Aroma Chemicals Market Projected to Reach $8.56 Billion with 7.3% CAGR by 2029
The Business Research Company
The Business Research Company’s Aroma Chemicals Global Market Report 2025 – Market Size, Trends, And Forecast 2025-2034
LONDON, GREATER LONDON, UNITED KINGDOM, November 7, 2025 /EINPresswire.com/ -- What Is The Expected Cagr For The Aroma Chemicals Market Through 2025?
The market size for aroma chemicals has demonstrated substantial growth in the past few years. The forecast suggests it will increase from a valuation of $6.13 billion in 2024 to $6.46 billion in 2025, demonstrating a compound annual growth rate (CAGR) of 5.4%. The factors driving this growth during the historical period include an expanding fragrance and flavors industry, increasing preference among consumers for natural ingredients, a surge in demand for personal care products, the global spread of the perfume market, urbanization, and shifting lifestyle patterns.
The market size for aroma chemicals is predicted to experience robust growth in the coming years, reaching $8.56 billion in 2029 with a 7.3% compound annual growth rate (CAGR). The anticipated expansion in this timeframe is tied to sustainable and green chemistry methods, increased preference for home fragrances, alternative sourcing of aroma chemicals, elevated consumer consciousness and openness, as well as growing disposable income. Some of the significant trends for the future include the rise of natural aroma chemicals, a higher demand for personalized fragrances, the emergence of biodegradable aroma chemicals, advanced research and development in olfactory science, the utilization of microencapsulation technology, and innovative strategies in sustainable sourcing.
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What Are The Key Factors Driving Growth In The Aroma Chemicals Market?
The aroma chemicals market is expected to expand due to the rising demand for cosmetics and personal care products. These products are typically made from chemicals designed to cleanse, enhance, or alter the human body's appearance in some way. Aroma chemicals, widely used in the production of various beauty products as well as flavors and fragrances, see an increased demand alongside these products. For example, data from the Cosmetic Toiletry & Perfumery Association (CTPA), a trade association based in the UK, representing the cosmetic and personal care industry, indicated that the color cosmetics sector sold 118,178 units in 2022. This pushed up to 123,056 units in 2023, showing a growth rate of approximately 4.1%. The skincare sector also observed an increase, moving from 456,401 units sold in 2022 to 460,868 units in 2023, a growth of around 1.0%. Hence, the mounting demand for cosmetics and personal care products acts as a catalyst for the expansion of the aroma chemicals market.
What Are The Top Players Operating In The Aroma Chemicals Market?
Major players in the Aroma Chemicals include:
• BASF SE
• Solvay S.A.
• Takasago International Corporation
• Kao Corporation
• Hindustan Mint And Agro Products Pvt. Ltd.
• Givaudan
• Privi Speciality Chemicals Limited
• SymriseAG
• Robertet SA
• International Flavors And Fragrances Inc.
What Are The Main Trends, Positively Impacting The Growth Of Aroma Chemicals Market?
The trend of product innovation is gaining traction in the aroma chemicals market. Major players in this space are committed to developing cutting-edge solutions to consolidate their market presence. For example, in January 2024, Kao Corporation, a Japanese company specializing in health and beauty care, as well as chemical products, introduced Bio Aromatic Compound 'Gallic Acid'. This polyphenolic compound, commonly found in herbs, tea, wine, plums, and strawberries, is known for its varied pharmacological qualities such as antioxidant, anti-inflammatory, antimicrobial, and anticancer activities. Gallic Acid's potential health benefits make it an interesting option for use in drug delivery, especially in the creation of nanocarrier systems that improve its bioavailability. Kao Corporation plans to roll out bio-based gallic acid in foreign markets like Asia and Europe. The company also anticipates future expansion into the fermentative production of other aroma compounds aside from gallic acid.
Comprehensive Segment-Wise Insights Into The Aroma Chemicals Market
The aroma chemicalsmarket covered in this report is segmented –
1) By Product: Benzenoids, Terpenoids, Musk Chemicals, Other Products
2) By Source: Natural, Synthetic, Natural-identical
3) By Application: Food And Beverages, Fine Fragrances, Cosmetics And Toiletries, Soaps And Detergents, Other Applications
Subsegments:
1) By Benzenoids: Benzyl Alcohol, Ethyl Vanillin, Phenylacetaldehyde
2) By Terpenoids: Limonene, Pinene, Geraniol
3) By Musk Chemicals: Synthetic Musk, Natural Musk
4) By Other Products: Aldehydes, Esters, Lactones
View the full aroma chemicals market report:
https://www.thebusinessresearchcompany.com/report/aroma-chemicals-global-market-report
Global Aroma Chemicals Market - Regional Insights
In 2024, the aroma chemicals market was dominated by the Asia-Pacific region. The market report encompasses regions such as Asia-Pacific, Western Europe, Eastern Europe, North America, South America, the Middle East, and Africa.
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