Patchouli oil is produced by steam distillation of the dried leaves of Pogostemon Cablin.
The plant is native to tropical regions of Asia, and is now extensively cultivated in China, Indonesia, India, Malaysia, Mauritius, Taiwan, the Philippines, Thailand, and Vietnam, as well as West Africa.
Indonesia is the world’s largest producer of patchouli, accounting for over 80% of the global market. Patchouli is a perennial species that thrives in warm tropical climates. Current annual production volumes are around 1,000-1,200MT with market demand calculated to be around the same.
Over recent years there has been a shift in regional supplies of patchouli between the different islands of Indonesia. Historically we have associated Java and Sumatra with our patchouli but today Sulawesi represents around 80% of total raw material available. To understand more as to why and how this can affect qualities please read our Elementary Essential Oils report.
Ultra with PT Van Aroma as our production partner are the world's largest exporter and producer of Indonesian Patchouli Oil.
Available grades include 'Dark', 'Light' (iron free) and 'M.D.' (molecular distilled) with P.A. (patchouli alcohol) content ranging from 29PA - 34PA.
Read our latest report on Indonesia presented in October 2015 at the IFEAT conference in Sri Lanka, titled 'Indonesia - Current & Future Market Dynamics'
Oil prices are firm at the moment. This is primarily because of the delayed harvest due to monsoon. Most regions of Sumatra and Sulawesi are experiencing constant rainfall. Regions of Southeast Asia received excess rain in July, resulting in flash floods and crop damage. Thus, there is no timeframe on the harvest currently, since this unexpected change in weather is difficult to predict.
Just under 1,000 MT of patchouli oil was exported in the first half of 2020. This makes it the most valuable essential oil to be exported in Indonesia. There is lack of availability in the market right now. Big F&F companies at farmer and aggregator level are buying the available product at premium prices. Thus, there is hardly any product left for the open market.
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