Global Guaiacwood Oil Market - 2023-2030

Overview

Global Guaiacwood Oil Market reached US$ 22.81 billion in 2022 and is expected to reach US$ 39.78 billion by 2030, growing with a CAGR of 7.2% during the forecast period 2023-2030.

Guaiac trees are highly popular for their medical value and the high fragrance of their wood and sap. Guaiacwood oil is one of the most valued essential oils in the market due to its calming effect and anti-inflammatory factors. The availability of guaiacwood oil in pure and blended types improves and simplifies its use for end-user applications.

The upgradation of various extracting methods used for processing guaiacwood oil fuels the market expansion. Steam distillation is used as one of the most common methods for extracting guaiacwood oil. Technological advancements such as the involvement of cold press methods and others taking place in extracting such essential oils positively drive market growth with easy and convenient processing methods.

Various fragrance and cosmetic industries are using guaiacwood oil in product manufacturing as a natural ingredient. The guaiacwood oil is used in various applications such as aromatherapy, pharmaceuticals, personal care and fragrances. The rich medicinal and fragrance properties of the oil drive its use in these applications, driving the market growth.

Dynamics

Increasing Use of Guaiacwood Oil in Personal Care Products

The high fragrance level of guaiacwood oil increases its use in the production of various personal care products such as soaps, body creams, skin care products and perfumes. Guaiacwood Oil contracts blood vessels & skin tissue for tighter skin and facilitates excess fluid movement, preventing skin ageing for a youthful appearance. Guaiacwood is often used in perfumes that belong to the woody or amber fragrance families.

The pleasant and soothing aroma of guaiacwood oil drives its use in the manufacturing of various perfumes. Guaiacwood oil has a very strong woody and sensual fragrance making it one of the important ingredients in the production of perfumes. New product launches in this field drives the market growth. For instance, in September 2023, Mind Games by Fragrance Group increased its product portfolio with the launch of a new perfume collection, Soulmate into the market.

Increasing Demand for the Natural and Organic Products

The rising consumer awareness towards the health hazards related to the use of synthetic and chemical products is driving the need and preference towards the use of natural and organic products in their daily life. Synthetic chemicals in perfumes may lead to various health complications such as headaches, migraine and hypersensitivity.

Heath-conscious people are widely replacing synthetic products with natural ones. The use of guaiacwood oil has natural and organic ingredients in multiple product production fuels the market growth. Guaiacwood oil is used as a flavoring agent. This property of the oil improves its use in different foods and edible oils and fats production. In addition, it is also used in manufacturing of various personal care and pharmaceutical products.

High Cost

The high cost of guaiacwood oil is considered to be the major restraining factor for market growth. The high price for the raw material and the high production costs of the intensive extraction methods add more manufacturing costs for the producer, increasing the final price costs. The availability of various other essential oils that can be used to replace the essential role of this oil in various applications hinders market growth.

The presence of cost-effective alternative products in the market and price-sensitive consumers shifting their preference towards the lower price ranged essential oils or choosing alternatives of guaiacwood oil, may negatively impact the market growth. In addition, the side effects associated with the use of high doses of guaiacwood oil can also limit its use in some of the applications.

Segment Analysis

The global guaiacwood oil market is segmented based on type, form, extraction methods, distribution channel, application and region.

Increasing Demand for Aromatherapy

The global guaiacwood oil market is segmented based on application into aromatherapy, pharmaceuticals, personal care, fragrances and others. The aromatherapy segment accounted for the largest share of the market. With the increasing health concerns related to the use of medicine and the high threat of various side effects, most people around the globe are highly preferring the use of aromatherapy to deal with their health problems.

Guaiacwood oil is used as one of the most important essential oils for therapeutic benefit. The analgesic, antiseptic and anti-inflammatory properties of this essential oil drive its use in aromatherapy. The essential oil has various benefits such as reducing inflammation and relieving joint and muscle pain. It also acts as a decongestant and helps with arthritis, stress, and anxiety.

Geographical Penetration

High Use of Guaiacwood Oil in Various Fragrances Industries

North America dominated the global guaiacwood oil market, with U.S. and Canada leading the market growth. With the increasing health consciousness, the region has a high consumer preference towards natural and organic products to avoid the adverse effects caused by the use of synthetic chemicals in food and non-food applications.

The high disposable incomes and increasing purchasing power of the regional consumers improve the demand and sales of luxury and niche fragrance products, that use pure and natural essential oils for product production. The increasing consumer preference for natural and organic products in this region multiplies the use of guaiacwood oil in various applications.

The high demand for fragrance and personal care products in this region boosts the use of this essential oil in various product manufacturing. The region has a high presence of multiple major industries and market players from the fragrance and perfume sectors, increasing the demand for guaiacwood oil and positively driving market growth.

Competitive Landscape

The major global players in the market include: Venkatramna Industries, Ernesto Ventos S.A., HYSSES, INDIA AROMA OILS AND COMPANY, Vigon International, LLC, Veda Oils¸Ultra International Limited¸Augustus Oils Ltd., Aarnav Global Exports and Katyani Exports.

COVID-19 Impact Analysis

The COVID-19 pandemic had a mixed impact on the global guaiacwood oil market. The sudden declaration of lockdowns and strict regulations by governments interrupted the production of products due to the temporary shutdown of the manufacturing units. In addition, the distribution of various products worldwide, including guaiacwood oil was halted to the end-user application, negatively impacting the market growth.

The market growth was negatively affected for a while due to improper facilities such as reduced raw material sourcing and workforce facilities. However, the pandemic also increased consumer health consciousness, leading to a higher demand for a natural range of products. Further, the high assessability and availability of multiple types of guaiacwood oil products on e-commerce platforms increased the market demand during the pandemic.

Russia- Ukraine War Impact

The war between Russia and Ukraine had a negative effect on various industries, including the guaiacwood oil. Worldwide, all kinds of industries faced challenges due to disrupted supply chain activities and demand-supply chain management. The shortage of certain materials led to an increase in product prices. Moreover, the disturbance in import and export trades had an adverse impact on the market.

By Type

• Blends
• Pure
• Other

By Form

• Liquid
• Concentrate

By Extraction Methods

• Steam Distillation
• Cold Press Extraction

By Distribution Channel

• Supermarkets/ Hypermarket
• Specialty Stores
• E-Commerce
• Other

By Application

• Pharmaceutical
• Aromatherapy
• Personal Care
• Fragrances
• Others

By Region

• North America
  • U.S.
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • France
  • Italy
  • Russia
  • Rest of Europe
• South America
  • Brazil
  • Argentina
  • Rest of South America
• Asia-Pacific
  • China
  • India
  • Japan
  • Australia
  • Rest of Asia-Pacific
• Middle East and Africa

Key Developments

• In September 2023, the partnership between Abu Issa Holding and Printemps Doha resulted in the launch of the new Memo Paris fragrance Inverness, which is made from various essential oils of guaiacwood oil, cedarwood and amyris oil.
• In September 2022, doTERRA introduced new natural and sustainably sourced essential oils and system products into the market. The product lines include various essential oils including guaiacwood, eucalyptus and others.
• In July 2022, LilaNur Parfumes became India's first luxury fragrance house with the launch of seven eau de parfums including Malli Insolite, Rajni Nocturne, Vettiver Mousson and others. The Vettiver Mousson is made from vetiver, guaiac wood and jasmine sambac.

Why Purchase the Report?

• To visualize the global guaiacwood oil market segmentation based on type, form, extraction methods, distribution channel, application and region, as well as understand key commercial assets and players.
• Identify commercial opportunities by analyzing trends and co-development.
• Excel data sheet with numerous data points of guaiacwood oil market-level with all segments.
• PDF report consists of a comprehensive analysis after exhaustive qualitative interviews and an in-depth study.
• Product mapping available as excel consisting of key products of all the major players.

The global guaiacwood oil market report would provide approximately 77 tables, 83 figures and 234 Pages.

Target Audience 2023

• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies