North America Aroma Chemicals Market size crossed USD 1.5 Billion in 2019 and is set to observe around 6% CAGR between 2020 and 2026.
Aroma chemicals have is a compound that is derived from natural or synthetic sources for use in personal care products, cosmetics, fragrances, essential oils, foods and beverages, and detergents. Synthetic aromatic chemicals are produced in factories using various synthetic processes from chemicals and natural aromatic chemicals are obtained from various natural sources such as plants and fruits using extracting techniques like distillation and fermentation.
Aroma chemicals are primarily used in fine fragrances, cleaning products, and personal care products. Use of fragrances in detergents, room fresheners, cleaning products, and perfumes has propelled in recent years as consumers are focusing on experience.
Depending upon products, the musk chemicals segment is estimated to witness over 5.5% growth during the forecast period. Musk is an aromatic substance that are primarily utilized in making perfumes and fragrances. Musk is a glandular secretion from variety of plants and animals like deer. Naturally, musk chemicals are obtained from abdomen of male musk deer and synthetic musk chemicals are chemical compounds that are manufactured in factories.
Use of musk chemicals has increased in consumer goods and cosmetics as cosmetic companies are emphasizing on developing products that can enhance consumer experience. This trend has accelerated the demand for musk chemicals in North America. Also, regulations regarding extraction of musk from animals is likely to create new opportunities for the synthetic musk chemicals segment in the region.
Natural fragrances or aromas are substances that are extracted from natural sources such as plants, animals, and fruits. Natura ingredients have gained popularity in developed countries like United States and Canada owing to rising consumer consciousness regarding health hazards of chemicals present in cosmetics and personal care products.
There has also been a significant growth in the adoption of natural fragrances among companies to provide products that can offer natural fragrance experience to customers. Such trend is expected to proliferate the demand for aroma chemicals extracted from natural sources, in turn, driving the North America aroma chemicals market growth.
Based on applications, the soaps and detergents segment valued at around USD 165 million in 2019. Synthetic and natural aroma chemicals are used in producing soaps and detergents which offer good scent and relaxation. Aroma chemicals used in cleaning products also provide pleasant odor and cover bas odor of different chemicals present in cleaning products.
Soaps and detergents that have blended fragrances have gained popularity among consumers who are want a pleasant odor after cleaning. Growing demand for aromatic soaps and detergents in North America should trigger the market expansion.
Prominent companies in the market are International Flavors & Fragrances Inc., BASF SE, MANE, Firmenich SA, Solvay, Kao Chemicals, Robertet Group, Symrise AG, Takasago, and Givaudan.
Industry players are focusing on strategic initiatives such as acquisition, agreement, and merger to expand their presence into the market. In September 2019, Firmenich signed an agreement with First Eagle Investment Management for acquisition of 17% share of Robertet.