Global Essential Oils Market Insights Forecasts to 2032
- The Global Essential Oils Market was valued at USD 21.29 billion in 2022
- The market is growing at a CAGR of 6.9% from 2022 to 2032
- The Worldwide Essential Oils Market size is expected to reach USD 41.79 billion by 2032
- Asia Pacific is expected to grow the fastest during the forecast period
Get more details on this report -
The Global Essential Oils Market is anticipated to reach USD 41.79 billion by 2032, at a CAGR of 6.9% during the forecast period from 2022 to 2032. The increase can be attributed to rising demand from major end-use industries such as food and beverage, personal care and cosmetics, and aromatherapy. Essential oils are made up of complex, volatile chemical compounds that have antifungal, antibacterial, anti-inflammatory, and antiviral properties. These oils, unlike most conventional medicines and drugs, have no significant side effects. Such factors are expected to be the primary drivers of market growth.
The global essential oils market is a rapidly growing industry that is expected to continue expanding in the coming years. Essential oils are highly concentrated plant extracts that are used for their therapeutic, aromatic, and flavoring properties. These oils are extracted from various parts of plants such as flowers, leaves, stems, roots, and fruits.
The global essential oils market is driven by factors such as the growing consumer demand for natural and organic products, increasing awareness about the health benefits of essential oils, and the rising popularity of aromatherapy. Additionally, the rising demand for essential oils in the food and beverage industry as natural flavoring agents is also driving the growth of the market. North America is the largest market for essential oils, followed by Europe and Asia Pacific. The United States is the largest consumer of essential oils in North America, while Germany and France are the major markets in Europe. In Asia Pacific, the market is driven by the growing demand for natural and organic products in countries such as China, India, and Japan. The global essential oils market is expected to continue growing in the coming years, driven by the increasing demand for natural and organic products, the growing popularity of aromatherapy, and the rising use of essential oils as natural flavoring agents in the food and beverage industry.
This research report categorizes the market for global essential oils market based on various segments and regions and forecasts revenue growth and analyses trends in each submarket. The report analyses the key growth drivers, opportunities, and challenges influencing the essential oils market. Recent market developments and competitive strategies such as expansion, product launch, and development, partnership, merger, and acquisition have been included to draw the competitive landscape in the market. The report strategically identifies and profiles the key market players and analyses their core competencies in each sub-segment of the essential oils market.
Global Essential Oils Market Report Coverage
|Market Size in 2022:||USD 21.29 billion|
|Forecast Period:||2022 - 2032|
|Forecast Period 2022 - 2032 CAGR:||6.9%|
|2032 Value Projection:||USD 41.79 billion|
|Historical Data for:||2018 - 2021|
|No. of Pages:||210|
|Tables, Charts & Figures:||122|
|Segments covered:||By Application, By Distribution, By Type, By Region|
|Companies Covered:||BMV Fragrances Pvt. Ltd., VedaOils, MOKSHA LIFESTYLE PRODUCTS, Ultra International, VidyaHerbs, ROBERTET GROUP, International Flavors & Fragrances Inc., Givaudan, Falcon, Norex Flavours Private Limited, Takasago International Corporation, Symrise, MANE, Flavex Naturextrakte GmbH, Firmenich SA, Synthite Industries Ltd.|
Get more details on this report -
Consumers are increasingly looking for natural and organic products that are free from synthetic chemicals and additives. Essential oils are seen as a natural alternative to conventional products, which has led to an increase in their demand. Essential oils are known for their therapeutic properties, which have been proven to provide several health benefits such as reducing stress, improving sleep, and boosting immunity. As more people become aware of these benefits, the demand for essential oils is expected to increase. Essential oils are used as natural flavoring agents in the food and beverage industry. The rising demand for natural and organic food products is driving the growth of this segment, which is in turn boosting the demand for essential oils. Essential oils are used in a variety of personal care and cosmetic products such as perfumes, lotions, and shampoos. The growing demand for natural and organic personal care products is driving the growth of this segment, which is contributing to the overall growth of the essential oils market.
The availability of raw materials used in the production of essential oils is often limited, as these materials are sourced from specific regions or plants. This can lead to supply shortages and price volatility, which can negatively impact the market. Essential oils can cause adverse reactions in some individuals, particularly when used in high concentrations or improperly. This can lead to negative publicity and regulatory scrutiny, which could limit the growth of the market.
Essential oils are not regulated in the same way as pharmaceuticals or food products, which could lead to quality control issues. The lack of standardization in terms of labeling, purity, and potency can create confusion among consumers and limit the growth of the market. While essential oils are becoming increasingly popular, they face competition from synthetic oils, which are often cheaper and more readily available. This competition could limit the growth of the market, particularly in price-sensitive regions.
The Global Essential Oils Market share is classified into application, distribution channel, and type.
- Food and beverages is expected to hold the largest share of the global essential oils market over the prediction period.
Based on the application, the global essential oils market is differentiated into medical, food and beverages, cleaning and home, spa and relaxation, and others. Among these, food and beverages is expected to hold the largest share of the global essential oils market over the prediction period. The reason for the growth is, essential oils are used as natural flavoring agents in the food and beverage industry. They are used in a variety of products such as baked goods, candies, and beverages. Essential oils such as lemon, orange, and cinnamon are commonly used in the food and beverage industry.
The spa and relaxation segment is expected to grow at the highest CAGR in the coming years due to the increasing popularity of aromatherapy and wellness practices. Essential oils are commonly used in the spa and relaxation industry for their calming and soothing properties. They are used in a variety of applications such as massage oils, bath salts, and diffusers. Essential oils such as lavender, peppermint, and chamomile are commonly used in the spa and relaxation industry.
- The retail distribution segment holds the largest market share in the global essential oils market.
Based on the distribution channel, the global essential oils market is classified into retail distribution, direct distribution, and mlm distribution. Among these, the retail distribution segment holds the largest market share in the global essential oils market. The growth can be attributed due to essential oils being sold through various retail channels such as supermarkets, health food stores, pharmacies, and specialty stores. This segment includes both brick-and-mortar stores as well as online retailers.
However, the direct distribution segment is expected to grow at the highest CAGR in the coming years due to the increasing popularity of e-commerce platforms and online marketplaces. Direct distribution involves selling essential oils directly to consumers through channels such as direct mail, phone sales, and e-commerce. This segment includes both company-owned e-commerce platforms as well as third-party online marketplaces.
- The orange oil segment is expected to hold the largest share of the global essential oils market over the study period.
Based on the type, the global essential oils market is classified into spearmint, orange, eucalyptus, peppermint, cornmint, citronella, lemon, lime, clove, and others. Among these, the orange segment is expected to hold the largest share of the global essential oils market over the study period. The orange oil segment is a key segment in the global essential oils market. Orange oil is derived from the peels of oranges through cold-pressing or steam distillation methods. The growth can be attributed due to, it has sweet, citrusy fragrance, which is widely used in the food and beverage industry as a flavoring agent. Orange oil is also used in the cosmetic industry for its fragrance and in the cleaning industry for its degreasing properties. The food and beverage industry is the largest consumer of orange oil, accounting for a significant share of the market demand. Orange oil is used to add flavor to a variety of food products, including desserts, beverages, and baked goods. The demand for orange oil is expected to grow in the coming years due to the increasing demand for natural and organic products. Orange oil is considered a safer and more environmentally friendly alternative to synthetic chemicals used in various industries.
Regional Segment Analysis of the Essential Oils Market
- North America (U.S., Canada, Mexico)
- Europe (Germany, France, U.K., Italy, Spain, Rest of Europe)
- Asia-Pacific (China, Japan, India, Rest of APAC)
- South America (Brazil and the Rest of South America)
- The Middle East and Africa (UAE, South Africa, Rest of MEA)
Europe is expected to hold the largest share of the market during the projected period.
Get more details on this report -
Europe is expected to hold the largest market for essential oils during the predicted period, driven by the increasing demand for natural and organic products in the region. France, Germany, and the United Kingdom are the largest consumers of essential oils in the region. Europe is a major market for essential oils, accounting for the largest share of the global demand. The region is home to some of the largest producers and consumers of essential oils, including France, Germany, and the United Kingdom. France is the largest producer and exporter of essential oils in Europe, with a long history of producing high-quality oils. The country is known for its lavender, rosemary, and peppermint oils, among others. The French essential oils market is driven by the high demand for natural and organic products, particularly in the cosmetics and personal care industries. Other countries in Europe, such as Italy, Spain, and Switzerland, are also significant markets for essential oils, driven by the increasing popularity of natural and organic products. The demand for essential oils in Europe is expected to grow in the coming years, driven by the increasing awareness of the benefits of natural and organic products. The region is also witnessing a growing trend towards sustainable and environmentally friendly products, which is expected to drive the demand for essential oils further.
The Asia Pacific region is expected to witness the highest growth rate in the essential oils market, driven by the increasing demand for natural and organic products in the region. China and India are expected to be the largest consumers of essential oils in the region. China is expected to be one of the largest consumers of essential oils in the region, driven by the increasing demand for natural and organic products in the country. The Chinese market is characterized by a large number of small and medium-sized enterprises (SMEs) producing and selling essential oils. The demand for essential oils in the Asia Pacific region is expected to grow in the coming years, driven by the increasing popularity of natural and organic products and the growing awareness of the health benefits of essential oils.
The report offers the appropriate analysis of the key organizations/companies involved within the global essential oils market along with a comparative evaluation primarily based on their product offering, business overviews, geographic presence, enterprise strategies, segment market share, and SWOT analysis. The report also provides an elaborative analysis focusing on the current news and developments of the companies, which includes product development, innovations, joint ventures, partnerships, mergers & acquisitions, strategic alliances, and others. This allows for the evaluation of the overall competition within the market.
List of Key Companies
- BMV Fragrances Pvt. Ltd.
- MOKSHA LIFESTYLE PRODUCTS
- Ultra International
- ROBERTET GROUP
- International Flavors & Fragrances Inc.
- Norex Flavours Private Limited
- Takasago International Corporation
- Flavex Naturextrakte GmbH
- Firmenich SA
- Synthite Industries Ltd.
Key Target Audience
- Market Players
- Government Authorities
- Consulting And Research Firm
- Venture capitalists
- Value-Added Resellers (VARs)
- In February 2022, Givaudan purchased Myrissi (France). Givaudan's long-term Fragrance & Beauty strategy would be enabled by the acquisition of Myrissi; their expertise in AI would assist Givaudan in proposing new organoleptic approaches to consumers.
- In September 2022, doTERRA has introduced new natural and sustainably sourced essential oils. Eucalyptus essential oil and guaiac wood essential oil are among the new essential oils.
- In September 2022, Robertette has launched a brand-new essential oil online sales platform. The platform offers a wide range of essential oils, vegetal oils, and floral waters, with absolute CO2 extracts and other products on the way in the near future.
This study forecasts revenue at global, regional, and country levels from 2020 to 2032. Spherical Insights has segmented the Global Essential Oils Market based on the below-mentioned segments:
Global Essential Oils Market, By Application
- Food and Beverages
- Cleaning and Home
- Spa and Relaxation
Global Essential Oils Market, By Distribution Channel
- Retail Distribution
- Direct Distribution
- Mlm Distribution
Global Essential Oils Market, By Type
Global Essential Oils Market, By Region
- North America
- Rest of Europe
- Asia Pacific
- South Korea
- Rest of Asia Pacific
- South America
- Rest of South America
- Middle East & Africa
- Saudi Arabia
- South Africa
- Rest of Middle East & Africa
Need help to buy this report?