Essential Oils Market Research Report - Global Forecast till 2030

Essential Oils Market Research Report: Information by Type (Orange Oil, Lemon Oil, Peppermint Oil, Corn Mint Oil, Citronella Oil, Spearmint Oil, Clove leaf Oil, Eucalyptus Oil and others), Application (Food & Beverages, Personal Care, Aromatherapy, Air Care and others) and Region (North America, Europe, Asia-Pacific and the Rest of the World) - Forecast till 2030

ID: MRFR/F-B & N/1492-HCR | February 2023 | Region: Global | 90 Pages         

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Essential Oils Market

The Essential Oils Market is expected to grow at a significant rate of 9.5% from 2022 to 2030 to reach a market value of USD 15.6 Billion by the end of 2030.

Segmentation
By Type Orange Oil Lemon Oil Peppermint Oil Corn Mint Oil Citronella Oil Spearmint Oil Clove leaf Oil Eucalyptus Oil
By Application Food & Beverages Personal Care Aromatherapy Air Care others
By Region North America Europe Asia-Pacific Rest of the World
Key Players
Companies Profiled    G Baldwin & Co doTerra    Rocky Mountains Oil    Young Living Essential Oils    Mountain Rose Herbs    Ryohin Keikaku Co. Ltd.
Drivers
Market Driving Forces   Demand in different areas of application like cosmetics    Demand for use in soaps medicinal therapy and general use    Demand for aromatic products and air care products
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Essential Oils Market Overview


The essential oils market is expected to gain a market value of USD 15.6 billion by 2030 at a CAGR of 9.5% from 2022-2030.


Essential oils are extracts of plant parts such as leaves, herbs, and bark. These are volatile, aromatic plant essences with flavoring properties that make them extremely useful in cosmetics, food and beverage, home care and cleaning, aromatherapy, and fragrance applications.


Essential oils have been gaining popularity recently due to the rising demand for commercial purposes. There is a lot of demand for essential oils in the healthcare and pharmaceutical sectors. Many people are turning to alternative treatments for major illnesses such as depression, anxiety, and stress. Essential oil is a treatment that also has aesthetic benefits. Essential oils help to enhance the mind, body, and emotional health. Furthermore, the global essential oil market has been growing due to major players' ongoing research and development efforts. The increase in demand is due to the introduction of new products and continuous investment in innovation. The government is also assisting manufacturers in making cleaner, more eco-friendly products. This is having a significant impact on the demand for essential oils in the market. However, there are certain restrictions in place by the government which limit their popularity and growth. The lack of knowledge of the positive effects of essential oils can hamper market growth to some extent. According to a recent survey, more than 60% of the global essential oils market is held by Europe and North America.


COVID-19 Analysis


The COVID-19 pandemic impacted many industries, including essential oil and aromatherapy. As a result, many countries went into recession. The production and supply of the market were halted at the beginning of the lockdown, which caused a severe impact on the supply chain. The restrictions on transport also made things harder. According to an industry forecast by Mintel, the market for essential oils is predicted to stay strong in the next half of 2022 with slow but steady growth. Manufacturers are making tweaks to their products to improve quality and safety as well as improve their customer base.


Market Dynamics 


The key drivers of the market  


There are many key drivers of growth in the essential oils industry. The key drivers of the market support essential oils market growth in a certain period. The essential oil market demand in different areas of application like cosmetics is a key driver of the market. Moreover, another key driver of the essential oils market is the essential oil market demand for use in soaps, medicinal therapy, and general use. The public demand for aromatic products and air care products also drives growth in themarket. The popularity of aromatherapy in solving different issues for the general public is also a key driver of the market. The essential oil market demand for therapeutic oils in the case of COVID 19 prevention is also a key driver of the essential oils market. 


The significant opportunities of the market


In the subsequent waves of the COVID 19 pandemic, people are trying to find at-home prevention for the virus. The increased dependence on essential oils is an opportunity for the essential oil producers for the forecast period. The essential oil producers can exploit untapped markets based on the demand for therapeutic essential oils. The best essential oils on the market for COVID 19 prevention are peppermint oil, eucalyptus oil, and neem oil. Present industrialization of developing countries like India is also an opportunity to decrease the gaps in the essential oil supply chain. 


Market Restraints


According to the essential oil industry statistics, the global essentials oil market has some restraints at the present time. The restraints on logistics and mobility still exist. If the source of ingredients is far from the production venue as it happens with most exotic essential oils, there are restraints on the market expansion. The major producers need to address these restraints before ramping up the production. These restraints also affect the final price of the products on the essential oils industry. 


Market growth challenges


Similar to market restraints, growth challenges also exist in the essential oils market. Any industry needs new products and upgrades to survive. The market also needs to step out of the box and discover new blends for sale. The convenient sourcing and simplification of the extraction process are also a challenge. If these challenges are resolved, the essential oils market size will increase beyond the predicted size. 


Cumulative growth analysis 


Overall, the essential oils market looks towards growth in the forecast period. According to this market report, the essential oils market has a growth rate of 8.79% till 2030. The growth rate is a healthy one and points towards steady growth of the market. The market report also states that the market size will grow and reach a valuation of USD 22.50 Billion by the end of 2030. The essential oils market will expand over the forecast period. 


Segment Overview 


The fresh market divides into different segments depending on different criteria. For example, the major criterion of market segmentation is product type.


By Type


The type segment bases upon the source of the essential oil. The best essential oils on the market are orange oil, lemon oil, tea tree oil, and citronella oil. 


By Application


The global market also segments into different categories based on the application field. For example, the categories include food and beverages, aromatherapy, and personal care. There is a whole foods market essential oils segment that has oils used in foods.


Regional Overview 


By regions, the market disperses over major regional markets of North America, Europe, and the Asia Pacific. According to the essential oil industry statistics, the majority of the market size belongs to the European region. Moreover, the essential oil industry statistics also point that the North American region is the second biggest regional market for essential oils. In the essential oils segment, the essential oils market in India is growing. Market experts say that growing consciousness of self-care and therapy is a reason behind this phenomenon. 


Competitive landscape 


There are many key players in the essential oils industry that dominate the competitive landscape for the market. 


The key players of the fresh market essential oils segment are as follows. 



  • G Baldwin & Co¬†

  • doTerra¬†

  • Rocky Mountains Oil¬†

  • Young Living Essential Oils¬†

  • Mountain Rose Herbs¬†

  • Ryohin Keikaku Co., Ltd.¬†


The analysis of the competitive landscape reveals that the key players are dispersed over different regional markets. The key players belong to the USA, UK, and Japan. Some emerging key players also belong to India. It is, therefore, unsurprising that the essential oils market in India is growing. The key players need to experiment and isolate newer essential oils to meet the demand of the consumers. 


Recent Developments 



  • In September 2022, Blossom Kochhar Aroma Magic launched Neem & Tea Tree Range which is rich in minerals, antioxidants, vitamin C, and strong antimicrobial compounds and properties.

  • In July 2022, Plant Therapy Inc. launched three new products of essential oils. The addition of the new products is pointed at increasing its business portfolio and brand awareness.

  • In December 2021, Mountain Rose Herbs announced the opening of the new mountain rose aroma bar.


Report Overview 


The global market outlook or overview is as follows:



  • Market Overview

  • COVID 19 Analysis

  • Market Dynamics

  • Segment Overview

  • Regional Analysis

  • Competitive Landscape

  • Recent Developments


The above report on the global essential oils market explains the major growth trends of the market. Secondly, the report keeps the present situation of the essential oils market while predicting for the forecast period. Thirdly, it throws light on the market dynamics of the segment in the discussion. Moreover, this report also covers the basic segmentation of the market and its regional analysis. The report emphasizes the competitive landscape of the market and its recent developments. The above report is a comprehensive report that considers different associated factors before arriving at a conclusion about the market scenario. 



Report Scope:

Report Attribute/Metric Details
  Market Size   USD 15.6 Billion
  CAGR   9.5% (2022-2030)
  Base Year   2021
  Forecast Period   2022-2030
  Historical Data   2020
  Forecast Units   Value (USD Billion)
  Report Coverage   Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
  Segments Covered   By Type, Application, and Region
  Geographies Covered   North America, Europe, Asia-Pacific, and Rest of the World (RoW)
  Key Vendors   G Baldwin & Co, doTerra , Rocky Mountains Oil , Young Living Essential Oils, Mountain Rose Herbs, Ryohin Keikaku Co., Ltd.
  Key Market Opportunities   Present industrialization of developing countries
  Key Market Drivers   Demand in different areas of application like cosmetics, Demand for use in soaps medicinal therapy and general use, Demand for aromatic products and air care products


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Frequently Asked Questions (FAQ) :

Essential Oils Market is expected to touch a value of USD 15.6 Billion by 2030.

The overall growth percentage for the essential oils market in the forecast period is 9.5%.

Leading players in the global essential oils market include G Baldwin & Co, doTerra, Rocky Mountains Oil, Young Living Essential Oils, Mountain Rose Herbs, Ryohin Keikaku Co. Ltd.

The regional market of Europe will generate the highest revenue by the end of 2030.

The orange essential oil and peppermint oil will emerge as major product types in the forecast period.