Malaysia Agarwood Essential Oil Market (2025-2031) Outlook | Analysis, Size, Growth, Industry, Companies, Share, Forecast, Trends, Revenue & Value

Malaysia Agarwood Essential Oil Market Synopsis

Agarwood essential oils have been becoming increasingly popular among Malaysias due to their distinct aroma and medicinal properties. In 2025, it was estimated that the total retail value of agarwood essential oils was around US$3 million annually in Malaysia. This figure is expected to grow further at a rate of 7.4% per annum over the next few years. Consumers prefer purchasing premium quality agarwood essential oil which primarily comes from China and India due to relatively lower prices compared to other sources available on international markets like Thailand or Indonesia.

Market Drivers of the market

The Malaysia agarwood essential oil market is anticipated to show promising growth in the upcoming years. One of the main drivers of this market is the high demand for agarwood essential oil in the fragrance and traditional medicine industries. Agarwood oil is known for its unique and exotic aroma, making it a popular choice in luxury perfumes and incense. Moreover, agarwood oil has traditional medicinal uses, and its perceived therapeutic benefits are likely to drive its demand in the natural remedies segment.

Challenges of the market

Challenges in the Malaysia Agarwood Essential Oil market may include issues with illegal logging and overharvesting of agarwood trees. Sustainable cultivation and responsible sourcing practices would be necessary to preserve this valuable resource and its ecological balance.

Covid-19 Impact on the market

Agarwood essential oil, derived from the agarwood tree, is a valuable and niche product used in perfumes and traditional medicine. The pandemic may have affected its supply and distribution, especially considering the restricted international trade and travel disruptions. However, with the reopening of international markets and increased demand for luxury goods, the agarwood essential oil market could regain momentum.

Key Players of the market

The Malaysia Agarwood Essential Oil market is projected to witness substantial growth due to the high demand for agarwood oil in the fragrance and incense industries. Key players like Agar Essence and Oud Extracts are actively involved in the cultivation and processing of agarwood to meet market demands. However, the limited availability of agarwood trees and the time-consuming extraction process might pose challenges to the market.

Key Highlights of the Report:

• Malaysia Agarwood Essential Oil Market Outlook
• Market Size of Malaysia Agarwood Essential Oil Market, 2024
• Forecast of Malaysia Agarwood Essential Oil Market, 2031
• Historical Data and Forecast of Malaysia Agarwood Essential Oil Revenues & Volume for the Period 2021-2031
• Malaysia Agarwood Essential Oil Market Trend Evolution
• Malaysia Agarwood Essential Oil Market Drivers and Challenges
• Malaysia Agarwood Essential Oil Price Trends
• Malaysia Agarwood Essential Oil Porter's Five Forces
• Malaysia Agarwood Essential Oil Industry Life Cycle
• Historical Data and Forecast of Malaysia Agarwood Essential Oil Market Revenues & Volume By Type for the Period 2021-2031
• Historical Data and Forecast of Malaysia Agarwood Essential Oil Market Revenues & Volume By Conventional for the Period 2021-2031
• Historical Data and Forecast of Malaysia Agarwood Essential Oil Market Revenues & Volume By Organic for the Period 2021-2031
• Historical Data and Forecast of Malaysia Agarwood Essential Oil Market Revenues & Volume By Application for the Period 2021-2031
• Historical Data and Forecast of Malaysia Agarwood Essential Oil Market Revenues & Volume By Personal Care for the Period 2021-2031
• Historical Data and Forecast of Malaysia Agarwood Essential Oil Market Revenues & Volume By Aromatherapy for the Period 2021-2031
• Historical Data and Forecast of Malaysia Agarwood Essential Oil Market Revenues & Volume By Pharmaceuticals for the Period 2021-2031
• Historical Data and Forecast of Malaysia Agarwood Essential Oil Market Revenues & Volume By Air Care for the Period 2021-2031
• Malaysia Agarwood Essential Oil Import Export Trade Statistics
• Market Opportunity Assessment By Type
• Market Opportunity Assessment By Application
• Malaysia Agarwood Essential Oil Top Companies Market Share
• Malaysia Agarwood Essential Oil Competitive Benchmarking By Technical and Operational Parameters
• Malaysia Agarwood Essential Oil Company Profiles
• Malaysia Agarwood Essential Oil Key Strategic Recommendations