Essential Oil Extraction Business Plan.

Essential Oil Extraction (Lemongrass, Citronella, Lavender, Rosemary and Peppermint).

Essential Oil Processing Unit Establishment Plan

 

Essential oils, also called volatile odoriferous oil, are aromatic oily liquids extracted from different parts of plants, for example, leaves, peels, barks, flowers, buds, seeds, and so on. They can be extracted from plant materials by several methods, steam distillation, expression, and so on. Essential oils found in many different plants, especially the aromatic plants, vary in odor and flavor, which are governed by the types and amount of constituents present in oils. Additionally, the amount of essential oil from different plants is different and this determines the price of essential oil. Apart from aromatic compounds, indigenous pigments contribute to varying colors of essential oil.

Numerous efforts are made to explore the essential oils usage as the treatment of various infectious diseases that supernumerary to the pharmaceutical’s remedies. Medicinal and aromatic plants are extensively used as natural organic compounds and as medicines.

 

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Lemongrass oil comes from the leaves or grasses of the lemongrass plant, most often the Cymbopogonflexuosus or Cymbopogoncitratus plants. The oil has a light and fresh lemony smell with earthy undertones. It is stimulating, relaxing, soothing and balancing. The chemical composition of lemongrass essential oil varies according to the geographical origin; the compounds typically include hydrocarbon terpenes, alcohols, ketones, esters and mainly aldehydes. The essential consists of mainly citral at about 70 to 80 percent.

 

 

Uses and Applications

Essential oils are used in manufacture of beautifying agents, soaps, shampoos and cleaning gels has expanded enormously at a global scale. Availability of varied product range along with change in lifestyle has aided is healthy improvements from vital diseases. Development of aromatherapy has advanced the product use as a potential therapeutic agent, including massage, inhalations and bath using these volatile oils. Growing awareness about the benefits of aromatherapy due to changing people interest in natural care and back-to-nature will provide momentum to the development of natural/organic ingredients with healing abilities.

 

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Application segment of essential oils market includes food & beverage, cosmetics & toiletries, pharmaceuticals, aromatherapy, cleaning & home care, animal feed, fragrances and others. Clove, cinnamon, orange, lemon, peppermint, pepper oil is extensively utilized in food sector for cooking and seasoning purposes. Additionally, these are good source of bioactive compounds with its antioxidative and antimicrobial properties drives its use as a flavor additive and prevents spoilage of food. Eos are used as an alternative preservative and pathogen control method and forms edible films in packed food items.

 

Manufacturing Process

The manufacturing process of essential oils is of prime importance as it has a great impact on the resultant oil.

Distillation

Distillation converts the volatile liquid (the essential oils) into a vapor and then condenses the vapor back into a liquid – it is the most popular, and cost effective method in use today in producing essential oils.

 

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Other Specialized Distillation

 

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Expression

 

Expression is a cold pressed method of extraction, which is mostly used in the extraction of citrus essential oils.

 

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Solvent Extraction

With this type of extraction, solvents are used to coax the essential oils out of the botanical material, and various ways are also employed.

 

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Market Outlook

Demand for natural ingredients in food products owing to developing concerns towards health & wellness has surged the demand for nutritional additives in food items.

By application, the essential oils market is classified into food & beverages, medical, cleaning & home, spa & relaxation, and others. The others applications include usage of essential oil in paints, textile industries, tobacco, paper manufacturing, and agrochemicals. On the basis of distribution channel the global market is studied across direct distribution, MLM distribution and retail distribution. The retail distribution channel is further segmented into supermarket/ hypermarket, e-commerce, retail stores, pharmaceutical stores and others.

 

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Essential oils are concentrated hydrophobic liquids that are extracted from various plant sources using a distillation method. There are various types of essential oils available in the market including orange, lemon, peppermint, corn mint, citronella, spearmint, clover leaf, and eucalyptus. They are used in various food and beverages to add aroma to the products. Essential oils are also used in personal care and cosmetics as due to its beneficial properties such as antibacterial, antifungal, antiseptic, healing, and anti-inflammatory properties.

 

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The global essential oils market demand was estimated at 247.08 kilotons in 2020 and is expected to grow at a compound annual growth rate (CAGR) of 7.5% from 2020 to 2027.

The market is expected to be driven by increasing demand from major end-use industries, such as food and beverage, personal care and cosmetics, and aromatherapy. Several health benefits related to essential oils are projected to drive their demand in pharmaceutical and medical applications. Unlike most of the conventional medicines and drugs, essential oils have no major side effects. Such traits of essential oils are projected to be the major factor for market growth. In addition, rising prevalence of health problems, such as cardiovascular problems, Alzheimer’s, and bronchitis, is creating more demand for beneficial essential oils in aromatherapy applications.

 

Application Insights

Spa and relaxation held the largest volume share of more than 39.0% in 2019 and is projected to witness significant growth over the forecast period. The growth of this segment has been primarily attributed to the changing lifestyle of consumers around the world. Busy and hectic lifestyle has created a significant requirement for stress-relieving therapies, which is driving the demand for aromatherapy.

 

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Food and beverage emerged as one of the major application segments in 2019 with a volume share of 38.6% and is expected to expand at the fastest CAGR from 2020 to 2027. Ascending demand for natural, safe, and minimally processed food products across the globe emerged as the major factor expanding the application scope of essential oils in food and beverage applications. Antimicrobial properties of these oils help preserve food and beverage products for a longer duration. Growing focus of food and beverage manufacturers on increasing product shelf life without compromising quality is another major factor boosting the growth of this application segment.

 

Market Research: – Market Research Reports, India and Global Industry Analysis

 

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