Fragrance ingredients market poised to touch $18.5-bn by 2024: Report

The global fragrance ingredients market is forecast to reach $18.5-bn by 2024, according to new research from Global Market Insights. In 2017 the market was estimated at $11.9-bn and is set to grow at a 7.1% CAGR year-on-year till 2024, driven by growing penetration rate of international brands, rising demand for personal care products along with growth in cosmetics industry.

The report noted that favourable government policies regarding the use of natural ingredients and strong investments in R&D will help grow global demand.

In terms of application areas, demand for fragrance ingredients in soaps & detergents segment is estimated to reach 500-kt by 2024. Synthetic products, including aldehydes, alcohols and esters, have extensive use in household and industrial detergents, which is likely to stimulate product demand. Fragrance ingredients market from wood-based application is poised to exceed $750-mn by 2024. These products provide warmth and depth aroma along with natural sensuality. Woody element in the product gives long lasting and musky smell, which may favour product demand.

The European business is predicted to grow by 5.5% between 2018 and 2024 and the Asia-Pacific market share – led by South Korea, Japan, India and China – is set to be the fastest growing region surpassing $4-bn. Brazil’s fragrance ingredients sector is also forecast for strong growth due to its increased demand for luxury fragrance products.