Global Lemongrass Oil Market - 2022-2029

Global Lemongrass Oil Market - 2022-2029

Market Overview

The global lemongrass oil market valued USD xx million in 2021 and is forecast to reach USD XX million by 2029, growing at a CAGR of XX% during the forecast period (2022-2029)

Lemongrass oil is seemingly one of the most popular essential oils. Popular in tropical countries especially in Asia, lemongrass oil has been extensively used in culinary applications in India, China, and Thailand, such as used as a flavoring agent. Over the course of the period, lemongrass oil became to gather steam for its therapeutic benefits, notably for alleviating digestive problems and reducing body ache and high fever. Its bactericidal properties have also been widely accepted by companies in the lemongrass oil looking for expanding their medicinal products profile. Increasing knowledge of herbs & oils, traditional medicines, their applications areas, and technical advancement is anticipated to support the sturdy growth of the market.

Market Dynamics:

Increasing awareness about lemongrass oil benefits

Traditionally, lemongrass essential oil is widely utilized in fragrances, personal care, and aromatherapy, but, in recent years, the rising application of the product in several other industries such as food and beverages, pharmaceuticals, and cosmetics is anticipated to drive product sales. The citrusy smell of the product is utilized in perfumery, cosmetic and pharmaceutical industries for controlling pathogens. Moreover, it is also used as a powerful mosquito repellent. In recent years medicinal and pharmacological significance of the product has been rapidly increased. A number of studies have revealed many beneficial bioactivities such as allelopathic, anti-inflammatory, antimicrobial, antioxidant, mosquito, flies, and insect repellent of lemongrass oil-derived compounds. Moreover, it is a natural food preservative. Some studies suggest that pure oil is a useful and innovative tool as a substitute for synthetic fungicides or other sanitation techniques in food packaging and storage.

Moreover, the rising focus on research and development of economical oil extraction methods is anticipated to impact market growth positively. For instance, in December 2018, students from TU Delft and Amrita conducted a field survey in Kerala, India, to identify locally available resources containing renewable energy sources to design and build a sustainable and low-cost oil distillation unit. The team developed a solar thermal-based steam distillation unit to distill oil from the lemongrass plant. This new solar-powered steam distillation unit will help villagers extract oil without a huge investment in equipment set-up.

Market Segmentation:

Pure oil segment held highest market revenue share of XX% in the year 2021

Pure oil dominates the global marketplace due to its superior functional and organoleptic characteristics and strong demand dynamics. Numerous stakeholders in the essential oil blends market have been focusing on making frequent product innovations to increase their consumer base. For instance, in April 2021, the U.S.-based brand Commit Haircare introduced the debut product of its Rooted in Strength Collection. The product is its Spring to Life Oil, which contains key essential oil ingredients such as lemongrass oil, aloe oil, rice bran oil, and rosemary oil. Moreover, they collaborate with raw material producers and sellers to gain a large share in the global market.

Based on application, the fragrances, personal care & aromatherapy segment is expected to account for the largest share. This oil contains antibacterial, antifungal, and antioxidant components making it a prevalent choice for consumers looking for flawless skin and thick & healthy hair. Henceforth, several cosmetics and pharmaceutical companies have increased their stakes among lemongrass oil producers. The rising popularity of aromatherapy for therapeutics is also boosting the prospects in the global market. Manufacturers in the market are witnessing a resurgence of interest among companies specializing in plant-based therapeutic-grade products. The rising popularity of aromatherapy is anticipated to support the steady growth of the segment.

Geographical Penetration:

Europe is expected to dominate the global lemongrass oil market in the year 2021

The demand for the product has been growing at a significant pace. Corresponding to the need, gaps & requirements, the European companies have the vision to offer high-quality products. The key players operating in the market have well-equipped production units, sufficiently manned laboratories, and a team of specialized and qualified experts who carry out a diverse range of activities pertinent to the quality of products. The rising focus on technological advancement is anticipated to drive the regional market. Moreover, the rising popularity of aromatherapy in key markets of the U.K., Germany, and France is anticipated to further contribute to product sales.

On the other hand, the product sales in North America are likely to witness significant growth over the next few years due to the growing consumption of natural ingredients containing cosmetic and personal care products and rising expenditure on premium and all-natural products.

Competitive Landscape:

The global market remains fragmented due to the presence of local and private-label brands in different regions. However, technological advancements resulting in superior product quality are the key for sustainable growth trajectory of lemongrass oil. Companies, such as the Lebermuth Company, doTERRA, and Young Living Essential Oils, embark on new product launches and base expansion to increase their prominence in the marketplace. For instance, in January 2021, doTERRA announced that it would officially expand and open its stores in India. This base expansion can help a company to increase its consumer base and revenue generation. In April 2019, Edens Garden launched seven new, natural deodorant aromas as the natural deodorant market continues to expand. The deodorants combine the power of 100% pure essential oils and non-toxic ingredients. The new aromatic varieties include lemongrass, Ylang, and six others.

COVID-19 Impact:

Positive impact on the global lemongrass oil market

The pandemic has positively impacted the market worldwide. There have been reports of the massive increase in the use of essential oils that enhance health and immunity or have antimicrobial properties. For instance, in March 2020, the Indian Institute of Technology Hyderabad Researchers has developed a new hand sanitizer. The composition of this new hand sanitizer contains lemongrass essential oil for antimicrobial activity and therapeutic aroma. The rising awareness regarding the antibacterial and antiviral properties of the products is anticipated to support its sale during COVID-19. The major companies, such as Young Living Essential Oils and doTERRA, are experiencing increased product sales during this pandemic. Henceforth, the manufacturers are focusing on establishing an automated supply chain model to eliminate manual errors and discrepancies, ensure smooth workflow, and monitor the whole process from a single point of operation. Integrating an automated supply chain with the help of artificial intelligence (AI) will also increase production capabilities and return on investments.

Why Purchase the Report?

Understand the current market scenario and viability of global lemongrass oil over the forecast period

Visualize the composition of the global lemongrass oil market in terms of type and application to identify major players, growth potential, and market strategies

Identify the key regulations prevailing in the market and understand their impact on the market over the forecast period

Understand the key business factors such as market competition, product pricing, new product developments, and patent filings pertaining in the market

What we offer?

PDF report with the most relevant analysis cogently put together after exhaustive qualitative interviews and in-depth market study

Excel data sheet with valuable data points of the global lemongrass oil market – Regional and Country level segmentation

Product mapping in excel for the key products of all major market players

Market share analysis covering business revenues ($) and revenue share (%) of key market players

The global lemongrass oil market report would provide an access to approximately 45 market data tables, 45 figures and 180 pages

Target Audience:

Food and Beverages Manufacturers

Pharmaceutical Industry

Essential Oils Manufacturers

Education & Research Institutes

Research Professionals