Fragrance ingredients market to grow by $3.82b by 2028

It is driven by the rising demand for cosmetic products and a shift towards natural ingredients.

The global fragrance ingredients market is forecasted to increase by USD 3.82 billion from 2024 to 2028, with a CAGR of over 4.6%, according to Technavio. This growth is fueled by rising demand for cosmetic products and a shift towards natural ingredients.

The market for natural fragrance ingredients is witnessing robust growth, spurred by rising consumer preference for plant-derived, animal-derived, and fruit-derived scents over synthetic alternatives.

The natural fragrance segment is expanding as consumers prefer plant, animal, and fruit-derived scents over synthetic ones. Concerns about potential skin irritations from synthetic fragrance components in personal care products such as deodorants, hair oils, perfumes, and detergents are fueling this shift. 

Despite the growing popularity of natural ingredients, synthetic compounds still dominate the market, especially in fine fragrances and alcohol-based products.

The industry encompasses a wide range of sectors, including perfumery, cosmetics, household cleaning supplies, and aromatherapy. Key fragrance ingredients include top tones such as amber, cinnamon, and orange clove; mid-tones like sandalwood, vetiver, rose, and neroli; and base tones including rose and neroli.