Food Grade Alcohol Market, Overview, Growth, Demand and Forecast to 2024-2031

The food-grade alcohol market, valued at $3,264.02 million in 2022, is projected to achieve a 3.6% CAGR during the forecast period. With consumers increasingly favoring natural and organic food and beverages, the demand for food-grade alcohol, especially from renewable and organic sources, is rising. This aligns with the clean label and sustainability preferences in food production. Moreover, ethanol, a key component of food-grade alcohol, is utilized for extracting natural flavors, fragrances, and essential oils, catering to the growing demand for authentic and natural flavors in processed foods. In baking and confectionery applications, food-grade alcohol contributes to texture and moisture control in dough and batters, enhancing flavor and facilitating mold release in chocolate, candy, and icing production. These factors collectively drive the pivotal role of food-grade alcohol in various facets of the food and beverage industry.