Argan Oil Market Forecasts to 2032 - Global Analysis By Type (Cosmetic, Culinary, Medicinal and Other Types), Form (Organic, Conventional and Other Forms), Distribution Channel, Application and By Geography

According to Stratistics MRC, the Global Argan Oil Market is accounted for $408.44 million in 2025 and is expected to reach $811.26 million by 2032 growing at a CAGR of 10.3% during the forecast period. Argan oil is a natural plant oil extracted from the kernels of the argan tree (Argania spinosa), native to Morocco. Rich in essential fatty acids, antioxidants, and vitamin E, it is widely valued for its nourishing, moisturizing, and healing properties. Traditionally used in culinary practices, cosmetics, and medicine, argan oil has gained global recognition as a premium ingredient in skin care, hair care, and health products. Its unique composition helps improve skin elasticity, reduce inflammation, and promote healthy hair growth. Sustainable harvesting of argan oil also supports biodiversity and provides economic benefits to local Moroccan communities, especially women cooperatives.

Market Dynamics:

Driver:

Growing demand for natural & organic beauty products

Consumers are increasingly shifting toward chemical-free, plant-based skincare and haircare solutions. Argan oil, being rich in vitamins, antioxidants, and essential fatty acids, aligns well with this preference. Beauty brands are incorporating argan oil into shampoos, serums, lotions, and cosmetics to meet clean beauty trends. Rising awareness of sustainable and eco-friendly ingredients further boosts its adoption. This consumer shift enhances the market growth and global acceptance of argan oil.

Restraint:

Limited geographic availability

Argan oil's cultivation being restricted mostly to Morocco creates heavy reliance on a single source region. This limitation exposes the market to threats from climate fluctuations and overharvesting, making supply uncertain. High logistics and export costs further inflate prices, reducing its competitiveness against other oils. Such a narrow production capacity often causes supply shortages and rising costs. Therefore, the growth potential of the argan oil market remains limited compared to alternatives that are produced in multiple regions.

Opportunity:

Ethical & sustainable sourcing appeal

Growing consumer preference for responsibly produced goods drives trust in the market, as buyers seek products aligned with social and environmental values. Transparent sourcing methods emphasize biodiversity preservation and encourage eco-friendly harvesting practices. Companies embracing sustainable approaches secure a strong position in premium markets where conscious consumption is expanding. Certifications such as organic and fair-trade further enhance product credibility and attractiveness. In essence, ethical sourcing fuels market growth by uniting quality assurance with positive social and environmental contributions.

Threat:

Authenticity issues & adulteration

Several suppliers dilute pure argan oil with lower-cost substitutes, reducing its quality and authenticity. Such practices deceive consumers, leading to dissatisfaction and fewer repeat purchases, which weakens overall demand. The presence of counterfeit products further intensifies price competition, putting genuine producers at a disadvantage. Additionally, maintaining strict certification and quality standards raises costs for authentic manufacturers. Consequently, adulteration harms the premium image of argan oil and acts as a barrier to market expansion.

Covid-19 Impact:

The Covid-19 pandemic significantly disrupted the argan oil market due to supply chain interruptions, labor shortages, and restrictions on international trade. Morocco, the main producer, has limited access to raw resources, which has hindered output and exports. Reduced consumer spending on luxury cosmetics and personal care products also impacted demand in the early phase. However, the rising focus on natural and organic ingredients during the pandemic gradually revived market interest. Growing use of e-commerce channels supported recovery, as consumers sought wellness and skincare solutions from home.

The cosmetic argan oil segment is expected to be the largest during the forecast period

The cosmetic argan oil segment is expected to account for the largest market share during the forecast period its high demand in skincare, haircare, and personal care products. Rich in antioxidants, vitamin E, and essential fatty acids, it is widely used for anti-aging and moisturizing benefits. The rising consumer shift toward natural and organic beauty products further accelerates its adoption. Leading cosmetic brands incorporate argan oil in creams, shampoos, and serums, boosting market visibility. Growing awareness of its premium value drives both product innovation and global expansion of the market.

The online retail segment is expected to have the highest CAGR during the forecast period

Over the forecast period, the online retail segment is predicted to witness the highest growth rate by providing consumers with convenient access to a wide variety of argan oil-based products. It eliminates geographical barriers, allowing brands to reach global audiences and increase their market presence. E-commerce platforms also support small and niche argan oil producers in gaining visibility alongside established players. Rising digital marketing strategies, customer reviews, and influencer promotions further boost consumer trust and demand online. Additionally, the availability of discounts, subscription models, and easy delivery options make online retail a key growth driver for the argan oil market.

Region with largest share:

During the forecast period, the Europe region is expected to hold the largest market share by the region's emphasis on sustainable sourcing and fair-trade practices. The popularity of clean beauty and eco-friendly cosmetics has positioned argan oil as a preferred ingredient in skincare, haircare, and anti-aging formulations. Countries such as France, Germany, Italy, and the United Kingdom drive innovation through premium cosmetics and niche brands. Culinary use is also significant, with argan oil gaining traction in gourmet food sectors. Regulatory support for natural and organic products, along with established distribution networks, enhances the overall market presence and promotes long-term consumer trust and adoption.

Region with highest CAGR:

Over the forecast period, the Asia Pacific region is anticipated to exhibit the highest CAGR due to rising consumer awareness of natural and organic beauty products. Countries such as China, Japan, South Korea, and India are embracing argan oil in skincare, haircare, and wellness applications. Expanding e-commerce platforms and growing disposable incomes further enhance accessibility. Additionally, the popularity of aromatherapy and herbal remedies is boosting demand in the region. Manufacturers are focusing on product diversification and innovative blends to cater to local preferences. Sustainable sourcing and eco-friendly packaging are becoming significant trends, aligning with the region's preference for holistic and nature-based products.

Key players in the market

Some of the key players in Argan Oil Market include OLVEA Group, Zineglob, Biopur, Kahina Giving Beauty, Josie Maran Cosmetics, Zahara Group, Shea Terra Organics, Arganisme, Nadifi Argan, Ixora Cosmetics, Bio Morocco, Arganour, Pura D'or, Melvita, SULA NYC, NOW Foods, Mountain Rose Herbs and L'Oreal.

Key Developments:

In March 2025, Josie Maran introduced a new fragrance, Golden Hour, for its Whipped Argan Oil Body Butter. This launch was part of the brand's ongoing efforts to expand its product line and cater to evolving consumer preferences.

In October 2023, OLVEA Foundation, through its MarocaVie association, partnered with Nuxe to launch a breast cancer awareness and screening campaign in rural Morocco, providing free medical check-ups, promoting early detection, and supporting women's health in underserved communities.

Types Covered:

• Cosmetic
• Culinary
• Medicinal
• Other Types

Forms Covered:

• Organic
• Conventional
• Other Forms

Distribution Channels Covered:

• Online Retail
• Supermarkets & Hypermarkets
• Specialty Stores
• Convenience Stores
• Other Distribution Channels

Applications Covered:

• Personal Care & Cosmetics
• Food & Beverages
• Pharmaceuticals & Nutraceuticals
• Aromatherapy
• Other Applications

Regions Covered:

• North America
  • US
  • Canada
  • Mexico
• Europe
  • Germany
  • UK
  • Italy
  • France
  • Spain
  • Rest of Europe
• Asia Pacific
  • Japan
  • China
  • India
  • Australia
  • New Zealand
  • South Korea
  • Rest of Asia Pacific
• South America
  • Argentina
  • Brazil
  • Chile
  • Rest of South America
• Middle East & Africa
  • Saudi Arabia
  • UAE
  • Qatar
  • South Africa
  • Rest of Middle East & Africa

What our report offers:

• Market share assessments for the regional and country-level segments
• Strategic recommendations for the new entrants
• Covers Market data for the years 2024, 2025, 2026, 2028, and 2032
• Market Trends (Drivers, Constraints, Opportunities, Threats, Challenges, Investment Opportunities, and recommendations)
• Strategic recommendations in key business segments based on the market estimations
• Competitive landscaping mapping the key common trends
• Company profiling with detailed strategies, financials, and recent developments
• Supply chain trends mapping the latest technological advancements

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