Across the continents, over 3,000 plants exist and suitable for the extraction of essential oils. In the last one year, essential oil has been trending on the Internet. From November 27, 2016 till November 27, 2017, the term has been searched more than 3, 000 in Nigeria and 4, 630 times in the world. With over 46% of variation, Nigeria’s search of essential oil is related with the rest of the world. This indicates that people in Nigeria and other countries in the world are seeking for information that could lead to increase in knowledge of various essential oils or making informed purchase decision. Within the period, Almond, Olive, Coconut, Neem, Garlic, Tea Tree, Ginger, Lime, Moringa and Carrot oils were the related queries to essential oil.
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Essential oil market has been projected to reach $13.94 billion by 2024 globally, according to a new report by Grand View Research. The demand for the products was 178.8 kilo tons in 2015 and is expected to exceed 370 kilo tons by 2024. “Increasing awareness as well as willingness to buy organic and natural products is expected to force market participants to employ essential oils in the production process. The shift of focus from synthetic to natural products is likely to trigger market growth over the forecast period,” Grand View Research noted.
Grand View Research adds that “Food and beverages industry was the leading consumer of essential oil and accounted for 34.6% of total market volume in 2015. It is also expected to witness the highest growth of 9.0% over the forecast period. Europe was the leading regional market and accounted for 43.5% of global demand in 2015. High demand for food and beverages and natural personal care products will spur the regional market growth in upcoming years.”
Despite the huge market opportunity, Nigerians and other Africans are yet to harness it fully especially farmers. This has contributed to seeing the continent as consumer rather a major player in the industry. The industry looks attractive for the farmers, who want to diversify and aspiring entrepreneurs who have interest in creating value added components. When the different oils are produced, entrepreneurs have food and beverage, cosmetics and toiletries, aromatherapy, home care, health care, and others as the potential markets. Food and beverages market remains the largest over the world. Globally, the United States, Western Europe and Japan have a significant number of consumers with the projected increase of about 10%.
Enterprations’ Note: By 2018, there will be a serial publication on the profile, production and available market size of the most preferred essential oils in Nigeria