In the second half of 2025, the price of ginger oleoresin experienced upward pressure in the European market. EU imports increased significantly, driven mainly by China, whose shipments more than doubled compared to the previous year. This surge in supply from China indicated strong demand from EU buyers, particularly in countries like the Netherlands, Germany, and Belgium.
Meanwhile, India and Nigeria saw a notable decline in shipments, creating uneven supply dynamics. Prices, which typically tend to drop during summer months, instead rose due to low initial prices that encouraged bulk purchases by speculators. Fresh ginger remained highly sought after, reflecting growing consumer interest in health benefits and culinary uses. In Asia, farmers faced challenges with disease outbreaks and falling local prices, particularly in India, which likely affected availability of raw material for oleoresin extraction.
At the same time, innovative cultivation methods like sack-based farming in Bangladesh helped stabilize supply and reduce losses, indirectly supporting market prices. Overall, the ginger oleoresin market remained unpredictable in H2’25, influenced by fluctuating supply and shifting demand patterns across regions.
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In the first half of 2025, the price trend for ginger oleoresin showed a steady decline, driven largely by oversupply and weakened export demand across major producing countries. Myanmar, traditionally a key exporter of fresh ginger, witnessed a notable drop in its export volumes.
With international demand falling, local markets in Yangon and Mandalay became more active, but this shift failed to support prices. A surge in production from the southern Shan State only worsened the situation, leading to excess stock and subdued market sentiment.
Meanwhile, in India, a similar pattern emerged. The previous year’s record-high ginger prices encouraged large-scale cultivation across multiple states, including Karnataka, Madhya Pradesh, and Chhattisgarh. However, this resulted in a bumper harvest and a market glut, especially as international buyers turned to cheaper alternatives from Thailand and Vietnam.
Retail prices dropped sharply, and many Indian farmers struggled to cover their rising input costs. Disruptions in trade routes due to border tensions also hurt exports to Afghanistan and Pakistan, adding further pressure.
In China, increased acreage and higher yields contributed to heavy inventories. Despite good quality in some regions, much of the produce was not suitable for high-end export markets, especially in the northeast. As a result, traders became cautious, further pushing prices down. The global ginger market saw increased competition, tighter margins, and weak buyer interest, which filtered through to the oleoresin segment, dragging prices lower.
Ginger Oleoresin is derived or extracted by the solvent extraction of ground-dried rhizomes of ginger or Zingiber officinale. This product has the properties of refreshing aroma of ginger. When evaluated in dilution, it has a pungent and biting sensation. It is also known for its free-flowing, homogeneous, dark brown liquid.
Batters and bread mixes, Marinades, Salad dressing, Sauces, Seasonings, Snacks, Beverages, Medicine, Flavouring agent, Insect repellent, Volatile oils
Synthite Industries Ltd., Akay Group Ltd, Plant Lipids, Universal Oleoresins, BOS Natural Flavours (P) Limited, NAR Spice Products
CurrencyUS$ (Data can also be provided in local currency)
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It is derived or extracted by the solvent extraction of ground-dried rhizomes of ginger with the help of an organic solvent. After this, the solvent traces are vacuum distilled to finally produce Ginger Oleoresin.
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This report provides the cost structure of ginger oleoresin production by solvent extraction method. This process involves the solvent extraction of powdered dry rhizomes of Zingiber officinale with an organic solvent such as acetone and ethanol.
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