Neem Oil Market: Global Industry Analysis and Forecast (2024 -2030)

Global Neem Oil Marketsize was valued at USD 2.08 Bn in 2023 and Neem Oil Market revenue is expected to reach USD 5.30 Bn by 2030, at a CAGR of 14.3 % over the forecast period (2024-2030).
Neem Oil Market Overview
Neem oil is an organic solution used as a pesticide against insects, mites, or fungi bothering your plants. It is used medicinally and in the cosmetics industry as an organic insecticide spray. Organic gardeners love that the oil is safe to use. Neem Oil is harmless for humans and animals, and it's safe even for most wildlife since its insecticidal properties are targeted to specific pests that damage garden plants. It is packed with minerals and antioxidants that shield the skin from environmental harm and work to prevent oxidative stress. Soaps, hair products, hand creams, and pet shampoos are just a few of the cosmetics that are made using cold-pressed neem oil.To know about the Research Methodology :- Request Free Sample Report

The report explores the Neem Oil market segments (Type, Application, Form and Region). Data has been provided by market participants, and regions, (North America, Asia Pacific, Europe, Middle East & Africa, and South America). This market report provides a thorough analysis of the rapid advances that are currently taking place across all Technology sectors. Facts and figures, illustrations, and presentations are used to provide key data analysis for the historical period from 2018 to 2023. The report investigates the Neem Oil market drivers, limitations, prospects, and barriers. This MMR report includes investor recommendations based on a thorough examination of the Neem Oil Industry contemporary competitive scenario.
Neem Oil Market Dynamics
Growing demand for Natural Pesticides to Drive the Market

Neem plant is considered the most useful traditional plant in India. The various properties of different parts of the neem tree are used mainly as an insecticide, fertilizer, manure, soil conditioner, urea coating agent, fumigant, etc. In the recent era the major challenge is to increase food production and safeguard food from pests without harming the environment. Pesticides have become an integral component of sustainable agriculture and modern cultural practices. The use of chemical pesticides and fertilizers are in eliminable. This use is expected to influence the demand for the Neem Oil Market over the forecast period. The natural pesticides from Azadirachta indicia are considered less harmful, biodegradable, least persistent, less toxic to the non-target organism and also economic. Fruitful results of the application of formulated neem-based products in agriculture will provide a cost-effective technology to the farming community. Many manufacturers are developing new products regarding neem oil that help to push the market forward.

R & D on Neem Oil Formulation Capacity to Boost Market Growth

Neem oil is an important traditional medicine and it has been used in agriculture, which is a natural vegetable oil obtained mainly from seeds, kernels, and fruits of the neem tree. It is also obtained in less quantity from other parts of the tree such as flowers and leaves but the yield is maximum from seeds. The yields of neem oil extracted from seed and kernel are about 18–25% and 42–50%, respectively. Neem oil formulations' capacity to kill An. Gambia larvae at relatively low concentrations suggest the possibility of their application as synthetic insecticide alternatives in the management of malaria vectors. Today, this oil is used at 100 μL per 10 g concentration in retail meat inoculated with 4 log CFU mL− 1 of common meat-spoiling microorganisms. It has excellent antimicrobial, antioxidant, pesticide, and insecticidal properties making it an attractive alternative to synthetic chemicals that are used in the application of food preservation, packaging, and storage. Such all factors are expected to boost the Neem Oil Market growth during the forecast period. However, photosensitivity, rapid degradation, and impact on the sensory qualities of food are expected to pose major challenges against applications in food preservation and packaging.

The increasing use of neem oil for food packaging as a preservative is a new trend for Neem Oil Market growth. According to MMR research, scientific studies have investigated the use of neem oil in general skincare or as a treatment for skin conditions. Its antigen formulation is formed through its extract.
Global Medicinal Use of Neem Oil in Pharmaceutical Industry Share, in 2023(%)


Trends in Neem Oil Market

The ability of conventional treatments to achieve cures with the least amount of pain has been trusted in by the whole international medical community. Neem oil sales are being artificially boosted by the market's booming demand for Ayurveda and Unani remedies. Neem oil is now used in a variety of fields, including waste management, agriculture, physiology, and dermatology, in addition to the medical community. It is a powerful anti-dandruff and skin conditioning agent that is added to bio-insecticides and bio-pesticides.

Researchers are regrettably becoming increasingly concerned about the emergence of contaminated neem oil on the market, which undermines consumer confidence. This can endanger the market as a whole. However, the issue could be resolved in the presence of stringent laws and controls, which has shown the neem oil business grow internationally.

Neem Oil Market Challenges and Restraint

Neem contains complex multifunctional compounds, which have variable stability and penetration. Neem oil is being incorporated into several skins and personal care products. The active ingredients and their concentration can vary based on genetic variability, the part of the tree used, growing, storage, and processing conditions. The method of extraction such as acetone, aqueous, methanol, ethanoic, chloroform, and acetonitrile extracts are important as each method gives different compounds with different concentrations. The widespread use of refined neem preparations, which are based on a small number of compounds, might induce resistance.

Research on neem oil is still largely based on in vitro or animal models. Other challenges include toxicity, contamination, regulation, and low commercial interest there are several challenges, and newer technologies are improving the outlook towards natural products. Metabolomics can provide accurate data on the metabolites in natural products. Nuclear magnetic resonance spectroscopy and high-resolution mass spectrometry often in combination with liquid chromatography provide comprehensive metabolic profiles. DE replication is done to exclude known compounds. Regulatory guidelines have been developed for heterogenous mixtures from natural products. Although several natural products can affect the microbiome, research on such interactions is still in its infancy.
Neem Oil Market Regional Analysis
The Asia Pacific region held the largest market share accounting for 47% in 2023.

Asia Pacific region held the largest market share in 2023 and is expected to sustain its position at a CAGR over the forecast period. The region has a well-established domestic market for neem oil market accounting for over 47% of global demand. This is due to the region's long history of using neem oil for a variety of purposes, including agriculture, personal care, and medicine. The increasing awareness of the benefits of neem oil the growing demand for natural and organic products, and increasing production of neem oil in the region.

Europe is another prominent market for neem oil, driven by the rising demand for organic products, sustainable agriculture practices, and strict regulations on chemical pesticides. Countries like Germany, France, and the United Kingdom are the major consumers of neem oil in the region. Moreover, the increasing awareness of neem oil's medicinal properties has led to its growing adoption in the healthcare and personal care sectors. The European market offers significant growth opportunities for neem oil manufacturers, particularly those focusing on product innovation and quality.

North America has a major share of the neem oil, with the United States being the dominant country in the region. The growing preference for organic and natural products among consumers, along with stringent regulations on synthetic pesticides, has driven the demand for neem oil in North America. The region also has a well-established agriculture sector that utilizes neem oil for crop protection. Furthermore, the presence of key neem oil manufacturers and increasing investments in research and development activities contribute to the growth of the neem oil market in this region.

The objective of the report is to present a comprehensive analysis of the global Neem Oil Market to the stakeholders in the industry. The past and current status of the industry with the forecasted market size and trends are presented in the report with the analysis of complicated data in simple language. The report covers all the aspects of the industry with a dedicated study of key players that include market leaders, followers, and new entrants.

PORTER, PESTEL analysis with the potential impact of micro-economic factors of the market have been presented in the report. External as well as internal factors that are supposed to affect the business positively or negatively have been analyzed, which will give a clear futuristic view of the industry to the decision-makers.

The reports also help in understanding the Neem Oil Market dynamic, and structure by analyzing the market segments and projecting the Neem Oil Market size. Clear representation of competitive analysis of key players by Design, price, financial position, product portfolio, growth strategies, and regional presence in the Neem Oil Market make the report investor’s guide.
Neem Oil Market Segment Analysis
Based on Type

The leaf extract segment is dominating the market for plant extract, with a market share of 47.5% in 2023. The demand for leaf extracts was USD xx billion in 2023, and it is forecast to increase at a CAGR of 14.8% from 2024 to 2030. Leaf extracts are rich in antioxidants, vitamins and minerals, which have a variety because of increased demand from numerous end-use sectors, such as personal care, pharmaceuticals, animal feed, and agriculture, the market is forecasted to grow. In addition, rising consumer knowledge of neem's health advantages, particularly in developed nations, is forecast to fuel market growth throughout the forecast period.

Based on Application

The pharmaceutical industry is dominating the global neem oil market share in 2023. The segment growth is influenced due to its increasing demand for prescription drugs and medication. The food industry is also a major driver of growth in the market due to increasing demand for processed foods and beverages and personal care products are becoming increasingly popular which is driving demand for neem oil used in their production
Neem Oil Market, by Application Market Share (%) in 2023


 
Neem Oil Market Competitive Landscape
The neem oil market is characterized by intense competition, primarily led by key players like E.I.D. Parry, Neeming Australia Pty Ltd., P.J. Margo Pvt. Ltd., Agro Extract Limited, and Ozone Biotech Pvt. Ltd., wield significant influence in major markets such as India, China, and the United States. Propelled by surging demand for neem oil across diverse sectors like personal care, pharmaceuticals, agriculture, and animal feed. This growth is driven by heightened awareness of neem oil's health benefits, the organic product trend, agricultural challenges posed by pests and diseases, and governmental support for neem oil as a biopesticide. The neem oil market's trajectory, however, is not devoid of challenges including raw material availability, competition from synthetic pesticides, and uneven awareness about neem oil's advantages in certain regions. Despite obstacles, the market is anticipated to expand robustly, with leading companies concentrating on enlarging their offerings and global footprint to cater to the escalating neem oil demand.
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Global Neem Oil Market


Report Coverage
Details


Base Year:
2023
Forecast Period:
2024-2030


Historical Data:
2018 to 2023
Market Size in 2023:
US $ 2.08 Bn.


Forecast Period 2024 to 2030 CAGR:
14.3%
Market Size in 2030:
US $ 5.30 Bn.


 Segments Covered:
by Type
Leaf Extract
Seed Extract
Bark Extract


by Application
Pesticides/agriculture
Personal care
Animal products
Pharmaceuticals
Pharmaceutical Industry
Food Industry


by Form
Crude Neem Oil
Cold-Pressed Neem Oil
Neem Oil Extract



Neem Oil Market by Region
North America (United States, Canada and Mexico)
Europe (UK, France, Germany, Italy, Spain, Sweden, Austria and the Rest of Europe)
Asia Pacific (China, South Korea, Japan, India, Australia, Indonesia, Malaysia, Vietnam, Taiwan, Bangladesh, Pakistan and the Rest of APAC)
South America (Brazil, Argentina Rest of South America)
Middle East & Africa (South Africa, GCC, Egypt, Nigeria and the Rest of ME&A)
Neem Oil Market key players include
1. PJ Margo Private Limited
2. Agro Extracts Limited
3. Fortune Biotech Ltd
4. GreeNeem Agri Private Limited
5. Manorama Industries Limited
6. Neem India Products Pvt. Ltd.
7.Ozone Biotech
8. Neeming Australia
9. NOW Foods
10. Fortune Biotech Ltd.
11. SUN BIONATURALS (INDIA) PRIVATE LTD.
12. Banyan Botanicals
13. Group Velocity LLC.
14. Parry's BIO
15. United Industries Corporation
16. Murugappa Group
17. The Velocity Group
18. Agro Extracts Limited
19. Certis USA LLC
20. E.I.D. Parry
21. PJ Margo Pvt. Ltd.

Frequently Asked Questions:

1] What segments are covered in the Global Neem Oil Market report?
Ans. The segments covered in the Neem Oil Market report are based on Type, Application, Form, and Region.

2] Which region is expected to hold the highest share in the Global Neem Oil Market?
Ans. Asia Pacific region is expected to hold the highest share in the Neem Oil Market.

3] What is the market size of the Global Neem Oil Market by 2030?
Ans. The market size of the Neem Oil Market by 2030 is expected to reach USD 5.30 Billion.

4] What is the forecast period for the Global Neem Oil Market?
Ans. The forecast period for the Neem Oil Market is 2024-2030.

5] What was the market size of the Global Neem Oil Market in 2023?
Ans. The market size of the Neem Oil Market in 2023 was valued at USD 2.08 Billion.