Australia Essential Oils Market

Australia Essential Oils Market Overview:

The Australia essential oils market size reached USD 369.6 Million in 2024. Looking forward, IMARC Group expects the market to reach USD 805.4 Million by 2033, exhibiting a growth rate (CAGR) of 8.10% during 2025-2033. Rising demand for natural wellness products, growth in aromatherapy usage, increasing organic personal care consumption, shifting preference for clean-label cosmetics, rising awareness of therapeutic benefits, the growing popularity of do-it-yourself (DIY) blends, growth in spa and wellness sectors, and expanding applications in food, beverages, and pharmaceutical sectors are some of the factors stimulating the market growth.

Australia Essential Oils Market Trends:

Rising Preference for Natural and Plant-Based Wellness Products

Changing consumer preference from synthetic products towards plant-based and natural health solutions is one of the key factors boosting the market growth. This is further supported by the growing health awareness of health issues, escalating distrust towards synthetic ingredients, and the increasingly global shift towards sustainable lifestyles. Consumers are increasingly seeking products that capture their personal health concerns and environmental values. Essential oils, which are plant-derived, are being perceived as safer alternatives for therapy, skincare, and homecare. The clean-labeling trend is more prevalent among the younger population and individuals with sensitivities towards man-made chemicals, further stimulating the Australia essential oils market growth. In line with this, key market players are responding by repositioning existing product lines to incorporate essential oils or launching new product lines completely based on plant actives. For instance, in 2024, MediKane intends to introduce its NutriKane product line into the U.S. market with the aim of offering natural, plant-based health solutions for chronic conditions. The company has achieved total sales of USD 1.6 million and raised USD 326,861.50 from 194 investors in Series A funding.

Growth of Organic and Cruelty-Free Personal Care Products

The Australia essential oil market share is primarily boosted by the expanding the organic and cruelty-free personal care market. Surging awareness regarding ethical sourcing, animal testing, and chemical safety is increasingly affecting purchasing decisions, which is another growth-inducing factor. Essential oils are becoming a central component in the formulation of ethical skincare and cosmetic products because of their multi-functional nature and natural origin. Additionally, key brands are marketing organic certifications and cruelty-free labels and are employing essential oils, such as lavender, rose, and chamomile, due to their relaxing, anti-inflammatory, and aromatic nature, which is propelling the market growth. Apart from this, regulatory support and third-party certification programs in Australia further validate product claims, boosting consumer confidence, further providing a thrust to the market growth. 

Integration of Essential Oils in Aromatherapy and Wellness Practices

Aromatherapy is a key driver shaping the demand of essential oils in Australia. Increasing demand for alternative wellness treatments, particularly those focusing on mental wellness, stress alleviation, and sleep quality. This growing interest is encouraging the adoption of aromatherapy in both professional and domestic settings, thereby positively influencing the Australia essential oils market outlook. Essential oils, such as eucalyptus, peppermint, and lemon, are used in diffusers, massages, and bath products to promote relaxation, enhance mood, and reduce anxiety. Spas, wellbeing centers, and alternative healthcare practitioners are increasingly incorporating these oils into treatments, citing both traditional benefits and emerging scientific studies on olfactory stimulation and emotional wellbeing. Moreover, social media and influencer content have also educated the public on usage techniques and benefits, which is another factor supporting the market growth in Australia.

Australia Essential Oils Market Segmentation:

IMARC Group provides an analysis of the key trends in each segment of the market, along with forecasts at the region level for 2025-2033. Our report has categorized the market based on product, application, and sales channel.

Product Insights:

• Cedarwood Oil
• Eucalyptus Oil
• Lavender Oil
• Lemongrass Oil
• Rosemary Oil
• Tea Tree Oil
• Ylang Ylang Oil
• Others 

The report has provided a detailed breakup and analysis of the market based on the product. This includes cedarwood oil, eucalyptus oil, lavender oil, lemongrass oil, rosemary oil, tea tree oil, ylang ylang oil, and others.

Application Insights:

• Medical
  • Pharmaceutical
  • Nutraceuticals
• Food and Beverages
  • Bakery and Confectionery
  • Beverages
  • Meat, Poultry and Seafood
  • Others
• Spa and Relaxation
  • Aromatherapy
  • Personal Care
  • Cosmetics
  • Toiletries
  • Others
• Cleaning
  • Kitchen Cleaners
  • Floor Cleaners
  • Bathroom Cleaner
  • Others
• Others

A detailed breakup and analysis of the market based on the application have also been provided in the report. This includes medical (pharmaceutical and nutraceuticals), food and beverages (bakery and confectionery, beverages, meat, poultry and seafood, and others), spa and relaxation (aromatherapy, personal care, cosmetics, toiletries, and others), cleaning (kitchen cleaners, floor cleaners, bathroom cleaner, and others), and others.

Sales Channel Insights:

• Offline Stores
• Online Stores

A detailed breakup and analysis of the market based on the sales channel have also been provided in the report. This includes offline stores and online stores.

Regional Insights:

• Australia Capital Territory & New South Wales
• Victoria & Tasmania
• Queensland
• Northern Territory & Southern Australia
• Western Australia

The report has also provided a comprehensive analysis of all the major regional markets, which include Australia Capital Territory & New South Wales, Victoria & Tasmania, Queensland, Northern Territory & Southern Australia, and Western Australia.

Competitive Landscape:

The market research report has also provided a comprehensive analysis of the competitive landscape. Competitive analysis such as market structure, key player positioning, top winning strategies, competitive dashboard, and company evaluation quadrant has been covered in the report. Also, detailed profiles of all major companies have been provided.

Australia Essential Oils Market News:

• In 2025, Down Under Enterprises, an Australian based essential oil producer, introduced Eelemani, a tea tree oil brand tailored for China, aiming to meet the rising demand for high-quality essential oils. Eelemani sources its oil from Australian farms and holds certification from the Australian Tea Tree Industry Association, ensuring product purity and authenticity.
• In 2023, Essential Oils of Tasmania (EOT) appointed Australian Botanical Products (ABP) as its exclusive distributor. This partnership enhances ABP's portfolio with EOT's native Australian plant oils, including boronia and southern rosalina, as well as lavender, rosemary, fennel, parsley, and peppermint. The collaboration aims to expand the global reach of these unique Tasmanian products.

Australia Essential Oils Market Report Coverage:

Key Questions Answered in This Report:

• How has the Australia essential oils market performed so far and how will it perform in the coming years?
• What is the breakup of the Australia essential oils market on the basis of product?
• What is the breakup of the Australia essential oils market on the basis of application?
• What is the breakup of the Australia essential oils market on the basis of sales channel?
• What is the breakup of the Australia essential oils market on the basis of region?
• What are the various stages in the value chain of the Australia essential oils market? 
• What are the key driving factors and challenges in the Australia essential oils?
• What is the structure of the Australia essential oils market and who are the key players?
• What is the degree of competition in the Australia essential oils market? 

Key Benefits for Stakeholders:

• IMARC’s industry report offers a comprehensive quantitative analysis of various market segments, historical and current market trends, market forecasts, and dynamics of the Australia essential oils market from 2019-2033.
• The research report provides the latest information on the market drivers, challenges, and opportunities in the Australia essential oils market.
• Porter's five forces analysis assist stakeholders in assessing the impact of new entrants, competitive rivalry, supplier power, buyer power, and the threat of substitution. It helps stakeholders to analyze the level of competition within the Australia essential oils industry and its attractiveness.
• Competitive landscape allows stakeholders to understand their competitive environment and provides an insight into the current positions of key players in the market.