According to a recently released report from the Transparency Market Research (TMR), it was estimated that by 2024 the natural fragrant ingredient market will be worth $5.3 billion.
Middle Class Demands Naturals
One of the main drivers for growth has been the European natural fragrance ingredient market. This region is expected to acquire 29.74% of the overall market share by 2024, with a progress of 6.5% CAGR during the period.
This is directly attributed to consumers’ sentiment moving towards products that are naturally sourced. In addition, the rise of globalization and urbanization has expanded the middle class, which generally have more disposable income to buy personal care products and fine fragrance.
Overcoming Environmental Concerns
Despite the increase in demand, this growth isn’t without its struggles. Environmental issues and the high cost of extracting raw ingredients are expected to damper some of the potential growth.