Project Background:
The essential oils are extracted from the botanical material using a variety of extraction methods to suit the material extracted from and are highly odoriferous liquids. Essential oils are the fragrant, highly concentrated natural constituents that are found in plants. They are what give the plant its characteristic odour and contain the healing power of the plant from which it was extracted. When used correctly, essential oils bring a wide range of health benefits since unlike modern drugs, they have no side-effects.
Raw Materials:
The major raw materials required for production of essential oil and oleoresins are whole spices such as Ajwain Seed, Black Pepper, Capsicum (Chilli), Cardamom, Cassia Bark, Celery Seed, Cinnamon Bark, Clove Bud, Coriander Seed, Cumin Seed, Curcumin Powder, Date, Fennel Seed, Galangal, Ginger, Mace, Nutmeg, Parsley Seed, Turmeric, White Pepper, Paprika.
Plant Specifications:
- Plant capacity: 4 to 5 MT (input) per day.
- Days operational – 300 days
- Hours operational – 20 hours
- Approximate area – 0.5 – 1.5 acres
- Approximate project cost – Rs. 20-25 crores
Market Share:
The global essential oil market size exceeded USD 6.0 billion in 2015. Increasing applications in aromatherapy coupled with rising demand for fragrances and flavours in food & beverages and personal care is expected to drive market growth over the forecast period.
Essential oils are also widely utilized in cleaning & home products owing to their superior antibacterial and antiseptic properties. Customers are keen on specialized products as various applications require specific characteristics and ingredients.
Essential oils demand from spa & relaxation application is expected to grow at a CAGR of 8.7% from 2016 to 2024. Essential oils have a great soothing and calming effect on the nervous system and are also beneficial in blood circulation stimulation, which has triggered the essential oils demand from spa & relaxation application segment.
The essential oil market is segmented on the basis of product type, application, and geography. The product segment is further classified as orange, eucalyptus, corn mint, peppermint, citronella, lime, lemon, clover leaf, spearmint, ginger and others. Based on application, the essential oil market is classified as food & beverages, medical, cleaning & home, spa & relaxation, and others. Spa & relaxation is estimated be the fastest growing application segment, closely followed by the applications of essential oils in Food & beverages.
Essential oils and oleoresins market is expected to show healthy CAGR in the next four to five years.
The global cresols market is single-handedly driven by the burgeoning demand for vitamin E. Vitamin E is primarily used for fortification of food and beverages and in dietary supplements. Changing lifestyles coupled with the increasing incidence of food adulteration is leading to the greater demand for dietary supplements. The opportunity in the global cresols market was worth US$266.07 Mn in 2016 and is poised to reach US$325.01 Mn by the end of 2023, progressing at a CAGR of 3.3% therein.