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The following report contains updates on the current trends in production and availability of the most in-demand Essential Oils, Carrier Oils, and Raw Materials sourced from around the globe.

Cinnamon Leaf Essential Oil

In Sri Lanka, the small, evergreen Cinnamon tree, also known as the 'True Cinnamon' tree, rises to about 10 meters in height and is home to the southern coastal regions of the island. Its thick, vibrant leaves, which are harvested annually from mid-June to mid-January, undergo steam-distillation to release an aromatic oil that is more herbaceous than sweet relative to Cinnamon Bark oil.

This year's estimated harvest yield is 200-225 tons, equivalent to last year's output. With the end of the harvest season approaching and booming demand, prices for Cinnamon Leaf Oil are anticipated to increase.

Citronella Essential Oil (Java)

In Java, the perennial Citronella grass plant, Andropogon nardus, is harvested in three-month intervals and then steam-distilled to extract its essential oil. Currently, Indonesia is well-placed within the global market of Citronella oil, with production having steadily increased within the past year. With constant demand and matching supply, pricing is stable and competitive at present.

Eucalyptus Globulus 80/85% Essential Oil

China, a leading global supplier of Eucalyptus Oil, has thriving Eucalyptus plantations primarily within the Yunnan Province. While the exact harvest period can differ from region to region, NDA's suppliers carry out their annual harvesting of Eucalyptus leaves from October to March.

This year, the projected harvest yield is nearly the same as last year, although local governmental policies are likely to impact future cultivation. The Chinese government is notably discouraging the growth of Eucalyptus trees as they are believed to drain water from surrounding soils and exert an overall negative environmental impact. However, as Australia's Eucalyptus trees have suffered extensively from the 2020 bushfires, demand for Chinese Eucalyptus Globulus 80/85% oil in particular has increased.

At the moment, prices for this oil are reported to be at their lowest. If these conditions persist, farmers are not likely to be as dedicated to Eucalyptus planting going forward.

Orange Sweet Essential Oil

In Brazil, the big, vibrant fruits of the Citrus sinensis tree are harvested from June to February. The fruit peels are cold-pressed to extract an essential oil that exudes a sweet but intense aroma. Although there are no reported issues in cultivation, this year's projected yield has dropped by a considerable 20%. The reduced production, coupled with healthy demand levels, will mean that prices for Orange Sweet oil will rise in the near future.

Orange Sweet Organic Essential Oil

In the USA, Sweet Oranges are harvested from January to April. Unfortunately, drought and dry weather conditions have posed major problems for citrus farmers; as citrus trees are particularly vulnerable to a lack of water, droughts can negatively affect crop growth and resulting fruit sizes. Last year, crop volume fell by a whopping 40-50%, and this year's yield is also estimated to be 40% lower.

Demand levels remain stable for now, although they are expected to increase slightly. Depending on these factors, there is a possibility that prices for Orange Sweet Organic oil will also increase in the coming months.

Juniper Berry Organic Essential Oil

In Albania, Juniper Berries are wild-harvested among the vast mountainscapes and valleys of the country. This year, market conditions appear to be stable, with no reported challenges in cultivation and a projected harvest yield that is equivalent to last year. Fluctuations in demand will however dictate any ensuing price changes.

Elemi Essential Oil

In the Philippines, the tall, evergreen Elemi tree, Canarium commune, thrives in the south of Luzon island. The resin is harvested typically throughout the year on selected mature trees. This year, demand is strong and stable, which has boosted levels of production. Prices, however, are currently being affected by the rising labor costs in the country.

Lavandin Grosso Essential Oil

In France, the Lavandin Grosso plant, a popular hybrid between Lavandula angustifolia and Lavandula latifolia, is machine harvested and then steam distilled to produce a fresh, intensely-scented oil with tones of camphor. In 2019, the harvest yield was reported to be 20% less compared to 2018's output.

The market for Lavandin Grosso is currently stable despite sharply inclining prices. With active demand and existing stocks being reduced, the focus going forward is on advancing crop production to meet both ongoing and forecasted demand.

Eucalyptus Lemon Essential Oil (Brazil)

In Brazil, the citrus-scented leaves of the Lemon Eucalyptus plant are manually harvested. Its essential oil is extracted on a monthly basis, with production being boosted between the months of April and October owing to much more favorable weather. Demand is forecasted to be constant in 2020, with no reported issues in production. With slow growth in the world economy, both demand and prices for Eucalyptus Lemon Essential Oil are expected to remain stable in the coming months.

Marula Carrier Oil

In South Africa, the yellow fruits of the beloved Marula tree are wild grown and harvested year round, after which the kernels are removed and cold-pressed to extract its yellow-golden oil. Due to fortunate weather conditions, the supply of Marula oil is reported to be slightly higher this year.

The market for wild-grown Marula in particular is thriving owing to surging demand levels for natural, organic, and sustainable cosmetics. South Africa is well-placed to cater to these needs; with no reported issues in production, the availability of high-quality Marula oil is likely to be consistent. Depending on the extent of increase in demand, however, prices may fluctuate in the future.

Tamanu Carrier Oil - Virgin (Madagascar)

This rich, dark green nut oil sourced from the sandy coasts of Madagascar is locally named 'Foraha Oil'. Between the months of September and November, the vibrant, yellow-green fruits of the Tamanu tree, Calophyllum inophyllum, are wild-harvested, after which the seeds are removed by gentle crushing and then dried and cold-pressed to extract the oil. This year, there is an abundance of raw material, although this is subject to changing weather patterns.

The projected harvest yield for Tamanu Oil remains the same as last year, although suppliers are hopeful for a steady yet increased production. Demand levels are stable, and due to the plentiful supply, it is currently a buyer's market for this opulent Madagascan oil.

Tamanu Carrier Oil - Virgin (Vietnam)

In Vietnam, the matured fruits of the Tamanu tree are similarly wild-harvested and the kernels undergo cold-pressing to produce the oil. This year, local weather conditions have resulted in an early harvest taking place from October to March.

Currently, production is being negatively affected by saltwater intrusion, leading to a possible reduction in supply. The impact to the current harvest season, however, is expected to be minimal, while the harvest yield of the following season is projected to decline. With steady levels of demand, prices for Tamanu Oil originating from Vietnam could rise, depending on the extent of saltwater impact.

Ricebran Carrier Oil

In India, Ricebran oil is extracted from the brown, tough, external casing of the rice kernel. Rice paddies are harvested in September and October, with milling and processing taking place from November to March. India has historically had challenges with Ricebran oil production not being able to reach its full capacity; this year, the harvest yield is projected to decrease by 10%. Coupled with rising demand mainly driven by the healthcare and cosmetics sectors, prices are likely to incline in the future.

Jojoba Carrier Oil

In Israel, the Jojoba harvest season runs from September to October. Last year, Jojoba crops thrived with no reported problems in cultivation; indeed, the Israeli harvest yield was higher than its previous year, compared to an overall decline in the worldwide harvest of Jojoba.

There is now immense worldwide demand for Jojoba oil from within the cosmetics and dermatology industries. With an estimated increase in demand of 10-15% each year, Israel is aligned well to meet these needs; the country's ongoing emphasis has been on catapulting its Jojoba production capacity to achieve market domination.

Sesame Carrier Oil

Sesame seeds in India are grown year round; sowing in particular takes place between January to March, with the crops becoming available in the beginning of April. No issues in growing conditions are reported at present, although this, along with the harvest yield, will only become more apparent in March. While demand for the sesame seed itself is modest, the demand for its oil is said to be robust. As new stocks start to become available from April onwards, prices for Sesame oil are expected to decline.

Glycerine Vegetable - USP 99.7%- Raw Material

Vegetable Glycerine is made from the hydrolysis of vegetable fats and oils, including palm oil. In Malaysia, ongoing challenges in production are reported, owing primarily to price hikes in palm oil since October 2019. Heavy rains and flooding in both Malaysia and Indonesia are making harvesting conditions dire, driving palm oil prices further up.

As stocks deplete and demand surges, prices for Vegetable Glycerine are also likely to increase due to these bullish trends in palm oil.

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