(MENAFN- GlobeNewsWire - Nasdaq) The global essential oils market is experiencing strong growth, driven by the increasing preference for natural and plant-based ingredients in food & beverages, cosmetics, aromatherapy, and personal care products.

Austin, Aug. 20, 2025 (GLOBE NEWSWIRE) -- The Essential Oils Market was valued at USD 18.47 billion in 2024 and is projected to reach USD 39.10 billion by 2032, expanding at a CAGR of 9.87% from 2025 to 2032.

The clean-label and chemical-free trend is driving consumer demand for products, and pharmaceuticals, wellness, and household care are increasing their use of essential oils for their antimicrobial, therapeutic, and aromatic potential.

Essential oils have been used for many years for flavoring, fragrance, and medicinal purposes, and present several advantages, both functional and sensorial. There is also support from an increasing trend in aromatherapy for stress reduction, increasing usage in natural cleaners, as well as robust use in functional foods and nutraceuticals. The demand for essential oils is rising in a variety of consumer markets due to the ongoing crackdown on synthetic additives.

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The U.S. Essential Oils market size was USD 2.36 billion in 2024 and is expected to reach USD 5.03 billion by 2032 and grow at a CAGR of 9.92% over the forecast period of 2025-2032. It is due to the high popularity of natural, clean-label label and plant-based products in the food, cosmetics, and wellness industries. The country has a well-established aromatherapy and natural personal care product market, which is witnessing an increase in the use of essential oils in skincare, hair care, home care, and wellness. Furthermore, the U.S. food and beverage industry uses essential oils as natural flavors and preservatives, and their usage is in line with rising demand for organic and functional food.

Key Players:

• Givaudan
• Symrise
• Firmenich
• Robertet Group
• doTERRA International
• Young Living Essential Oils
• Sensient Technologies Corporation
• International Flavors & Fragrances (IFF)
• Mane SA
• NOW Foods
• Biolandes
• Lebermuth Company
• Moksha Lifestyle Products
• Mountain Rose Herbs
• Plant Therapy Essential Oils
• Treatt PLC
• Vigon International
• Falcon Essential Oils
• Eden Botanicals
• Sydney Essential Oil Company (SEOC)

Essential Oils Market Report Scope:

Report Attributes	Details
Market Size in 202 4	USD 18.47 Billion
Market Size by 2032	USD 39.10 Billion
CAGR	CAGR of 9.87% From 2025 to 2032
Base Year	2024
Forecast Period	2025-2032
Historical Data	2021-2023
Report Scope & Coverage	Market Size, Segments Analysis, Competitive Landscape, Regional Analysis, DROC & SWOT Analysis, Forecast Outlook
Key Segments	. By Type (Orange Oil, Lemon Oil, Peppermint Oil, Eucalyptus Oil, Lavender Oil, Tea Tree Oil, and Others) . By Method of Extraction (Distillation, Cold Pressed, Solvent Extraction, CO2 Extraction, and Others) . By Distribution Channel (Direct Sales, Online Retail, Supermarkets/Hypermarkets, Specialty Stores, and Others) . By Application (Food & Beverages, Personal Care & Cosmetics, Aromatherapy, Pharmaceuticals, Cleaning & Home Care, and Others)

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By Type

The orange oil segment generated the highest share with 22.5% in 2024, owing to its extensive use in food flavouring, beverages, and home care products. Its strength lies in the fact that it outputs in abundant as a citrus byproduct. Lavender oil, meanwhile, is expected to be the fastest-growing product, driven by an increase in use across aromatherapy, cosmetics, and stress-relief products, given its relaxation benefits.

By Method of Extraction

In 2024, distillation continued to be the most widely used extraction technique, accounting for more than 65% of the total market share, as it is a cost-effective method with high efficiency and maintaining the natural properties of essential oils. Steam distillation, in particular, is a common method selected because it permits the volatile character of the extraction of aromatic compounds, with little degradation experienced, hence, a high purity and quality of the oils extracted. ipuracy and quality of the oils.

By Distribution Channel

Direct sales were the leading sales channel in 2024, with approximately 35% of global sales, and significant momentum was attributed to the increasing popularity of network marketing and personalized selling strategies used by major essential oil brands. doTERRA and Young Living have created successful multi-level marketing (MLM) systems with distributors who not only interact directly with customers, providing education, product immersions, and personalized suggestions.

Regional Analysis

In 2024, Europe occupied the largest market share in the essential oils market, which was approximately 44.48%, due to the high consumer awareness, established natural & organic product industries, and the strict regulatory framework that favours the use of natural ingredients over synthetic. Nations such as France, Germany, and U.K. have adopted a rich history of aromatherapy as well as personal care, and perfumery applications, which makes essential oils very popular.

Recent Developments

• April 2025 – doTERRA International LLC launched a new sustainability initiative to enhance the sourcing transparency of its citrus oils in Latin America.
• December 2024 – Young Living Essential Oils expanded its distillery operations in Utah to increase the output of peppermint and spearmint oils for global distribution.

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Unique Selling Propositions (USP) of the Essential Oils Market

• Natural & Clean-Label Preference – Escalating global transition towards plant-based, chemical-free commodities is driving the essential oil market.
• Multiuse – Ideal for food, cosmetics, aromatherapy, cleaning, and pharmaceuticals.
• Health Benefits – High demand in household, personal care cleaning for optimum mental health, sleep improvement, and stress relief.
• Sustainability Focus– Growing interest inorganic and minority-sourced oils.
• Rapid Growth of Emerging Economies - Growth of middle-class population in Asia Pacific fuels demand for natural personal care and wellness products.
• Alternatives for Synthetic Additives - Increasing restrictions on artificial flavors, fragrance, and preservatives drive demand.
• Favorable Export Prospects - Extensive production capacities in Asia and Latin America underpin international supply chains.

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