“Global Vanilla Oil Market to reach a market value of USD 1.6 Billion by 2031 growing at a CAGR of 4%”
The Global Vanilla Oil Market size is expected to reach $1.6 billion by 2031, rising at a market growth of 4.0% CAGR during the forecast period. In the year 2023, the market attained a volume of 3,144.63 tonnes, experiencing a growth of 15.9% (2020-2023).
Vanilla oil is a natural ingredient often preferred over synthetic alternatives in healthcare products. Its gentle nature makes it suitable for sensitive skin products and formulations for individuals seeking natural, less irritating options. Hence, in 2023, the healthcare segment held 18% revenue share in the market. In terms of volume, 1,071.82 tonnes of vanilla oils are expected to be utilized in Healthcare by the year 2031. Vanilla oil contains antioxidants that can help combat oxidative stress and inflammation. These properties are beneficial in various healthcare applications, including skin care treatments and formulations to reduce inflammation and promote overall skin health.
Consumers are increasingly aware of the potential health risks associated with synthetic additives and artificial flavours. Natural flavours, including vanilla oil, are perceived as healthier and more wholesome, leading to greater demand for such ingredients in food and beverages. The clean label movement emphasizes transparency in ingredient lists and a preference for natural over synthetic ingredients. Thus, the rising demand for natural flavours drives the market's growth.
Additionally, the wellness industry is expanding rapidly, with consumers seeking products that enhance physical and mental health. Vanilla oil is used in various wellness products, including essential oil blends, massage, and bath products, driving demand in this sector. Vanilla oil’s pleasant aroma and soothing properties make it a sought-after ingredient in personal care and beauty products. It is used in lotions, creams, and body scrubs, contributing to the growing popularity of wellness and self-care routines. Hence, the popularity of aromatherapy and wellness products is propelling the market's growth.
However, Vanilla cultivation is highly labour-intensive. It involves hand-pollinating flowers, carefully harvesting beans, and curing them over several months. This labour-intensive process contributes to the high cost of raw vanilla beans. The curing and processing of vanilla beans into vanilla oil also requires specialized techniques and a significant amount of time. These processes add to the overall cost of producing natural vanilla oil. Thus, the high cost of natural vanilla is hampering the market's growth.
By end-use industry, the market is divided into healthcare, home & cleaning, food & beverage, personal care, and others. The food & beverage segment procured 26% revenue share in the market in 2023. In terms of volume, 1,071.82 tonnes of vanilla oil are expected to be utilized in food & beverage industry by the year 2031. Vanilla oil is widely used in the food and beverage industry for its ability to enhance and complement flavours. Its rich, sweet, and aromatic profile makes it a popular ingredient in various products, including baked goods, desserts, beverages, and sauces.
On the basis of packaging, the market is segmented into drums, cans, and others. The drums segment recorded 42% revenue share in the market in 2023. In terms of volume, 1,805.14 tonnes of Vanilla oil is expected to be utilized in drums packaging by the year 2031. Vanilla oil is often produced and distributed in large quantities. Drums are ideal for bulk storage and transportation, allowing manufacturers and distributors to handle substantial volumes efficiently. This is crucial for both large-scale production and international distribution.
Based on type, the market is divided into natural vanilla oil, synthetic vanilla oil, and vanilla absolute. In 2023, the synthetic vanilla oil segment garnered 42% revenue share in the market. In terms of volume, 2,869.18 tonnes of Synthetic vanilla oil are expected to be utilized by the year 2031. Synthetic vanilla oil is significantly cheaper to produce than natural vanilla extract. Natural vanilla involves the labour-intensive process of growing, harvesting, and curing vanilla beans, contributing to higher costs.
Free Valuable Insights: Global Vanilla Oil Market size to reach USD 1.6 Billion by 2031
Region-wise, the market is analyzed across North America, Europe, Asia Pacific, and LAMEA. The Europe region witnessed 38% revenue share in the market in 2023. By the year 2031, In terms of volume, 1,439.58 tonnes of vanilla oil is expected to be utilized in Europe region. Europe has a rich culinary tradition where vanilla is a prized ingredient in many classic and contemporary recipes. From pastries and chocolates to ice creams and sauces, vanilla oil is essential in European cuisine, driving substantial demand.
| Report Attribute | Details |
|---|---|
| Market size value in 2023 | USD 1.2 Billion |
| Market size forecast in 2031 | USD 1.6 Billion |
| Base Year | 2023 |
| Historical Period | 2020 to 2022 |
| Forecast Period | 2024 to 2031 |
| Revenue Growth Rate | CAGR of 4.0% from 2024 to 2031 |
| Quantitative Data | Volume in Tonnes, Revenue in USD Billion, and CAGR from 2024 to 2031 |
| Number of Pages | 328 |
| Number of Tables | 729 |
| Report coverage | Market Trends, Revenue Estimation and Forecast, Segmentation Analysis, Regional and Country Breakdown, Porter’s 5 Forces Analysis, Company Profiling, Companies Strategic Developments, SWOT Analysis, Winning Imperatives |
| Segments covered | Packaging, End-use Industry, Type, Region |
| Country scope |
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| Companies Included | Amana Fragrances, Givaudan S.A., Robertet S.A, Virginia Dare Extract Company, Symrise AG, International Flavors & Fragrances, Inc. (Frutarom), Nielsen-Massey Vanillas, Inc., Boston Vanilla Bean Company, Archer Daniels Midland Company (Rodelle Inc.) |
By Packaging (Volume, Tonnes, USD Billion, 2020-2031)
By End-use Industry (Volume, Tonnes, USD Billion, 2020-2031)
By Type (Volume, Tonnes, USD Billion, 2020-2031)
By Geography (Volume, Tonnes, USD Billion, 2020-2031)
This Market size is expected to reach $1.6 billion by 2031.
Rising Demand for Natural Flavours are driving the Market in coming years, however, High Cost of Natural Vanilla restraints the growth of the Market.
Amana Fragrances, Givaudan S.A., Robertet S.A, Virginia Dare Extract Company, Symrise AG, International Flavors & Fragrances, Inc. (Frutarom), Nielsen-Massey Vanillas, Inc., Boston Vanilla Bean Company, Archer Daniels Midland Company (Rodelle Inc.)
In the year 2023, the market attained a volume of 3,144.63 tonnes, experiencing a growth of 15.9% (2020-2023).
The Personal Care segment is leading the Market by End-use Industry in 2023; thereby, achieving a market value of $426.8 Million by 2031.
The Europe region dominated the Market by Region in 2023; thereby, achieving a market value of $592.2 Million by 2031.
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