Food Grade Ethanol Market

Market Outlook

Ethanol or any other alcohol is used in various industries including cosmetic industries, petroleum industries, and food industries. The ethanol used in food industries are known as food grade ethanol or food grade ethyl alcohol. Other names for food grade ethanol are ethanol 99 and ethanol 99.9.

Food grade ethanol is prepared from naturally sourced food ingredients such as sugarcane, corn, grains, and other fruits. There are various types of foods in which ethanol is used. Ethanol is also used in beverages. Food grade ethanol can be pure ethanol or can contain water.

The percentage of water in food grade ethanol is usually 5-10%. The food grade ethanol doesn't contain any component which is harmful to humans such as benzene and methanol. The food grade ethanol is usually obtained from natural sugarcane and molasses, but also from non-GMO corn. Due to numerous application in the food and beverages industry, the Food grade ethanol is anticipated to remain positive in the global market.

Increasing Consumption of Food Grade Ethanol

Consumption of food grade ethanol among food manufacturers and consumers is increasing globally. The food grade ethanol is produced from corn and natural sugarcane or molasses. Ethanol is primarily used in beverages such as beer, brandy or wine, but also used in many food products. Ethanol is also used as a preservative in foods.

Food grade ethanol is used to enhance the flavor of foods and to color the foods. Vanilla extract a popular food flavor is made by processing and curing the beans of vanilla in ethanol and water solution. Due to increasing applications of food grade ethanol in the food and pharmaceutical industries, it is expected that the food grade ethanol market will grow positively in the upcoming years.

Global Food Grade Ethanol: Market Segmentation

On the basis of source	Organic Conventional
On the basis of packaging	PET Bottles HDPE Drum
On the basis of applications	Flavoring agent Food coloring Plum Pudding Fruitcake Candies Brandied fruits Food preservative

Global Food Grade Ethanol: Key Players

Some of the major manufacturers and suppliers operating in the food grade ethanol include Sucrogen Bioethanol Pty. Ltd., MGP Ingredients, Inc., Shree Renuka Sugars Limited, AppliChem GmbH, Balrampur Chini Mills Ltd. (Sugar Division), Shanker International, Cargill, Incorporated, Cristalco S.A.S, Grain Processing Corporartion, among others.

More manufacturers and industrialists have been showing a keen interest in Food grade ethanol which would be escalating the demand for Food grade ethanol among food manufacturers and consumers in the upcoming years.

Opportunities for Market Participants:

Globally growing consumer preference towards new flavor is expected to boost the food grade ethanol market in the upcoming years. Food grade ethanol is used in various dishes to enhance the taste of foods. Vanilla extract a popular flavor used in various food products is made by curing & processing seeds of vanilla in ethanol and water solution.

Food grade ethanol products have vitalizing demand among consumers globally. In Europe and North America food products made up food grade ethanol are widely consumed. The demand for food grade ethanol is growing among food manufacturers and consumers due to its application in food flavors manufacturing.

In addition, food grade ethanol is also used as a preservative in various food products to increase the shelf life. By considering all the above factors, food grade ethanol manufacturer would have a great market share in the upcoming years.

Global Food Grade Ethanol: A Regional Outlook

The Asia Pacific is the largest producer of food grade ethanol since the farming of sugarcane is done on a large scale in this region. The second largest producer is Brazil. Also in Australia and India, the production of food grade ethanol is high. The consumption food grade ethanol is large in Europe and North America. By considering all the above factors, it is expected that the global Food grade ethanol market share would increase in the upcoming years.

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