Global Essential Oils Market 2024

Essential Oils Market Size

The global essential oils market dropped to $X in 2022, which is down by -5.9% against the previous year. The market value increased at an average annual rate of +3.1% from 2012 to 2022; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. As a result, consumption attained the peak level of $X. From 2016 to 2022, the growth of the global market remained at a somewhat lower figure.

Essential Oils Production

In value terms, essential oils production rose slightly to $X in 2022 estimated in export price. Overall, the total production indicated moderate growth from 2012 to 2022: its value increased at an average annual rate of +3.4% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, production increased by +3.6% against 2020 indices. The growth pace was the most rapid in 2015 with an increase of 29%. As a result, production reached the peak level of $X. From 2016 to 2022, global production growth failed to regain momentum.

Essential Oils Exports

Exports

Global essential oils exports shrank modestly to X tons in 2022, dropping by -2.1% against 2021. The total export volume increased at an average annual rate of +2.7% over the period from 2012 to 2022; the trend pattern remained relatively stable, with only minor fluctuations being observed in certain years. The pace of growth was the most pronounced in 2013 with an increase of 18% against the previous year. The global exports peaked at X tons in 2018; however, from 2019 to 2022, the exports stood at a somewhat lower figure.

In value terms, essential oils exports contracted to $X in 2022. Over the period under review, total exports indicated a measured increase from 2012 to 2022: its value increased at an average annual rate of +4.6% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, exports decreased by +0.6% against 2020 indices. The pace of growth appeared the most rapid in 2017 with an increase of 17% against the previous year. The global exports peaked at $X in 2018; however, from 2019 to 2022, the exports stood at a somewhat lower figure.

Exports by Country

The shipments of the four major exporters of essential oils, namely Brazil, the United States, India and China, represented more than half of total export. It was distantly followed by Mexico (X tons), committing a 4.5% share of total exports. The following exporters - Indonesia (X tons), Argentina (X tons), Germany (X tons), Italy (X tons), France (X tons), Spain (X tons), Madagascar (X tons) and the UK (X tons) - together made up 27% of total exports.

From 2012 to 2022, the biggest increases were recorded for Madagascar (with a CAGR of +18.1%), while shipments for the other global leaders experienced more modest paces of growth.

In value terms, the largest essential oils supplying countries worldwide were the United States ($X), France ($X) and India ($X), together comprising 30% of global exports. Brazil, China, Indonesia, Germany, Argentina, Italy, the UK, Mexico, Spain and Madagascar lagged somewhat behind, together accounting for a further 45%.

Among the main exporting countries, Madagascar, with a CAGR of +16.6%, recorded the highest growth rate of the value of exports, over the period under review, while shipments for the other global leaders experienced more modest paces of growth.

Export Prices by Country

The average essential oils export price stood at $X per ton in 2022, which is down by -3.2% against the previous year. Over the period from 2012 to 2022, it increased at an average annual rate of +1.8%. The most prominent rate of growth was recorded in 2017 when the average export price increased by 13%. The global export price peaked at $X per ton in 2019; however, from 2020 to 2022, the export prices stood at a somewhat lower figure.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was France ($X per ton), while Brazil ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Brazil (+7.8%), while the other global leaders experienced more modest paces of growth.

Essential Oils Imports

Imports

In 2022, overseas purchases of essential oils decreased by -9.3% to X tons for the first time since 2017, thus ending a four-year rising trend. The total import volume increased at an average annual rate of +2.2% over the period from 2012 to 2022; the trend pattern remained relatively stable, with only minor fluctuations being observed throughout the analyzed period. The most prominent rate of growth was recorded in 2013 with an increase of 12%. Over the period under review, global imports reached the peak figure at X tons in 2021, and then declined in the following year.

In value terms, essential oils imports reduced to $X in 2022. Overall, total imports indicated a tangible increase from 2012 to 2022: its value increased at an average annual rate of +3.9% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, imports decreased by +0.2% against 2020 indices. The most prominent rate of growth was recorded in 2017 with an increase of 15% against the previous year. Over the period under review, global imports reached the peak figure at $X in 2018; however, from 2019 to 2022, imports stood at a somewhat lower figure.

Imports by Country

In 2022, the United States (X tons), distantly followed by Germany (X tons), the UK (X tons) and France (X tons) were the main importers of essential oils, together generating 49% of total imports. The following importers - China (X tons), Indonesia (X tons), India (X tons), Ireland (X tons), the Netherlands (X tons), Singapore (X tons), Spain (X tons), Italy (X tons) and Canada (X tons) - together made up 29% of total imports.

Imports into the United States increased at an average annual rate of +4.2% from 2012 to 2022. At the same time, the Netherlands (+11.8%), Italy (+9.7%), France (+3.4%), Singapore (+3.3%), Indonesia (+3.3%), Canada (+3.2%), India (+3.1%), Germany (+2.1%) and Spain (+1.4%) displayed positive paces of growth. Moreover, the Netherlands emerged as the fastest-growing importer imported in the world, with a CAGR of +11.8% from 2012-2022. Ireland, China and the UK experienced a relatively flat trend pattern. While the share of the United States (+4.7 p.p.) and the Netherlands (+1.9 p.p.) increased significantly in terms of the global imports from 2012-2022, the share of the UK (-1.8 p.p.) displayed negative dynamics. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the United States ($X) constitutes the largest market for imported essential oils worldwide, comprising 24% of global imports. The second position in the ranking was taken by France ($X), with a 9.5% share of global imports. It was followed by Germany, with an 8.6% share.

In the United States, essential oils imports increased at an average annual rate of +6.1% over the period from 2012-2022. In the other countries, the average annual rates were as follows: France (+5.0% per year) and Germany (+4.5% per year).

Import Prices by Country

The average essential oils import price stood at $X per ton in 2022, leveling off at the previous year. Over the last decade, it increased at an average annual rate of +1.7%. The pace of growth appeared the most rapid in 2017 when the average import price increased by 16% against the previous year. Over the period under review, average import prices attained the maximum at $X per ton in 2018; however, from 2019 to 2022, import prices stood at a somewhat lower figure.

Prices varied noticeably by country of destination: amid the top importers, the country with the highest price was France ($X per ton), while Indonesia ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Ireland (+5.7%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Platform

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