EUROPE ESSENTIAL OILS MARKET - Growth, Trends, COVID-19 Impact, and Forecasts (2022 - 2027)
The Europe Essential Oil Market is expected to grow at a CAGR of 5.32% during the forecast period, 2020 to 2025.
Growing awareness regarding the benefits of aromatherapy at homes as it aids in pain relief, cognitive function, brain stimulation, mood enhancement and support cognitive function is expected to create immense growth opportunities over the upcoming years.
The demand for orange, lemon, and eucalyptus oils is increasing at an exponential rate and the industry is no longer able to keep up with the rapidly increasing consumer demand. Suppliers are also forced to increase prices of aromatic crops as they struggle to compete with other commodities and feed crops. These factors are likley to hinder the growth further in the region.Key Market TrendsThe rise of Aromatherapy in Europe
The interest across aromatherapy in Europe has grown over th past years, leading to a significant growth in demand for high value essential and vegetable oils and hydrolates, mostly in its use as a natural ingredients. Consumers are increasingly using aromatherapy for specific health issues, especially in France and Germany, where aromatherapy is used as a medical treatment in the context of phytotherapy.
As a result of the healthy living trend in Europe, there is a renewed interest in aromatherapy and other natural remedies. Hectic life schedules is one of the main concern that has led consumers to undertake more responsibility for their personal health, integrating mental and physical wellbeing. Furthermore, the increased interest in aromatherapy is also reflective of the massive and growing amount of information that is available to consumers and companies on aromatherapy.The growing share of essential oil in cosmetics & personal care
The european cosmetic industry has evolved over the past years and by far the largest market for both cosmetics and personal care market in Europe is Germany and France followed by United Kingdom. Through consumers perspective, majority of the consumption is meant to protect their health, boosting their self-esteem and overall enhancing their well-being.
The safe use of essential oils in cosmetic products depends on both the quality of raw materials used and the extraction method by which the neat essential oil is produced. By far, as quoted by Caribbean Export Deveopment Agency, the natural cosmetics are growing at an annual rate of 8-10% in the EU, while increasing the demand for natural ingredients like essential oils alltogether. Furthermore, across the United Kingdom, certified natural and organic cosmetics market is at an all-time high as sustainable shoppers will eventually continue to drive the market for green beauty.Competitive Landscape
The Europe Essential Oils Market has some of the prominent players operating namely Young Living Essential Oils, Rocky Mountain Oils, LLC, Robertet SA, Givaudan, Sensient Technologies Corporation, the Eden Garden among others.
Owing to advancements in technology and cost of capital the entry barriers are high and is likely to maintain low competition among industry participants. In terms of strategy, major players are vying on new product development, with intensive focus on R&D that will enable them to establish a strong hold in the European market. As of April 2018, Edens Garden launched a natural bar soap collection made with 100% pure essential oils. Furthermore, in the same year, the company introduced essential oils candles made with nontoxic ingredients.Additional Benefits:
Learn how to effectively navigate the market research process to help guide your organization on the journey to success.Download eBook