Limonene Market Size, Share & Trends Analysis Report By Source (Orange, Mandarin, Grapefruit), By End-use (Personal Care Products, Food Products), By Region, And Segment Forecasts, 2023 - 2030

Limonene Market Size & Trends

The global limonene market size was valued at USD 312.1 million in 2022 and is anticipated to grow at a CAGR of 6.0% from 2023 to 2030. The demand is anticipated to be driven by its growing inclusion in various personal care products such as eye shadows, lipsticks, moisturizers, shampoos, and skin care products, due to high demand for natural extracts. The demand is witnessing a sharp rise on account of the growing health awareness among people. As consumers have become more health conscious, the demand for natural, plant-based products like limonene is increasing. In addition, it is used in a variety of cosmetic and personal care products such as shampoos, conditioners, soaps, and lotions. They are valued for their refreshing aroma and their skin-brightening and anti-aging properties. To sum up, their increasing inclusion in cosmetics industry is creating multiple growth opportunities for the market globally.

The demand is witnessing a sharp rise on account of the growing health awareness among people. As consumers have become more health conscious, the demand for natural, plant-based products like limonene is increasing. In addition, it is used in a variety of cosmetic and personal care products such as shampoos, conditioners, soaps, and lotions. They are valued for their refreshing aroma and their skin-brightening and anti-aging properties. To sum up, their increasing inclusion in cosmetics industry is creating multiple growth opportunities for the market globally.

Limonene is one of the most common terpenes used globally. It is naturally occurring and recognized safe for use as a flavoring agent in food items such as baked goods, fruit juices, soft drinks, ice-creams, chewing gums, candies, and puddings to provide a lemony flavor. Numerous regulatory bodies like the U.S. FDA, WHO, FSSAI, and JETRO have included limonene in their list of permitted food additives and flavoring agents for human consumption. It is known to have a variety of beneficial properties including anti-inflammatory, antioxidant, and antimicrobial effects. In addition to its flavoring properties, the product is sometimes added to food products as a preservative or to enhance the shelf life of certain items.

In addition, limonene is also used in the manufacturing cleaning products. It can be used as a degreaser and stain remover. It is effective in removing oils, greases, and other organic compounds from surfaces. It can also help remove adhesives, stickers, and gum from surfaces. Moreover, it is used in all-purpose cleaners, degreasers, and carpet and upholstery cleaners. It is often added to these products in small quantities to enhance their cleaning power and provide a pleasant scent. Such surged applications of the product globally are anticipated to have a positive impact on the growth of the market worldwide during the forecast period.

The future growth prospects for the product market worldwide are moderate, with several factors driving the global demand for this versatile compound. As consumers are becoming highly conscious of the environmental impact of the products used by them, there is a surging demand for natural and sustainable products. Since limonene is a natural compound, it is well positioned to benefit from this prevailing global trend for natural products. Additionally, the rising demand for citrus flavors & fragrances is expected to drive the consumption of limonene worldwide. It is used as an effective solvent and cleaning agent in cleaning products which is also expected to fuel the growth of the market in the coming years. Moreover, the surge in use of limonene in pharmaceuticals and nutraceuticals owing to its potential anti-inflammation and anticancer properties may also boost its demand.

Source Insights

Lemon source segment dominated the market with the highest revenue share of 33.8% in 2022. This can be attributed as limonene is a primary component of lemon oil. Lemon oil is one of the most significant sources of limonene, making up around 50-70% of the total composition of the oil. Additionally, the concentrated lemon extract contains a substantial amount of alcohol, which prolongs its shelf life.

Limonene extracted from lemon is called as D-limonene and is used across several industries such as personal care, pharmaceuticals, cosmetics, and cleaning products. In addition, D-limonene, which is found in lemon oils is used to treat cancer. This factor is anticipated to boost the product demand in the pharmaceutical industry as a result, driving its overall growth in the forecast period.

Mandarin oranges are another significant source of limonene and are growing significantly. As the demand for limonene-based products continues to increase, the demand for mandarin oranges is also expected to rise. Mandarin oranges are widely cultivated in countries such as China, Spain, and U.S., and are commonly used in the production of essential oils, which are rich in limonene. Mandarin essential oil is commonly used in the fragrance industry, as it has a pleasant, sweet scent and is an excellent alternative to synthetic fragrances.

End-use Insights

Pharmaceutical end-use segment dominated the market with the highest revenue share of 34.9% in 2022. This can be attributed due to its health benefits which help in reducing obesity, cancer, bronchitis, and other diseases. Pharmaceutical companies include limonene in creams and ointments with medicinal ingredients that penetrate the skin. It also has various health benefits. Numerous studies on the medicinal properties of limonene have demonstrated its anti-inflammatory, antioxidant, antinociceptive, anticancer, antidiabetic, antihyperalgesic, antiviral, and gastroprotective properties, among other health-promoting benefits. Thus the wide use of limonene in the pharmaceutical industry is boosting the market growth.

Moreover, with proven health benefits and high demand for organic and natural personal care products, the demand for the product in personal care products has been growing significantly over the last few years. The nutritive compounds in limonene-based personal care items aid in skin smoothing and dermis protection. Furthermore, it ensures protection against inflammation and restores the smoothness of hair and skin. It is also suitable for anti-aging, after-sun, and moisturizing skincare, and haircare products. Thus, the rising demand for organic personal care products would boost market development.

Additionally, the product is used in cleaning products used for electrical and electronic devices.  It is recognized as a safe product, and works as a replacement for chlorinated solvents, chlorinated hydrocarbons, chlorofluorocarbons, and other solvents. Electrical and electronic device cleaning agents are simple to use without surfactants that decrease the need for extra cleaning procedures while efficiently removing both polar and non-polar contaminants from a variety of electrical and mechanical parts. The increasing demand for limonene in cleaning products for electrical and electronic equipment is boosting the market demand.

Regional Insights

North America dominated the market with the highest revenue share of 29.0% in 2022.This growth is attributed as the demand for the product is rising due to consumer preferences for biodegradable products, increasing demand for natural ingredients, and increasing purchases power and preference of consumers toward citrus products in North America. According to Forbes, the U.S. accounted for approximately 20% share of the global cosmetics market revenue in 2021. Furthermore, the skincare business segment accounted for more than 23% of the total the U.S. beauty and cosmetics market.

U.S. is one of the largest producers of citrus fruit in the world. The market for natural and organic flavoring and fragrance agents in sports & energy drinks, carbonated soft drinks, various food items, fruit beverages, and confectionary items in the U.S. and Canada is rising due to the growing health enthusiast population. Therefore, the market for natural products is anticipated to expand considerably over the forecast period. According to an article in Confectionary Production Magazine, the U.S. confectionery market, valued at USD 35 billion is the biggest in the world with Mars and Hershey as the leading players.

Europe is estimated to grow at a CAGR of 6.6% by 2030. The market in Europe is growing due to the high growth in personal care & cosmetics market along with a surge in the adoption of natural fragrances in various applications such as flavor and fragrance additives, soaps & detergents, and beverages. Europe is one of the significant producers of limonene in the world. Astra Chemicals and Mentha & Allied Products Private Limited are some of the producers of limonene in Europe.

Germany has emerged as a key contributor for the European fragrance market and is expected to dominate the region over the forecast period due to large utilization of moisturizers, perfumes, and colognes in personal care & cosmetic products. It is used in personal care and cosmetics because it is a colorless liquid with a lemon like pleasant odor that can be found in the rind of citrus fruits. Owing to the penetration of social media, the local players in cosmetics market are getting a platform to reach the global audience. Some cosmetic brands have become widespread on social media and have also been taken over by established market players in Europe.

Key Companies & Market Share Insights

The global market is highly fragmented with several small and medium-sized players offering limonene-based products. However, the market is also dominated by a few key players, such as Firmenich, Givaudan, and BASF, who account for a significant share of the market. For example, Givaudan has developed a range of natural and sustainable flavors and fragrances, including limonene-based products, to meet the growing demand for natural and eco-friendly products.

In addition, companies are focusing on expanding their geographic reach and increasing their production capacity to meet the growing demand for limonene-based products. Many companies are also adopting a forward integration strategy, by acquiring companies in the value chain to ensure a consistent supply of raw materials and improve their competitiveness in the market. For example, Citrosuco has expanded its operations in China and Europe to meet the growing demand for limonene-based products in these regions. Some prominent players in the global limonene market include:

• Lemonconcentrate S.L.U.

• Florida Chemical Company (acquired by ADM)

• Banner Chemicals Limited

• Citrus Oleo

• Sucorrico

• Belize Ltd.

• Spectrum Chemical

• Citrosuco

Limonene Market Report Scope

Global Limonene Market Report Segmentation

This report forecasts revenue growth at global, regional, and country levels and provides an analysis on the latest industry trends in each of the sub-segments from 2018 to 2030. For this study, Grand View Research has segmented the global limonene market report based on source, end-use, and region:

• Source Outlook (Volume, Kilotons; Revenue, USD Million; 2018 - 2030)

  • Orange

  • Mandarin

  • Grapefruit

  • Lemon

  • Others

• End-use Outlook (Volume, Kilotons; Revenue, USD Million; 2018 - 2030)

  • Personal Care Products

  • Food Products

  • Furnishing Care Products

  • Pharmaceutical

  • Air Care Products

  • Others

• Regional Outlook (Volume, Kilotons; Revenue, USD Million; 2018 - 2030)

  • North America

    • U.S.

    • Canada

    • Mexico

  • Europe

    • Germany

    • U.K.

    • France

    • Italy

  • Asia Pacific

    • China

    • India

    • Japan

  • Central & South America

    • Brazil

    • Argentina

  • Middle East & Africa

    • Saudi Arabia

    • South Africa