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The January 2024 Market Report provides a comprehensive overview of the latest dynamics within the aromatics industry. As we begin the new year, our focus turns to key products in the New Directions Aromatics product line, offering a glimpse into the market conditions and trends that are defining the landscape.

Geranium Essential Oil has seen a decline in production in 2023, with an increase in demand and a subsequent expansion of cultivation area. Cardamom Essential Oil faces a lower projected harvest yield due to unfavorable growing conditions. Bergamot Organic Essential Oil anticipates a 10% decrease in harvest yield due to challenging weather conditions. Similarly, Blood Orange (Sicily) Essential Oil projects a 10% lower harvest yield. Lastly, Camellia Seed Carrier Oil expects a 10-15% decrease in harvest yield due to insufficient rain levels.

Continue reading to stay up to date on the latest industry trends from the experts at New Directions Aromatics.

Geranium Essential Oil is steam distilled from the leaves and flowers of Pelargonium graveolens, a bushy perennial herb grown in Egypt. Harvest season occurs twice annually, with the first cultivation happening between May and July, and the second cultivation harvests between October and November. Optimal growth of Geranium is achieved in deep light porous soil that is well drained and rich in organic matter. The ideal soil pH for Geranium ranges from 5.5 to 6.0 is suitable. Although it is tolerant of high temperatures, Pelargonium graveolens flourishes best under semi-hot to moderate weather conditions, with an optimum temperature between 25 and 30 degrees Celsius. Geranium exhibits strong vegetative growth and yields high oil content during the summer months.

Due to its versatility in applications, the rising demand of essential oils is expected to drive the global Geranium Oil market. Since 2020, the demand for Geranium Essential Oil has surged, leading to a notable increase in its market value. In 2023, the production faced some constraints, with output quantities decreasing to less than 80% of what was produced in 2022. Demand increased slightly during the last quarter of 2023, which lead to an expansion of the cultivated area by 20%. However, due to the lack of stability in currency rates and the increasing demand, now is the appropriate time to conclude contracts or increase inventory.

Cardamom Essential Oil is steam distilled from the seeds of the Elettaria cardamomum, a perennial, reed-like herb cultivated in the lush landscapes in India and Sri Lanka. The harvest takes place annually between July and October. Cardamom seeds, known for their spicy aroma, thrives in brown soil and moist, humid weather conditions. The current growing conditions are not favorable, and the projected harvest yield is significantly lower compared to that of last year. The demand for Cardamom Essential Oil is high, while the market conditions remain unfavorable.

Bergamot Organic Essential Oil is cold pressed from the peel of organically grown fruits cultivated in Italy's Calabria region. The harvest season spans from November to February each year. These Bergamot trees flourish in loose, well-drained soil with a pH between 6.5 and 7.5. The ideal weather conditions include the Mediterranean climate, with temperatures between 13 and 30 degrees Celsius. However, temperatures higher than 30 degrees, coupled with drought, pose a significant threat to the crop and can reduce the fruit yield.

The growing conditions for Citrus Bergamia are not favorable due to higher temperatures and droughts that are causing problems in cultivation. This year's projected harvest yield is 10% lower compared to that of the previous season. The market demand for Organic Bergamot Oil remains very strong, and the market conditions remain robust and favorable.

Blood Orange Essential Oil is cold pressed from the peels of the Citrus sinensis fruits grown in Sicily, Italy. The harvest season takes place between the months of December and April. The ideal weather conditions for Citrus sinensis include the Mediterranean climate, with temperatures ranging between 13 and 30 degrees Celsius. Additionally, the soil must be loose, well-drained, and maintain a pH between 6.5 and 7.5 to nurture the fruits.

Growing conditions for the Citrus sinensis fruit are not ideal, with high temperatures and drought causing problems in cultivation. As a result, the projected harvest yield for this season is estimated to be 10% lower than that of the previous year.

Camellia Seed Carrier Oil is cold pressed from the seeds of the Camellia oleifera plant grown in China. It is refined, bleached, and deodorized for ease of use in cosmetics. The Camellia oleifera plant is known for its single annual harvest, typically harvested between mid-October to end of December yearly. The crop thrives in acidic red soil or red-yellow soil types that are fertile. Warm, humid climates are also ideal for growing Camellia seeds.

Like many crops in this report, Camellia oleifera is experiencing some challenges. This year has been marked by unusually dry conditions, with rain levels falling significantly short of what is required for optimal growth. The projected harvest yield is anticipated to suffer a decrease of approximately 10-15%.

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