Palmarosa oil is extracted from Cymbopogon martini of the Gramineae family and can also be known as East Indian and Turkish geranium.
The main growing areas in India are said to be the wetlands in the provinces of India, as well as Nepal. It is a slow growing grass which flowers over a 3 month period. Only the flower can it be harvested.
Palmarosa is high in geraniol which is not only used for its rose-like smell but for a number of medicinal and household uses. Palmarosa oil has been shown to be an effective antifungal and mosquito repellent. As for its popular rose-like odour it can be found in many cosmetics and soaps.
In 2014 Indian exports were around 30MT of palmarosa significantly down from 45MT in 2013. This could be largely due to a poor season leading to price increases. The USA is the largest importers of Indian palmarosa, contributing to around 35-40% of annual sales. Europe collectively is larger with 50% of the global sales with France taking around half of the total amount.
Palmarosa thrives in warm, semi-arid climates with well-drained soils and full sunlight. The grassy biomass of the plant is steamdistilled to produce an oil rich in geraniol. The oil is extensively used in perfumery, soaps, cosmetics, and aromatherapy. The acreage for palmarosa cultivation in India has declined drastically by nearly 90%. This is primarily because farmers have moved to more profitable crops. There are limited active fields in major producing states like Karnataka, Odisha, and Maharashtra.
Demand for the oil remains strong globally and in the domestic market, but supply is heavily restricted. Persistent rainfall has also disrupted harvesting and distillation cycles. Per-acre yields have reduced even with machine-assisted cutting. This demand-supply imbalance has resulted in a sharp increase in price over the past two months. Until January-February only minimal fresh production is expected. This will keep the market tight and prices high.
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