U.S.: Essential Oils Market 2023

Essential Oils Market Size in the U.S.

The U.S. essential oils market amounted to $X in 2021, picking up by 8.6% against the previous year. Overall, the total consumption indicated a strong increase from 2012 to 2021: its value increased at an average annual rate of +10.2% over the last nine years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, consumption decreased by -0.3% against 2018 indices. Essential oils consumption peaked at $X in 2018; however, from 2019 to 2021, consumption failed to regain momentum.

Essential Oils Production in the U.S.

In value terms, essential oils production totaled $X in 2021. Overall, production showed a significant contraction. The most prominent rate of growth was recorded in 2020 when the production volume decreased by 99.9%. Over the period under review, production attained the peak level at $X in 2019; however, from 2020 to 2021, production remained at a lower figure.

Essential Oils Exports

Exports from the U.S.

Essential oils exports from the United States fell modestly to X tons in 2021, declining by -1.8% on 2020 figures. The total export volume increased at an average annual rate of +2.1% over the period from 2012 to 2021; the trend pattern remained relatively stable, with only minor fluctuations throughout the analyzed period. The most prominent rate of growth was recorded in 2017 when exports increased by 29%. As a result, the exports reached the peak of X tons. From 2018 to 2021, the growth of the exports remained at a lower figure.

In value terms, essential oils exports amounted to $X in 2021. In general, total exports indicated a prominent increase from 2012 to 2021: its value increased at an average annual rate of +6.3% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, exports increased by +6.2% against 2018 indices. The pace of growth appeared the most rapid in 2014 with an increase of 17%. Over the period under review, the exports attained the maximum in 2021 and are expected to retain growth in years to come.

Exports by Country

Canada (X tons), Mexico (X tons) and the Netherlands (X tons) were the main destinations of essential oils exports from the United States, with a combined 34% share of total exports. These countries were followed by China, Japan, the UK, Malaysia, Germany, Singapore, Ireland, Indonesia, Switzerland and Australia, which together accounted for a further 41%.

From 2012 to 2021, the most notable rate of growth in terms of shipments, amongst the main countries of destination, was attained by Malaysia (with a CAGR of +26.3%), while the other leaders experienced more modest paces of growth.

In value terms, China ($X), the Netherlands ($X) and Mexico ($X) appeared to be the largest markets for essential oils exported from the United States worldwide, together comprising 33% of total exports. These countries were followed by Canada, Japan, Ireland, Malaysia, the UK, Germany, Singapore, Australia, Switzerland and Indonesia, which together accounted for a further 42%.

Among the main countries of destination, Malaysia, with a CAGR of +56.2%, recorded the highest rates of growth with regard to the value of exports, over the period under review, while shipments for the other leaders experienced more modest paces of growth.

Export Prices by Country

The average essential oils export price stood at $X per ton in 2021, surging by 8.7% against the previous year. Over the period from 2012 to 2021, it increased at an average annual rate of +4.1%. The pace of growth appeared the most rapid in 2018 an increase of 15%. Over the period under review, the average export prices hit record highs in 2021 and is expected to retain growth in the immediate term.

There were significant differences in the average prices for the major export markets. In 2021, the country with the highest price was China ($X per ton), while the average price for exports to Canada ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to Malaysia (+23.7%), while the prices for the other major destinations experienced more modest paces of growth.

Essential Oils Imports

Imports into the U.S.

Essential oils imports into the United States reduced modestly to X tons in 2021, which is down by -2.2% against the previous year's figure. The total import volume increased at an average annual rate of +4.0% over the period from 2012 to 2021; the trend pattern remained relatively stable, with only minor fluctuations being observed throughout the analyzed period. The most prominent rate of growth was recorded in 2013 with an increase of 24%. Over the period under review, imports reached the peak figure at X tons in 2020, and then shrank in the following year.

In value terms, essential oils imports rose rapidly to $X in 2021. Overall, total imports indicated a prominent increase from 2012 to 2021: its value increased at an average annual rate of +6.4% over the last nine-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. The pace of growth appeared the most rapid in 2017 with an increase of 19%. Over the period under review, imports reached the maximum at $X in 2018; however, from 2019 to 2021, imports remained at a lower figure.

Imports by Country

In 2021, Brazil (X tons) constituted the largest essential oils supplier to the United States, with a 27% share of total imports. Moreover, essential oils imports from Brazil exceeded the figures recorded by the second-largest supplier, India (X tons), twofold. The third position in this ranking was held by Mexico (X tons), with a 12% share.

From 2012 to 2021, the average annual rate of growth in terms of volume from Brazil was relatively modest. The remaining supplying countries recorded the following average annual rates of imports growth: India (+5.1% per year) and Mexico (+6.5% per year).

In value terms, the largest essential oils suppliers to the United States were India ($X), France ($X) and China ($X), with a combined 32% share of total imports. These countries were followed by Brazil, Mexico, Argentina, Indonesia, Canada, Italy, Germany, Spain and Costa Rica, which together accounted for a further 40%.

Italy, with a CAGR of +9.7%, recorded the highest growth rate of the value of imports, among the main suppliers over the period under review, while purchases for the other leaders experienced more modest paces of growth.

Import Prices by Country

The average essential oils import price stood at $X per ton in 2021, rising by 12% against the previous year. Over the last nine years, it increased at an average annual rate of +2.3%. The most prominent rate of growth was recorded in 2014 when the average import price increased by 21%. Over the period under review, average import prices attained the peak figure at $X per ton in 2018; however, from 2019 to 2021, import prices remained at a lower figure.

There were significant differences in the average prices amongst the major supplying countries. In 2021, the country with the highest price was France ($X per ton), while the price for Costa Rica ($X per ton) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Brazil (+4.1%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform

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