Behind every bottle of essential oil is a network of small businesses that extends far beyond the farm. Growers, processors, laboratories, packaging manufacturers, transport companies and exporters all form part of the value chain, with each litre produced locally creating opportunities across multiple industries.
But the government says keeping more of that value chain in South Africa could strengthen local manufacturing, create sustainable jobs and capture greater value from international markets.
This was the message from the Department of Trade, Industry and Competition (DTIC) during the opening of the two-day 4th South African Essential Oils and Vegetable Oils Conference at Rosemary Hill in Pretoria on Wednesday, where delegates discussed how localisation and value addition can help grow South Africa’s essential oils industry.
Keep more value at home
DTIC’s Chief Director of Chemicals, Cosmetics, Pharmaceuticals and Plastics, Claudy Steyn, said industrialising the sector would help South Africa create jobs, strengthen manufacturing and increase export earnings.
“Our essential oils sector occupies a unique position at the intersection of agriculture, manufacturing, innovation and export development. Unlocking its full potential requires sustained investment in quality, sustainability, market diversification and collaboration across the value chain,” said Steyn.
She said South Africa’s biodiversity, indigenous knowledge and entrepreneurial producers provide a strong foundation for building a globally competitive essential oils industry that supports industrialisation,including export promotion.
For small businesses, opportunities extend beyond cultivating aromatic plants such as lavender, rosemary and eucalyptus. Entrepreneurs can also establish businesses in oil extraction, product formulation, quality testing, packaging, branding, logistics and exporting finished products.
Quality opens export markets
Steyn said unlocking the sector’s full potential will require closer collaboration between government and industry. She said improving access to finance, strengthening technical standards, and expanding testing and certification remain key priorities. Greater investment in research and development, coupled with better access to domestic and international markets, will be essential to driving the sector’s growth.
She also highlighted the dtic’s export promotion initiatives, including support for 13 South African companies to exhibit at the In-Cosmetics Global 2026 exhibition in Paris earlier this year.
The Head of the Swiss State Secretariat for Economic Affairs (SECO) South Africa, Daniel Lauchenauer, said South Africa’s biodiversity economy has significant potential to build competitive enterprises, create jobs and expand international trade.
“Quality is no longer simply a competitive advantage, but a basic requirement for market access. Strong quality systems enable enterprises to build trust, enter new markets and compete successfully internationally,” said Lauchenauer.
He added that the strong participation of government, industry, researchers and development partners at the conference reflected a shared commitment to growing South Africa’s essential and vegetable oils sector through collaboration, innovation and knowledge sharing.
