Global Citronella Oil Market By Source (Natural, Organic), By Type (Java, Ceylon), By Application (Pharmaceuticals, Food and Beverages, Cosmetics, Others), By Distribution Channel (Offline Retail, Online Retail) , By Region and Companies - Industry Segment Outlook, Market Assessment, Competition Scenario, Trends, and Forecast 2025-2034

Report Overview

The Global Citronella Oil Market size is expected to be worth around USD 414.9 Mn by 2034, from USD 249.9 Mn in 2024, growing at a CAGR of 5.2% during the forecast period from 2025 to 2034.
Citronella oil, extracted from the leaves and stems of various Cymbopogon species, is renowned for its distinctive citrus-like aroma and is widely utilized in perfumes, cosmetics, and as a natural insect repellent. Its antifungal and antibacterial properties further extend its applications to household cleaning products and aromatherapy.​

India stands as a significant player in the global citronella oil industry. As of recent data, the country contributes approximately 500 metric tons annually, cultivated over an area of about 9,000 hectares. This positions India among the top producers globally, alongside nations like China and Indonesia. The cultivation of citronella grass is predominantly seen in states such as Assam, Karnataka, and Tamil Nadu, where favorable climatic conditions support its growth.

Key Takeaways

• Citronella Oil Market size is expected to be worth around USD 414.9 Mn by 2034, from USD 249.9 Mn in 2024, growing at a CAGR of 5.2%.
• Natural segment held a commanding position in the citronella oil market, with a market share surpassing 67.50%.
• Java type of citronella oil held a dominant market position, capturing more than a 67.50% share.
• Pharmaceuticals segment held a dominant market position in the citronella oil market, capturing more than a 64.40% share.
• Offline retail segment held a dominant market position in the citronella oil market, capturing more than a 63.20% share.
• Asia-Pacific (APAC) region, the citronella oil market held a dominant position in 2024, capturing a substantial 37.80% market share with a valuation of approximately USD 94.4 million.

By Source

Natural Citronella Oil Captures Over Two-Thirds of the Market with a 67.5% Share Due to Consumer Preference for Organic Products.

In 2024, the natural segment held a commanding position in the citronella oil market, with a market share surpassing 67.50%. This significant market share reflects the strong preference among consumers and industries for natural sources of citronella oil, driven by growing awareness of the benefits associated with natural ingredients.

The natural citronella oil is favored for its purity, efficacy, and minimal processing, which aligns with the increasing demand for organic and eco-friendly products. This trend suggests that natural citronella oil will continue to be a crucial component of the market, especially in applications related to health, wellness, and natural pest control solutions.

By Type

Java Citronella Oil Dominates with 67.5% Market Share, Favored for Its High Efficacy and Robust Aroma.

In 2024, the Java type of citronella oil held a dominant market position, capturing more than a 67.50% share. This dominance is attributed to the high efficacy and robust aroma of Java citronella oil, which is preferred for its superior insect-repelling properties and extensive use in aromatherapy.

The substantial market share of Java citronella oil underscores its pivotal role in not only the personal care and cosmetic industries but also in household products where natural ingredients are increasingly valued. The preference for Java citronella oil is expected to maintain its strong market presence, reflecting ongoing consumer trends towards natural and effective solutions.

By Application

Pharmaceuticals Lead Citronella Oil Market with 64.4% Share, Favored for Natural Therapeutic Benefits.

In 2024, the pharmaceuticals segment held a dominant market position in the citronella oil market, capturing more than a 64.40% share. This substantial share is largely due to the wide recognition of citronella oil’s therapeutic properties, including its anti-inflammatory and pain-relieving effects.

The high demand within this segment reflects the growing consumer inclination towards natural and alternative medicinal solutions, where citronella oil is utilized for its health benefits in various pharmaceutical formulations. As consumers continue to seek out natural health products, the prominence of citronella oil in the pharmaceutical sector is expected to remain strong, underpinning its major market share.

By Distribution Channel

Offline Retail Commands Citronella Oil Market with 63.2% Share, Benefiting from Direct Consumer Engagement.

In 2024, the offline retail segment held a dominant market position in the citronella oil market, capturing more than a 63.20% share. This dominance can be attributed to the strong consumer preference for purchasing health and wellness products through physical stores, where they can experience the product firsthand.

Offline retail channels such as health stores, supermarkets, and specialty shops play a crucial role in distributing citronella oil, allowing consumers to assess the scent and quality directly before buying. This segment’s substantial market share highlights the continued importance of tangible shopping experiences, especially in markets where sensory evaluation influences purchasing decisions.

Key Market Segments

By Source

• Natural
• Organic

By Type

• Java
• Ceylon

By Application

• Pharmaceuticals
• Food & Beverages
• Cosmetics
• Others

By Distribution Channel

• Offline Retail
• Online Retail

Drivers

Growing Demand for Natural Insect Repellents

One of the major driving factors for the Citronella Oil market is the increasing consumer demand for natural insect repellents. This trend is particularly prominent due to the rising awareness of the health hazards associated with chemical-based repellents. According to a 2024 report by the World Health Organization (WHO), there has been a noticeable shift towards natural alternatives in the global effort to combat mosquito-borne diseases such as malaria and dengue.

Government initiatives across various countries have also played a significant role in promoting the use of natural ingredients like citronella oil in products intended for public health. For instance, the U.S. Environmental Protection Agency (EPA) has recognized citronella oil as a safe and effective botanical repellent. This endorsement has boosted consumer confidence and increased the demand for products containing citronella oil.

The impact of these trends is evident in the retail sector, where there’s been a marked increase in the availability and sales of citronella-based repellents. Major health and wellness stores report a consistent year-over-year growth in the sale of these products, indicating a strong consumer preference for natural solutions. The Asia-Pacific region, known for its high incidence of mosquito-borne diseases, has seen the highest demand, with significant increases reported in countries like India and Indonesia.

Restraints

Regulatory Challenges in Citronella Oil Usage

One significant restraining factor for the growth of the citronella oil market is the stringent regulatory environment surrounding the use of essential oils in consumer products. Regulations regarding the use and labeling of essential oils, including citronella oil, can be quite complex and vary significantly from one region to another. This creates challenges for manufacturers in terms of compliance, especially when aiming to expand into international markets.

For instance, in the European Union, citronella oil must comply with the stringent standards set by the European Medicines Agency (EMA) and the European Food Safety Authority (EFSA). These agencies require detailed documentation of the oil’s efficacy and safety, which can be a costly and time-consuming process for producers. The United States Food and Drug Administration (FDA) also imposes similar regulations, classifying citronella oil as generally recognized as safe (GRAS) but with specific usage restrictions that must be strictly followed.

These regulatory hurdles not only increase the operational costs for businesses but also delay the entry of new citronella oil products into the market. The impact is particularly felt by small to medium enterprises (SMEs) that may not have the resources to navigate these complex regulatory waters efficiently.

Moreover, inconsistent enforcement and changes in regulations can further complicate the market landscape, making it difficult for companies to maintain compliance and for consumers to understand product labeling and safety standards. These factors collectively act as a brake on the growth and expansion of the citronella oil market, particularly in sectors that are highly regulated, such as pharmaceuticals and food and beverage.

Opportunity

Expansion into Aromatherapy and Personal Care

A significant growth opportunity for the citronella oil market lies in its expanding applications in aromatherapy and personal care products. As consumers increasingly seek natural and therapeutic options for health and wellness, citronella oil is being embraced for its soothing and antibacterial properties. This trend is supported by growing consumer awareness and preference for eco-friendly and organic products, which has been highlighted in various studies and reports from respected health organizations.

For example, the National Center for Complementary and Integrative Health (NCCIH) has recognized aromatherapy as a beneficial practice for improving psychological health and enhancing life quality. This endorsement has encouraged more individuals to turn to essential oils, including citronella, as part of their routine wellness practices. In response, companies in the personal care sector are incorporating citronella oil into a range of products, from skin creams to shampoos, highlighting its natural benefits in marketing efforts.

The aromatherapy market itself is seeing robust growth, with projections from industry analyses suggesting a continuing upward trend. This is particularly noticeable in North America and Europe, where wellness practices are becoming a staple in everyday life. Citronella oil’s potential in these markets is immense, with opportunities for product innovation and market penetration by new and existing players.

With governments and health organizations promoting natural health products, the regulatory landscape is also becoming more favorable, reducing barriers for the introduction of new citronella-based offerings. These factors make the personal care and aromatherapy sectors ripe for investment, with citronella oil poised to play a key role in the ongoing green and wellness revolutions.

Trends

Eco-Friendly Pest Control Solutions

A significant trend emerging in the citronella oil market is its increasing use in eco-friendly pest control solutions. As environmental awareness grows and consumers seek sustainable living options, the demand for natural alternatives to chemical pesticides has surged. Citronella oil, known for its effective mosquito-repellent properties, is at the forefront of this movement.

The trend is supported by research and endorsements from environmental and health organizations, highlighting the effectiveness and safety of natural repellents. For instance, the Environmental Protection Agency (EPA) in the United States has registered citronella oil as a biopesticide with non-toxic modes of action against insects, further boosting its acceptance and use in household and commercial settings.

This shift towards natural pest control solutions is reflected in the consumer goods market, where there has been a noticeable increase in the launch of citronella-based products ranging from sprays and lotions to scented candles and wristbands. These products are being marketed not only for their health and environmental benefits but also for their efficacy in deterring pests naturally.

Furthermore, government initiatives aimed at reducing the use of chemical pesticides in agriculture and urban areas provide additional momentum for the growth of the natural repellent market. This trend offers substantial opportunities for citronella oil producers and distributors to expand their product lines and explore new market segments.

Regional Analysis

In the Asia-Pacific (APAC) region, the citronella oil market held a dominant position in 2024, capturing a substantial 37.80% market share with a valuation of approximately USD 94.4 million. This dominance is largely attributed to the extensive cultivation of citronella in countries like Indonesia, India, and China, where the climate is favorable for its growth.

The high demand in APAC is supported by a growing awareness of the health benefits associated with natural and organic products among its vast population. Additionally, the expanding middle class with increasing disposable income in this region is further propelling the market growth, as more consumers are able to invest in health and wellness products.

Moreover, the APAC market benefits from supportive government policies aimed at promoting the use of natural ingredients in both the pharmaceutical and cosmetic industries. These initiatives encourage local production and the use of citronella oil, enhancing its market penetration and availability across the region.

The significant market share held by APAC underscores its critical role as a supply hub for citronella oil globally. With continued growth in consumer health consciousness and natural product preference, APAC is expected to maintain its leading position in the citronella oil market, driving innovation and expansion in its uses across various industries.

Key Regions and Countries

• North America
  • US
  • Canada
• Europe
  • Germany
  • France
  • The UK
  • Spain
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • South Korea
  • India
  • Australia
  • Rest of APAC
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of MEA

Key Players Analysis

Aromatic and Allied Chemicals is a prominent player in the citronella oil market, renowned for its high-quality essential oils. The company specializes in the production and supply of citronella oil, leveraging advanced distillation processes to ensure purity and efficacy. Their strategic focus on sustainable practices and consistent quality has solidified their reputation among global consumers seeking natural and organic products.

Augustus Oils Ltd is a key figure in the essential oils industry, with citronella oil being one of their standout offerings. This UK-based company combines traditional techniques with modern technology to produce oils that meet stringent international standards. Augustus Oils is committed to ethical sourcing and environmental stewardship, making them a preferred supplier for businesses focusing on eco-friendly products.

Bhoomi Natural Products and Exports Pvt Ltd. is a dynamic entity in the citronella oil market, emphasizing organic and natural products. Their portfolio includes a wide range of essential oils, with citronella oil being a key product. Bhoomi is known for its commitment to quality and sustainability, catering to both local and international markets with its certified organic products.

French company Bontoux S.A.S excels in the distillation of aromatic raw materials, including citronella oil. With a legacy dating back over a century, Bontoux is a respected name in the industry, known for its high standards of quality and innovation. The company serves a global clientele, offering products that are integral to the pharmaceutical, cosmetic, and flavor and fragrance industries.

Top Key Players in the Market

• Aromatic and Allied Chemicals
• Augustus Oils Ltd
• Bhoomi Natural Products and Exports Pvt Ltd.
• Bontoux S.A.S
• Citrus and Allied Essences Ltd
• Mountain Rose Inc.
• Mokh Lifestyle Products
• Reho Natural Ingredients
• Sydney Essential Oil CO.
• Symrise AG
• Van Aroma
• Vigon International
• Aroma Treasures
• BRM Essential Oils
• doTERRA International

Recent Developments

Aromatic and Allied Chemicals has established a solid position within the citronella oil market, particularly noted for its substantial market share and strategic focus on quality and sustainability. In 2024, the company successfully leveraged its expertise in essential oil production to meet the growing demand for natural and eco-friendly products.

In 2024 Augustus Oils Ltd, the company leveraged its position by catering to the growing consumer demand for natural and organic products. This demand is especially prevalent in the personal care and home fragrance sectors, where the therapeutic benefits of citronella oil, such as its calming scent and insect-repellent capabilities, are highly valued.

Report Scope