Agarwood Oil Market Overview:
The Agarwood Oil Market size is expected to reach nearly US$ 424.1 Mn by 2029 with a CAGR of 5.42% during the forecast period.
Agarwood or Eaglewood is a resinous wood found predominantly in the southeast region of the Asia-Pacific. Agarwood after getting infected with yeast, pest, or microbial infection releases aromatic resins called Agarwood Oil. The presence of aromatic essence has resulted in the wide-scale use of Agarwood Oil throughout the world. Agarwood Oil possesses antimicrobial and antioxidant properties that are used in manufacturing medicines for asthma, digestion, and mental health-related issues.
Agarwood Oil Market Dynamics:
Agarwood Oil possesses a spiritual fragrance that is used in Aromatherapy. It is observed that more than 20% of working men and more than 32% of working women living in metropolitan cities in the US and Europe prefer Aromatherapy at least once a month. The preference for Agarwood Oil in Aromatherapy has increased its demand in the western hemisphere.
A report by WHO published in 2016 states that 4 out of 100 people suffer from mental health-related issues like stress, anxiety, and depression. This number is concentrated more in the urban regions and is expected to increase in the coming years. Agarwood Oil possesses anti-depressant and stress-relieving properties that are used on a large scale in manufacturing medicine for mental health-related issues.
Agarwood Oil possesses moisturizing and anti-aging properties that are used by the Cosmetics Industry and in manufacturing medicines by the traditional medicines manufacturing industry.
Evolva, a Switzerland-based biotechnology company announced its collaboration with the Malaysian Biotechnology Corporation and Universiti Malaysia Pahang to produce synthetic yeast that can produce Agarwood Oil.
In 2017, Efflorus, a Canadian synthetic biology start-up announced its work on finding a low-cost way to manufacture synthetic Agarwood Oil.
Scentido launched a range of perfumes made by using Agarwood Oil under the banner ‘Golden Oud’.
An increase in demand for niche perfumery and global demand are the driving factors for the growth of the Global Agarwood Oil Market.
Agarwood Oil Market Segment Analysis:
The Global Agarwood Oil Market is segmented on the basis of
By Nature, It is observed that more than 52% of Agarwood Oil products available in the market are in adulterated form. An increase in demand for premium products has resulted in a 0.3% increase in demand for Organic Agarwood Oil.
By End Users, It is observed that more than 70% of Agarwood Oil present in either organic or processed form is consumed by the Cosmetics, Chemical, and Personal Care Products Industries. An increase in demand for high-range premium products has resulted in a 2.1% increase in demand for Agarwood Oil by the Cosmetics Industry.
The presence of antioxidant and anti-inflammatory properties has resulted in a 1.7% increase in the consumption of Agarwood Oil by the Pharmaceutical Industry. An increase in preference for aromatic cleaners and solutions has resulted in a 3% increase in the consumption of Agarwood Oil by the Chemical Industry. Different industries use Agarwood Oil as per need.
By Distribution Channels, It is observed that more than 40% of the Agarwood Oil and products made by it are sold through Specialty Stores that deal in plant-based products. An increase in demand for medicines and cosmetics products made by using Agarwood Oil has resulted in an increase of 3.1% in sales through Supermarkets and Convenience Stores in the US and Europe. Increased use of Online shopping portals for purchasing plant-based products has resulted in an increase of 7% in the number of people purchasing Agarwood Oil through different E-Commerce platforms.
The high price of cosmetics and personal care products made by using organic Agarwood Oil has restricted their purchase to a certain number of people. Specialty Stores dealing in high-end products contribute to more than 35% of the revenue earned by the Global Agarwood Oil Market. The availability of a wide range of products by different brands in one place has resulted in a 2.8% increase in the sales of Agarwood Oil products through Supermarkets.
Convenience Stores that come under Organized Sector have observed a growth of 2.1% in the sales of Agarwood Oil products. An increase in the preference for online shopping due to features like doorstep delivery has resulted in an increase of 4.8% in sales of Agarwood Oil through different E-Commerce platforms. Different mediums that deal in plant-based aromatic products are visited by people for purchasing Agarwood Oil.
Agarwood Oil Market Scope:
| Global Agarwood Oil Market | |||
|---|---|---|---|
| Report Coverage | Details | ||
| Base Year: | 2021 | Forecast Period: | 2022-2029 |
| Historical Data: | 2017 to 2021 | Market Size in 2021: | US $ 278.03 Mn. |
| Forecast Period 2022 to 2029 CAGR: | 5.42% | Market Size in 2029: | US $ 424.1 Mn. |
| Segments Covered: | by Nature | • Organic • Conventional | |
| by End User | •Food & Beverages Industry • Cosmetics Industry • Pharmaceuticals Industry • Chemical Industry • Personal Care Products Industry • Domestic • Others | ||
| by Distribution Channel | • Supermarket • Convenience Store • Specialty Store • E-Commerce • Others | ||
Agarwood Oil Market, by Region
• North America
• Europe
• Asia Pacific
• Middle East and Africa
• South America
Agarwood Oil Market Key Players are:
• BIOLANDES SAS
• Essential Oil Wizardry
• Biofinest USA
• Deve Herbs
• HYSSES Pvt. Ltd.
• WEFIVE Group
• Dauper S.A.
• Tien Phuoc Co., Ltd.
• Gritman Essential Oils
• Hoang Giang Agarwood Ltd.
• SUHACO Ltd.
