India Cosmetic Oil Market Overview, 2030

In India, the cosmetic oil market has witnessed a substantial rise as more consumers opt for natural and organic beauty solutions. Vegetable oils, such as those extracted from coconut, almond, and sunflower seeds, have become highly sought after due to their natural ability to hydrate, nourish, and enhance the skin's health. The rise in awareness regarding the benefits of plant-based ingredients has spurred a demand for skincare products like body lotions, facial serums, and moisturizers, which prominently feature these oils. This growing preference for vegetable oils reflects a broader cultural shift toward eco-friendly, sustainable, and chemical-free beauty products. Along with vegetable oils, essential oils like lavender, tea tree, and eucalyptus have seen an increase in popularity. Known for their therapeutic properties, essential oils are commonly used in skincare formulations aimed at treating issues such as acne, irritation, and dryness. Aromatherapy is also gaining traction in India, with consumers increasingly turning to oils for their mental wellness benefits, such as stress relief and mood enhancement. While mineral oils, often derived from petroleum, are still utilized in products like makeup removers and baby oils, there is a notable trend toward cleaner alternatives. The market has shifted away from mineral oils due to growing concerns over their potential side effects and environmental impact, resulting in a stronger preference for vegetable and essential oils, which are considered healthier and more natural options for skincare and beauty. Specialty oils, such as those derived from rare plants like marula and baobab, are also gaining attention, particularly in the premium market segment, as consumers seek products that are both luxurious and effective in treating various skin concerns.

According to the research report India Cosmetic Oil Market Overview, 2030, published by Bonafide Research, the India Cosmetic Oil market is anticipated to grow at more than 8.59% CAGR from 2025 to 2030. In the Indian market, cosmetic oils are widely used in various segments such as skincare, haircare, and body care, with each application offering unique benefits. Haircare is a major segment, with oils playing an integral role in hair treatments like shampoos, conditioners, and serums. Hair oils, especially those infused with traditional Indian ingredients like amla and bhringraj, are popular for their restorative qualities, addressing concerns such as hair loss, frizz, and scalp health. These oils are seen as vital in promoting stronger, healthier hair and are often a part of long-standing cultural beauty practices. In body care, oils are used in products like body butters, lotions, and massage oils, which help maintain smooth, soft skin while providing deep nourishment and hydration. These oils, often combined with essential oils for added fragrance, are becoming an essential part of self-care routines. Baby care is another important area, with oils formulated to protect and hydrate the delicate skin of infants, typically using gentle, natural oils like coconut and olive oil. Beyond conventional beauty applications, cosmetic oils in India are also being integrated into wellness and spa treatments, with aromatherapy gaining ground as a holistic approach to beauty and well-being. Distribution of these oils in India is a mix of both traditional retail and modern e-commerce platforms. While brick-and-mortar stores, such as supermarkets, pharmacies, and beauty outlets, continue to be dominant, the rise of online shopping has made it easier for consumers, especially in urban centers, to access a wide range of cosmetic oils from both local and international brands.

Within the diverse landscape of oil types used in cosmetics, vegetable oils continue to dominate as the most familiar and widely accepted option among Indian consumers. Derived from a variety of plant sources such as coconut, sunflower, almond, and jojoba, these oils are deeply rooted in Indian skincare rituals, known for their nourishing, moisturizing, and healing qualities. Coconut oil, in particular, holds a near-legendary status in Indian households, often used across generations for skin and hair care alike. With growing interest in herbal and Ayurveda-inspired formulations, the demand for such oils has only expanded. Essential oils like lavender, rosemary, tea tree, and eucalyptus are also carving a strong niche in the Indian beauty space, used not only for their aromatic benefits but also for targeted treatments in acne control, stress relief, and skin rejuvenation. These highly concentrated oils have found their way into both home-based beauty practices and professional spa treatments. Mineral oils still maintain a share of the market, especially in traditional moisturizers and baby care products, although urban consumers are increasingly turning toward plant-based alternatives due to concerns over synthetic content. Exotic and specialty oils such as marula, argan, moringa, and tamanu are emerging as premium ingredients in facial serums and hair elixirs, mostly sought after by discerning, health-conscious consumers in metro areas. These rare oils are often blended into functional products that promise multiple benefits like anti-aging, deep hydration, and texture refinement, giving rise to a new segment of high-performance cosmetic oils that marry traditional knowledge with modern skincare science.

Skincare continues to be a dominant area where oils play a central role, ranging from basic moisturization to more specialized concerns like acne treatment, glow enhancement, and anti-aging. Face oils have become especially popular, often replacing or supplementing creams and serums in daily routines due to their ability to deliver deep nourishment and create a natural, radiant finish. Oils targeting pigmentation, dullness, and dry patches are frequently marketed with added herbal or vitamin-rich components, further appealing to Indian consumers who prefer holistic and results-driven products. Hair care is another category that shows immense demand for cosmetic oils, fueled by the strong cultural connection to oiling as a practice that enhances hair strength, shine, and growth. Hair oils infused with ingredients like onion extract, bhringraj, castor, and argan are widely used across age groups and regions, often customized for specific concerns like dandruff control or scalp repair. Body care applications are also growing, particularly in the premium segment, where massage oils, body oils, and lotions enriched with essential oils and exotic plant extracts offer a luxurious and sensory experience. These are often targeted at wellness-focused consumers who value both efficacy and indulgence. Beyond these primary segments, cosmetic oils are increasingly being incorporated into niche categories such as baby care and makeup removal, where gentleness and purity are prioritized. The spa and aromatherapy segments also tap into this demand, utilizing essential oil blends for therapeutic treatments that cater to urban stress and skin fatigue.

Online channels have seen a tremendous surge, driven by a tech-savvy population, growing e-commerce penetration, and increased comfort with digital shopping. Consumers across urban and semi-urban areas are now accessing a wide variety of cosmetic oils through major e-commerce platforms, beauty marketplaces, and dedicated brand websites. These platforms often offer personalized recommendations, influencer-driven content, and ingredient transparency, which appeals to the new generation of conscious consumers who seek detailed product information before making a purchase. Online channels also enable access to international and niche brands that may not be readily available in physical retail stores. On the other hand, offline channels, including pharmacies, beauty shops, department stores, and supermarkets, continue to be vital, especially for consumers who prefer tactile shopping experiences and immediate product availability. Local cosmetic stores, Ayurvedic pharmacies, and retail chains offer an extensive range of oils, often tailored to regional preferences and seasonal needs. These outlets also benefit from brand familiarity and word-of-mouth trust, particularly in tier-two and tier-three cities. Direct sales channels have maintained their relevance as well, especially in the form of salon recommendations, exclusive boutique retailing, and multi-level marketing models where product demonstrations and interpersonal trust play a significant role in influencing purchase decisions. Many wellness-focused and heritage beauty brands in India leverage this method to cultivate loyal customer bases, particularly among middle-aged and older demographics.

Considered in this report
• Historic Year: 2019
• Base year: 2024
• Estimated year: 2025
• Forecast year: 2030

Aspects covered in this report
• Cosmetic Oil Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Oil Type
• Vegetable Oil
• Essential Oils
• Mineral Oils
• Others (Exotic/Specialty Oils & Blended/Functional Oils)

By Application
• Skin Care
• Hair Care
• Body Care
• Others

By Distribution Channel
• Online
• Offline (retail stores, pharmacies)
• Direct sales

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to agriculture industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.