Citronella Oil Market Size to Worth USD 793.03 Million by 2033
The Brainy Insights
9 min read
The Brainy Insights
The global citronella oil market is anticipated to grow from USD 474.96 million to USD 793.03 million in 10 years. The growth of global health consciousness is helpful to some extent in expanding sales of products like citronella oil. Its possible incorporation into products intended for sleep, stress, and relaxation supports the present market trends.
Newark, Aug. 01, 2024 (GLOBE NEWSWIRE) -- The Brainy Insights estimates that the USD 474.96 million in 2023 global Citronella Oil market will reach USD 793.03 million by 2033. Citronella oil is diverse and more friendly to the environment than synthetic chemicals. With growing awareness regarding ecological balance or environmental Pest control and farming techniques, the requirement for eco-friendly insecticides such as citronella oil is expected to show an upward trend. Besides, it is important to note that techniques for extracting the oil and producing citronella are also being improved and developed, improving efficiency and quality. Better technologies are also reducing production costs and making the technological possibilities of usage more broadly applicable and the range of possible niches larger. Furthermore, with the popularity of e-business platforms, citronella oil manufacturers have a more extensive range of outlets for their products. Selling products and goods online directly reaches the consumer and enhances product differentiation, pushing penetration.
Asia Pacific is expected to witness the highest market growth over the forecast period.
The global focus in the recent past has shifted to natural and organic products, especially essential oils such as citronella oil. This trend is even more evident in Asia, where consumers seek natural products for body and facial care, cosmetics, and home care products. On the same note, a rising middle-income group in nations such as China, India, and Indonesia contributes significantly to the increasing demand for personal care and wellness. Demographic changes lead to the need for citronella oil as a product for sale and citronella as an ingredient in other products. In addition, various governments in the Asia Pacific region proactively promote the agriculture sector, amongst which citronella grass. Strategies implemented to support exportation, subsidies, and even encourage small-scale farmers to grow essentials for producing essential oils are supporting the market.
In 2023, the java citronella segment dominated the market with the largest share of 62.49% and revenue of 296.80 million.
The type segment is divided into ceylon citronella and java citronella. In 2023, java citronella segment dominated the market with the largest share of 62.49% and revenue of 296.80 million.
In 2023, the food grade segment dominated the market with the largest share of 51.07% and revenue of 242.56 million.
The grade segment is classified into aromatherapy, food grade and others. In 2023, the food grade segment dominated the market with the largest share of 51.07% and revenue of 242.56 million.
In 2023, the food segment dominated the market with the largest share of 34.18% and revenue of 162.34 million.
The application segment includes cosmetic, detergent, perfume, food, pharmaceutical and others. In 2023, the food segment dominated the market with the largest share of 34.18% and revenue of 162.34 million.
Report Scope and Segmentation –
Report Coverage
Details
Forecast Period
2024-2033
Forecast CAGR
5.26%
2033 Value Projection
USD 793.03 Million
Market Size in 2023
USD 474.96 Million
Historical Data
2020-2022
No. of Pages
238
Report Coverage
Revenue Forecast, Company Profiles, Competitive Landscape, Growth Factors and Latest Trends
Segments Covered
Type, Grade and Application
Regions Covered
The regions analyzed for the market are Asia Pacific, Europe, South America, North America, and Middle East & Africa. Furthermore, the regions are further analyzed at the country level.
Citronella Oil Market Growth Drivers
Increasing Need for Natural and Organic Products Rising Awareness About Health Benefits The popularity of Aromatherapy
Advancement in market
In 2023: Hainan Xinglongxiang Natural Products Co., Ltd., a top citronella oil producer in Hainan Province, was acquired by Guangxi Tianyuan Aroma Chemicals Co., Ltd. This addition has bolstered Guangxi Tianyuan Aroma Chemicals' standing as China's premier citronella oil provider.
Due to its flexibility in utility, citronella oil has gained a lot of market value and hence is considered a valuable commodity. Aromatherapy is believed to have sedative effects and is normally incorporated in massage creams and humidifiers to make individuals relax and deal with stress. Within the pharmaceutical industry, citronella oil is incorporated in topical products in light of the doubtful antimicrobial activities, where it is used in treating skin and minor infection scourges. Also, the important property of sweet-scented citrus notes, along with the natural insecticide characteristic of this oil, makes it suitable for use as an insect repellent as well as in the production of outdoor candles popular, are among the consumer demand for effective natural products. The food and beverage industry also uses citronella oil to enhance flavouring, especially in drinks and in the production of sweets products due to the citrus-like taste of the oil. Therefore, the versatile uses of citronella oil further highlight the product’s versatility and potential to contribute towards positive growth in industries as diverse as beauty and health, personal, household and global consumer products.
Restraint: Supply chain issues.
The feasibility of producing citronella oil depends on the existence and cultivation of citronella grass. Climatic conditions, agricultural practices, and geopolitical changes may affect its supply chain to a greater extent. Citronella grass grows well in regions with tropical weather conditions, moderate rainfall, and sunshine; therefore, if the climatic conditions differ, the plant's growth and production of citronella oil will be compromised. As much as environmental factors shape the output, other practices such as soil health, watering regime and pest control also affect the amount and quality of citronella grass produced. Any changes in these respective practices or the environment could affect crop yields and hence impact the availability of citronella oil. Also, issues like trade barriers, political instabilities, and war affect the supply chain of citronella grass and its transportation from one country to another. Such disruptions can also compound the problems in the supply chain, which in turn may cause a scarcity of citronella oil and fluctuations in its prices.
Opportunity: Increased use in natural insect repellents.
As people are concerned about the toxicity and the ecological impact of chemicals used in treating insects, there lies great potential for citronella oil to fill this natural gap. With increasing awareness and consciousness of the composition of products used in the bottle and body, there is a current and emerging need for advanced yet environmentally friendly insect repellents. Citronella oil sourced from citronella grasses also looks appropriate in light of its natural origin and relative efficacy in fending off insects. Its sweet orange scent is recognized and applied to remove insects and pests. Citronella oil is ideal for those pursuing natural solutions rather than synthetic chemicals. In this regard, refining sources of insect-repellent products that contain citronella oil to be more friendly for consumers can exploit this demand. Some are packaged as sprays, lotions, candles, and diffusers where citronella oil is included to suit the various users’ tastes and physical activities. These products prevent insect attacks and are also a perfect fit for customers who are conscious of sustainability and are moving to naturally sourced and friendly products. Based on safety, effectiveness and environmental friendliness, citronella oil-based repellent producers could successfully address the market by focusing on natural rather than chemicals-based products. It was evident that with increased consumer demand and environmental conservation consciousness, citronella oil held a significant belief in dictating the insect repellent solutions that may be in the future.
Challenge: Regulatory hurdles.
The regulatory requirements are usually divided into a few categories: the purity standard, the product's chemical makeup, labelling rules and packaging constraints. Producers must ensure their citronella oil complies with these standards to encourage product safety and efficiency. This procedure requires much testing and, most importantly, documentation to prove that the company has complied with the set requirements, and this, in most cases, proves to be expensive for companies and manufacturing firms; in the long run, this process proves to be expensive, especially to the new firms or the small firms that are venturing into the market. Also, certain rules and regulations under these laws may vary with the regions; thus, the producers, whether multinational or exporting their products globally, must understand and follow the law as required. Depending on where the business will be located, the barriers to entry and market expansion may be even more significant due to control differences that can affect the need for continuous monitoring and adjustment to these guidelines. However, it is also crucial to note that where the citronella oil producers are located may also increase their problem when there are changes in regulations or new standards that must be implemented. Accepting these changes involves certain costs in terms of time and money spent on research and development, alterations in the business processes, and sometimes even the need to reformulate the products in light of the new guidelines set by the regulating authorities.
Some of the major players operating in the global Citronella Oil market are:
• Ancient Living Products Private Limited • Artizen Oils • Aroma Treasures • BRM Essential Oils • doTERRA International • Greenleaf Extractions Pvt. Ltd. • Inatur Herbals • Khadi Pure Gramodyog • Kanta-group • Kama Ayurveda • Mesmara Botanics Private Limited • Meena Perfumery • Organic Harvest • Plant Therapy • PT Karimun Kencana Aromatics • The Essential Oils Company • VanAroma • Young Living Essential Oils • Yunnan Aroma Source Manufacturing Co. Ltd.
• North America (U.S., Canada, Mexico) • Europe (Germany, France, the UK, Italy, Spain, Rest of Europe) • Asia-Pacific (China, Japan, India, Rest of APAC) • South America (Brazil and the Rest of South America) • The Middle East and Africa (UAE, South Africa, Rest of MEA)
The market is analyzed based on value (USD Million) and volume (Tons). All the segments have been analyzed worldwide, regional, and country basis. The study includes the analysis of more than 30 countries for each part. The report analyses driving factors, opportunities, restraints, and challenges to gain critical market insight. The study includes Porter's five forces model, attractiveness analysis, Product analysis, supply, and demand analysis, competitor position grid analysis, distribution, and marketing channels analysis.
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