Evaluation of COVID-19 Disaster-driven Progress Alternatives in India Important Oils Market

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In terms of value, the Indian essential oils market is expected to grow at a CAGR of ~ 4% from 2020 to 2030.

The growing trend of introducing Ayurvedic products and the increasing demand for natural personal care products in India are factors driving the Essential Oils Market in the country. The growth of the organic cosmetic and home care products industry in India would create lucrative opportunities for the essential oils market in the country in the near future. A growing awareness of the benefits of natural ingredients is fueling their acceptance, which drives the use of essential oils in various applications. The therapeutic benefits of essential oils are expected to drive demand for these oils in India over the forecast period.

An increase in the consumption of essential oil as a natural preservative is expected to boost the essential oil market in India over the forecast period. In addition, the increasing consumption of essential oils in various applications including food and beverages, cosmetics, home care products and pharmaceuticals is driving the market in the country. It is estimated that the increasing regulations on the use of chemical-based essential oils will propel the essential oils market in India in the next few years.

Volatile raw material prices are a hindrance to the Indian market

High essential oil prices are holding back the essential oil market in India. Insufficient production of raw materials and unavailability of these materials in sufficient quantities raise their prices. The volatile commodity prices due to their irregular supply are expected to affect the essential oils market in India during the forecast period.

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The low supply of raw materials is a burden on the Indian market for essential oils. Changed climatic conditions can lead to a poor harvest. In addition, the availability of inexpensive chemical-based substitutes is also hindering the essential oil market in the country. Adulteration, solvent and pesticide residues, and microbial contamination are other factors hampering the essential oils market in India.

A lack of quality management and advanced procurement facilities is a key factor responsible for quality degradation. A lack in quality and purity management is another major limitation of the essential oils market in India.

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Corn mint oil will dominate the Indian essential oil market

In terms of the product, Indian essential oils market has been divided into citrus oil, eucalyptus oil, clove oil, peppermint oil, basil oil, corn mint oil, spearmint oil, sandalwood oil and others. Among these, the Corn Mint Oil segment dominated the Indian essential oils market in terms of volume and sales, in 2019. The citrus oil segment is expected to be very lucrative from 2020 to 2030.

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Corn mint oil is widely used to make various types of products, including food, beverages, confectionery, dental care products, household care products, and cosmetics. Citrus oil is beneficial for digestion and for increasing energy.

Food and beverages as a key application

Depending on the application, the Indian essential oils market has been divided into Food and Beverage, Pharmaceuticals, Cosmetics and Toiletries, Aromatherapy, Home Care Products, Fragrances, and others. Among applications, the Food and Beverage segment held a large share of the Indian essential oils market in 2019. It is expected that there will be the market in the country of. will continue to dominate 2020 to 2030.

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North becomes a lucrative zone of the Indian essential oil market

Based on the zones, the Indian essential oils market has been divided into East, West, North and South. The essential oils market in India is forecast to have a CAGR of more than. to grow 4%, in terms of value, during the forecast period. The market in the country is expected to offer significant opportunities for essential oil manufacturers over the forecast period. India is a major manufacturer and consumer of essential oils. The West Zone segment dominated the essential oils market in India 2019. The North Zone segment is expected to expand at the maximum CAGR during the forecast period.

Competitive landscape

The Indian essential oils market has been highly fragmented with various small and medium-sized manufacturers operating in the market 2019. The West Zone has been a lucrative essential oil market in India in recent years. Leading market players have taken initiatives to expand their market presence in the country through new product launches and strategic partnerships with suppliers and distributors.

Major manufacturers operating in the Indian essential oils market Bo International, Kanta Enterprises Private Limited, Falcon Essential Oils, Indian Aroma Exports, India Essential Oils, Shiv Sales Corporation, AG Industries, BMV Fragrances Pvt. Ltd., Moksha Lifestyle Products, Kush Aroma Exports and Veda Oils.

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