Peppermint Essential Oil Market - Forecasts from 2022 to 2027

The global Peppermint essential oil market was valued at US$179.62 million in 2020 and is expected to grow at a CAGR of 9.91% over the forecast period to reach US$347.956 million in 2027.

Peppermint oil is a type of essential oil extracted from the flowers and stems of the peppermint plant. The oil is obtained through the steam distillation process and is considered important across the pharmaceutical industry owing to its therapeutic property. Peppermint essential oil is increasingly being used to treat health issues like cold, indigestion, cough, muscle pains, and sinus, among others. It is also used in many dental care products because of its cooling effect and antibacterial properties.

The growing popularity of aromatherapy treatment has a significant impact on the demand for peppermint essential oil, pushing forward the market growth during the forecast period. The booming global travel and tourism industry has significantly contributed to the augmenting demand for peppermint essential oil across the hospitality sector. People, when on vacation, are increasingly inclined towards getting spa treatments to relax. As such, the demand for peppermint essential oil is growing at a tremendous rate, thus positively impacting the overall market growth.

The rising awareness among people regarding peppermint oil’s health benefits is further expected to bolster the market’s growth. People are purchasing peppermint essential oil to use in their daily homemade food. Rising purchasing power and living standards further support the growth of the global peppermint essential oil market. Another factor that makes the global peppermint essential oil market more lucrative during the forecast period is the increasing vegan population worldwide. The increasing inclination of people across many countries towards a purely plant-based diet increases the number of vegans in many countries. Australia has a fairly large number of individuals showing a high degree of interest in veganism. The United States and the United Kingdom are also witnessing a decent increase in the number of vegans.

The global peppermint essential oil market has been segmented based on product type, application, distribution channel, and geography. Based on the product type, the market has been segmented as natural and synthetic. Based on application, the Market Segmentation: has been done as cosmetics & toiletries, pharmaceuticals, food & beverage, and others. The global Peppermint essential oil market has also been classified by distribution channels as online and offline.

Demand for natural peppermint essential is increasing at a significant rate during the forecast period

Increasing demand for natural flavor across the food and beverage sector significantly drives the demand for natural peppermint essentials. As people are getting aware of the harmful impacts of synthetic flavors and additives used in various food and beverage items, they are opting for products that have natural ingredients. As such, manufacturers across the global food and beverage sector are also facilitating the incorporation of natural peppermint essential oil to enhance the taste, flavor, and aroma of food and beverage products while satisfying customers' need for natural ingredients. Strict regulations regarding food additives and preservatives across different regions further encourage the use of natural essential oils across the food & beverage sector, thereby driving the market growth.

An increasing number of people buying peppermint essential oil via online retail stores

The online distribution channel segment is poised to witness a substantial compound annual growth rate between 2019 and 2025. The rapidly growing e-commerce industry across different regions is providing customers to shop peppermint essential oil via any online store conveniently, and that too at discounted rates. A growing number of people with smartphones and increasing penetration of better internet connectivity are also encouraging e-commerce companies as well as startups to invest in their mobile apps to capture this growing customer base, thus fueling the growth of this segment across the globe peppermint essential oil market.

By geography, North America accounts for a significant share of the global peppermint essential oil market

By geography, the global peppermint essential oil market is classified into five major regional markets- North America, South America, Europe, the Middle East and Africa (MEA), and Asia Pacific (APAC). The North American peppermint essential oil market holds a significant share in the global market throughout the forecast period. High awareness about several benefits of peppermint essential oil among customers is driving the growth of this regional market. An increasing number of people in countries like the United States and Canada moving towards veganism is another major factor paving the way for the peppermint essential oil market in this region. Europe also accounts for a decent share of the global peppermint essential oil market. The presence of international cosmetics and personal care brands in the region support the growth of this regional market. Moreover, the high demand for natural fragrances is also surging the growth of the Europe peppermint essential oil market. Asia Pacific (APAC), however, is projected to experience a noteworthy CAGR during the forecast period. The booming travel and tourism industry in the region is one of the significant factors behind the growth of this regional market. With an increasing number of both international and domestic tourists in countries like India, Thailand, Malaysia, and Indonesia, the demand for spa services is also increasing, which in turn, is augmenting the demand for peppermint essential oil. Rising disposable incomes and living standards, increasing urbanization, growing e-commerce industry, and inclination towards products made from natural ingredients are other factors that are contributing to the APAC market growth.

Market Players and Competitive Intelligence

Prominent key market players in the global peppermint essential oil market include Young Living Essential Oils, doTERRA, Lebermuth, Inc., Citrus and Allied Essences Ltd, Green Fields Oil Factory, Frontier Co-op, MOUNTAIN ROSE HERBS, PLANT THERAPY ESSENTIAL OILS, NOW® Foods, Edens Garden, Biolandes, Lionel Hitchen Essential Oils, Aromaaz International, Shaanxi Guanjie Technology Co., and Greenleaf Extractions Pvt Ltd. These companies hold a noteworthy share in the market on account of their good brand image and product offerings. Major players in the global peppermint essential oil market have been covered with their relative competitive position and strategies. The report also mentions recent deals and investments of different market players over the last two years.

Key Developments in the Market

• In May 2020, Firmenich International SA, a leading Flavour and Fragrance developed and supplier, completed its acquisition of DRT (Les Dérivés Résiniques et Terpéniques), a global leader in developing and supplying sustainable, high-quality, natural ingredients. The acquisition is in line with the former's goals of becoming a major player in sustainable products for perfumery and beyond.
• In November 2020, Oxford-based ingredient developers and supplier of nutritional supplements, Sibelius Natural Products, expanded its natural oil product portfolio with the launch of Roman Chamomile, English Peppermint, and English sage oils for fragrance, flavor, personal care, and cosmetic applications.
• In April 2022, doTerra, a Utah-based company, and the University of Mississippi entered into a partnership worth US$ 5 million, wherein the latter will perform extensive research on essential oils for the former.

Covid-19 Impact:

Covid-19 had a significant impact on the Global Peppermint Essential Oil. The increase in the number of active cases and associated health conditions, including psychological instability, increased the demand for essential oils. Peppermint oil is used topically for headaches and muscle aches and as aromatherapy for treating cold, cough, and reducing stress. Consequently, the demand for peppermint oil significantly increased, driving the market onward.

Segmentation

By Product Type

• Natural
• Synthetic

By Application

• Cosmetics & Toiletries
• Pharmaceuticals
• Food & Beverage

By Distribution Channel

• Online
• Offline

By Geography

• North America
• USA
• Canada
• Mexico
• South America
• Brazil
• Argentina
• Europe
• Germany
• France
• United Kingdom
• Spain
• Middle East and Africa
• Saudi Arabia
• UAE
• Asia Pacific
• China
• Japan
• India
• South Korea
• Australia
• Indonesia
• Taiwan