Industry Statistics and Trends
Market size and recent performance (2015-2030)
Industry revenue has declined at a CAGR of 0.2 % over the past five years, to reach an estimated £966.6m in 2025.
Trends and Insights
Rising health consciousness drives demand for essential oils, fuelling sales growth
- Consumers are increasingly turning to essential oils for their perceived health benefits, with Perfumer Flavorist highlighting their rising use in managing stress and overall well-being in 2023. Although the scientific evidence is debated, rising health consciousness among Britons is leading more people to try natural remedies, boosting demand for essential oils.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2025-2030)
Market size is projected to grow over the next five years.
Trends and Insights
The aroma of sustainability is attracting revenues for ethical manufacturers
- Environmental consciousness will continue to drive sales in the domestic market. Manufacturers striving to differentiate themselves from fierce competition at home and abroad will focus on locally sourced materials and sustainable production methods to attract consumers looking for local essential oils, boosting sales.
Biggest companies in the Essential Oil Manufacturing in the UK
| Company | Market Share (%)
2026 | Revenue (£m)
2026 |
|---|---|---|
Givaudan UK Limited | 183.1 | |
R C Treatt & Co Ltd | 72.1 | |
Lionel Hitchen Ltd | 69.5 |
To view the market share and analysis for all 4 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Essential oils, Mixtures of odoriferous substances for food and beverages and Mixtures of odoriferous substances for other purposes. Essential oils is the largest segment of the Essential Oil Manufacturing in the UK.
Trends and Insights
Evolving consumer preferences boost demand for sales of odoriferous substances used in food and drink
- Essential oils' properties, including their strong tastes and smells, allow them to be used extensively in food and beverage manufacturing.
- More insights available in the full report
Table of Contents
About this industry
Industry definition
Companies in this industry manufacture essential oils. This includes natural aromatic products, resinoids and mixtures of odoriferous products used in the manufacture of perfumes, cosmetics, cleaning products, and food flavourings.
What's included in this industry?
Odoriferous substances for food and beveragesOdoriferous substances for other purposesEssential oilsResinoids and other productsCompanies
Givaudan UK LimitedR C Treatt & Co LtdLionel Hitchen LtdPurchase this report to view all 4 major companies in this industry.
Related Terms
ESSENTIAL OILSCONCRETESABSOLUTESODORIFEROUS SUBSTANCESOLEORESINIndustry Code
SIC 20.53 - Essential Oil Manufacturing in the UK
Performance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
Health consciousness boosts sales. Increasing health awareness has led to a growth in essential oil sales, especially in aromatherapy and as natural additives in food and bev...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2015-2024) and forecast (2025-2030)
- Employees, including historical (2015-2024) and forecast (2025-2030)
- Businesses, including historical (2015-2024) and forecast (2025-2030)
- Profit, including historical (2015-2025)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
A volatile trade environment weighs on demand. The pound has ascended in value in recent years, helping manufacturers with the cost of importing raw materials but weighing on...
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2025
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2025
- Major market segmentation in 2025
- International trade, including imports by country and exports by country
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
- Recent trends in import and export volumes, country of origin or destination, and expected future trends
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
Manufacturers need access to customers. Essential oil companies strategically base themselves near downstream manufacturers, reducing transport costs and enhancing their mark...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2025
Tables
- Number and share of establishments in each region in 2025
- Number and share of revenue each region accounts for in 2025
- Number and share of wages each region accounts for in 2025
- Number and share of employees in each region in 2025
Detailed analysis
- Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
Small manufacturers dominate the industry. The UK essential oil market comprises small-scale operations that can efficiently compete with larger players by offering specialis...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2020-2025
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
An investigation into anticompetitive practices threatens the big players. Givaudan and three other fragrance suppliers are being investigated by UK, US, Swiss and EU regulat...
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2021 through 2025
- Major companies in the industry, including market share, revenue, profit and profit margin in 2025
- Overview of Givaudan UK Limited's performance by revenue, market share and profit margin from 2019 through 2025
- Overview of R C Treatt & Co Ltd's performance by revenue, market share and profit margin from 2019 through 2025
- Overview of Lionel Hitchen Ltd's performance by revenue, market share and profit margin from 2019 through 2025
- Overview of revenue, market share and profit margin trend for one additional company
Detailed analysis
- Description and key data for Givaudan UK Limited, and factors influencing its performance in the industry
- Description and key data for R C Treatt & Co Ltd, and factors influencing its performance in the industry
- Description and key data for Lionel Hitchen Ltd, and factors influencing its performance in the industry
- Description, key data and performance trends for one additional company
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
GB CLP harmonises UK chemical classifications. The GB CLP aligns the UK's chemical classification, labelling, and packaging with the voluntary Globally Harmonised System to e...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2015-2030)
- Assistance historical data and forecast (2015-2030)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Resilient perfume sales boost profit. Strong demand from younger consumers, who consider these products essentials, supports profit recovery despite lingering economic uncert...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2025
- Investment vs. share of economy
Data tables
- Liquidity Ratios (2019-2023)
- Coverage Ratios (2019-2023)
- Leverage Ratios (2019-2023)
- Operating Ratios (2019-2023)
- Assets (2019-2023)
- Liabilities (2019-2023)
- Cash Flow & Debt Service Ratios (2015-2030)
- Revenue per Employee (2015-2030)
- Revenue per Enterprise (2015-2030)
- Employees per Establishment (2015-2030)
- Employees per Enterprise (2015-2030)
- Average Wage (2015-2030)
- Wages/Revenue (2015-2030)
- Establishments per Enterprise (2015-2030)
- IVA/Revenue (2015-2030)
- Imports/Demand (2015-2030)
- Exports/Revenue (2015-2030)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2015-2030)
- IVA (2015-2030)
- Establishments (2015-2030)
- Enterprises (2015-2030)
- Employment (2015-2030)
- Exports (2015-2030)
- Imports (2015-2030)
- Wages (2015-2030)
Top Questions Answered
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Essential Oil Manufacturing industry in the United Kingdom in 2025?
The market size of the Essential Oil Manufacturing industry in the United Kingdom is £966.6m in 2025.
How many businesses are there in the Essential Oil Manufacturing industry in the United Kingdom in 2025?
There are 68 businesses in the Essential Oil Manufacturing industry in the United Kingdom, which has grown at a CAGR of 2.2 % between 2020 and 2025.
How may import tariffs affect the Essential Oil Manufacturing industry in the United Kingdom?
The Essential Oil Manufacturing industry in the United Kingdom is likely to be significantly impacted by import tariffs with imports accounting for a high share of industry revenue.
How may export tariffs affect the Essential Oil Manufacturing industry in the United Kingdom?
The Essential Oil Manufacturing industry in the United Kingdom is likely to be significantly impacted by export tariffs with exports accounting for a high share of industry revenue.
Has the Essential Oil Manufacturing industry in the United Kingdom grown or declined over the past 5 years?
The market size of the Essential Oil Manufacturing industry in the United Kingdom has been declining at a CAGR of 0.2 % between 2020 and 2025.
What is the forecast growth of the Essential Oil Manufacturing industry in the United Kingdom over the next 5 years?
Over the next five years, the Essential Oil Manufacturing industry in the United Kingdom is expected to grow.
What are the biggest companies in the Essential Oil Manufacturing industry in the United Kingdom?
The biggest companies operating in the Essential Oil Manufacturing industry in the United Kingdom are Givaudan UK Limited, R C Treatt & Co Ltd and Lionel Hitchen Ltd
What does the Essential Oil Manufacturing industry in the United Kingdom include?
Odoriferous substances for food and beverages and Odoriferous substances for other purposes are part of the Essential Oil Manufacturing industry in the United Kingdom.
Which companies have the highest market share in the Essential Oil Manufacturing industry in the United Kingdom?
The company holding the most market share in the Essential Oil Manufacturing industry in the United Kingdom is Givaudan UK Limited.
How competitive is the Essential Oil Manufacturing industry in the United Kingdom?
The level of competition is low and increasing in the Essential Oil Manufacturing industry in the United Kingdom.
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Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in the UK include:
- Office for National Statistics
- Office for Budget Responsibility
- Bank of England
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
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