Global Essential Oils Market is Expected to Reach USD 16.2 Billion by 2025 : Fior Markets

Global Essential Oils Market by Product (Orange, Eucalyptus, Corn Mint, Peppermint, Citronella, Lemon, Lime, Others), Channels of Distribution, Application, Region Global Industry Analysis, Market Size, Share, Growth, Trends, and Forecast 2018 to 2025

Newark, NJ, Jan. 29, 2020 (GLOBE NEWSWIRE) -- As per the report published by Fior Markets, the global essential oils market is expected to grow from USD 7.9 Billion in 2017 to USD 16.2 Billion by 2025 at a CAGR of 9.4% during the forecast period 2018-2025.

Consumer inclination towards natural products for personal care & medical treatments, mounting demand of flavors and fragrances from key end-use industries, adoption of natural & herbal treatment along with growing economic standards and increasing reliability over natural & organic ingredients in cosmetic formulations are the factors driving the essential oils market.

Essential oils are also known as volatile oils which are extracted from leaves, stems, flowers, bark, roots, or other parts of a plant. Essential oil is derived from various herbs and plants, such as orange, eucalyptus, corn mint, peppermint, lemon, and spearmint by using distillation methods such as steam and water distillation. An essential oil contains volatile aroma compounds and the real essence of the plant from which it has been sourced out. These oils are chiefly used in cosmetics & toiletries, food items, and beverages. It is a kind of natural product obtained from a single plant species. For instance, Young Living Essential Oils expanded its essential oil portfolio with the launch of several products namely Northern Lights Black Spruce, Cool Azul, Light the Fire, and NEW Jade Lemon which provides a blend of oils so as to meet out varying consumer needs.

Increasing demand for flavors and fragrances from key end-use industries had led to an upward shift in demand for essential oils. Also, the adoption of natural & herbal treatment along with growing economic standards has increased essential oils demand. But various health problems caused by essential oils may hamper the growth of the market. However, the rising trend for clean labeling is motivating end-use industries to make use of natural ingredients in their products to meet varied customer needs which would drive the industry growth in the coming years.


Key players operating in the global essential oils market include DoTerra, Young Living Essential Oil, Essential Oils of New Zealand, The Lebermuth Company, NOW Foods, India Essential Oils, Flavex Naturextrakte GmbH, Ungerer and Company, Inc., and West India Spices Inc., Biolandes, Sydney Essential Oils Co. Pty Ltd, Farotti SRL, Essential Oils of New Zealand, H.Reynaude & Fils, Moksha Lifestyle Products.

  • Extensive product portfolio and expansion strategies by major players are contributing for the growth of the sector. For instance, Young Living Essential Oils, a key player in the essential oils market acquired Life Matters, a wellness company in direct selling industry in a non-cash deal. This acquisition will help the company in the strengthening and expanding its business.
  • For instance, in October 2019 doTERRA had launched 14 new products to support wellness, this new products combines of pure essential oils, sustainable sourcing, and evidence-based research, so that the customer gets the best solution nature has to offer, this definitely would expand the business.

The orange oil is dominating the market with the highest share of 22.50% in 2017

The product segment is classified into orange, eucalyptus, corn mint, peppermint, citronella, lemon, lime, cloverleaf, spearmint, and others. The orange oil is dominating the market in 2017. Various industries are employing orange essential oils to enhance product value and sensory appeal. This oil helps to firm up the skin, uphold elasticity, and tone up the skin as well as treat acne, dermatitis and stretch marks. They also help in improving the quality of hair, nails, and skin, boosting their appeal among women and female teenage consumers.

The other sales channel valued around USD 4.98 Billion in 2017

Channels of distribution segment is divided into segments such as direct selling and other sales channels. The other sales channel is likely to dominate the market in 2017. Growing awareness regarding essential oils among public has caused increased adoption of a wide range of retail channels such as accessory shops, home centers, convenience stores, and discount stores. Also, many importers and wholesalers have launched websites for online sales, in addition to existing over-the-counter sales.

The food and beverage is dominating the market with the highest share of 37.20% in 2017

Application segment is bifurcated into food & beverages, medical, cleaning & home, spa & relaxation and others. The food and beverage segment is dominating the market in 2017. Essential oils have a high significance in the food industry because of their antioxidant, antifungal and antibacterial properties exhibited by them.

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Regional Segment Analysis of the Essential Oils Market

  • North America (U.S. , Canada, Mexico)
  • Europe (Germany, France, U.K., Italy, Spain, Rest of the Europe)
  • Asia-Pacific (China, Japan India, Rest of APAC)
  • South America (Brazil and Rest of South America)
  • Middle East and Africa (UAE, South Africa, Rest of MEA)

The regions analyzed for the market include North America, Europe, South America, Asia Pacific, and Middle East and Africa. Asia Pacific region dominated the global essential oils market in 2017 and valued around USD 3.19 Billion whereas the Europe region is growing rapidly in the market. Asia Pacific region is dominating the market because of the huge population along with various untapped markets which are projected to attract the attention of key players to expand and establish their operational and distribution facilities in this region. The European region is a rapidly growing region because of the presence of organizations such as the European Federation of Essential Oils (EFEO) which has propelled the growth of the market in Europe. Also, easy feedstock availability and the presence of various industry players are the major factors supporting the growth of the market in Europe.

About the report:

The global essential oils market is analysed on the basis of value (USD Billion), volume (K Tons), consumption (K Tons), imports (K Tons) and exports (K Tons). All the segments have been analyzed on global, regional and country basis. The study includes the analysis of more than 30 countries for each segment. The report offers in-depth analysis of driving factors, opportunities, restraints, and challenges for gaining the key insight of the market. The study includes porter’s five forces model, attractiveness analysis, raw material analysis, supply, demand analysis, competitor position grid analysis, distribution and marketing channels analysis.

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