U.S. Herbal Extract Market - Databook 2025 to 2034

The U.S. herbal extract market size was evaluated at USD 4.25 billion in 2024 and is expected to grow around USD 10.59 billion by 2034, registering a CAGR of 9.55% from 2025 to 2034.

Highlights of the U.S. Herbal Extract Market

• By source, the fruits, flowers and bulbs segment saw prominent growth in the market.
• By source, the leaves segment saw strong growth during the studied period.
• By type, the phytomedicines segment experienced significant expansion in the market.
• By type, the essential oils segment is set to experience the most robust growth across the market.
• By application, the pharmaceutical & dietary supplements segment achieved considerable growth within the market.
• By application, the food & beverage segment is expected to see relatively strong growth during the forecast period of 2025 to 2034.

Industry Valuation and Growth Rate Projection

The US herbal extract market is undergoing growth owing to the preference for natural and organic products for health purposes. This trend is shaped by lifestyle choices and the demand for alternatives of plant origin in food, beverage, pharmaceutical, and personal care. Extraction technology advances are behind this growth. Herbal extracts are used in the food and beverage industries for flavoring, coloring, and nutritional enrichment. Pharmaceutical extracts find their way into conventional and modern medicines and dietary supplements to promote wellness and preventive healthcare.

Personal care ingredients of herbal origin are included in cosmetic products to meet demand for clean-label and chemical-free products. Organic farming, consequently, also favors the growth of the herbal extract market, as does an increasing awareness of ingredient sourcing and transparency concerning the products. The US market is one of the highly competitive ones in which both domestic and international players invest in innovation and the expansion of their product portfolios.

Market Trends

• Mergers and Acquisitions; Strategic Alliances: Companies synergize with regional producers or acquire smaller enterprises in attempts to scale operations and promote innovation.
• Regulatory Recognition of Herbal Products: The development of herbal monographs and registration routes is leading to better acceptance of these products.
• Urbanization and Lifestyle Changes: Stress relief, digestion, and energy solutions constitute herbal remedies for busy urban populations.
• Sustainability and Green Chemistry: The green practices in sourcing and manufacturing help in brand acknowledgment and consumer trust.
• Increased Awareness Due to Wellness Influencers and social media: Educating through online media and influencer marketing is one way of increasing the awareness and trials of herbal extract products.

Restraint

• Adulteration and Contamination: The herbal markets has to combat cross contamination and maintain safety standards around foreign matter, adulterations. Sourcing raw materials is also an issue due to inferior quality, fungal or insect-infested material.
• Lack of Standardization: Without globally accepted standards, manufacturers struggle with documentation and proving product efficacy, leading to concerns about adulteration and contamination.
• Quality Control Issues: Poor quality control, lack of current good manufacturing practices (cGMP), and inadequate research and development into the side effects of the products can lead to a worse customer experience.
• Sourcing High-Quality Materials: Finding and securing consistently high-quality raw materials is a major challenge, especially for large-scale commercialization.

Opportunity

• Modern extraction methods (supercritical fluid extraction, pressurized liquid extraction, or microwave-assisted extraction) optimize herbal extraction in terms of efficiency, purity, and yield.
• Green extraction technologies endorse processes that are environmentally friendly by reducing the consumption of waste and energy, hence meeting the consumers' requirement for sustainable products.
• Fractionation techniques such as flash chromatography and high-speed counter-current chromatography separate specific active compounds for target formulations.
• Improved formulation to maintain product consistency, effectiveness, and shelf-life.
• Improved quality control with the use of analytical monitoring in real time to guarantee product safety and regulatory compliance.
• Technological improvements open up new innovative horizons for the creation of new herbal extract products in food, pharmaceuticals, cosmetics, and nutraceuticals.
• Such technological innovations enhance consumer trust and provide companies with a competitive edge.

Recent Developments in the U.S. Herbal Extract Market:

• In May 2023, Vidya Herbs Pvt. Ltd. launched a new herbal manufacturing plant in the United States. Vidya Herbs is a global manufacturer of herbal products,
• In June 2023, Anherb Natural announced the launch of a new product line in the cosmetic industry, aiming to establish a presence in the beauty market. Anherb Natural is a well-known skin care expert.