GLOBAL ARGAN OIL IN PERSONAL CARE MARKET SIZE (2024 - 2030)

Estimations indicate that the Argan Oil market in Personal Care is projected to reach USD 123.9 million by 2023 and USD 281.44 million by 2030, with a compound annual growth rate (CAGR) of 10.8%.

Industry Overview:

The utilization of naturally derived oils such as Argan Oil in Personal Care items has seen an expansion due to increasing consumer demand for beauty products and the burgeoning cosmetics sector. The market revenue is being propelled by this trend. The incorporation of Argan Oil in skincare and hair care products has surged owing to its anti-inflammatory and antioxidant properties. Its inclusion as a primary ingredient in personal care products is attributed to its benefits in moisturizing skin, enhancing complexion, conditioning hair, and other advantages. On June 16, 2022, ten Moroccan engineering students unveiled ArgaCare, a range of biodegradable cosmetics utilizing recycled remnants of Argan Oil in Personal Care, specifically designed for treating acne-prone skin.

COVID-19 Impact:

The Argan Oil in the Personal Care market is expected to witness revenue growth as more companies in the cosmetic, food, and pharmaceutical sectors adopt the use of Argan Oil. The oil's richness in omega fatty acids, vitamin E, and melatonin promotes the health of skin and hair. However, the high production cost and widespread availability of Argan Oil pose challenges, limiting demand and hindering market revenue growth. A survey conducted in September 2019 revealed that 55% of respondents preferred established brands over newly launched ones, while 45% emphasized the importance of proper skin and hair care without compromising on brands or ingredients. The global demand for Argan Oil in Personal Care is on the rise as consumers seek more organic and naturally derived oils in their personal care products. Wella Operations US LLC, a manufacturer of hair care products, introduced a professional dark oil range on November 3, 2020, featuring a lightweight hair mask infused with jojoba and Argan Oil, aimed at nourishing hair, reducing frizz, and overall hair care.

MARKET DRIVERS

Argan Oil’s health benefits and the burgeoning pharmaceutical industry are key market drivers.

The antioxidant properties and lipid content of Argan Oil make it an indispensable component in therapeutic products. Its high levels of antioxidants, such as linoleic and oleic acids, help combat the aging process by neutralizing free radicals that damage cells. Additionally, the presence of vitamin E enhances the body's immune system. Argan Oil's properties are effective in treating various skin conditions including eczema, psoriasis, acne, and skin infections. Furthermore, its fatty acids aid in lowering bad cholesterol and elevating good cholesterol levels, reducing the risk of heart disease. The antiproliferative, hepatoprotective, anti-diabetic, anti-sebum, and anti-aging properties of Argan Oil have led to its incorporation in cosmetic and beauty products, thereby driving revenue growth in the market.

The increasing inclination of consumers towards adopting healthy and cost-effective personal care products is significantly propelling market growth.

Consumers worldwide are increasingly recognizing the importance of balanced and healthy oil alternatives in the market, which are crucial for their overall personal well-being. This growing consumer preference for adopting Argan Oil is fueling its demand in the global market.

MARKET RESTRAINTS

Limited supply and availability of substitutes are constraining the growth in the Argan Oil in the Personal Care Market.

There is a rising number of substitutes for Argan Oil in Personal Care, such as hazelnut and walnut oil. Hazelnut oil, with its nutty flavor, may limit the application of Argan Oil in food products, consequently impacting its demand in the international market. Hazelnut oil serves as a viable alternative to Argan Oil in Personal Care for purposes such as reducing hyperpigmentation, protecting against UV damage, minimizing scars, enhancing collagen synthesis, moisturizing, and hydrating the skin. Other essential oils, owing to their nutritional benefits, are frequently used as substitutes for Argan Oil, thus impeding its global market growth.

Argan Oil in Personal Care market segmentation – By Type Outlook

• Conventional
• Organic

Argan Oil in the Personal Care market is categorized into conventional and organic types. The conventional segment held the largest revenue share in 2021, primarily sourced from traditional argan trees rich in essential elements. Demand for Conventional Argan Oil in Personal Care is being driven by its applications in cosmetics, health products, food, and medications. For instance, MyGlamm introduced a BB foundation stick infused with Argan Oil in November 2020, expected to boost revenue in this segment. On the other hand, the organic segment is projected to experience significant revenue growth, propelled by increasing consumer preference for natural ingredients in personal care products. The demand for organic Argan Oil in high-end cosmetics and beauty items is expected to rise, aided by the introduction of 100% organic Argan Oil products by various cosmetics companies.

Argan Oil in Personal Care Market Segmentation – By Form Outlook

• Absolute
• Concentrate
• Blend

In terms of forms, Argan Oil is segmented into Absolute, Concentrate, and Blend categories. Absolute Argan Oil, extracted using solvent methods, dominated the market in 2021 due to its purity and versatility in various applications like cosmetics, drugs, fragrances, and aromatherapy. The Blend segment, comprising Argan Oil mixed with other oils, is expected to witness steady revenue growth, driven by increasing consumer demand for Argan Oil in both personal care and food products. The Concentrate segment, with varying levels of oil concentration, is projected to experience moderate revenue growth during the forecast period.

Argan Oil in Personal Care Market Segmentation – By Region

• North America
• Europe
• Asia-Pacific
• South America
• Middle East and Africa

Regionally, the Asia Pacific led the market in 2021, attributed to the expanding beauty product market in countries like India, China, and Japan. The North American market is expected to grow rapidly, driven by new product launches and increased awareness of the benefits of Argan Oil in personal care. In Europe, moderate revenue growth is anticipated, fueled by the cosmetic industry's shift towards sustainable products and growing consumer demand for organic ingredients.

Argan Oil in Personal Care Market Segmentation – By Company

In the competitive landscape, the Argan Oil in Personal Care industry is characterized by a few key players competing globally and regionally. These players focus on product development and strategic alliances to enhance their market presence and product portfolios. PURUS International, Inc.

1. ArganeAouzac
2. Arganisme Cosmetics
3. Arganfarm
4. ZINEGLOB
5. ARGANBULK
6. Kamakhya Bottlers
7. Malakbio
8.  Essence of Argan
9. Saadia Organics 

NOTABLE HAPPENINGS IN THE ARGAN OIL IN PERSONAL CARE MARKET IN THE RECENT PAST:

• On May 3, 2022, Namaste Beauty introduced a line of high-quality, cruelty-free vegan products inspired by the holistic health of ancient India. These products are designed to care for skin and hair by reviving the skin, restoring the spirit, and enhancing natural beauty. Argan Oil in Personal Care's inclusion in a variety of beauty product lines is anticipated to boost sales.
• On January 13, 2022, Josie Maran, the inventor of Argan Oil in Personal Care-powered beauty, released Argan Apothecary, its first OTC-approved product.