United Arab Emirates: Essential Oils Market 2023

Essential Oils Market Size in the United Arab Emirates

The essential oils market in the United Arab Emirates soared to $X in 2021, picking up by 249% against the previous year. Overall, consumption showed a significant increase. As a result, consumption reached the peak level and is likely to continue growth in the immediate term.

Essential Oils Production in the United Arab Emirates

In value terms, essential oils production rose modestly to $X in 2021 estimated in export price. Overall, production posted a significant expansion. The pace of growth appeared the most rapid in 2018 with an increase of 396%. Essential oils production peaked at $X in 2019; however, from 2020 to 2021, production remained at a lower figure.

Essential Oils Exports

Exports from the United Arab Emirates

In 2021, overseas shipments of essential oils decreased by -1.6% to X tons, falling for the second year in a row after five years of growth. Over the period under review, exports, however, enjoyed a significant increase. The pace of growth was the most pronounced in 2018 with an increase of 284%. Over the period under review, the exports reached the peak figure at X tons in 2019; however, from 2020 to 2021, the exports stood at a somewhat lower figure.

In value terms, essential oils exports totaled $X in 2021. Overall, exports, however, continue to indicate a significant expansion. The most prominent rate of growth was recorded in 2018 with an increase of 268% against the previous year. As a result, the exports reached the peak of $X. From 2019 to 2021, the growth of the exports remained at a lower figure.

Exports by Country

Saudi Arabia (X tons), Kyrgyzstan (X tons) and India (X tons) were the main destinations of essential oils exports from the United Arab Emirates, with a combined 57% share of total exports.

From 2012 to 2021, the most notable rate of growth in terms of shipments, amongst the main countries of destination, was attained by Kyrgyzstan (with a CAGR of +518.7%), while the other leaders experienced more modest paces of growth.

In value terms, Saudi Arabia ($X) remains the key foreign market for essential oils exports from the United Arab Emirates, comprising 29% of total exports. The second position in the ranking was held by Italy ($X), with an 11% share of total exports. It was followed by Oman, with an 8.3% share.

From 2012 to 2021, the average annual growth rate of value to Saudi Arabia totaled +32.6%. Exports to the other major destinations recorded the following average annual rates of exports growth: Italy (+152.3% per year) and Oman (+66.3% per year).

Export Prices by Country

In 2021, the average essential oils export price amounted to $X per ton, growing by 2.4% against the previous year. Overall, the export price saw pronounced growth. The most prominent rate of growth was recorded in 2015 an increase of 49%. As a result, the export price reached the peak level of $X per ton. From 2016 to 2021, the average export prices remained at a lower figure.

There were significant differences in the average prices for the major foreign markets. In 2021, the country with the highest price was Singapore ($X per ton), while the average price for exports to Democratic Republic of the Congo ($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 Italy (+12.3%), while the prices for the other major destinations experienced mixed trend patterns.

Essential Oils Imports

Imports into the United Arab Emirates

After three years of decline, overseas purchases of essential oils increased by 0.6% to X tons in 2021. Over the period under review, imports posted a mild increase. The pace of growth was the most pronounced in 2014 when imports increased by 130%. Over the period under review, imports attained the maximum at X tons in 2015; however, from 2016 to 2021, imports stood at a somewhat lower figure.

In value terms, essential oils imports skyrocketed to $X in 2021. In general, imports saw a temperate expansion. The most prominent rate of growth was recorded in 2014 when imports increased by 88%. Over the period under review, imports attained the peak figure at $X in 2015; however, from 2016 to 2021, imports stood at a somewhat lower figure.

Imports by Country

Saudi Arabia (X tons), the United States (X tons) and India (X tons) were the main suppliers of essential oils imports to the United Arab Emirates, together comprising 54% of total imports. These countries were followed by the UK, France, Bahrain, Germany, China, Austria, Spain, Singapore, Malaysia and Brazil, which together accounted for a further 37%.

From 2012 to 2021, the biggest increases were in Austria (with a CAGR of +82.6%), while purchases for the other leaders experienced more modest paces of growth.

In value terms, the largest essential oils suppliers to the United Arab Emirates were India ($X), France ($X) and the United States ($X), together accounting for 47% of total imports. These countries were followed by the UK, Spain, Austria, Saudi Arabia, Germany, Singapore, China, Bahrain, Malaysia and Brazil, which together accounted for a further 32%.

Bahrain, with a CAGR of +107.0%, saw the highest rates of growth with regard to 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, picking up by 22% against the previous year. In general, import price indicated a slight increase from 2012 to 2021: its price increased at an average annual rate of +1.3% over the last nine years. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2021 figures, essential oils import price increased by +35.9% against 2018 indices. The most prominent rate of growth was recorded in 2016 an increase of 59%. As a result, import price reached the peak level of $X per ton. From 2017 to 2021, the average import prices failed to regain momentum.

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

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Bahrain (+14.0%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform

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