The global lemongrass oil market is on a steady rise owing to the surging demand for essential oils in different fields. The market for the lemongrass oil sector, which is valued at USD 242.2 million in 2025, is expected to have a compound annual growth rate (CAGR) of 7.4% to reach USD 494.6 million by 2035.
Attributes | Values |
---|---|
Estimated Industry Size 2025 | USD 242.2 million |
Projected Industry Size 2035 | USD 494.6 million |
Value-based CAGR (2025 to 2035) | 7.4% |
The key patterns of this sector are a shift towards organic and natural sources, more frequent usage in aromatherapy and wellness, an increase in applications in food and beverage, and the development of environmental and ethical sourcing concerns.
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The worldwide market for lemongrass oil is going through a boom, the growth of which is attributed to the increasing trend of consumers moving towards natural and therapeutic products. Global Ingredient Houses, Regional Processors, Application Specialists, and Niche Suppliers are the lemongrass oil market components as below:
Category | Market Share, 2025 |
---|---|
Global Premium Houses | 40% |
Specialty Product Leaders | 35% |
Craft/Artisanal Players | 15% |
Innovative Startups | 10% |
Market Concentration, 2025 | Assessment |
---|---|
More than 60% share of Top 10 Players | High |
40 to 60% share of Top 10 Players | Medium |
Less than 40% share of Top 10 Players | Low |
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The market has been segmented by Application into Aromatherapy, Cosmetics, and Food and Beverages, which control the market shares of 45%, 35%, and 20% respectively. Aromatherapy is the first in ranks as more and more consumers aim at the stress-relief and health benefits that essential oils bring.
For the cosmetics segment, the antibacterial and antifungal properties of lemongrass oil made it a desirable ingredient in skin and hair products. The food and beverage sector is expanding further through production of high-end products containing lemongrass oil that tastes unique, is useful for health and acts as a preservative.
The segmentation of the market by consumer includes wellness enthusiasts, eco-conscious consumers, and culinary professionals, with respective shares being 40%, 25%, and 35%. The consumers involved in wellness are the ones who mainly develop lemongrass oil in personal care routines and are the ones most likely to have an aromatherapy device at home.
Conscious consumers who care about both the environment and social justice drive organic and fair-trade products. The chefs see lemongrass oil with its ability) to improve the quality of premium drinks and dishes as the central of the product.
Innovations in sustainability and targeted applications have defined the year in the lemongrass oil market.
Givaudan (Switzerland)
Has widened its range by the sustainably sourced lemongrass oil, which was added there as a response to the increasing demand from the international market.
doTERRA (USA)
Released a distinct therapeutic-grade lemongrass oil aimed exclusively for aromatherapy purposes that expresses purity and efficacy at a high degree.
Young Living (USA)
Presenting its fair-trade lemongrass oil, the company demonstrates cooperation with small-scale farmers while at the same time stressing the issues of sustainability and community development.
Thai Pure (Thailand)
The company expanded into the regional market with the production of the top quality lemongrass oil for food and beverage applications as a primary goal.
Eden Botanicals (USA)
Launched artisanal lemongrass oil as a limited edition with the twist of the traditional distillation method used for its making.
Tier | Tier 1 |
---|---|
Market Share (%) | 50% |
Key Companies | Givaudan, Firmenich |
Tier | Tier 2 |
---|---|
Market Share (%) | 35% |
Key Companies | doTERRA, Young Living |
Tier | Tier 3 |
---|---|
Market Share (%) | 15% |
Key Companies | Eden Botanicals, Thai Pure |
Lemongrass oil has many functionalities which lend themselves to multiple application, which is why the lemongrass oil market will grow at a very fast rate. Innovations in the different kinds of uses of the product, aromatherapy, cosmetics, and food and beverages will be the main target for companies. Fair trade and green production will be significant factors in brands differentiating themselves and maintaining customers.
Traditional techniques along the line of improving production in Asia-Pacific and Latin America will be the main focus. The brands are also expected to employ various tools for educating consumers and interacting with them in the digital space in order to achieve better marketing performance. Long-term gain for the industry is well assured because of the collaborative efforts based on innovation and focus on sustainability.
The largest market share is held by Global Premium Houses and Specialty Product Leaders, collectively accounting for approximately 75% of the market.
Craft/Artisanal Players in the Lemongrass Oil sector hold around 15% of the market share by thriving on the extraction and processing of lemongrass oil, which is customized especially for domestic needs.
Startups hold about 10% of the market.
These mini suppliers offer high-quality lemongrass oil products unlike the others, emphasizing traditional methods of production or certified organic products. They help special markets craving for authenticity and purity.
The market concentration in 2025 is categorized as high for the top players who control more than 60% of the market, medium for the top 10 players with 40 to 60% market share, and low for less dominant players who hold less than 30% of the market share.
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