Lactic Acid Market Projected to Reach USD 7.51 Billion By 2034, Growing at a CAGR of 7.8%
The global Lactic Acid market size was valued at USD 3.56 billion in 2024 and is expected to grow from USD 3.82 billion in 2025 to USD 7.51 billion by 2034 , exhibiting a Compound Annual Growth Rate (CAGR) of 7.8% during the forecast period from 2025 to 2034 .
- Rising Demand Across End-use Industries: The lactic acid market is being driven by increasing adoption in food & beverage, pharmaceuticals, cosmetics, animal feed, and industrial applications such as biodegradable polymers and cleaning agents due to its antimicrobial, preservative, and pH-regulating properties.
- Growth in Biodegradable Plastic Production: Lactic acid is a key monomer for producing polylactic acid (PLA), a biodegradable alternative to conventional plastics. With rising environmental concerns and regulatory support for sustainable packaging, demand for PLA—and consequently lactic acid—is surging globally.
- Expansion of Food Preservation and Beverage Industry: Lactic acid is widely used in the food industry for fermentation, flavor enhancement, and microbial control in products like dairy, meat, beverages, and baked goods, supporting market expansion.
- Increasing Use in Cosmetics and Personal Care Products: The cosmetic sector is witnessing growing use of lactic acid in skincare formulations for exfoliation, moisturization, and anti-aging benefits, especially in premium and clean beauty markets.
- Technological Advancements in Fermentation Processes: Manufacturers are investing in advanced fermentation technologies and bio-based production methods to improve yield, reduce costs, and meet the growing demand for sustainable and organic lactic acid.
Market Size & Forecast
Market Size in 2024 – USD 3.56 billion
- Market Size in 2025 – USD 3.82 billion
- Projected Market Size by 2034 – USD 7.51 billion
- CAGR (2025–2034) – 7.8%
Lactic acid is an organic compound produced through the fermentation of carbohydrates such as glucose and sucrose. It is widely used across multiple industries due to its versatile functional properties, including acidity regulation, preservation, antimicrobial activity, and polymerization capabilities. In the food & beverage sector, it serves as a preservative and flavoring agent, while in the chemical industry, it is used to produce biodegradable plastics, textiles, and personal care products.
The market is experiencing strong growth driven by rising consumer preference for natural and clean-label ingredients, increased investment in green chemistry, and the expanding application base across food, pharmaceutical, and industrial sectors. Additionally, the shift toward eco-friendly materials and sustainable manufacturing practices is further boosting market potential.
Technological innovation continues to shape the future of the lactic acid industry. Companies are investing in R&D to develop high-efficiency fermentation processes, optimize raw material sourcing, and enhance product purity for high-value applications. Strategic partnerships between ingredient suppliers, bioplastic manufacturers, and end-use industries are also accelerating the development of new applications. As sustainability becomes a core focus across global supply chains, the lactic acid market is poised for robust growth over the next decade.
