Indonesia is one of the largest producers of cajeput oil and is also the largest consumers.
Produced by steam distillation from the leaves of the Myrtaceous tree, it also goes by the botanical name Melaleuca leucadendra. It can be found close to shorelines on the island of Pulau Buru in Maluku and in some parts of Central Java.
Primarily used in massage oils, it is also used for its remedial qualities in treating stomach aches, common cold, nausea and insect bites. More than 90% of the oil produced is consumed locally by the pharma industry.
Cajeput is Indonesia's answer to China's Eucalyptus. Both used across similar applications cajeput is also common in other South East Asian countries.
Indonesia produces around 325 - 350 MT per annum, making it one of Indonesia's largest produced essential oils by volume. Cajeput trees are evergreen and can reach up to 30 meters in height. They usually have a whitish, spongy bark with a crooked trunk.
Read our latest report on Indonesia presented in October 2015 at the IFEAT conference in Sri Lanka, titled 'Indonesia - Current & Future Market Dynamics'
Demand, especially in the local markets, is unusually high for cajeput. Production is stable and prices are improving at a healthy rate. The reason behind this seems to be the limited supplies of eucalyptus oil. Cajeput typically consists of 45 to 60% of 1.8 cineol/eucalyptol. This is the main component being sought after in cajeput. A similar effect can be seen in the sudden rise of demand for sweet basil leaf oil, bay leaf oil, tea tree oil, etc.
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