Global Aroma Ingredients Market is Expected to Reach $16,252.4 Million by 2026


quote One of the major factors that drives the growth of the global aroma ingredients market includes upsurge in usage of aroma ingredients in soaps, creams, shampoos, perfumes, deodorants, and colognes. In addition, increase in demand for exclusive cosmetic & personal care products is driving the growth of the market, globally. quote

According to Shankar Bhandalkar
Sr. Research Analyst, Consumer Goods at Allied Market Research

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According to a new report published by Allied Market Research, titled, "Aroma Ingredients Market by Type and Application: Global Opportunity Analysis and Industry Forecast, 2018-2025," the global aroma ingredients market size was valued at $11,391.0 million in 2018, and is expected to grow at a CAGR of 4.6% to reach $16,252.4 million by 2026. Aroma ingredients are complex compounds that are added to cosmetics, personal care & home care, toiletries, and skin care products to impart the desired fragrance. Aroma ingredients consist of natural ingredients extracted from fruits, flowers, and herbs & spices and synthetic compounds such as terpenes, benzenoids, musk chemicals, and others.

The growth of the global aroma ingredients market is driven by upsurge in demand for consumer care and personal care products. Furthermore, increase in awareness about aromatherapy, owing to improvement in living standards has boosted the growth of the market. 

Aroma ingredients are majorly applicable across the personal care industry. They play a major role in the production of soaps, shampoos, and detergents. They are infused with other ingredients such as essential oils in deodorants, perfumes, and colognes to impart the desired, long-lasting fragrance. The other applications of the aroma ingredient include air fresheners, car fresheners and scented candles. Thus, all these factors collectively contribute toward the global aroma ingredients market growth.

However, stringent government regulations related to the use of aroma ingredients and increase in health concerns regarding skin diseases restrain the growth of the aroma ingredients market. Concededly, major leading players focus on developing and launching new aroma ingredients, which is anticipated to have a positive impact on the growth of the market during the forecast period. High growth potential from emerging economies and product innovations by the perfumery industry and cosmetics manufacturers are expected to offer remunerative opportunities to the market.

Key Findings of the Aroma Ingredients Market:

  • In 2018, based on type, the natural segment accounted for around 41% of the aroma ingredients market share, registering a CAGR of 5.2% from 2019 to 2026.
  • The homecare segment garnered a share of 49%, and is expected to growth at the highest CAGR of 4.4%.
  • By application, personal care and fine fragrances & perfumes are anticipated to grow at significant CAGRs of 4.9% and 5.2%, respectively.

In 2018, based on region, the aroma ingredients market was dominated by North America and Europe as the major market with 62% market share and are expected to witness a CAGR of 4.9% and 4.0% during the forecast period. 

The key players operating in the global aroma ingredients industry include BASF SE, Firmenich SA, Givaudan, International Flavors & Fragrances Inc. (IFF), Robertet SA, S H Kelkar and Company Limited., Sensient Technologies Corporation, Symrise, T. Hasegawa Co., Ltd., and Takasago International Corporation.

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quote Aroma Ingredients Market by Type (Synthetic Ingredients and Natural Ingredients) and Application (Homecare, Personal Care, Fine Fragrances, and Perfumes, Others): Global Opportunity Analysis and Industry Forecast, 2019–2026 quote

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