May 2024
The May 2024 Market Report provides a comprehensive overview of the current market conditions for a range of essential oils and carrier oils, offering valuable insights into the market dynamics. This month, Rosemary Essential Oil faces challenges with decreased yield projections but maintains steady demand. Cedarwood Himalayan Essential Oil enjoys stable market conditions with consistent crop yield. Lavender Essential Oil (Bulgaria) contends with drought conditions, resulting in a significant yield decrease. Argan Carrier Oil – Virgin encounters cultivation challenges, yielding lower projections, yet demand remains steady. Castor Carrier Oil - USP - Extra Virgin - USP - Extra Virgin anticipates increased crop size but foresees potential challenges in the future.
Continue reading to stay up to date on the latest industry trends from the experts at New Directions Aromatics.
Rosemary Essential Oil - ct Camphor (Spain)
Originating from the Andalusia and Murcia regions in Spain, Rosemary Essential Oil is steam distilled from the Rosmarinus officinalis herb that is harvested multiple times throughout the year. Ideal growing conditions for this aromatic herb include ample exposure to direct sunlight and light, permeable, sandy-clay, calcareous soils. While the current growing conditions are yet to be definitively assessed, preliminary indications suggest favorability. The projected harvest yield for Rosmarinus officinalis is expected to increase by 5-10% compared to the previous year, signaling stable market demand. Overall, market conditions for Rosemary Essential Oil remain steady, providing a favorable landscape for both buyers and sellers.
Lavender Essential Oil (Bulgaria)
Lavender Essential Oil of Bulgaria is steam distilled from the petals of the Lavandula angustifolia flower. Grown in the northeast and central/south regions of Bulgaria, this aromatic flower has a distinct harvest season from the end of June to the end of July, characterized by a single harvest period. Ideal growing conditions for this variety of Lavender include sandy soils and dry, hot weather.
Currently, the growing conditions in northeast Bulgaria are challenging due to drought, leading to an expected decrease in yield of approximately 50% compared to previous years. Despite these challenges, market demand for Lavender Essential Oil remains active, though supply is tightening due to reduced availability of quality material. Buyers and sellers are navigating through these conditions, adapting to ensure market continuity for the Lavender Essential Oil market.
Argan Carrier Oil - Virgin
Argan Carrier Oil is cold pressed from the seeds of the Argania spinosa tree, which is cultivated in Morocco and is harvest annually between June and July. Ideally suited for growth in desert regions, these Argania spinosa trees thrive in unique soil conditions of their habitat. The optimal weather conditions for cultivation are temperate climate, free from frost and extreme cold.
Current growing conditions present challenges due to dry ground and the impacts of climate change, leading to a projected harvest yield that is lower compared to the previous year, with little expectation for improvement in the upcoming harvest. Despite these obstacles, market demand for Argan Oil remains steady, indicating a consistent interest in this sought-after oil. Market conditions are currently characterized by limited availability, likely due to the decreased yield and prevailing cultivation difficulties.
Castor Carrier Oil - USP - Extra Virgin
Castor Carrier Oil is expeller pressed from the seeds of the Ricinus communis tree, predominantly grown in the Indian states of Gujarat and Rajasthan. Harvest takes place from January to May, culminating in a single harvest cycle. Ricinus communis is versatile in soil adaptability and can be cultivated in various soil types, however, it typically thrives in well-drained red soil. Ideal weather conditions for optimal growth includes dry and warm regions, supplemented by moderate rainfall ranging between 50-75 cm, coupled with moderately high temperatures and low humidity levels to ensure higher yields.
A comparison of crop sizes between 2023 and 2024 reveals a notable increase, with an estimated yield of approximately 2.2 million tons in 2024, up from 1.9 million tons in 2023. While the current climate conditions are conductive for the cultivation of Castor trees, it's premature to assess potential challenges, as seasonal disturbances like monsoons or floods may impact crop yields. Despite the generally favorable climate, there is a slight decrease of around 5% in seed yield compared to the previous year.