Eucalyptus Oil Price Trend and Forecast

Eucalyptus Oil Regional Price Overview

Get the latest insights on price movement and trend analysis of Eucalyptus Oil in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East & Africa).

Eucalyptus Oil Price Trend for the First Half of 2025

During the first half of 2025, eucalyptus oil prices remained under pressure due to a mix of global and local challenges. The market saw continued softness following the excess supply from previous quarters, especially from expanded hardwood pulp operations in Brazil and China. This increased production of eucalyptus-based products, including essential oils, contributed to the overall price stagnation.
 

Eucalyptus Oil Price Chart

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In South Africa, the industry faced specific hurdles that compounded the situation. Limited access to rural extension services, particularly in remote farming areas, restricted output growth. Many small producers struggled with high compliance costs tied to national and international certifications. These expenses – ranging from organic labels to safety standards – made it difficult for smaller players to scale and meet export demands. Consequently, production volumes stayed low, keeping global investors at bay.

Moreover, the South African sector continued to focus primarily on exotic oils, despite having high potential for indigenous varieties. The lack of development in this area kept the product portfolio narrow, impacting competitiveness in international markets. At the same time, gender imbalances in technical roles limited innovation and efficiency, further slowing growth.

Though demand held steady in major export markets, stricter regulatory scrutiny—such as recalls in North America—added caution among buyers and distributors, slightly dampening confidence in eucalyptus oil exports.

Analyst Insight

According to Procurement Resource, in the second half of 2025, Eucalyptus Oil prices may find support if supply stabilizes and targeted investments in compliance, training, and indigenous oil development gain traction.
 

Eucalyptus Oil Price Trend for the Year 2024

In 2024, eucalyptus oil prices experienced significant fluctuations due to a mix of supply shortages, regional shifts, and changing market demand. Early in the year, prices remained under pressure in India’s Nilgiris region, where the iconic eucalyptus oil industry saw a steep decline. From over 500 distilleries a decade ago, fewer than 20 were operational, mainly because of climate-related issues affecting eucalyptus tree health and an influx of cheaper, synthetic alternatives. This drop in domestic production added upward pressure on prices due to reduced availability.

On the other hand, South Africa’s eucalyptus oil sector showed signs of revival. The country, known for its high-quality oils, saw growing interest in exports and local use, especially with rising demand for organic and authentic essential oils. Although South Africa doesn’t match larger countries in volume, its reputation for premium products helped support stable to slightly rising prices, especially in global markets sensitive to quality.

Meanwhile, the carbon offset push in regions like Colombia led to a boom in eucalyptus plantations, mainly for carbon credit generation rather than oil production. These large-scale plantations didn’t contribute much to oil supply in 2024 but hinted at long-term implications for the market if harvesting for oil becomes viable later.

Analyst Insight

According to Procurement Resource, Eucalyptus Oil prices may remain firm due to limited supply from traditional producers. Long-term, expansion in Africa and renewed interest in sustainable oils could stabilize or slightly ease prices if supply chains mature.
 

Eucalyptus Oil Price Trend for the Second Half of 2023

The eucalyptus oil price trend showcased consistent growth during the last two quarters of 2023. Since eucalyptus oil extraction depends on the availability and affordability of its raw material, eucalyptus trees, and leaves, the given span saw a heavy inclination in prices.

In The Indian region of Nilgiris, which conventionally has been one of the country's biggest suppliers of eucalyptus oil, the market downsized absurdly short over the last two decades. This has stressed the eucalyptus oil supply chains and disrupted the supplies in the global market, putting the price trend on an uphill trajectory. The demands from the downstream industries also remained under check, which provided a little relief to the otherwise strained market.

Analyst Insight

According to Procurement Resource, the Eucalyptus Oil price trends are likely to remain upward-tottering in the coming months since the supplies will require some time to stabilize.
 

Eucalyptus Oil Price Trend for the First Half of 2023

Eucalyptus Oil is extracted from Eucalyptus trees via a steam distillation process; it is used as a medicine, bio-repellent, biopesticide, and in flavor and fragrance industries. So, the Eucalyptus Oil prices also depend on the Eucalyptus tree prices.

Eucalyptus trees are usually highly-priced as they grow tall in relatively shorter times and are a good source of timber. As the Eucalyptus has a reputation for depleting soil quality and water levels, the cultivation is generally controlled, and because of that, the prices usually range high.

Analyst Insight

According to Procurement Resource, similar prices are expected for Eucalyptus Oil in the upcoming months; meanwhile narrow range fluctuations are projected.

Procurement Resource provides latest prices of Eucalyptus Oil. Each price database is tied to a user-friendly graphing tool dating back to 2014, which provides a range of functionalities: configuration of price series over user defined time period; comparison of product movements across countries; customisation of price currencies and unit; extraction of price data as excel files to be used offline.