Two Amazing Natural Fragrance Varieties From India to The World – Essential Oils and Indian Attars!

Export Scenario of Essential oils and Indian Attars

A Glance at Export Scenario of Essential oils and Indian Attars!

India is home to many essential oil producers that offer hundreds of varieties. It grows approximately 10% natural fragrant raw material required for the perfumes in the world. The fragrance producers export aromatic essential oils to many countries in the world. The export figures of essential oils export have been encouraging. The export growth has maintained momentum. India has become a foremost supplier of essential oils such as jasmine, mint, spices, sandalwood, and tuberose.

In the financial year 2020-21, India has exported essential oils worth $24.82 million to more than 142 countries across the globe. It has shown an increase in exports over the years and thus, indicates a great potential for Indian exporters of essential oils to augment their participation in global trading and improve figures. Many pure essential oil manufacturers for export operate in India.

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An Export Overview

The USA has been the largest essential oil importer of Indian essential oils with approximately a 40% share in total exports. The United Arab Emirates has been the second major importer with a nearly 12% share in aggregate essential oil exports.

The following countries in this series are Thailand, Sri Lanka, France, United Kingdom, Australia, Mexico, Kenya, and Uganda. The top five countries obtain around 64.02 % of the essential oils exported from India.

Mexico registered the accelerated growth in import shipments from India, while Syria imported the least amount of essential oil from India. After 2016, Japan and Yemen have shown a significant rise in their imports from India. Among 31 top exporting ports in India, Delhi and Bangalore Air Cargo exports the majority (75%) of essential oil shipments from India. It is followed by the Nhava Sheva Sea with 6%. New York port is the top importing port with a 13% import share. However, India has a long way to go as it exports merely 1% of the global turnover.

Dynamics of Supply and Demand in Essential Oil Market

There exists a very wide range of producers from different countries and continents in the actual global market for essential oils. The origins of essential oils are a mix of traditional (Comores for Ylang Ylang oil) to the new (Rwanda for Geranium). New origins are entering the supply chain with uncertainty. Supplies to the market are highly volatile in terms of price and volume due to inelastic demand for certain oils, and poor harvest due to adverse climatic conditions. Fixed demand for lavender oil may shoot up the prices if supply is scarce, while the excess supply of certain oils may lower the price to such a level that is uneconomic for producers.

Indian Attars

Many fragrance users prefer Indian attars over synthetic perfumes containing alcohol for their long-lasting aroma. Indian attar is one of the fragrance products that improve with time in terms of fragrance and its lasting effect. They are made with a base oil (sandalwood) and infused with herbs or plant parts such as flowers, leaves, or musk. Following traditional techniques, the blend is matured for one to ten years. Indian attars provide unique fragrances that are loved by Gulf communities.

Exporting Countries and Users

Around 72 countries of the world import attar worth $2.61 million from India. United Arab Emirates, Nigeria, Nepal, Somalia, and the USA are the top five countries accounting for 71% of attar imports from India. Kuwait was also one of the major importing countries. Among the major importers, UAE is the largest importer with approximately 25% share. The users in UAE come across hundreds of shops and kiosks that sell attar besides up-scale showrooms with rows and rows of crystal decanters in all shapes and sizes. The sales go up by 35 to 40 % during the month of Ramadan.

Exports of Indian attar reached an all-time high in the year 2018. The popular attars include rose (Ruh Gulab), mitti(scent of clay and rain), shamama (Henna), Oudh (Agarwood), saffron (Kesar or Zaffran), jasmine (Mogra), Khus (vetiver), and musk attars. Ambergris and musk attars are recognized as precious and rare fragrances among aroma users and connoisseurs. As attars are highly concentrated and long-lasting liquids, they are mostly exported as perfumery compounds. However, they can be safely used to add fragrance to food and beverages.

Mayotte, Venezuela, and South Sudan recorded the fastest growth in attar imports, while Pakistan, Br. Virgin Isds, and Saint Kitts, and Nevis registered a decline in imports.

Attar manufacturers in India claim that they can replicate French, Italian, and American scents without the use of alcohol, as they have the same base notes. However, attar has emerged as the oriental challenge to the Eau de Toilette of the West in the Gulf market. The attar lovers buy the most expensive attars in volumes from India.

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