NAICS 311930 Quarterly Industry Report
Flavoring Syrup and Concentrate Manufacturing
Comprehensive industry research for valuation professionals, business owners, buyers, and lenders
NAICS Code: 311930Sector: 31Updated: Q1 2026
About This Report
This Fair Market Value industry report for NAICS 311930 provides valuation-focused intelligence for professionals assessing flavoring syrup and concentrate manufacturing businesses. Data is sourced from FDA[6] food and beverage regulations, U.S. Additional data is drawn from [Bureau of Labor Statistics[7].. Census Bureau](https://www.census.gov/) manufacturing statistics, and SBA size standards[8] to support business appraisals, acquisition due diligence, lending decisions, and investment analysis for beverage concentrate enterprises.
Industry Snapshot
Key metrics for the flavoring syrup and concentrate manufacturing industry.
Industry Definition & Overview
Flavoring Syrup and Concentrate Manufacturing (NAICS 311930) encompasses establishments primarily engaged in manufacturing flavoring syrup drink concentrates and related products for soda fountain use or for the manufacture of soft drinks. These manufacturers produce concentrated formulations of sweeteners, flavoring compounds, colorings, and acidulants that bottlers and fountain operators dilute with carbonated or still water to produce finished beverages. The U.S. Census Bureau[5] classifies flavoring syrup and concentrate manufacturing separately from soft drink bottling (NAICS 312111) and coffee and tea manufacturing (NAICS 311920).
The industry is dominated by major global beverage companies that manufacture proprietary concentrate formulas and distribute them to independent and company-owned bottling operations worldwide. Industry FDA[6] regulates flavoring concentrate ingredient standards, labeling requirements, and food safety standards, while the concentrate business model separates the high-margin formulation and brand management function from capital-intensive bottling and distribution operations. Fountain syrup systems supply restaurants, convenience stores, movie theaters, and other foodservice venues with beverage dispensing solutions.
Business valuations for flavoring syrup manufacturers focus on proprietary formula intellectual property, brand licensing and franchise bottler agreements, concentrate pricing power relative to bottler economics, and fountain syrup distribution relationships with major foodservice chains. Appraisers evaluate concentrate volume sold to bottling networks, formula secrecy and competitive protection, ingredient sourcing costs (sweeteners, flavorings, acidulants), packaging and shipping logistics, and the strategic positioning of concentrate operations within the broader beverage industry value chain.
What's Included in This Industry
- Sector-specific valuation multiples and financial benchmarks for flavoring syrup and concentrate manufacturing operations
- Revenue and profitability analysis across carbonated soft drink concentrates, fountain syrups, noncarbonated beverage bases, and specialty flavoring segments
- SBA size standard classification and lending threshold data for NAICS 311930
- Comparable transaction data from recent concentrate company acquisitions, syrup brand sales, and beverage formula licensing transactions
- Market analysis covering soft drink consumption trends, fountain beverage demand, noncarbonated concentrate growth, and beverage category diversification
- Workforce and labor cost benchmarking for formula chemists, blending operators, quality control technicians, and supply chain logistics personnel
- Industry risk assessment including sweetener cost volatility, sugar tax legislation, consumer health trend shifts away from sugared sodas, and competitive pressure
- Regulatory compliance overview covering FDA ingredient standards, labeling rules, sugar and sweetener regulations, and FSMA preventive controls
- Capital expenditure profiles for blending tanks, mixing systems, quality testing laboratories, concentrate packaging lines, and bulk shipping infrastructure
- Production metrics including gallons of concentrate per batch, dilution ratios, quality consistency measures, bottler shipment volumes, and cost per gallon benchmarks
NAICS Classification Hierarchy
| Level | Description | Code |
|---|---|---|
| Subsector | Food Manufacturing | 311 |
| Industry Group | Other Food Manufacturing | 3119 |
| NAICS Industry | Flavoring Syrup and Concentrate Manufacturing | 31193 |
| National Industry | Flavoring Syrup and Concentrate Manufacturing | 311930 |
Related NAICS Codes
| Code | Description | Relationship |
|---|---|---|
| 312111 | Soft Drink Manufacturing | Soft drink manufacturing and bottling operations purchasing flavoring concentrates and syrups for dilution into finished carbonated and noncarbonated beverage products |
| 311920 | Coffee and Tea Manufacturing | Coffee and tea manufacturers producing coffee syrups and tea concentrates that compete with traditional flavoring syrups in specialty beverage applications |
| 311942 | Spice and Extract Manufacturing | Spice and extract manufacturing operations producing flavoring extracts and natural flavorings used as ingredient inputs in concentrate formulation recipes |
| 424490 | Other Grocery and Related Products Merchant Wholesalers | Other grocery product wholesalers distributing flavoring syrups and concentrates to fountain operators, convenience stores, and beverage service accounts |
| 722511 | Full-Service Restaurants | Full-service restaurants and foodservice establishments operating fountain beverage dispensing systems supplied by flavoring syrup concentrate manufacturers |
| 445110 | Supermarkets and Other Grocery Retailers (except Convenience Retailers) | Supermarkets and grocery retailers selling bottled flavoring syrups and drink concentrates to consumers for home beverage preparation and mixing |
Geographic Concentration
Top states by share of national establishments.
| # | State | % Est. | Total Est. |
|---|---|---|---|
| 1 | California | 30.0% | 42 |
| 2 | New Jersey | 10.7% | 15 |
| 3 | New York | 7.9% | 11 |
| 4 | Texas | 7.9% | 11 |
| 5 | Florida | 7.1% | 10 |
| 6 | Pennsylvania | 5.0% | 7 |
| 7 | Oregon | 4.3% | 6 |
| 8 | Illinois | 4.3% | 6 |
| 9 | Ohio | 4.3% | 6 |
| 10 | Washington | 2.9% | 4 |
% Of Establishments
0%
30%
Source: County Business Patterns, U.S. Census Bureau[3]
SBA Lending Summary
64
Total SBA Loans
$8.7M
Total Loan Volume
$136K
Average Loan Size
10 yrs
Average Loan Term
11.81%
Average Interest Rate
144
Jobs Supported
Source: SBA 7(a) Program Data, U.S. Small Business Administration — FY 2025[4]
Key Insight: The SBA[9] classifies Flavoring Syrup and Concentrate Manufacturing (NAICS 311930) with a size standard of 1,250 employees. Concentrate manufacturers within this threshold qualify for SBA-backed lending[10] and government contracting preferences, though the industry is dominated by major global beverage companies with extensive bottler franchise networks. Eligible businesses can access SBA 7(a) loans[11] for working capital, equipment, and acquisition financing, while 504 loans[12] support major fixed-asset purchases including real estate and heavy machinery.
Top SBA Lenders
| # | Lender | Loans | Volume | Avg Loan |
|---|---|---|---|---|
| 1 | Northeast Bank | 16 | $4.0M | $250K |
| 2 | The Bank of Missouri | 8 | $2.8M | $350K |
| 3 | Celtic Bank Corporation | 8 | $1.1M | $135K |
| 4 | Columbia Bank | 8 | $400K | $50K |
| 5 | BankNewport | 16 | $240K | $15K |
Frequently Asked Questions
Common questions about this industry.
What is the NAICS code for beverage concentrate manufacturing?
Flavoring Syrup and Concentrate Manufacturing is classified under NAICS code 311930, covering beverage syrups and fountain concentrates per the U.S. Census Bureau[5] classification system.
What is the SBA size standard for concentrate manufacturing?
The SBA[9] sets the size standard for NAICS 311930 at 1,250 employees, qualifying eligible concentrate producers for small business lending programs and government contracting preferences.
How are concentrate manufacturing businesses valued?
Valuations focus on proprietary formula intellectual property, bottler franchise agreements, concentrate pricing power, and fountain distribution relationships per U.S. Census Bureau[13] data.
What products does NAICS 311930 cover?
Products include carbonated soft drink concentrates, fountain syrups, noncarbonated beverage bases, and flavoring drink concentrates per U.S. Census Bureau[5] product classifications.
How does the concentrate business model work?
Concentrate companies manufacture proprietary formulas and sell them to independent bottlers and fountain operators who add water and carbonation, separating high-margin formulation from bottling.
What risks affect concentrate manufacturers?
Major risks include declining carbonated soft drink consumption, sugar tax legislation, sweetener cost volatility, consumer health trend shifts, and competitive pressure from bottled water and alternatives.
What regulations apply to beverage concentrates?
The FDA[6] regulates flavoring concentrate ingredients, labeling requirements, sweetener usage standards, and food safety compliance for manufacturing and distribution operations.
How important are fountain syrups to the industry?
Fountain syrup systems generate high-margin recurring revenue through restaurant, convenience store, theater, and foodservice dispensing accounts that consume concentrate on an ongoing basis.
Sources & References
Government datasets and editorial sources used in this report.
- [1]U.S. Bureau of Labor Statistics, Quarterly Census of Employment and Wages bls.gov
- [2]U.S. Census Bureau, Economic Census census.gov
- [3]U.S. Census Bureau, County Business Patterns census.gov
- [4]U.S. Small Business Administration, SBA 7(a) Loan Program Data data.sba.gov
- [5]U.S. Census Bureau census.gov
- [6]FDA fda.gov
- [7]U.S. Additional data is drawn from [Bureau of Labor Statistics bls.gov
- [8]SBA size standards sba.gov
- [9]SBA sba.gov
- [10]SBA-backed lending sba.gov
- [11]SBA 7(a) loans sba.gov
- [12]504 loans sba.gov
- [13]U.S. Census Bureau census.gov
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