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Tuesday, 13 March 2018

Essential Oil Market will Bag a Revenue Valuation of US$27.4 bn by 2022

Global Essential Oil Market: Snapshot

The global essential oil market is observing a significant expansion in its size, thanks to the increasing usage of essential oil in aromatherapy. The augmenting demand for flavored food and beverages products among consumers is also boosting this market substantially. With the rising development of innovative beauty and personal care products, fueled by the increasing preference for natural products, the usage of essential oil for the creation of new fragrances is surging, leading to an expected upswing in this market over the next few years.


The market’s opportunity is expected to touch US$17.36 bn by 2017. Further, the market is projected to expand at a CAGR of 9.60% between 2017 and 2022 and attain a value of US$27.49 bn by the end of 2022. The escalating industrialization and the augmenting disposable income of consumers are the also projected to drive the growth of this market in the near future, especially in emerging countries, such as India, China, Thailand, and Vietnam.

Demand for Citrus Oil to Remain High

The worldwide market for essential oil is broadly evaluated on the basis of the type of the product, sales channel, extraction method, and the application. Spice oil, herb oil, citrus oil, spice seed oil, and perfumery oil are the main types of essential oil available in the global market. The demand for citrus oil has been relatively higher than other products and the trend is anticipated to remain on an upward streak in the years to come.

Majorly, essential oils find application in the personal care and cosmetic, food and beverage, pharmaceuticals, aromatherapy, and the industrial sectors. The food and beverages and the personal care and cosmetic industries are reporting a greater demand for essential oil, owing to the increasing preference for flavored food products and beverages and fragrant cosmetics and beauty products among consumers. The aromatherapy and the pharmaceutical sectors are also expected to register a high demand for essential oil over the forthcoming years. Essential oils are primarily extracted through distillation, solvent, and cold pressing and are sold through specialty stores, drug stores, online stores, and modern trade.

Growth of Europe Essential Oil Market to Slow-down Due to Saturation

The global market for essential oil is also assessed on the basis of region. The Middle East and Africa (MEA), Asia Pacific excluding Japan (APEJ), Latin America, North America, Europe, and Japan have been considered as the prime regional markets for essential oil across the world. Hitherto, Europe has been leading the global market. However, the growth of this regional market is expected to slowdown in the near future due to saturation. The Europe market for essential oil is expected to rise at a CAGR of 8.80% during the period from 2017 to 2022.

The European market is closely followed by North America, which is expected to retain its second position in the overall market over the forecast period. The high per capita income is predicted to boost this North America market for essential oil in the near future.

The global market for essential oil is highly concentrated with the leading market players creating high entry barriers for new ventures. Young Living Essential Oils, DoTERRA International LLC, Givaudan SA, Enio Bonchev Production Ltd., The Lebermuth Co. Inc., Symrise AG, International Flavors & Fragrances Inc., Citrus and Allied Essences Ltd., Biolandes SA, and China Flavors and Fragrances Co. Ltd. are the key essential oil vendors across the world.


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