Agarwood Essential Oil Market - Global Industry Analysis, Size, Share, Growth, Trends, and Forecast 2031 - By Product, Technology, Grade, Application, End-user, Region: (North America, Europe, Asia Pacific, Latin America and Middle East and Africa)

The publisher projects the Agarwood Essential Oil Market to reach a valuation of US$282 Million by the end of 2031, driven by a consistent growth rate of 11% starting from 2024. The current market stands at US$140 Million and is poised for accelerated expansion, primarily due to the rising demand for essential oils in the cosmetic industry.

Key Trends in the Agarwood Essential Oil Market:

Growing Application of Agarwood Essential Oil in Aromatherapy: The global essential oil and aromatherapy market is witnessing a notable surge in awareness regarding the therapeutic properties of essential oils. This has led to an increased demand for essential oils used in aromatherapy, including Agarwood essential oil. Its effectiveness in addressing medical conditions like asthma has boosted its consumption in the aromatherapy sector, contributing to its growing popularity.

Increasing Consumer Expenditure on Natural Products: Consumers are allocating higher budgets to natural organic essential oils like Agarwood essential oil, driven by their awareness of the benefits these oils offer to the skin and hair. Rising disposable incomes in Asia Pacific countries such as China, India, and Korea have enabled consumers to embrace cost-sensitive products like Agarwood essential oil, which possesses healing properties and provides relief for various health and wellness issues.

Consumer Preference for Authentic Essential Oil Products: Consumer preferences are shifting towards authentic Agarwood essential oil products, prompting manufacturers and suppliers in the fragrance and incense industry to align their offerings accordingly. New entrants are entering the essential oil market, planning to introduce Agarwood essential oil products, while emphasizing natural labels to attract and retain customers. This influx of players is expected to significantly impact the global Agarwood essential oil market.

Higher Dependency on Imported Goods: The Agarwood essential oil market is dynamic, marked by fluctuations in supply and demand. It serves as a crucial ingredient in the perfume, incense, and aromatherapy industries. Western consumers' demand for Agarwood essential oil often leads to reliance on imports from major producers such as India, Indonesia, Malaysia, Vietnam, Cambodia, Thailand, Laos, and Papua New Guinea. The scarcity of international players in this market intensifies the dependence on imports.

Country-wise Insights:

Middle East & Africa: Middle East and Africa emerge as the leading region, boasting the largest share in the global Agarwood Essential Oil market. With substantial market growth witnessed in 2024, it is expected to further expand significantly by the end of 2031.

Latin America Demand Outlook: Latin America presents a promising outlook for the Agarwood Essential Oil market. The market in this region is valued considerably in 2024 and is projected to experience robust growth over the forecast period. This growth is primarily fueled by the increasing utilization of essential oils, particularly in the cosmetic industry.

Competitive Analysis:

The global Agarwood essential oil market is characterized by a multitude of local and regional players, particularly from Asia Pacific, the leading producer region. These local players and distributors play a crucial role in regulating prices. Multinational players hold a relatively modest market share, around 10-15%, as the industry's dynamics are largely influenced by regional stakeholders. Collaboration between manufacturers and major regional participants is a prevalent strategy for expanding into untapped regions, notably Oman and Qatar. Sustainability in natural product production is a key focus, with a growing emphasis on biologically sourced Agarwood essential oil to ensure eco-friendliness. Additionally, manufacturers are prioritizing product purity and stability to meet consumer expectations.

Key Companies Profiled:

• BIOLANDES SAS
• Tien Phuoc Co., Ltd
• Hoang Giang Agarwood Ltd.
• Dauper S.A.
• Katyani Exports
• Gritman Essential Oils
• Essential Oil Wizardry
• Biofinest USA
• Nusaroma
• Aromaaz International
• Kush Aroma Exports
• SVA Naturals

Agarwood Essential Oil Industry Research by Category

By Nature:

• Organic
• Conventional

By End Use:

• Food and Beverage Industry
• Personal Care & Cosmetic Industry
• Pharmaceutical Industry

By Distribution Channel:

• Business to Business
• Business to Consumer
• Hypermarkets/Supermarkets
• Convenience Stores
• Discounters
• Online Retail & Others

By Region:

• North America
• Latin America
• Europe
• South Asia & Pacific
• East Asia
• Middle East & Africa

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