Global Lactic Acid Market

The Lactic Acid Market size was valued at USD 3.47 Billion in 2025 and the total Lactic Acid revenue is expected to grow at a CAGR of 8.23% from 2026 to 2032, reaching nearly USD 6.04 Billion by 2032.

Lactic Acid Market Overview:

Lactic acid is an organic acid produced via fermentation. The IUPAC name of lactic acid is 2-Hydroxypropanoic acid with a molecular formula of CH3CHCOOH. It is used as a preservative and acidulant in food products, and as an intermediate in the manufacture of other chemicals. It is also used as a feedstock for the production of another chemical, such as it is used as raw material in the synthesis of biodegradable plastics (poly-lactic acid). It undergoes self-esterification to form poly-lactic acid, which is widely used as an eco-friendly biopolymer.

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Lactic Acid Market Dynamics:

The Lactic acid market is showing a northward direction growth, thanks to the growing application of lactic acid in the industrial, personal care, commercial, and household sector. In the food industry, lactic acid is used as a preservative, flavoring agent, pH regulator to increase shelf life and to control pathogens, among other applications. Rising demand for personal care products, owing to the introduction of sophisticated products along with the formulation development for a consumer group is expected to create new growth avenues for the lactic acid market.

Lactic acid has many pharmaceutical and cosmetic applications and formulations in topical ointments, lotions, anti-acne solutions, humectants, parenteral solutions, and dialysis applications, for anti carries agents. Increasing usage in creams, shampoos, and body care products as it enhances skin lightening effects, improves collagen and elastin synthesis, accelerates exfoliation, and cell renewal is expected to drive the lactic acid market growth during the forecast period.

The lactic acid market is already dominated by significant suppliers, which is expected to inhibit the new entrants. In addition, lower switching cost results in competitive pricing in the industry are expected to restrain the growth of the market during the forecast period.

Lactic acid is produced from several raw materials, such as corn, corn starch, wheat, barley, molasses, cellulose, and rice. The easy availability of raw materials provides an edge for the new manufacturers with lucrative opportunities.

Raw Materials used in lactic acid fermentation and their lactic acid yield:

Lactic Acid Market Segment Analysis:

Based on the Raw Material, the Lactic Acid Market is segmented into Corn, Sugar, Cassava, and Other Crops. In 2025, the sugarcane segment has emerged as the dominant raw material segment with a revenue share of over 39.0%. The abundant availability of sugarcane in nature, low cost, and environmental friendliness, fuel the product demand for this segment. In 2025, the global sugar production was accounted for 179 million metric tons, along with Brazil was the largest sugar-producing country in the world, and produced 42 million metric tons of sugar.

The corn segment is expected to witness rapid growth at a CAGR of 7.96% during the forecast period. Corn has emerged as a prominent raw material, as it has low cost, high sustainability, and abundance in nature, driving the market growth for this segment.

Based on the Application, the Lactic Acid Market is segmented into Industrial, Food and Beverage, Pharmaceuticals, Personal Care, and Others.

The food and beverages application segment held the largest market share, accounting for 40% in 2025. The growing adoption of Lactic acid as a preservative in the food and beverage industry is fueling the lactic acid market growth for this segment. According to the U.S. Food and Drug Administrating (FDA) report, lactic acid is normally recognized as a safe (GRAS) additive for general purpose uses, which boosts the demand for the product across the globe.

The industrial application segment is expected to be the fastest-growing application of lactic acid. It is projected to grow at a CAGR of 8.1% during the forecast period. The Industrial application of lactic acid growth is attributed to the high durability, mechanical strength, and transparency of the product. The continuous growth of the automotive industry and increasing demand from the end-use industries are the major driving factors for the growth of this application segment.

Lactic Acid Market Regional Insights:

North America region held the largest market share accounted for 43% in 2025, and is expected to grow at a CAGR of 8% during the forecast period. The market is driven by the growing poly-lactic acid market and increasing demand from the established end-users is fueling the market growth for this region. Rising demand for poly-lactic acid, as the U.S. government has announced plans towards reducing carbon footprint, growing demand from packaging applications, and the rapid growth of the pharmaceutical and personal care industries are expected to fuel the market growth during the forecast period.

Asia Pacific market is expected to be the fastest-growing market at a CAGR of 8.3% during the forecast period, in terms of revenue. Japan and China were the major contributors to the market growth in 2025. The growth is attributed to an increase in demand for biodegradable packaging in food products.

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PORTER, PESTEL analysis with the potential impact of micro-economic factors of the market have been presented in the report. External as well as internal factors that are supposed to affect the business positively or negatively have been analyzed, which will give a clear futuristic view of the industry to the decision-makers.

The reports also help in understanding the Market dynamic, structure by analyzing the market segments and projecting the Market size. Clear representation of competitive analysis of key players by product, price, financial position, product portfolio, growth strategies, and regional presence in the Market make the report investor’s guide.

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Lactic Acid Market, by Region

North America (United States, Canada and Mexico)
Europe (UK, France, Germany, Italy, Spain, Sweden, Austria and Rest of Europe)
Asia Pacific (China, South Korea, Japan, India, Australia, Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan and Rest of APAC)
Middle East and Africa (South Africa, GCC, Egypt, Nigeria and Rest of ME&A)
South America (Brazil, Argentina Rest of South America)

Lactic Acid Market, Key Players:

1. BASF
2. Galactic
3. Nature Works
4. Corbion Purac
5. Pyramid Bioplastics
6. Danimer Scientific
7. Dow Chemical
8. Synbra
9. Henan Jindan Lactic Acid Technology
10.Musashino Chemical
11.Futerro
12.Teijin
13.Wei Mon Industry
14.Thyssenkrupp AG
15.Vaishnavi Bio-Tech Ltd.
16.ADM
17.Cargill
18.Cellulac
19.Corbion
20.NingXia Hypow Bio-Technology
21.PURAC

Frequently Asked Questions:

1] What segments are covered in the Lactic Acid Market report?
Ans. The segments covered in the Lactic Acid Market report are based on Raw Material and Application.

2] Which region is expected to hold the highest share in the Lactic Acid Market?
Ans. The North America region is expected to hold the highest share in the Market.

3] What is the market size of the Lactic Acid Market by 2032?
Ans. The market size of the Lactic Acid Market by 2032 is USD 6.04 Bn.

4] What is the forecast period for the Lactic Acid Market?
Ans. The Forecast period for the Lactic Acid Market is 2026-2032.

5] What was the Global Lactic Acid Market size in 2025?
Ans: The Global Lactic Acid Market size was USD 3.47 Billion in 2025.