herbal extract market is experiencing significant growth, with Asia Pacific maintaining its position as the dominant region. India and China are the leading countries in the region to take the industry further swiftly.

North America

The market in North America is experiencing growth as packaged food is consumed more in the region. The companies are collaborating to address the need for food and beverages to be delivered instantly.

• In 2020, International Flavors & Fragrances Inc. collaborated with Evolva to extend its business boundaries and amplify its sales and revenue.

Europe

In Europe, the business of plant-based products can be witnessed growing as a consequence of the EU taking a stand on labeling food items according to the consumers' needs.

The EU Court of Justice (ECJ) declared that plant-based foods can continue to be sold using names like burger or sausage, while making it clear that the clearly labelled products cannot be held back by the countries encircling the EU.

Asia Pacific

The herbal extract market in Asia Pacific has held a foremost position owing to the herbs developed in India and China primarily.

Higher than 70% of India’s 1.4 billion population support and follow non-allopathic healthcare structures regularly, such as Ayurveda and other time-honored remedies, thus consuming alternative foods in a much lesser quantity than other countries.

• A survey by Rakuten Insights, in 2022, consisting of 2,340 respondents, discovered that 77% of Chinese consumers purchased healthcare products for immunity enrichment.

Recent Developments:

• In 2025, the IIT-BHU and VCA Healthcare Pvt Ltd, Alwar, signed an MoU striving for avant-garde research and interchange of education in the field of technically legalized herbal creations and nutraceuticals. In September 2024, Groupe Berkem heralded the commencement of Global Plant Exploration for the expansion of its Health, Beauty & Nutrition Business fields. This program is committed to fostering a wide array of botanical extracts for various health needs with regard to dietary supplements.

Competitive Landscape

The herbal extract market is extremely competitive, with leading companies such as Givaudan SA, Symrise AG, Kerry Group, Martin Bauer Group, Kalsec, International Flavors & Fragrances (IFF), and Synthite Industries holding the largest market share. Emerging botanical extract firms also play a crucial role by forwarding a vibrant and evolving competitive landscape.

The market is dominated by several natural extract companies renowned for their noteworthy contributions to the food and beverage sector, cosmetics, and disease treatment. Based on recent data, the top three leading companies are:

• Company Name: Givaudan SA
• Year of Incorporation: 1895 
• Headquarters: Geneva, Switzerland

The annual revenue of Givaudan SA leaped from $6,915,000 in 2023 to $7,412,000 in 2024.

• Company Name: Symrise AG
• Year of Incorporation: 2003 
• Headquarters: Holzminden, Germany

The gross profit of Symrise AG was accounted for $1,963,439 in 2024.

• Company Name: Kerry Group
• Year of Incorporation: 1972 
• Headquarters: Kerry, Ireland

The gross profit of Kerry Group was $3,560,300 in 2024.