As the perfume industry is showing steady growth, the Commerce Ministry is encouraging Thai entrepreneurs to maximise the use of local plant-based raw materials, enhance production standards and implement effective marketing strategies to reach target customers more effectively and increase export competitiveness.
Poonpong Naiyanapakorn, director general of the Trade Policy and Strategy Office, emphasised the significant growth potential of Thailand's perfume industry in the global market.
With an abundance of aromatic plant resources, Thailand could potentially provide raw materials for perfumes such as ylang-ylang (cananga odorata), moke (wrightia arborea), pandanus, golden champa and oud, he said.
He urged entrepreneurs to focus on developing distinctive product brands that feature fragrances derived from Thai plants as key selling points while adopting eco-friendly production processes to ensure sustainable global competitiveness.
He highlighted the importance of improving extraction processes to meet international standards, such as ISO 9235 for natural fragrant raw materials and certifications issued by the International Fragrance Association.
These are essential for ensuring the safety and quality of perfumes and their ingredients.
He added that implementing international-standard processes not only adds value to Thai raw materials but also strengthens export competitiveness.
Collaborating with global perfumers or fragrance companies could also facilitate access to international markets.
He said this industry has the potential to generate significant revenue for businesses and play a crucial role in promoting local and national economies.
It supports farmers who cultivate fragrant plants and producers of related raw materials.
Moreover, this industry represents an opportunity to showcase Thai culture and identity internationally.
"Developing Thai perfumes for global recognition not only drives economic growth but also enhances Thailand's identity in the global beauty and lifestyle industries," he noted.
In 2024, Thailand's perfume market was valued at US$391 million and it is anticipated to grow at an average annual rate of 5.86%, potentially reaching $491 million by 2028.
He suggested that modern marketing strategies such as utilising social media and e-commerce platforms, and hosting perfume workshops to engage customers could effectively increase awareness and sales for Thai perfume businesses.
He said the global perfume market is also thriving.
According to Euromonitor, the global market value of perfumes in 2024 stood at $67 billion and is expected to grow at an average annual rate of 4.25%, reaching $79.1 billion by 2028.
This growth is driven by trends in beauty, luxury consumption and demand for products that reflect individual identity.