Market Overview/Outlook (2022 to 2030)
The global Aloe Vera Extract market was valued at USD 2.39 Billion in 2022 and is projected to reach USD 4.35 Billion by 2030, registering a CAGR of 7.8% for n the forecast period 2023-2030.
Market Definition
Aloe vera extract is produced from the gel-like substance present in the leaves of the aloe vera plant. Through processing and dissolving of the inner body or flesh of the leaves of the aloe vera, extract is produced. Aloe vera is known for its numerous medicinal, cosmetic, and curative properties and hence is used in various industries. Due to the soothing properties and ability of aloe vera to moisturize, it has applications in gels, lotions, creams, serums, and other such skin care products. Aloe vera extract is also found to be very beneficial in encouraging hair growth, eliminating dandruff, and hydrating the scalp, and thus is used in various shampoos, hair masks, and conditioners. Aloe vera also has anti-inflammatory properties and hence, its extract can also be applied to skin issues such as eczema and psoriasis. As aloe vera extract is found essential in speeding the healing process, it is utilized to apply topically on wounds and burns. Various toothpaste that we see in the market contain aloe vera extract as it assists with the health of the gum and calming irritations of the mouth.
With the increasing demand for organic and safer products by consumers, the aloe vera extract market is boosting to save themselves from the adverse effects of the product. Also, rising demand for personal care and cosmetic products is also driving the market of aloe vera extract as it is majorly found in cosmetic products due to increased awareness regarding natural ingredients.
Market Size:
The global Aloe Vera Extract market was valued at USD 2.39 Billion in 2022 and is projected to reach USD 4.35 Billion by 2030, registering a CAGR of 7.8% for n the forecast period 2023-2030.
Market Definition
Aloe vera extract is produced from the gel-like substance present in the leaves of the aloe vera plant. Through processing and dissolving of the inner body or flesh of the leaves of the aloe vera, extract is produced. Aloe vera is known for its numerous medicinal, cosmetic, and curative properties and hence is used in various industries. Due to the soothing properties and ability of aloe vera to moisturize, it has applications in gels, lotions, creams, serums, and other such skin care products. Aloe vera extract is also found to be very beneficial in encouraging hair growth, eliminating dandruff, and hydrating the scalp, and thus is used in various shampoos, hair masks, and conditioners. Aloe vera also has anti-inflammatory properties and hence, its extract can also be applied to skin issues such as eczema and psoriasis. As aloe vera extract is found essential in speeding the healing process, it is utilized to apply topically on wounds and burns. Various toothpaste that we see in the market contain aloe vera extract as it assists with the health of the gum and calming irritations of the mouth.
With the increasing demand for organic and safer products by consumers, the aloe vera extract market is boosting to save themselves from the adverse effects of the product. Also, rising demand for personal care and cosmetic products is also driving the market of aloe vera extract as it is majorly found in cosmetic products due to increased awareness regarding natural ingredients.
Market Size:
- 2022: USD 2.39 billion
- 2030: USD 4.35 billion
- CAGR (2023-2030): 7.8%
Aloe Vera Extract Market Dynamics
Drivers Propelling the Demand for Aloe Vera Extract include:
Increasing demand for organic and safer products is surging the market growth of the aloe vera extract:
Rising demand for organic and safer products is increasing the market growth of the aloe vera extract market. Consumers nowadays have become more inclined towards organic products such as aloe vera extract which is perceived to be a safer ingredient in various products. As aloe vera extract is produced from the leaves of the aloe vera, it is considered to be organic and meets the preference of the growing consumers and hence is used in various products. Aloe vera helps in digestion and hence is utilized in the form of capsules, tablets, or juices. As aloe vera is considered to be organic it supports sustainability and thus, various manufacturers and companies support aloe vera extract to be used in their products as it also meets the demand for environmentally friendly products. Nowadays consumers show great interest in the label of the product and demand transparency in ingredient sourcing and processing. Aloe vera is considered to be a clean and transparent ingredient it attracts consumers as a product with fewer chemical additives. Thus, with the increasing demand for organic, and safe products, the aloe vera market is surging to meet these preferences of consumers.
Growing demand for cosmetic and personal care products drives the market of aloe vera extract:
The growth in the cosmetic and personal care industry influenced by the rising demand of consumers is accelerating the market growth of the aloe vera extract. The population nowadays is more focused towards hygiene and beautification to stand out in the growing competition and thus demands cosmetic and personal care products on a large scale. According to research, in China, the sale of beauty and personal care products rose by 10% in 2021 from the previous year. Aloe vera extract is anti-inflammatory, anti-bacterial, anti-viral, and antiseptic and hence is known for skin protection and wound healing properties. Aloe vera plays an important role in regaining moisture and integrity to prevent ulcers and thus is preferred in many cosmetic and personal care products. Aloe vera extract is used in sunscreens and after-sun products to cool and calm the burned skin. Aloe vera also has anti-ageing properties and is thus used in various cosmetic products. Due to the properties of moisturizing and conditioning, it has applications in shampoos, conditioners, and serums. Thus, with the rising cosmetic and personal care products demand, the aloe vera extract market is booming.
Recent Developments
In July 2022, Organic Harvest, organic beauty and personal care brand, certified by ECOCERT, launched an all-new range of organic Aloe Vera Gel. These products are unisex and ideal for varying skin and hair types for all age groups. The gel does not contain any trace of artificial chemicals, paraben, and artificial aroma. The gel is enriched with antibacterial and anti-inflammatory properties that are suitable for all skin types because they deeply cleanse the skin and maintain the skin's oil production balance.
In July 2022, Organic Harvest, organic beauty and personal care brand, certified by ECOCERT, launched an all-new range of organic Aloe Vera Gel. These products are unisex and ideal for varying skin and hair types for all age groups. The gel does not contain any trace of artificial chemicals, paraben, and artificial aroma. The gel is enriched with antibacterial and anti-inflammatory properties that are suitable for all skin types because they deeply cleanse the skin and maintain the skin's oil production balance.
In June 2020, Emami launched a Ayurveda based 100% organic Aloe Vera Gel under its iconic brand BoroPlus. BoroPlus Organic Aloe Vera Gel is does not contain parabens, sulphates and mineral oil and is enriched with antiseptic herbs and vitamin E. With changing lifestyle and rising pollution levels, there is increasing preference for natural and effective personal care products. This product soothes, moisturizes, and nourishes both hair and skin and keep them healthy and hydrated.
Restraint
Stringent regulations for manufactuers and allergies in some consumers may hamper the market growth of the aloe vera extract:
Regulatory authorities have developed specific requirements for the utilization labelling, and safety of the aloe vera extract in some regions and countries. Meeting these regulations can be expensive for the manufacturers. Non-fulfilment of these regulations can lead to regulatory actions and market restrictions which may restrain the market growth of the aloe vera extract. Also, as aloe vera is considered safe it does not suit to the whole population. It can cause allergy in some people. Sensitive individuals may face redness, skin irritation, or itching when aloe vera is used. This aloe vera extract allergies to some people may reduce the use of aloe vera extract in some cosmetic and personal care products. Also, people aware of having an allergy to aloe vera extract may not demand the product containing aloe vera extract which may lead to hindrance in the growth of the aloe vera extract market. Thus, meeting regulatory compliance and allergic potential may decline the market growth of the aloe vera extract.
Challenges
Supply chain and quality control create a challenge for the aloe vera extract market:
Aloe vera production depends on factors such as temperature, climate, and rainfall. Droughts or floods can disturb the supply chain of the aloe vera extract market. Also, pest infestations and disease outbreaks can also lead to reduced production of aloe vera and thus may pose a challenge for the aloe vera extract industry to supply extract to various other end-user industries such as cosmetic, food, and pharmaceutical and also affect pricing and cost high for the manufacturers. Assuring quality consistency of aloe vera extract can pose a challenge due to differentiation in the species of aloe vera, growing conditions, and methods of processing. To sustain product standards, quality control measures must be meticulous. Thus, disruptions in the supply chain and quality control offer challenges for the aloe vera extract market.
Opportunities
Innovative formulations and customized solutions pose an opportunity for the aloe vera extract industry:
With ongoing research, the development of innovative formulations can be established to improve the effectiveness and adaptability of aloe vera extract. For instance, amalgamation of aloe vera extract with other botanical ingredients or including it into novel product formats can also open up new opportunities for the aloe vera extract industry to become flexible in various fields. Additionally, customization which is a new trend can also offer opportunities for the aloe vera extract industry as companies can provide customized beauty, skincare, and healthcare solutions that comprise aloe vera to address various skin and healthcare issues. Thus, customization of products as needed by the consumers can also open the door of opportunities for the aloe vera extract industry in various cosmetics and personal care products. Thus, innovative formulations to provide efficacy and customized products are proposing opportunities in the aloe vera extract industry.
Snapshot:
| Attributes | Details |
| Market Size in 2022 | USD 2.39 Billion |
| Market Forecast in 2030 | USD 4.35 Billion |
| Compound Annual Growth Rate (CAGR) | 7.8 % |
| Unit | Revenue (USD Million) and Volume (Kilo Tons) |
| Segmentation | By Product Form, By Application, By Distribution Channel and By Region |
| By Product Form |
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| By Application |
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| By Distribution Channel |
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| By Region |
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| Base Year | 2022 |
| Historical Year | 2018-2022 |
| Forecast Year | 2023-2030 |
Segment Analysis of the Aloe Vera Extract Market
The Aloe Vera Extract market is segmented by product form, application, distribution channel, and region.
By Product Form
The liquid product form segment held the largest market share in 2022:
The liquid aloe vera extract is not difficult to include in a broad range of products. It is flexible and can be applied in both oral and topical applications. Liquid aloe vera extract can be easily combined with beverages, and skincare products, and can also be used as a constituent in numerous products. Also, the active compounds available in the liquid extract can be absorbed more effectively by the body when provided topically, which improves the efficacy of the product. Liquid aloe vera extract is easy to use in shampoos, lotions, and creams and also acts as a vital constituent in functional beverages like juices and drinks. Thus, due to the versatility of the liquid form of aloe vera extract, it occupied the major share of the market.
However, the gel form of the product is considered to be a rapidly growing segment during the forecast period. Aloe vera gel is a major ingredient in sunburn relief products. It is generally used for topical applications due to its calming properties. It also plays a vital role in decreasing inflammation and accelerating healing. Aloe vera gel is also considered to be pure and transparent. Thus, the simplicity of the gel form of the product is leading to its high growth in the upcoming years.
By Application
The cosmetic industry segment was the leading segment in 2022:
As aloe vera extract offers soothing and hydrating properties it is used extensively in the cosmetic industry. It is a major constituent of cosmetic products such as lotions, gels, serums, and creams. Aloe vera extract is also an important element of sun sunscreens and after-sun products for providing relief from the sun burns and offering a soothing effect. Aloe vera extract is also helpful in decreasing the presence of fine lines and enhancing skin elasticity and is therefore used in many anti-ageing products. Also, consumer preference towards natural products in cosmetics is increasing nowadays which has also positively impacted the aloe vera extract market. Thus, various significant properties and consumer preferences for natural products have helped the aloe vera extract market to boom in the cosmetic industry.
Moreover, aloe vera extract also plays an important role in the pharmaceutical industry. Aloe vera extract has many medicinal applications, as it contains antioxidants and polysaccharides. Aloe vera is known for wound-curing properties, soothing effects and tissue repair and is thus used in various creams for relieving pain and treating burns. Aloe vera also has a role in the food industry, where it is a vital constituent in functional beverages like juices and drinks.
By Distribution Channel
Offline channels dominated the aloe vera extract market in 2022:
Aloe vera extract products such as skincare, dietary supplements, and cosmetics are available in all physical stores such as pharmacies and supermarkets. Consumers generally prefer buying health and wellness products such as aloe vera extract from physical stores rather than purchased online. Consumers with an urgent need for health and personal care products do not wait for days, but rather buy them on the same day. Also, consumers' ability to physically examine products, and receive in-person assistance has helped the aloe vera extract market to lead in the offline distribution channel.
However, the online channel of distribution is expected to boost in the forecast period due to the growing trend of shopping online due to the convenience and accessibility offered by it. Online shopping also allows consumers to browse, read ingredient lists, and look into customer reviews before purchasing a product. Also, price offers and coupons are also supporting the online channel of distribution.
Regional Analysis
Europe occupied the largest market share in 2022:
Europe dominated the aloe vera extract market in 2022. The factors propelling the growth of the market in this region are the increasing usage of supplements and nutritional health products. Additionally, major consumers are shifting to organic, safer, and natural products for curing any disease or treating burns. However, health and wellness companies are also influenced to adopt aloe vera extract in their products thus, enhancing their product portfolio.
The Aloe Vera Extract market in Asia Pacific is expected to grow at a rapid pace due to the growing awareness regarding the advantages of aloe vera extracts. Companies in this region have started investing in cosmetic & personal care products, and functional food leading to a surge in the demand for aloe vera extract.
Competition Analysis
- Lily of the Desert Organic
- Natural Aloe Costa Rica S.A.
- Terry Laboratories, Inc.
- Aloecorp Inc.
- Aloe Farms, Inc.
- Pharmachem Laboratories, Inc.
- Foodchem International Corporation
Segmentation Analysis of the Aloe Vera Extract Market
By Product Form
- Powder
- Gels
- Capsule
- Liquid
By Application
- Pharmaceutical
- Food
- Cosmetic
By Distribution Channel
- Offline
- Online
Impact of the COVID-19 Pandemic on the Aloe Vera Extract Market:
COVID-19 had a significant impact on the Aloe Vera Extract market. COVID-19 led to disruptions in the supply chain leading to delays in transportation, labor shortages, and restrictions on the manufacturing activities. Many retail stores closed temporarily affecting the offline sales of aloe vera extract containing products. However, covid-19, made consumers health-conscious increasing demand for products supporting immune health including aloe vera dietary supplement formulations. Due to increased demand for hand sanitizers during the pandemic, the sale of aloe vera-based hand sanitizers was boosted. During the pandemic, online sales of products increased to make available products that contain aloe vera extract.
Post COVID-19 the impact on Aloe Vera Extract was notable. The impact of the pandemic created awareness regarding the importance of aloe vera extract in various uses. As people became more health conscious and shifted towards natural and organic products, the demand for aloe vera extract increased.
