Global Eucalyptus Oil Market Scenario Highlighting Major Drivers & Trends, 2017-2022

Posted on 2019-01-03 by Mark Hub in Food & Beverage // 0 Comments

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Eucalyptus oil is derived from the eucalyptus leaves. Eucalyptus trees are originally found in Australia. However, they are being cultivated across the globe as well to cater rising demand from various manufacturers. A group of selected eucalyptus leaves undergo steam distillation process for extraction of eucalyptus oil. Eucalyptus oil offers anti-oxidant protection, stimulates immunity, and improves respiratory circulation.

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Demand for eucalyptus oil for applications in aromatherapy has been gaining an uptick over the past few years, along with rising demand for flavors & fragrances in personal care, and food & beverage products. Shifting consumer preferences towards natural-ingredient based products has resulted into the development of several innovative applications in beauty products. Eucalyptus oil is observed to resolve all side-effects associated with conventional medicines and drugs. In addition, antiseptic properties of eucalyptus oil have led to its adoption in medicinal supplements and pharmaceutical products, helping consumers with high blood pressure and respiratory problems.

However, an unreasonably huge quantity of eucalyptus leaves is required for creating a single ounce of eucalyptus oil. Moreover, consumers, as well as manufacturers, are increasingly concerned about resource depletion. Production of eucalyptus oil is an expensive procedure, requiring tremendous capital investment for advanced equipment. The global market for eucalyptus oil is highly concentrated, with leading players creating huge entry barriers to new entrants. Additionally, these market players are focusing on overcoming numerous challenges including high capital costs, and certification by the government, which stands as major restraining factors for growth of the Global Eucalyptus Oil Market.

The global eucalyptus oil market is anticipated to register a sluggish CAGR during 2017 to 2022. Sales of eucalyptus oil around the world are expected to reach nearly US$ 900 Mn in revenues by 2022-end.

Eucalyptus Globulus will Continue to be Sought-after among Products in the Market

Eucalyptus globulus will continue to be sought-after in the market among products, in terms of revenues. Sales of eucalyptus polybractea are expected to exhibit the highest CAGR through 2022. On the other hand, sales of eucalyptus kochii will continue to register the lowest CAGR in the market throughout the forecast period.

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Europe is expected to remain the most lucrative region for growth of the eucalyptus oil market, with sales exhibiting a steady CAGR through 2022. In terms of revenues, the market in Europe is expected to account for nearly one-half share of the market over the forecast period. The markets for eucalyptus oil in North America, Asia Pacific excluding Japan (APEJ), and Middle East & Africa (MEA) are estimated to exhibit a sluggish growth through 2022.

On the basis of nature, natural eucalyptus oil is expected to remain preferred in the global market, with sales exhibiting a moderate CAGR through 2022. Demand for organic eucalyptus oil will remain relatively lower than natural eucalyptus oil in the market.

Eucalyptus Oil to Witness the Largest Application in Food & Beverages

In terms of revenues, eucalyptus oil is expected to continue witnessing the largest demand in food & beverage applications, followed by aromatherapy and therapeutics application. Fragrances application of eucalyptus oil will continue to exhibit the lowest CAGR in the market through 2022.

Although modern trade continues to be the largest distribution channel in the global eucalyptus oil market, sales in online distribution channel will continue to register the fastest expansion through 2022. However, sales of eucalyptus oil in online distribution channel will continue to account for the lowest revenues, as compared to other distribution channel segments in the global eucalyptus oil market.

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