The global organic cosmetic ingredients market size is expected to increase significantly over the next seven years on account of lifestyle changes, growing consumer income and demand for eco-friendly cosmetics. Increasing consumer awareness regarding personal health care and safety is expected to promote the industry growth. Moreover, decreasing usage of harmful chemicals including aluminium salts, phthalates, and parabens coupled with dedicated efforts from many multinational companies for the use sustainable products has contributed to growing consumption of organic products and is expected to see immense growth potential over the forecast period.
Organic cosmetic products when used in proper direction do not harm human skin. These products are made up of natural ingredients obtained from herbs and plants. The organic cosmetic ingredients used in the production process of cosmetic products include azadirachta indica, aloevera, proteins, vitamins, plants roots, almond oil, flowers and natural waxes and are likely to see significant industry growth over the upcoming years.
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Rising living standards coupled with increasing disposable income in emerging countries such as China, India and Malaysia is anticipated to drive market growth. Moreover, regulatory bodies such as the Food and Drug Administration and U.S. Department of Agriculture approving the use of organic products are expected to fuel the organic cosmetic ingredients market growth. However, high cost and supply fluctuation of organic ingredients is expected to act as a restraint for the industry growth over the next seven years. Increased investment by multinational companies in R&D coupled with technological development and cost-effective production are expected to augment industry growth over the upcoming years.
Organic cosmetic ingredients find their key uses in products such as skin care, hair care, oral care, fragrance and others (soap, bath and personal hygiene). Organic skin care products were dominant in the global market by generating huge revenues and are expected to witness significant market growth on account of rising importance of natural ingredients such as herbs, fruits and vegetable with anti ageing properties.
Organic hair care products are anticipated to be a lucrative sector on account of products devoid of aluminum salts, ammonia, paraben and sulfur. The rising importance of organic ingredients for providing hair fall control, dandruff protection, and the shining effect of hairs is expected to have a significant impact on the industry and is expected to promote industry growth over the forecast period.
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Organic oral care products owing to the use of organic ingredients in production are expected to fuel the market growth. In addition, companies such as Colgate-Palmolive, P&G and Unilever have incorporated organic substances such as azadirachta indica and clove in their product will augment the industry growth.
North America dominated the global organic cosmetic ingredients market with majority of the revenue share. Profitable opportunities in Mexico on account of new product launches by FMCG producers and rising usage of cosmetic products is likely to have an encouraging impact on the industry growth over the upcoming years.
Europe was the second leader in organic cosmetic ingredients industry in light of increasing inclination towards naturally developed cosmetic products is expected to have a positive impact on the industry growth over the next seven years. Moreover, encouraging regulatory norms for the use of organic products is anticipated to drive growth in Europe in the near future.
Asia Pacific market is likely to witness substantial growth over the upcoming years. Rising consumption of cosmetic goods in emerging countries such as China India, Malaysia, Singapore and Indonesia on account of environmental awareness, purchasing power and new product launches is expected to fuel the demand for the market. In addition, rising concern towards hair fall problems along with aging will fuel the market growth.
Bare Escentuals had significant organic cosmetic ingredients market share in 2013. Key industry participants operating in organic cosmetics market are The Body Shop, Estee Lauder, Burt’s Bee, Yves Rocher, The Hain Celestial Group, Aveda Corp., Amway, Arbonne International, Aubrey Organic, Kiehl’s, L’Occitane en Provence, Natura Cosméticos S.A. and L’Oreal.
Aubrey Organic produced a preservative from grape seed extracts and vitamins which would help to boost the organic cosmetic product usable life. This advancement would clear the path for cosmetic producers to overcome the short usable life usable of organic cosmetic products.
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