News Release: July 26, 2025
Pharmaceutical Grade Licorice Extract Price, Production, Latest News and Developments in 2025
Pharmaceutical Grade Licorice Extract has garnered growing attention across global pharmaceutical and nutraceutical industries due to its anti-inflammatory, antioxidant, and antiviral properties. The market for this specialized extract has undergone dynamic changes in pricing, production, and trade patterns over the last few years. As demand grows across Asia-Pacific, North America, and Europe, industry stakeholders are closely monitoring the Pharmaceutical Grade Licorice Extract price trend and production news for strategic insights and business decisions. For a complete overview of Pharmaceutical Grade Licorice Extract price trend and production News, visit.
Pharmaceutical Grade Licorice Extract Price Trend in Past Five Years and Factors Impacting Price Movements (2019–2024)
From 2019 to 2024, the Pharmaceutical Grade Licorice Extract price trend has shown a mixed trajectory, largely influenced by factors such as raw material availability, environmental regulations, labor costs, and shifts in international demand. The pricing of licorice roots, primarily sourced from regions like China, Iran, and Central Asia, has had a direct impact on production costs. Additionally, the energy crisis and freight disruptions post-COVID-19 significantly impacted the global supply chain, thereby causing fluctuations in pricing.
In 2019, the average Pharmaceutical Grade Licorice Extract price hovered around $6,800/MT. With stable production and demand during this year, the prices remained largely unchanged.
In 2020, the onset of the COVID-19 pandemic disrupted supply chains, causing delays and raw material shortages. This led to a slight increase in Pharmaceutical Grade Licorice Extract price, which rose to approximately $7,200/MT. The surge in demand for herbal medicines during the pandemic further exerted upward pressure on prices.
The year 2021 witnessed significant volatility. The price peaked at nearly $7,950/MT during the second half of the year due to a sudden surge in global demand and limited harvesting activities in exporting countries. The Pharmaceutical Grade Licorice Extract price news at the time indicated severe shortages and extended lead times in shipping.
In 2022, prices began stabilizing slightly, averaging around $7,400/MT. The recovery of production levels in China and Iran contributed to a more balanced supply-demand environment. However, the continuation of global freight cost increases kept prices from falling further.
In 2023, prices showed a marginal dip as major producers enhanced production capabilities, reducing reliance on imports. The average Pharmaceutical Grade Licorice Extract price recorded was $6,900/MT. Advancements in extraction technologies and better raw material availability allowed producers to optimize costs.
By early 2024, the average price stood at around $7,050/MT, with occasional short-term spikes due to political instability in key exporting regions. Overall, the Pharmaceutical Grade Licorice Extract Price Trend has been characterized by external geopolitical influences, climatic events, and shifting consumer preferences toward plant-based pharmaceuticals.
Pharmaceutical Grade Licorice Extract Price Trend Quarterly Update in $/MT (2024 – 2025)
Q1 2024: $7,050/MT
Q2 2024: $7,100/MT
Q3 2024: $7,150/MT
Q4 2024: $7,220/MT
Q1 2025: $7,180/MT
Q2 2025: $7,240/MT (Estimated)
Q3 2025: $7,300/MT (Estimated)
Q4 2025: $7,380/MT (Estimated)
The Pharmaceutical Grade Licorice Extract Price Trend in 2025 is expected to continue a gradual upward movement due to strong demand growth from pharmaceutical applications and continued constraints in global licorice root production. Seasonal fluctuations and export policies in leading source countries such as China and Iran will be major contributing factors in shaping short-term pricing.
Global Pharmaceutical Grade Licorice Extract Import-Export Business Overview
The global Pharmaceutical Grade Licorice Extract import-export business has undergone structural shifts over the last few years, driven by increasing global health awareness, regulatory pressures, and evolving consumer trends. With expanding pharmaceutical and nutraceutical applications, the Pharmaceutical Grade Licorice Extract sales volume has steadily increased across international markets.
China, the world’s largest producer of licorice extracts, dominates the export market. In 2024, China accounted for approximately 42% of global Pharmaceutical Grade Licorice Extract production and remains a key supplier to the United States, Germany, Japan, and several Southeast Asian countries. Despite being a net exporter, China’s tightening of environmental regulations and restrictions on wild licorice harvesting have caused occasional disruptions in supply.
Iran, another leading exporter, provides high-purity licorice extract to European markets. However, geopolitical instability and sanctions have impacted export volumes. In 2023, Iran’s export volume dropped by nearly 10% compared to the previous year, affecting global Pharmaceutical Grade Licorice Extract price news significantly, especially in the European region.
The United States is a major importer of Pharmaceutical Grade Licorice Extract, sourcing primarily from China and Spain. U.S.-based pharmaceutical companies utilize the extract in a variety of applications ranging from gastrointestinal treatments to respiratory support. Due to increasing domestic demand, U.S. imports grew by 15% in 2024.
India, while traditionally dependent on imports, has made strides in local Pharmaceutical Grade Licorice Extract production. The country aims to reduce its import dependency by expanding domestic cultivation and setting up modern extraction facilities. Export opportunities to neighboring markets such as Bangladesh, Sri Lanka, and the UAE are growing rapidly.
Europe, especially countries like Germany, Italy, and France, remain strong consumers of high-grade licorice extracts. In 2024, European Union countries collectively imported over 3,800 MT of Pharmaceutical Grade Licorice Extract. However, due to strict quality and sustainability regulations, European importers increasingly prefer certified organic and traceable products.
The Pharmaceutical Grade Licorice Extract sales volume continues to rise in Japan and South Korea, where the product is used in both traditional Kampo medicine and modern pharmaceuticals. In 2024, Japan imported over 950 MT, and forecasts for 2025 show further growth due to rising geriatric populations and demand for anti-inflammatory medications.
Trade Agreements and Tariff Impacts:
The trade flow has also been influenced by bilateral and multilateral agreements. For instance, reduced tariffs under the China-ASEAN Free Trade Agreement have boosted licorice extract exports to Southeast Asia. However, importers in North America have faced increased freight charges and compliance costs due to stringent customs procedures and product testing mandates.
Supply Chain Dynamics and Logistics:
Global Pharmaceutical Grade Licorice Extract production is sensitive to supply chain challenges. Climatic conditions, such as prolonged droughts in China’s Xinjiang and Gansu regions, have occasionally limited licorice root availability, thereby restricting extract production. Similarly, export delays due to port congestion, especially in the Middle East and China, have caused delivery lead times to stretch from weeks to months.
Forecast for 2025:
In 2025, the Pharmaceutical Grade Licorice Extract import-export market is expected to maintain positive momentum. With estimated global sales volume likely to surpass 28,000 MT, countries are ramping up both production and strategic stockpiling. New production units in India, Turkey, and Central Asia are likely to reduce the over-reliance on a few major producers, which may gradually balance the Pharmaceutical Grade Licorice Extract Price Trend.
Additionally, companies are investing in sustainable sourcing models, organic certifications, and advanced refining techniques to cater to pharmaceutical clients’ strict quality demands. Innovations in extraction methods using green solvents and enzymatic processing are expected to further streamline the production process and reduce cost variances.
Investment and Policy Developments:
Governments in high-consumption regions like the EU and the US are encouraging local production through subsidies and R&D grants. Several pharmaceutical companies are also entering into long-term procurement agreements with licorice extract manufacturers to ensure price stability and uninterrupted supply chains.
Overall, the Pharmaceutical Grade Licorice Extract import-export market in 2025 is poised for robust growth, with significant developments in both production technologies and trade policies. Stakeholders are keeping a close watch on Pharmaceutical Grade Licorice Extract price news, geopolitical developments, and climatic patterns to forecast future pricing and supply trends.
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Pharmaceutical Grade Licorice Extract Production Trends by Geography (2025)
Pharmaceutical Grade Licorice Extract production is globally concentrated in regions where licorice root grows naturally or can be cultivated at scale. In 2025, the production landscape continues to evolve due to changes in regulatory frameworks, technology adoption, and market demand. Key production hubs include China, Iran, India, Central Asia, and select European nations.
China
China remains the world’s largest producer of Pharmaceutical Grade Licorice Extract, contributing nearly 45% of global production. The majority of the licorice root used for extract manufacturing comes from provinces such as Gansu, Inner Mongolia, and Xinjiang. These areas have suitable soil and climatic conditions for cultivating Glycyrrhiza uralensis, the primary licorice species used.
China’s production facilities are technologically advanced, with many manufacturers investing in automated extraction systems and solvent recovery techniques to maintain high purity levels. Environmental regulations imposed in recent years have led to a reduction in wild harvesting and an increase in licorice root cultivation, especially through contract farming models. These steps aim to create a sustainable production base. Moreover, China’s domestic pharmaceutical demand is increasing, and a portion of its production is now used internally for traditional medicine and prescription drug manufacturing.
Iran
Iran is another significant producer and exporter of Pharmaceutical Grade Licorice Extract. The country benefits from abundant wild licorice root, especially in provinces such as Kermanshah and Lorestan. Traditionally, Iran’s licorice extract industry relied heavily on manual extraction methods. However, recent investments in semi-automated plants have enhanced output efficiency and purity.
Political sanctions have restricted Iran’s access to certain export markets, but strong demand from regional partners in Europe and Asia has allowed production levels to remain relatively stable. Iranian manufacturers are focusing on improving compliance with international quality standards to expand their presence in regulated pharmaceutical markets.
India
India is rapidly emerging as a competitive player in the Pharmaceutical Grade Licorice Extract production space. States like Rajasthan, Punjab, and Madhya Pradesh are seeing increased cultivation of Glycyrrhiza glabra, supported by government subsidies and agricultural research. Indian manufacturers benefit from cost-effective labor and growing domestic pharmaceutical demand.
India’s production capacity expanded in 2024 with the commissioning of several new extraction plants. These facilities are increasingly catering to international clients in Southeast Asia, the Middle East, and Africa. The country’s focus is shifting toward exports of high-purity, pharma-grade extracts compliant with international pharmacopoeias.
Central Asia (Uzbekistan, Kazakhstan, Turkmenistan)
Countries in Central Asia are stepping into the global licorice extract market with a focus on natural and wild licorice root. Uzbekistan and Kazakhstan have large untapped reserves of licorice and are promoting extraction-based industries through foreign investment and public-private partnerships.
Production in these countries remains limited in scale compared to China or Iran, but export potential is growing. Processing facilities are still in development stages, but partnerships with European firms are expected to help scale up operations in the coming years.
European Union (Spain, Italy, Germany)
Within the European Union, Spain and Italy have moderate licorice root production used primarily for internal pharmaceutical and nutraceutical applications. These countries also import semi-processed extract and refine it locally for higher-grade uses. European production is heavily regulated to ensure traceability and sustainability.
Germany, while not a major producer, plays a key role in refining and quality testing. Its pharmaceutical sector often imports crude extracts from Asia and processes them into finished pharmaceutical-grade compounds.
Turkey
Turkey has favorable climatic conditions for licorice cultivation and is expanding its extraction industry to meet both domestic and international demand. The Turkish government is supporting local producers through agricultural grants and trade agreements that facilitate export access to Europe and the Middle East.
Summary
In 2025, the global Pharmaceutical Grade Licorice Extract production trend shows diversification. While China and Iran continue to dominate, emerging production from India and Central Asia is reshaping the competitive landscape. Sustainability, technology adoption, and regulatory compliance remain the key focus areas across all geographies.
Pharmaceutical Grade Licorice Extract Market Segmentation
Key Market Segments:
- By Form
- Powder Extract
- Liquid Extract
- By Purity Grade
- Low Purity (below 60%)
- Medium Purity (60-80%)
- High Purity (above 80%)
- By Application
- Pharmaceuticals
- Nutraceuticals
- Cosmetics
- Food Additives
- By End-User
- Pharmaceutical Companies
- Herbal Medicine Manufacturers
- Contract Manufacturing Organizations (CMOs)
- By Distribution Channel
- Direct/Bulk Supply
- Distributors & Traders
- Online Retail Platforms
- By Region
- Asia-Pacific
- North America
- Europe
- Middle East & Africa
- Latin America
Explanation of Leading Segments (2025 Focus)
By Form: Powder Extract Dominance
Powder extract remains the most widely used form of Pharmaceutical Grade Licorice Extract due to its stability, ease of transportation, and longer shelf life. Powdered form is especially preferred in pharmaceutical formulations where exact dosage and controlled release are crucial. In 2025, over 65% of total sales volume comes from powder extract. It is heavily used in tablet and capsule formulations, contributing to its dominance in the pharmaceutical sector.
By Purity Grade: High Purity (above 80%) Leading the Market
High-purity extracts continue to be in high demand in regulated markets, particularly in North America and Europe. These regions have strict compliance requirements regarding impurities and active ingredient concentrations. As a result, manufacturers are investing in refining processes that deliver 80% and above purity levels. This segment holds over 50% of the market share in 2025 due to its use in prescription medications and clinical trials.
By Application: Pharmaceuticals Segment Driving Growth
Pharmaceuticals remain the core application segment, accounting for nearly 60% of the total Pharmaceutical Grade Licorice Extract sales volume. The extract is a common ingredient in cough syrups, ulcer medications, anti-inflammatory drugs, and hormone-regulating treatments. Ongoing research into glycyrrhizin’s potential antiviral properties is further boosting its role in pharmaceutical development. Regulatory approvals in emerging economies have also expanded the product’s use in generic formulations.
By End-User: Pharmaceutical Companies as Major Consumers
Pharmaceutical companies dominate demand due to their high-volume consumption for large-scale drug manufacturing. These companies prefer direct sourcing agreements with producers to ensure quality control and uninterrupted supply. Herbal medicine manufacturers are a secondary but growing segment, especially in Asia, where traditional medicines are integrated into modern healthcare systems.
By Distribution Channel: Direct/Bulk Supply Prevails
Bulk supply through direct contracts is the most preferred distribution method in the B2B Pharmaceutical Grade Licorice Extract market. Distributors and traders also play a key role, especially in regions like Africa and Latin America, where local firms rely on imports from Asia or Europe. Online platforms are emerging but are limited mostly to nutraceutical and cosmetic grade purchases in small quantities.
By Region: Asia-Pacific Leads, North America Grows Rapidly
Asia-Pacific holds the largest share in both production and consumption. Countries such as China, India, and Japan are major stakeholders. North America, particularly the United States, is showing fast-paced growth due to rising demand for plant-based therapeutics and increased R&D in botanical extracts. Europe maintains a steady share with strong emphasis on quality and sustainability. Emerging demand from the Middle East and Africa is gradually increasing, driven by growing investments in traditional medicine and pharmaceuticals.
Summary
The Pharmaceutical Grade Licorice Extract market is structured around high-purity demand, pharmaceutical applications, and bulk distribution. In 2025, the leading segments focus on powder form, high-purity extracts, and pharmaceutical uses. Market dynamics are driven by innovation, regulatory approvals, and consumer preference for natural ingredients in medicinal formulations.