Sandalwood Oil Market to Hit USD 232 Million by 2032, Driven by Luxury Fragrance, Personal Care & Aromatherapy

Maximize Market Research reveals Sandalwood Oil surges in luxury skincare and aromatherapy, reshaping global consumer trends.

Published on Mar. 2, 2026

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Sandalwood Oil Market was valued at USD 135.12 Million in 2024 and is projected to reach nearly USD 232 Million by 2032, growing at a 6.99% CAGR. The Global Sandalwood Oil Market is poised for steady expansion, supported by rising luxury fragrance reformulations, dermatological-grade skincare innovation, and sustainable agroforestry investments.

Why it matters

The Sandalwood Oil Market is witnessing robust transformation as luxury fragrance reformulations, dermatological-grade personal care, and aromatherapy adoption drive premium demand. Strategic plantation investments, ESG-linked sourcing, and competitive innovations by leading players signal high-value returns and long-term growth potential.

The details

Premium fragrance houses are increasingly replacing synthetic fixatives with botanical scent anchors like natural Sandalwood Oil to comply with evolving global safety standards. This structural reformulation trend is significantly strengthening the Natural Sandalwood Oil Market, particularly in high-income regions. Natural Sandalwood Oil accounted for approximately 70% of total revenue in 2024, driven by rising demand for clean-label, plant-derived actives in cosmetics and wellness formulations. The Sandalwood Oil Personal Care Industry Growth trajectory remains robust, with personal care capturing 45% of total revenue in 2024. The Sandalwood Oil Aromatherapy Market is also benefiting from increased global interest in stress modulation and sleep enhancement solutions.

  • Sandalwood Oil Market was valued at USD 135.12 Million in 2024.
  • Sandalwood Oil Market is projected to reach nearly USD 232 Million by 2032, growing at a 6.99% CAGR (2025–2032).

The players

Albert Vieille SAS

A leading company in the Sandalwood Oil industry that unveiled a major strategic initiative to enhance sustainable sandalwood sourcing and extraction in January 2025, signaling premium quality leadership.

Doterra International LLC

A key player in the Sandalwood Oil market that launched a new luxury sandalwood product line including diffusers and roll-ons in January 2024.

Eden Botanicals

A Sandalwood Oil industry player that published a seminal environmental transparency report in January 2024.

Santanol Group

A company that partnered with cosmetics brands in March 2024 to supply certified sustainable sandalwood oil.

Plant Therapy Essential Oils

An emerging player that is aggressively expanding its niche aromatherapy portfolios in the Sandalwood Oil market.

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What they’re saying

“Sandalwood Oil surges in luxury skincare and aromatherapy, reshaping global consumer trends.”

— Maximize Market Research

The takeaway

The Sandalwood Oil Market is poised for long-term growth and competitive resilience, driven by premium demand in luxury fragrance, dermatological-grade personal care, and aromatherapy applications. Strategic investments, sustainable sourcing, and innovative product development by industry leaders are reshaping the market dynamics and unlocking high-value returns.