by Frankincense extracts are derived from the Olibanum tree and are used for their aromatic properties in incense products as well as their therapeutic properties. Frankincense extracts provide a variety of health benefits such as anti-inflammatory, anti-depressant and anti-cancer properties. The extracts contain active compounds called boswellic acids that help maintain immune function and joint health.
The Global Frankincense Extracts Market is estimated to be valued at US$ 377.4 Mn in 2024 and is expected to exhibit a CAGR of 7.4% over the forecast period 2024 to 2031.
Key Takeaways
Key players operating in the Frankincense Extracts market are Caterpillar, Inc., Deere & Company, Komatsu Ltd., Mahindra Construction Equipment, Volvo Construction Equipment, J C Bamford Excavators Ltd., Terex Corporation, CNH Industrial NV, Manitou Group, Action Construction Equipment Ltd., and Hitachi Construction Machinery Co., Ltd.
The key opportunities in the Frankincense Extracts Market Demand include rising awareness about the therapeutic properties of frankincense extracts. There is a growing demand for herbal supplements containing frankincense extracts for conditions like arthritis and anxiety. Brands are exploring new product formulations and delivery formats like frankincense infused teas and lattes to attract more consumers.
Technological advancements in extraction processes are helping improve the yields of active compounds from frankincense resin. Super-critical CO2 extraction methods allow for gentler extraction of boswellic acids and other compounds without use of solvents. Advanced chromatography techniques are also helping researchers study the compounds in frankincense and their molecular targets.
Market drivers
The major driver for the frankincense extracts market is the rising awareness among consumers about the medicinal uses and health benefits of frankincense. Many clinical studies have demonstrated anti-inflammatory, anti-cancer and mood-lifting effects of boswellic acids present in frankincense extracts. As consumers increasingly prefer herbal and natural remedies over synthetic drugs, the demand for frankincense extracts in supplements, functional foods and beverages is expected to increase significantly over the forecast period.
Current Challenges in Frankincense Extracts Market
The Frankincense extracts market is facing challenges due to unstable supply of raw materials. Frankincense is extracted from Boswellia trees that are found in deserts of Somalia, Ethiopia, Oman, Yemen, and India. Climatic changes are negatively impacting the growth of these trees. Moreover, overexploitation for commercial purposes poses a threat to these trees. The Frankincense extracts market players need to ensure sustainable harvesting of these trees to secure continuous supply of raw materials.
SWOT Analysis
Strength: Antioxidant and anti-inflammatory properties of frankincense extracts provide health benefits.
Weakness: Unstable supply of boswellia trees could hamper production. Extract formulas may contain allergens for some.
Opportunity: Growing popularity of natural ingredients in cosmetics and wellness products boosts demand. Developing economically viable cultivation processes can improve supply security.
Threats: Climate changes may damage Boswellia forests. Overexploitation and habitat destruction are challenges. Competition from synthetic alternatives.
India and China hold a major share of the Frankincense extracts market in terms of value due to large-scale cultivation of Boswellia trees. India cultivates Boswellia serrata trees on over 800,000 hectares of land.
The Middle East region, especially countries like Oman and Yemen, is anticipated to witness the fastest growth in the Frankincense extracts market during the forecast period. This is attributed to the presence of natural boswellia forests in these countries. Conservation efforts are undertaken to ensure sustainable harvesting from the native boswellia trees.
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