Peppermint Oil Market Research, 2031
The global peppermint oil market was valued at $331.7 million in 2021, and is projected to reach $658.2 million by 2031, growing at a CAGR of 6.6% from 2022 to 2031.
The peppermint oil industry is segmented into by Product Type, by Application and by Distributional Channel.
Peppermint essential oil is steam distilled from the fragrant herb, primarily composed of the chemical components of menthol and menthone. Peppermint oil is used in aromatherapy for acne, dermatitis, asthma, bronchitis, digestive problems, colds, headaches, and fatigue. Peppermint oil has shown to be effective in the treatment of Irritable Bowel Syndrome (IBS) symptoms in several meta-analyses. However, the level of evidence is moderate and peppermint oil remains relatively underused in IBS.
U.S. has approximately 21 million adults who have experienced at least one major depression, which has increased demand for essential oils aromatherapy. Furthermore, people's shifting preferences from man-made drugs to organic therapeutic methods to ensure their own well-being while leaving a minimal environmental footprint is another major factor driving peppermint oil market revenue growth. According to data from the Centers for Disease Control and Prevention from 2019, 5.8 million people in the U.S. have Alzheimer's disease and related dementias, with 5.6 million of them being 65 years of age or older and around 200,000 having the disease at a younger age, which results in increasing preferences for peppermint oil for spa and relaxation centers globally.
Peppermint oil is mostly used as a flavoring substance in food, as a fragrance in cosmetic & hygienic products, and as a cooling & anti-itching agent in topical pharmaceutical products. Peppermint oil is used in the management of irritable bowel syndrome (IBS). The oil is extracted from the steam peppermint leaves and flowers of menthna and mentha piperita L. plant. It is a popular organic oil used for aromatherapy for internal and external uses. Peppermint oil is widely used in aromatherapy for treating stomach infections, headache, asthma, and other respiratory problems. Manufacturers provide peppermint oil in various proportions such as highly concentrated or diluted and are available in several varieties such as Black Mitcham, Todd Mitcham, and others. It is mainly used as a flavoring agent in chewing gums and toothpaste. An increase in the number of spa and relaxation centers has fueled the growth of this segment. The rise in awareness regarding the benefits of peppermint oil boosts its adoption among consumers. Young Living Essential Oils and Avi Naturals are the two peppermint essential oil producing companies.
The factors that restrict the market growth are high price of peppermint oil, availability of synthetic substitutes, and limited availability of raw materials. Government support and favorable regulations are expected to offer lucrative opportunities for market growth. Moreover, steady rise in demand for natural aromatic fragrances and flavors in spa and relaxation applications along with cosmetics is anticipated to promote the demand for peppermint oil during the forecast period. The global consumer goods industry is impacted profoundly amidst the outbreak of the coronavirus. The outbreak was first witnessed in China resulting in lockdown and ceasing of production activities across the country. The demand for peppermint oil is expected to slightly taper across the world, owing to supply chain disruptions and implementation of stringent restrictions to follow social distancing & consistent lockdown across the world.
Peppermint oil products are expensive as they are 100% natural. Extraction of these oils requires parts of plants such as flowers, stems, leaves, and roots. A small quantity of essential oil requires a huge amount of raw material. Limited availability of raw materials in the market and long extraction process makes the oil expensive. In addition, there are limited extraction processes available in the market such as steam, water, and cold pressed distillation. Thus, the lack of sufficient extraction technologies increases the price of peppermint oils.
The impending requirement of introducing natural elements to treat diseases and for high nutrition diets, mandated by the FDA is an aspect that would reflect a positive market growth. The market growth would be largely influenced by the advent of novel usage of peppermint oil in various applications such as flavor & fragrance, aromatherapies, and others. Healing benefits are expected to be instrumental in governing peak sales and market penetration of market-approved essential oils.
With a wide-scale adoption of peppermint oil in industrial, commercial, and household applications, the global peppermint oil market is expected to grow at an exponential rate. The commercial developments in relaxation and pharmaceutical industries occurring particularly in the developing economies are expected to boost the adoption of peppermint oil. The pharmaceutical and personal care & cosmetic sectors are anticipated to emerge as a lucrative market opportunity owing to the presence of promising peppermint oil.
An increase in preference for natural substances over hybrid substances is an added advantage for the government. Various government organizations, such as FDA, are keen on the adoption of natural ingredients in food, drugs, and cosmetic items which is expected to lead to a better quality of life. Government support and regulations offer several market opportunities to the operating players in the market.
Articles on the internet about product launch and celebrity endorsements are significantly increasing in the market for peppermint oil market. Consumer preference toward the consumption of organic products has forced manufacturers to focus on the use of organic essential oil in their products which include shampoos, soap, and other cosmetic products. The utilization of peppermint oils in the personal care sector includes body scrubs, exfoliating gel, foot creams, dandruff shampoo, and creams.
According to National Center for Complementary and Integrative Health (NCCIH) sources most peppermint oil research has found its impact on irritable bowel syndrome (IBS). There is some evidence to suggest that enteric-coated, diluted peppermint oil can reduce the symptoms of IBS. It is a chronic digestive condition that causes abdominal pain and frequent bouts of diarrhea and constipation. Researchers believe that menthol, which is a component of peppermint oil, reduces abdominal spasms by blocking the movement of calcium across the intestinal membrane.
The market in the Asia-Pacific region offers lucrative growth opportunities for market players. Large consumer base along with rising disposable income of consumers provides lucrative opportunities for the market players. This region offers potential opportunities to market players for peppermint oil. Therefore, manufacturers are now focusing on expanding their business in this region to increase their customer base and improve their geographical outreach.
Moreover, countries in Latin America, such as Brazil, would unfold attractive opportunities during the forecast period due to favorable government policies, large-scale privatization, and combating unfair competition. The region experienced overall growth in terms of the adoption of peppermint oil. Middle East possesses high market potential; thus, global players are in the process of expanding their operations. Medical and spa & relaxation sectors drive the market for peppermint oil. In addition, increased usage of peppermint oil in healthcare can surge the peppermint oil market demand in the region.
According to the peppermint oil market analysis, the market is segmented on the basis of product type, application, distribution channel, and region. As per product type, the market is classified into natural peppermint oil and conventional peppermint oil. Depending on application, it is segmented into food & beverages, medical, cleaning & home, spa & relaxation, and others. According to distribution channel, the market is further segmented into direct distribution, MLM (multi-level marketing), retail distribution, and others. Region-wise, the peppermint oil market forecast across North America, Europe, Asia-Pacific, and LAMEA.
Based on product type, the market is classified into natural peppermint oil and conventional peppermint oil. Among these, the natural peppermint oil segment occupied the major share of the market in 2021 and is projected to maintain its dominance during the forecast period. Manufacturers worldwide are facilitating the incorporation of natural peppermint oil to improve the taste, flavor, and aroma of food & beverage products while satisfying customers' desire for natural ingredients.
Based on application, the food & beverages segment is anticipated to grow at the highest rate during the forecast period, owing to various industries that are now transitioning toward the adoption of peppermint oils to address the rise in concerns for health safety and the increase in demand for natural ingredients in products. Due to strict government regulations regarding food safety and a limit on the usage of synthetic flavors and essence, peppermint oils are gaining popularity in the food & beverages industry. Being natural and authentic in nature, peppermint oils are considered a “Green Solution” for being used as an ingredient in food items.
Based on the distribution channel, the direct distribution segment held the major peppermint oil market size 2021 and is projected to maintain its dominance during the forecast period. The other (e-commerce, supermarket, and hypermarket) segment is anticipated to grow at the highest CAGR in the future. Various industries are now transitioning toward the adoption of peppermint oils to address the rise in concerns for health safety and the increase in demand for natural ingredients in products. Furthermore, the surge in instances of side-effects of synthetic chemical substances in day-to-day products has led to the adoption of peppermint oils in various daily-use products ranging from candles to soaps and disinfectants.
Based on region, North America has the highest peppermint oil market share in 2021. North America occupied the largest market share of around 38.7% in the peppermint oil market in 2021. The North America peppermint oil market is the dominating region in terms of revenue generation. This is attributed to the strong presence of food & beverage and pharmaceutical industries, rise in demand by consumers, the surge in consumer awareness, and increase in the use of body care & cosmetic products, which is fueling the market growth of North American essential oil. In addition, rising consumer concerns regarding the consequences of chemical substances in food items and the benefits of essential oils are the factors driving the peppermint oil market growth in the region.
The players in the peppermint oil market have adopted acquisition and product launches as their key development strategies to increase profitability and improve their position in the market.The prominent players analyzed in this report include Aksu Vital Natural Products and Cosmetics, Aromaaz International, doTerra, Greenleaf Extractions Pvt. Ltd., Lebermuth, Inc., Melaleuca Inc., Mountain Rose Herbs, NOW Foods, Plant Therapy Essential Oils, and Young Living Essential Oils.
Key Benefits For Stakeholders
- This report provides a quantitative analysis of the market segments, current trends, estimations, and dynamics of the peppermint oil market analysis from 2021 to 2031 to identify the prevailing peppermint oil market opportunities.
- The market research is offered along with information related to key drivers, restraints, and opportunities.
- Porter's five forces analysis highlights the potency of buyers and suppliers to enable stakeholders make profit-oriented business decisions and strengthen their supplier-buyer network.
- In-depth analysis of the peppermint oil market segmentation assists to determine the prevailing market opportunities.
- Major countries in each region are mapped according to their revenue contribution to the global market.
- Market player positioning facilitates benchmarking and provides a clear understanding of the present position of the market players.
- The report includes the analysis of the regional as well as global peppermint oil market trends, key players, market segments, application areas, and market growth strategies.
Peppermint Oil Market Report Highlights
| Aspects | Details |
 Market Size By 2031 | USD 658.2 million |
 Growth Rate | CAGR of 6.6% |
 Forecast period | 2021 - 2031 |
 Report Pages | 262 |
 By Product Type |
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 By Application |
|
 By Distributional Channel |
|
 By Region |
|
 Key Market Players | D?TERRA, Aksu Vital Natural products and Cosmetics, Mountain Rose Herbs, NOW FOODS, Aromaaz International, Lebermuth, Inc, Young Living Essential Oils, Greenleaf Extractions Pvt Ltd, Melaleuca Inc, Plant Therapy Essential Oils |
Analyst Review
According to the insights of CXOs of leading companies, the peppermint oil market holds high potential in the food & beverage industry. Presently, the peppermint oils market is dominated by natural peppermint oil; however, conventional peppermint oil generated a notable revenue in 2021 and is expected to gain significant market share during the forecast period. Moreover, regulations imposed by the U.S. Food and Drug Administration on essential and organic oils used as flavors and regulations imposed by Consumer Product Safety Commission on air fresheners, and household cleansers are expected to limit the North American market growth during the forecast period.
The impending requirement of introducing natural elements to treat diseases and for high nutrition diets, mandated by the FDA is an aspect that would reflect a positive market growth. The market growth would be largely influenced by the advent of novel usage of peppermint oil in various applications such as flavor & fragrance, aromatherapies, and others. Healing benefits are expected to be instrumental in governing peak sales and market penetration of market-approved essential oils.
With a wide scale adoption of peppermint oil in industrial, commercial, and household applications, the global peppermint oil market is expected to grow at an exponential rate. The commercial developments in relaxation and pharmaceutical industries occurring, particularly in the developing economies are expected to boost the adoption of peppermint oil. The pharmaceutical and personal care & cosmetic sectors are anticipated to emerge as a lucrative market opportunity owing to the presence of promising peppermint oil.
Use of peppermint oil as a flavoring substance in food, as a fragrance in cosmetic & hygienic products, and as a cooling & anti-itching agent in topical pharmaceutical products are the upcoming trends of peppermint oil market in the world.
Based on product type, the natural peppermint oil segment occupied the major share of the market in 2021 and is projected to maintain its dominance during the forecast period.
North America occupied the largest market share of around 38.7% in the peppermint oil market in 2021.
The global peppermint oil market was valued at $331.7 million in 2021, and is projected to reach $658.2 million by 2031, registering a CAGR of 6.6% from 2022 to 2031.
The prominent players analyzed in this report include Aksu Vital Natural Products and Cosmetics, Aromaaz International, D?TERRA, Greenleaf Extractions Pvt. Ltd., Lebermuth, Inc., Melaleuca Inc., Mountain Rose Herbs, NOW Foods, Plant Therapy Essential Oils, and Young Living Essential Oils.
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