Essential Oils

Profile

Canada's Essential Oil Industry

Essential oils are derived from volatile aromatic components found in plants. They can be distilled or extracted from the flower, bark, seed, leaves, or roots of plants or from the whole plant. They may also be derived from trees such as spruce. Canadian essential oils crops include dill, caraway, coriander, spearmint, peppermint, hyssop, bergamot, sage, tarragon, and basil.

Essential oils are derived from plants by either distillation or extraction processing. Steam distillation is the most common method of derivation used by commercial scale producers while other methods of processing include hydro or water distillation, solvent extraction, and supercritical fluid extraction. Distillation can be done by on-site facilities, mobile units that come to the farm, or using a custom operation. The processed oil is usually sold to a flavour house, either directly or through a broker, with the flavour house having the capability to blend thousand of oils for different purposes. Processors often sell many different formulas of the same essential oils to the flavour houses, depending on the requirements of the end user. The flavour houses generally do not have their own processing facilities.

Additional Information

The primary markets for essential oils are the flavour and fragrance industries, which includes soft drink, food, and cosmetic companies. Essential oils are beneficial to these industries, particularly the food and beverage industries, due to their uniform quality and lack of colour. The flavour and fragrance industries have grown recently for the following reasons: increased demand for ethnic foods, innovation in beverage products, growth in processed food consumption, and increasing demand for natural fragrances. In addition, niche markets also exist for essential oils by producing products for the aromatherapy industry. Aromatherapy refers to the use of essential oils to release odour molecules that can trigger impulses in the brain. The use of scents may be used for therapeutic purposes, to trigger emotions or memory, to promote relaxation, or to enhance energy. Part of the appeal in using essential oils for aromatherapy products is that there is no evidence that they cause adverse side effects.

The market for essential oils in Canada is small and relatively new. Entrants must be prepared to engage in a significant amount of marketing, as companies remain loyal to their suppliers that provide consistent quality and supply. Entrants must also be prepared to deal with a shortage of information. Business opportunities in the industry are limited by the market demand for various essential oils in commercial and niche markets. Aromatherapy markets, however, are more accessible for small scale farmers.

Statistics

Essential Oils Statistics

For the latest market information and analysis available from Agriculture and Agri-Food Canada, please consult the following publications:

Associations

Please note that the Saskatchewan Herb and Spice Association is the secretariat for the National Herb and Spice Coalition. For more information, please contact the Saskatchewan Herb and Spice Association.

Saskatchewan Herb and Spice Association
P.O. Box 18
Phippen, Saskatchewan
S0K 3E0
Email: shsa@sasktel.net
Tel: 306-694-4622
Fax: 306-694-2182

Alberta New Crops Network (ANCN)
Upper 5303 - 91 Street
T5B 4K3
Edmonton, Alberta
Email: newcrops@telusplanet.net
Tel: 780-90-6462
Fax: 780-490-6472

B.C. Herb Growers Association
998 Skeena Drive
Kelowna, British Columbia
V1V 2K7
Email: info@bcherbgrowers.com

Canadian Herb Society
VanDusen Botanical Gardens
5251 Oak Street
Vancouver, British Columbia
V6M 4H1
Email: info@herbsociety.ca
Tel: 604-224-0457
Fax: 604-222-9613

Canadian Spice Association
160 Eglinton Avenue, East, Suite 300
Toronto, Ontario
M4P 3B5
Email: info@canadianspiceassociation.com

Fédération de l'agriculture biologique du Québec (in French only)
Affiliated to Union des producteurs agricoles (UPA)
555 Boul Roland Therrien
Longueuil, Quebec
J4H 3Y9
Email: fabq@upa.gc.ca
Tel: 450-679-0530
Fax: 450-670-4867

Filière des plantes médicinales biologiques du Québec (in French only)
C.P. 43, Magog Quebec
J1X 3W7
Tel: 819-847-1862
Fax: 819-847-1814
Email: fpmq@plantesmedicinales.qc.ca

Flower and Herb Growers Association of Alberta
244034 Range Road 32
Calgary, Alberta
T3Z 2E3
Southern Alberta: Ken Wright 403-686-4434
Peace Region: Mary Ann Wilson 403-538-1429
Fax: 403-242-8018

Herb Society of Manitoba
c/o Assiniboine Park Conservatory
15 Conservatory Drive
Winnipeg, Manitoba
R3P 2N5
Email: info@herbsociety.com

Medicinal & Aromatic Plants Association of Manitoba
PO Box 20024
Selkirk, Manitoba
R1A 1S0
Tel: 204-766-2669
Fax: 204-482-8667

Newfoundland Herb Association
55 Springdale Street
St. John's, Newfoundland
A1C 5B2
Tel:  709-726-3271
Email: di3@talkherbs.net

P.E.I. Medicinal Plants Association
c/o Island Root Company
RR 1
Montague, P.E.I.
C0A 1R0
Tel: 902-962-3613
Fax: 902-962-3613
Email: julius@iqu.pe.ca

Western Canadian Organic Herb and Spice Association
PO Box 16
Opal, Alberta
T0A 2R0
Email: wcdnherb@telusplanet.net
Tel: 780-909-1634
Fax: 780-942-3992