Argan Oil Market Size, Share, and Industry Analysis By Grade (Food Grade, Pharma & Cosmetics Grade, and Others), By Category (Conventional and Organic), By Application (Food, Personal Care & Cosmetics, Pharmaceuticals, and Aromatherapy), and Regional Forecast till 2032

The global argan oil market is expected to expand considerably. It is due to the rising demand from food, cosmetics, and medical sectors. Argan oil is a product formed from kernels of argan trees. This oil is commercially accessible in absolute, concentrated, and blended versions for cooking and cosmetics. It can be inspired orally and topically for various health advantages, such as treatment of stretch marks, aging symptoms, acne, and skin irritation.

• According to the U.S. Food and Drug Administration, utilization rate of products grew by 10% annually from 2018 to 2022 in North America.

They are often represented as liquid gold that is widespread to Morocco. The production method of organ oil is labor-intensive and requires numerous steps to ensure the oil’s quality and purity. It can be consumed orally and topically for various health advantages, for instance the treatment of stretch marks, aging symptoms, acne, and skin irritation.

Argan Oil Market Driver

Rising Insistence for Natural and Organic Cosmetics and Expanding Application Boost Market Growth

The growing aspect for market expansion is the growing requirement for natural and organic cosmetics. Consumers are gradually seeking authentic and natural based ingredients in skincare products. These oils consist of vitamin E and essential fatty acids. They provide favorable moisturizing and anti-aging benefits along with self-care and hair care formulation that is making it a preferable choice among end-users.

Furthermore, intensifying product demand from a lot of end-use sectors is boosting market growth. Its properties include antioxidant and anti-inflammatory content that are attracting customers. Additionally, the increase of consciousness regarding looking attractive is increasing demand for the substance. For instance, according to the U.S. Department of Agriculture, about 20% of the U.S. consumers desire organic products. Rising demand for a medicinal product for treating high blood pressure and diabetes are some macroeconomic factors that are bolstering market growth.

Argan Oil Market Restraint

Limited Availability and High Production Costs Hamper Market Growth

The off-putting factor for the market impediment is the inadequate accessibility of argan trees. It is found in specific regions of Morocco. This geographical constraint notably limits the production capacity, making it intricate to meet the rising demand. Additionally, the harvesting and production procedure of the substance is requiring numerous workers and is time taking. They are heavily relying on conventional methods. This may restrict output as well as raise production costs.

Furthermore, rising risk of overexploitation of the component is also hampering market growth. They are threatening ecological balance and long-term sustainability of argan forests. To protect these unique ecosystems are also imposing barriers on production volume of substance and hampering supply and demand of product.

Argan Oil Market Opportunity

Product Diversification and E-commerce Growth Create Opportunity for Market Expansion

One of the significant opportunities for market growth is growing recognition of substances in beauty and personal care items provide a promising avenue for manufacturers for innovation. It is introducing new products that meet a health-conscious consumer base. Additionally, there is growing utilization in products within the foodstuff sector due to its nutritional benefits and culinary versatility.

• According to the European Food Safety Authority, about 25% of European consumers are utilizing skincare products associated with argan oil.

Furthermore, rising e-commerce channels are offering great options for market expansion. Increase in e-commerce platforms has changed consumers to access beauty and wellness products. Online shopping facilitates end-users to explore a wider range of products. It provides skincare to culinary uses and enhances accessibility and convenience. Brands are spending high on such platforms and digital marketing strategies to capture a larger market share.

Segmentation

Key Insights

The report covers the following key insights:

• Rising Demand for Plant-based Cosmetics by Key Companies
• Product Expansion and Adoption of Online Shopping Platform by Key Companies
• Drivers, Restraints, Trends, and Opportunities
• Business Strategies Adopted by Key Players
• Consolidated SWOT Analysis of Key Players
• Key Industry Developments (Mergers, Acquisitions, Partnerships)

Analysis by Grade

Based on grade, the argan oil market is divided into food grade, pharma & cosmetics grade, and others.

The pharma & cosmetics grade segment is leading in the market, driven by its vast use of substance in a range of products for self-care. Increasing demand for organic beauty goods is fueling segment growth.

The food grade is expected to grow in the market, caused by increasing realization of nutritional benefits among consumers. Culinary use of substances is becoming more extensive and is boosting the segment growth.

Analysis by Category

Based on category, the argan oil market is divided into conventional and organic.

The conventional category is leading in the market, driven by the growing interest in cosmetics containing argan. These substances are processed into edible and beauty grades are fueling expansion of this segment.

The organic segment is projected to expand, caused by the rising consumer inclination towards sustainable sourced and green products. Since consumers become more green conscious, they are ready to spend on higher-quality, ethical products.

Analysis by Application

Based on application, the argan oil market is divided into food, personal care & cosmetics, pharmaceuticals, and aromatherapy.

The personal care & cosmetics sector is leading in the market, caused by the wide use of components in skincare and hair care items. Rising consumer preference for genuine and unrefined beauty products is impelling segment growth.

The pharmaceuticals segment is anticipated to grow rapidly, driven by the therapeutic characteristics of item known medicinal and therapeutic applications. It is effective in treating skin disorders and is also utilized in wound remedial and scar treatment.

Regional Analysis

Based on geography, the market has been studied across North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.

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North America is the leading region in the market, driven by the rising consumer consciousness regarding the component. Robust demand for cosmetics and self-care sectors are propelling market growth. Furthermore, widespread availability of products across various retail channels supports market growth. The U.S. market is showcasing a strong preference for organic and natural beauty products, impelling market growth.

Europe is witnessing considerable market expansion, caused by customers’ inclination towards products that are anti-aging and as a staple in genuine cosmetic formulations. Imposition of stringent regulatory support for unrefined products is raising consumer trust and adoption rates. In addition, cooking applications of items are becoming popular in the region; hence such cuisines are bolstering market growth.

Asia Pacific is a rapidly growing region due to increasing disposable incomes and growing influence of Western beauty standards. Countries such as China and India are major contributors for market growth. Rising demand for the substance sharply from consumers is fostering market growth. Additionally, growing knowledge of the advantages of such ingredients in skincare and wellness products is fueling market expansion.

Key Players Covered

The report includes the profiles of the following key players:

• Argane Aouzac (Morocco)
• Organica Group (Italy)
• Koninklijke DSM N.V., (Netherland)
• Olvea Group (France)
• Biopur Sarl (Morocco)
• Argan Gold Liquid (U.K.)
• Arganisme (Belgium)
• Zidrop Argan Oil (Morocco)
• Arganfarm sarl. Au (Morocco)
• John Masters Organics Inc (U.S.)

Key Industry Developments

• In February 2024, ARGANBULK announced partnership with a major European distributor with an aim to expand its reach in the skincare market. They intended to augment export volumes by 20% to reinforce its position as a top bulk supplier of premium products.

• In March 2023, OLVEA unveiled its new line of organic argan oil products along with an aim of expansion in the luxury cosmetics market and they have emphasized on sustainable sourcing and production methods.

• In January 2023, Brenntag Specialties announced acquisition of a Moroccan argan oil cooperative to support its supply chain. The main purpose of this acquisition is to ensure quality and traceability of its offerings.