Clove Essential Oil Market - Forecasts from 2022 to 2027

The global clove essential oil market was valued at US$174.516 million in 2020 and is expected to grow at a considerable CAGR of 12.07% to reach a market value of US$387.547 million by 2027 over the forecast period.

Cloves are essentially high in manganese, along with other nutrients such as calcium, potassium, and magnesium. Owing to its nutritional content, clove essential oil is widely used in flavouring across the food and beverage sector and aromatherapy as well.

Rising awareness of the benefits of clove oil also increases its popularity among consumers. Clove oil is used in aromatherapy to reduce anxiety and depression while speeding up the healing process. People shifting toward healthy lifestyles and dietary patterns is boosting the demand for clove essential oil for both aromatherapy and food & beverage applications, thereby propelling the global clove essential oil market growth. The growing popularity of aromatherapy is another factor that will continue to drive up the demand for clove essential oil throughout the forecast period. Stringent regulations regarding food additives and preservatives across different regions further encourage the use of various types of natural essential oils, including clove, in different food products. Moreover, people are also getting more aware of the harmful impact of synthetic flavors and essence in food and beverage items which is further pressurizing food & beverage manufacturers to switch to natural ingredients, thus spurring the clove essential oil market growth. Due to its ever-increasing demand across the fragrance and food and beverage industry, the clove essential oil market is witnessing significant growth.

The demand for clove essential oil worldwide is also rising owing to expanding applications of essential oils. Clove oil also offers other benefits, ranging from anti-inflammatory for oral infections to curing acne and toothaches. As such, its demand across the pharmaceutical and cosmetics & toiletries industries is increasing continuously, which in turn, is fueling the growth of the global clove essential oil market.

Another factor supporting the production side of clove essential oil is government support for clove tree farmers across Africa and Indonesia. Governments in these countries are increasingly introducing initiatives to support clove production in the region. For instance, the government of the Republic of Tanzania implemented measures to ramp up clove production through policy reforms and amendments. In March 2017, the government of Indonesia formed a farmer’s learning group in the Buol district of Sulawesi. This group facilitates the sharing of information among farmers about efficient and best farming techniques. Technological advancements in oil extraction methods are also expanding applications of clove essential oil while reducing the production cost for the manufacturer and increasing the overall production volume. Market players are adopting various growth strategies and focusing on expanding their product portfolio and offerings through direct selling channels.

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

An online distribution channel is getting more convenient for consumers

The online distribution channel segment is projected to witness a higher CAGR during the forecast period. This growth is primarily attributed to the booming e-commerce industry across the globe. With online retail stores, people can compare and buy global brands of clove essential oils. Moreover, consumers usually get some discounts or coupons while making purchases online, which is further attracting customers to this distribution channel. High penetration of smartphones and better internet connectivity has also significantly contributed to the growth of this segment during the forecast period.

By geography, North America accounts for a noteworthy share in the global clove essential oil market

Geographically, the global clove 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). North America accounted for a significant share of the global clove essential oil market in 2019. The growing popularity of clove oil as a key ingredient in cosmetics and toiletries owing to its benefits is augmenting its demand across cosmetic and toiletries manufacturers in countries like the United States and Canada. Increasing demand for clove essential oil for aromatherapy is also a key driver of the North American clove essential oil market. Asia Pacific (APAC), however, will witness a noteworthy CAGR during the forecast period. The growing travel and tourism industry in the region is one of the significant factors behind this growth. With an increasing number of international and domestic tourists and a corresponding rise in demand for spa services, there has been a continuous rise in the demand for clove essential oil in countries like India, Thailand, and Malaysia. The increasing use of clove essential oil for skin problems and oral hygiene is also escalating its demand across skin care and oral care manufacturers across the region, thus bolstering the regional market growth. The Middle East and Africa (MEA) and South America clove essential oil market will also grow at a decent CAGR on account of an increasing number of tourists in countries like Saudi Arabia, UAE, and Brazil.

Recent Developments

Firmenich acquired Les Derives Résiniques et Terpeniques, a global leader in the creation and delivery of high-quality, sustainable, and naturally derived ingredients, in May 2020. Firmenich would benefit from this acquisition by becoming a major player in green ingredients for perfumery and other applications.

dôTERRA released numerous new essential oil products & diffusers in October 2020, as well as three additional wellness programs to assist people in achieving their specific health objectives.

Givaudan purchased Myrissi in February 2021. Givaudan's long-term Fragrance and Beauty strategy would be enabled by the acquisition of Myrissi. Givaudan would benefit from its AI experience in presenting new organoleptic methods to consumers.

COVID-19 Impact

Even though the Covid19 epidemic hurt various businesses, the clove essential oils market grew during this time. Essential oils have antibacterial, antioxidant, and anti-infective qualities, and are consequently used to treat a variety of health problems such as stress, immune disorders, insomnia, and depression. As a result, the market for clove essential oils grew in prominence during the pandemic as the number of patients with mental health issues increased, propelling the market forward.

Market Players and Competitive Intelligence

Prominent key market players in the global Clove essential oil market include Young Living Essential Oils, d?TERRA, Lebermuth, Inc., Citrus and Allied Essences Ltd, Cedarome, Rocky Mountain Oils, LLC, Frontier Co-op, MOUNTAIN ROSE HERBS, PLANT THERAPY ESSENTIAL OILS, NOW® Foods, Edens Garden, Falcon, Biolandes, and Frutarom 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 Clove essential oil market have been covered along with their relative competitive position and strategies. The report also mentions recent deals and investments of different market players over the last two years.

Segmentation

By Product

• Absolute
• Blends

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
• Italy
• Spain
• Middle East and Africa
• Saudi Arabia
• UAE
• Asia Pacific
• China
• Japan
• India
• South Korea
• Australia
• Indonesia
• Thailand