Global Vetiver Oil Market - 2023-2030

Global Vetiver Oil Market - 2023-2030

Global Vetiver Oil Market reached US$ 214.56 million in 2022 and is expected to reach US$ 292.51 million by 2030, growing with a CAGR of 3.95% during the forecast period 2023-2030.

Vetiver oil has wide applications in various industries such as pharmaceuticals food & and beverage, personal care and home care. The oil is highly valued in pharmaceuticals due to its high medicinal properties. It helps in the reduction of inflammation, treats skin diseases, strengthens the central nervous system and helps in dealing with various conditions such as insomnia and stress.

In food and beverage products such as ice creams, cocktails and milkshakes, vetiver oil is used due to its ability to act as a flavouring agent. For instance, Gucci, a Luxury fashion house announced the partnership with Connaught Bar mixologist Giorgio Bargiani in March 2023. The partnership resulted in the launch of its first collector’s cocktail Elisir d’Elicriso in U.K. The cocktail is made with an alcohol content of 21% ABV. The producer vetiver essential oil in the manufacturing of the product to create a rich and herbal cocktail.

Manufacturers are using various methods to extract vetiver oil for its use in different applications. Along with steam distillation, solvent distillation, and hydrodistillation, they are also employing other techniques like microwave hydrodistillation. This has resulted in an increase in the market size of vetiver oil.

Dynamics

Increasing Demand for Flavor and Fragrances

Vetiver oil is a highly sought-after ingredient in various perfumes, cosmetics, and skincare products due to its distinct aroma. It is an effective fixative for volatile compounds and retains its scent well. It dissolves easily in alcohol, which makes it a popular component in personal fragrances. This oil is also a natural aphrodisiac, which makes it an ideal choice for modern perfumery.

Increasing fragrance product launches with the use of vetiver oil is driving the market growth. For instance, in February 2023, Ralph Lauren Fragrances announced the launch of its latest product, RALPH’S Club Parfum. The product is made with a blend of bold and spicy notes with rich and woody elements such as cardamom, vetiver and Geranium Absolute.

Similarly, in July 2022, Frenshe actress-songwriter, Ashley Tisdale, announced the launch of the Fragranced Skin Care Line. The new range of scents is created as a mood collection. Among the range of products, one of the products, Balance & Harmony offers a combination of vetiver, ginger and bergamot cedar.

High Use of Vetiver Oil in Home Care Products

Vetiver oil is commonly used in home and personal care products, such as soaps and detergents. The use of this oil in these products is highly valued due to its natural scent. The oil gives a calm and grounded feeling for it's us in soaps and lotions. The use of vetiver oil in detergents adds a long-lasting aroma and fragrance to clothes. The high use of the oil in such production drives the market growth.

In July 2023, Dirty Labs announced the launch of Bio Enzyme Laundry Detergents in some of the selected Whole Foods Market in Portland. These plastic-free, biodegradable Bio Enzyme Laundry Detergents are gaining high popularity among people seeking sustainable and environmentally friendly products.

Similarly, in October 2020, the Laundress and Aromatherapy Associates partnered to create four household products that blend essential oils with fabric care and cleaning formulas. Through this collaboration, the company launched two laundry detergents and two home cleaning solutions. The new product line contains three 100% natural and vegan essential oil blends such as vetiver, sandalwood and chamomile.

High Cost of Vetiver Oil

The high use of vetiver oil as a luxurious scent in various products production can be hampered due to its high price. The challenges associated with vetiver crop production such as intolerance to shading reduce which can hinder growth and potentially eliminate the plant over time. Additionally, the quality, origin, and production methods of the oil can affect its price.

The process of creating this oil is lengthy and complex, requiring a large amount of plant material and skilled labor. The high cost of vetiver oil is one of the major restraining factors limiting the market growth in various production, as manufacturers take up the use of various other alternatives such as sandalwood and myrrh oils to hinder the market growth.

Segment Analysis

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

High Affect of Vetiver Oil on Calming and Relaxation

The global vetiver oil market is segmented based on application into medical, food and beverage, spa and relaxation and cleaning and home. The spa and relaxation segment accounted for the largest share of the global vetiver oil market due to the high use of vetiver oil in the production of massage oils and aromatherapy.

In July 2023, Ipsum Skin launched the first product in its spa retail range – Ipsum SPA Body Balm Vetiver Citrus. This body conditioner product is incorporated with vitamins, antioxidants and botanical oils such as vetiver oil which are COSMOS certified. The product is produced without any impact on the environment.

In January 2023, Himalaya Wellness Company introduced a new product into their product portfolio with the launch of Himalaya Baby Massage Oil. The product is formulated with various herbs and ingredients used for nourishment of the baby’s skin. Various ingredients used in the product include olive oil, vetiver oil, aloe vera and mustard.

Geographical Penetration

Presence of High Vetiver Cultivating Countries

Asia-Pacific dominated the global vetiver oil market. According to the Vetiver Network International Organization, 2021 India and Indonesia are in the top 3 vetiver oil production countries. In India, Uttar Pradesh, Karnataka, Tamil Nadu and Kerala are among the greater cultivation and production of vetiver oil. The high use of vetiver oil in various industrial applications such as pharmaceutical, personal care cosmetics and food and beverage is driving the market growth in this region.

The new product launches in this region, increase the market demand. For instance, in February 2023, Nyveda, a new Ayurvedic beauty and wellness brand from Nykaa introduced a new brand oil line into thier product portfolio. The new range consists of two hair oils – Nyveda Revive My Roots and Nyveda Restore My Shine. The infusion of powerful ayurvedic ingredients such as vetiver root oil, hibiscus and curry leaves in hair oil production makes it an effective and environmentally responsible product.

Competitive Landscape

The major global players in the market include Unicode S.A., Shiva Exports India, Frager Essential Oil SA, Givaudan, Plant Therapy, Kush Aroma Exports, Aadhunik Ayurveda Inhouse Team, Avi Naturals, SNN Natural Products and Rakesh Sandel Industries.

COVID-19 Impact Analysis

The outbreak of the COVID-19 pandemic had a mixed impact on the global vetiver oil market. The strict lockdown regulations from the government interrupted the cultivation and production of various products including vetiver oils. The improper facilities for production and processing of the production due to limited reduced raw materials workforce facilities negatively affected the market growth temporarily.

The pandemic condition resulted in the shutdown of various industries that are included including the production of beverage, pharmaceutical, spa and relaxation, cleaning and home care products. People started prioritising health and adopted the use of calming and soothing products for better sleep and reaction to improve overall health, increasing the market demand.

Russia- Ukraine War Impact

The war between Russia and Ukraine had a greater effect on various industrial sectors, including food. The global vetiver oil market was impacted as supply chain activities were interrupted and demand supply chain management was disturbed. The war created shortages of these materials, leading to an increase in product prices. The market was further affected due to disrupted import and export trade transitions.

By Type
• Organic
• Conventional

By Form
• Absolute
• Concentrate
• Blends

By Distribution Channel
• Supermarkets/ Hypermarkets
• Specialty Stores
• Convenience Stores
• E-Commerce

By Application
• Medical
• Food and Beverage
• Spa and Relaxation
Aromatherapy
Massage Oil
Personal Care
Cosmetics
Toiletries
Fragrances
• Cleaning and Home
• 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 January 2023, Givenchy introduced a new product to their L’interdit range, Givenchy L’interdit Eau De Toilette. The product provides the mixed scent of patchouli and vetiver.
• In 2021, Boy Smells Tantrum released unisex perfume into the market. The perfume is made from vetiver, mint, bergamot and other products.
• In January 2021, Forest Essentials, launched Body Ubtan Rose Petal, Vetiver and Sandalwood body cleanser. This sulphate-free body cleanser is blended with rose petals and vetiver root.

Why Purchase the Report?
• To visualize the global vetiver oil market segmentation based on type, form, 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 vetiver 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 vetiver oil market report would provide approximately 69 tables, 69 figures and 215 Pages.

Target Audience 2023
• Manufacturers/ Buyers
• Industry Investors/Investment Bankers
• Research Professionals
• Emerging Companies