The global lemongrass oil market is expected to grow from USD 60.4 million in 2025 to USD 91.2 million by 2035, reflecting a CAGR of 3.6%. The lemongrass oil market is growing significantly due to rising consumer demand for natural and organic products across multiple industries. As awareness increases about the potential health risks linked to synthetic chemicals, more consumers are turning to plant-based and essential oils.
| Attributes | Description |
|---|---|
| Estimated Industry Size (2025E) | USD 60.4 million |
| Projected Industry Value (2035F) | USD 91.2 million |
| Value-based CAGR (2025 to 2035) | 3.6% |
Lemongrass oil, known for its natural origin and health benefits, has become a popular choice in personal care, food and beverages, and pharmaceutical applications. Its versatility and safety profile make it appealing to manufacturers and consumers seeking healthier and cleaner alternatives.
The booming wellness industry has further propelled the demand for lemongrass oil. Its fresh citrus aroma and therapeutic properties have made it a staple ingredient in aromatherapy, spa treatments, and home wellness routines.
Consumers are increasingly favoring natural fragrances and remedies which drives growth in this segment. Additionally, lemongrass oil’s use in culinary applications such as flavoring teas, soups, sauces, and confectioneries aligns with the growing preference for natural food additives which enhances its market appeal.
By application, the cosmetics and personal care segment accounts for 47.8% share. In terms of grade, the therapeutic grade segment captures 59.2% share. India is poised to grow at 5% CAGR during the study period. Technological advancements in extraction methods and the adoption of sustainable farming practices have also supported the market expansion.
Countries with favorable climates like India, China, and Thailand have scaled up production to meet global demand. Improved farming and processing techniques ensure a steady supply of high-quality lemongrass oil which enables wider adoption across various sectors. Overall, the combined effect of consumer health consciousness, wellness trends, and enhanced production capabilities is driving robust growth in the lemongrass oil market worldwide.
The table below presents a comparative assessment of the variation in CAGR over six months for the base year (2024) and the current year (2025) for the global lemongrass oil industry. This analysis highlights crucial shifts in market performance and revenue trends, giving stakeholders better insight into growth patterns.
| Particular | Value CAGR |
|---|---|
| H1(2024 to 2034) | 3.3% |
| H2(2024 to 2034) | 3.4% |
| H1(2025 to 2035) | 3.5% |
| H2(2025 to 2035) | 3.6% |
The industry is expected to have a growth rate of about 3.5%during H1 of the decade between 2025 to 2035, and a growth rate about 3.6% during H2 of the same decade. Looking into the next phase, the CAGR will probably keep it steady from H1 2025 to H2 2035. Growth will be fueled by increasing applications in personal care, holistic wellness trends, and a growing consumer preference for natural and organic ingredients.
The lemongrass oil market is segmented by grade into therapeutic grade and food grade. By application, the market is divided into food and beverages, pharmaceuticals, and cosmetics and personal care. Regionally, the market covers North America, Latin America, East Asia, South Asia & Pacific, Eastern Europe, Western Europe, Middle East & Africa, Central Asia, Russia and Belarus, and Balkan & Baltic Countries.
The therapeutic grade segment accounts for 59.2% share. Therapeutic grade lemongrass oil is widely sold because it is recognized for its high purity and potent health benefits. Consumers seeking natural remedies prefer therapeutic grade oils as they contain fewer impurities and retain more of the oil’s natural active compounds, making them more effective for aromatherapy, massage, and holistic treatments.
Its antibacterial, antifungal, and anti-inflammatory properties make it popular for use in skincare, pain relief, and stress reduction. Additionally, wellness and health-conscious consumers trust therapeutic grade oils for their safety and quality, driving strong demand in both retail and professional markets.
The cosmetics and personal care segment captures 47.8% share. Lemongrass oil is widely used in cosmetics and personal care products because of its natural antibacterial, antifungal, and astringent properties. It helps cleanse and tone the skin, making it a popular ingredient in facial cleansers, toners, and acne treatments.
Its refreshing citrus scent also makes it a favored natural fragrance in soaps, shampoos, lotions, and deodorants. Additionally, lemongrass oil is valued for its ability to reduce excess oil, tighten pores, and promote clearer skin without harsh chemicals. As demand for clean-label and plant-based beauty products rises, brands increasingly incorporate lemongrass oil to meet consumer preferences for safe and effective natural ingredients.
Tier 1 Major Brands: Tier 1 brands control the lemongrass oil market with a real revenue, a worldwide distribution and strong brand value. These firms spend big on quality, R&D and marketing to keep themselves at the top. The best-known brands are doTERRA, with high-purity essential oils such as lemongrass oil widely used in aromatherapy, wellness, and domestic uses.
Another big player is Young Living, specializing in premium essential oils and blends, marketing the therapeutic benefits of lemongrass oil for relaxation, skin treatment and natural cleaning. These brands have employed strong retail networks, direct sales strategies, and customer confidence to overshadow the competition.
Tier 2 Mid-sized brands that dominate niche market: all-organic certification, sustainably sourced products, and fair price. For instance, lemongrass oil is available under the brand name NOW Foods, which offers an extensive range of natural health and wellness products, attracting value-seeking consumers who want high-quality but affordable products.
A popular brand, Plant Therapy, also has pure and ethically sourced essential oils, including reports/disclosures to instill consumer confidence. These brands stand out for their sustainability initiatives, third-party purity testing or dedication to making essential oils accessible to a wide customer base.
Tier 3: Emerging and small brands, rapidly gaining ground via DTC, e-commerce, and specialty distribution. These companies tend to tout organic, wild-harvested or small-batch production to differentiate themselves in a crowded marketplace. Edens Garden, for example, specializes in therapeutic-grade essential oils at competitive prices, providing both blends and single-source lemongrass oil. Other small brands and artisanal producers use social media, local markets, and sustainable marketing to target eco-conscious consumers.
The lemongrass oil market is expected to grow steadily across key countries from 2025 to 2035. India leads with the highest CAGR of 5.0%, reflecting strong demand driven by its extensive use in traditional medicine and cosmetics. China follows with a CAGR of 4.1%, supported by increasing industrial applications.
Japan and the USA show moderate growth rates of 3.5% and 3.2% respectively, indicating steady market expansion. Germany records the lowest CAGR at 3.0%, suggesting a more mature market. Overall, the lemongrass oil market exhibits consistent growth, with emerging economies like India showing stronger momentum.
| Countries | CAGR, 2025 to 2035 |
|---|---|
| USA | 3.2% |
| Germany | 3.0% |
| China | 4.1% |
| Japan | 3.5% |
| India | 5.0% |
In the United States, the lemongrass oil market is growing, owing largely to increased consumer awareness about aromatherapy, stress relief and natural skin care. A major demand is coming from cosmetics, personal care & home care products, which prefer the use of chemical-free and organic essential oil. This increase in demand is expected to continue as consumers continue to prefer natural, plant-derived oils that can provide multiple therapeutic benefits amid growing concerns about artificial ingredients and their implications for health.
Moreover, cold-press and steam distillation processes are getting improved for obtaining therapeutic grade lemongrass oil. Processing techniques have evolved to retain the bioactive compounds to a greater extent, thereby offering lemongrass oil as a powerful tool for holistic health.
As health and societal concerns top priority, most commercial brands available in the USA. are both sustainable and transparent about their use of organically grown lemongrass, natural production methods, and green practices.
The growing popularity of lemongrass oil in home fragrance products such as diffusers, candles and room sprays is expected to increase the demand in the market. The growing USA. spa and wellness industry is also adding to demand for lemongrass oil. Lemongrass oil plays a huge role as a staple in its use for massage therapy, relaxation treatments and mental well-being in holistic healing centers. It is also gaining ground as an ingredient in natural household cleaners and disinfectants because of its antifungal and antimicrobial properties that cater to the growing popularity of green cleaning solutions.
Germany lemongrass oil market is witnessing steady growth on the back of increasing adoption of sustainable sourcing and eco-friendly beauty products. There is high demand for certified organic, fair-trade lemongrass oil for use in skincare, aromatherapy and herbal medicine. Cautious consumers, famous for their love of quality and ethically sourced products, are fuelling demand for sustainably sourced and minimally processed essential oils.
Germany has strict regulations governing natural and organic product formulations; as such, manufacturers are working to invest in high-purity lemongrass oil specifically for pharmaceutical and therapeutic applications." Traceability and authenticity have become key principles in the German market, which has led companies to have their products certified with widely accepted organic and fair-trade labels. Moreover, the growing trend of DIY skincare and natural beauty formulations is attracting consumers toward lemongrass oil due to its skin-brightening and anti-inflammatory features.
The rising popularity of lemongrass oil in alternative medicine and herbal supplements is further anticipated to fuel the growth of the market for Germany. Its well-established herbal medicine industry, which integrates essential oils for immune health, digestion, and respiratory function, is inspiring new product innovations in the dietary supplement market. To meet the increasing appetite for health products derived from plants, German wellness brands are bringing to market lemongrass-infused teas, herbal tinctures and aromatherapy blends.
Emergence of the natural herbal treatment is fuelling the growth of the lemongrass oil market in China as natural herbal treatment as well as functional food parts and personal wellness commodities gain market share among consumers.
Essential oils are on the rise in TCM, prompting novel herbal formulations and lemongrass oil-fortified supplements. As the consumers now embracing food as medicine with plant-based healing extracts, lemongrass oil is gaining attention for its detoxifying, digestive, and antimicrobial benefits.
Also, initiatives supported by China’s government to promote organic farming and clean-label ingredients are driving investments by domestic and international players in oil extraction from traditional oilseeds.
Germany’s drive for sustainable agricultural practices has resulted in booming production of organic lemongrass and its derivatives. Its antioxidant-rich composition makes lemongrass oil an ingredient of choice in face creams, serums, and anti-pollution skincare solutions for most of the leading skincare and wellness brands in China.
Lemongrass oil is increasingly being used in the food and beverage sector as well. Chinese herbal tea brands are adding lemongrass extracts to detox teas and functional drinks designed for digestive health. In addition, growing online retail platforms have contributed to the accessibility of quality essential oils in the market, thereby enhancing penetration.
Holistic wellness trends in urban areas and each-on disposable income growth are propelling the premium essential oil boom in China. With the growing market, global manufacturers of essential oil may adopt collaborations with local distributors to strengthen the supply chain and maximize product availability across multiple consumer segments.
The lemongrass oil market is fragmented, with a mix of global producers, niche suppliers, and regional specialists contributing to a diverse competitive landscape. Companies like Young Living Essential Oils, doTERRA, and Plant Therapy dominate the consumer segment through strong branding and direct sales.
Industrial suppliers such as Ultra International, Eden Botanicals, and The Lebermuth Company serve large-scale buyers with consistent quality and bulk supply. Regional players like Essential Oils of New Zealand, Reho Natural Ingredients, West India Spices, Rajkeerth Aromatics, Falcon, and Sydella Laboratoire offer locally sourced, often organic or artisanal products. This blend of large and small players fosters competition, variety, and innovation, preventing consolidation in the lemongrass oil market.
The market is classified into food and beverages, pharmaceuticals, and cosmetics and personal care applications.
Therapeutic and food grade are two major grades of lemongrass oil.
The market is segmented as North America, Latin America, Western Europe, Eastern Europe, East Asia, South Asia & Pacific, Central Asia, Russia and Belarus, Balkan & Baltic Countries, Middle East and Africa.
The global lemongrass oil industry is projected to reach USD 64.1 Million in 2025.
The market registered a CAGR of 3.3% between 2020 and 2024.
Key players include doTERRA, Young Living, Ultra International, Eden Botanicals, and Plant Therapy.
North America is expected to dominate due to high demand for natural and organic essential oils in wellness and personal care.
The industry is forecasted to grow at a CAGR of 3.6% from 2025 to 2035.
Key drivers include rising demand for natural health remedies, increasing applications in organic skincare and aromatherapy, growing awareness of sustainable ingredient sourcing, and advancements in cold-extraction essential oil processing.
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Lemongrass Oil Market
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