Regional Wholesale Demand Essential Oils USA

The United States is one of the largest markets for essential oils in the world. But for those of us in the wholesale and manufacturing industry, the U.S. is not just one single market. It is a collection of fifty different markets, each with its own needs, industries, and buying habits.

If you are a distributor, a brand owner, or a buyer for a large-scale manufacturer, understanding these regional patterns is vital. A buyer in California is looking for something very different from a buyer in New Jersey. One might be focused on the "Clean Beauty" movement, while the other is looking for bulk ingredients for a large-scale cosmetic lab.

At AG Organica, we have spent years supplying high-quality, bulk essential oils to buyers across North America. We have seen where the orders go, what the repeat patterns look like, and which oils are moving the fastest in specific regions.

This guide breaks down the wholesale landscape of the U.S. market. We will look at which states are buying the most, why they are buying them, and what this means for your own supply chain strategy.

Why Regional Demand Matters in Wholesale Essential Oils

When people think of essential oils, they often think of small bottles in a health food store. But in the wholesale world, we think in drums and pallets.

Regional demand matters because essential oils are used as raw materials. They go into soaps, detergents, skin creams, candles, and professional massage oils. Because different regions of the U.S. have different industrial "hubs," the demand for these oils follows the industry.

For example, a state with many cosmetic manufacturing plants will order massive amounts of Lavender and Peppermint for formulations. A state with a high density of wellness retreats and spas might order more "prestige" oils like Frankincense or Rose.

Understanding this helps you plan your inventory. It helps you understand where competition is high and where there might be a gap in the market. Most importantly, it helps you choose a supplier like AG Organica that can handle the specific volume and documentation requirements of these different hubs.

How Wholesale Essential Oil Demand Is Measured

Before we look at the states, it is helpful to understand what "wholesale demand" actually looks like. It is not just about the number of people searching for oils on the internet. It is about business-to-business (B2B) activity.

• Bulk Orders : This is the most obvious sign. When we see a high volume of orders for 180kg drums or 25kg canisters going into a specific zip code, we know there is a manufacturing hub there.
• Repeat Purchasing: A one-time order might just be a test. But when a company in Texas orders Eucalyptus oil every month like clockwork, it means that oil is a "hero ingredient" in one of their regular products.
• Manufacturing Demand: Much of the demand in the U.S. is driven by contract manufacturers. These are companies that make products for other brands. If a state has many of these facilities, its demand for essential oils will naturally be much higher.
• Private Label Activity: Many modern D2C (Direct-to-Consumer) brands don't have their own factories. They use private label manufacturers. We see high demand in regions where these digital-first brands are headquartered.

Top U.S. States Buying Essential Oils in Bulk

While every state uses essential oils, a few stand out as the heavy hitters. These states represent the bulk of the wholesale movement in the country.

1. California:

   California is arguably the leader in the U.S. essential oil market. The reason is simple: California is the home of the "Wellness" movement.

   1. Why demand is high: A massive population, a culture focused on natural living, and a huge number of independent beauty and skincare brands.
   2. Common oils: Lavender, Tea Tree, Lemon, and Organic Carrier Oils like Jojoba.
   3. The Buyers: D2C brands, organic skincare manufacturers, and large-scale aromatherapy distributors.
2. New Jersey and New York: This region is the heart of the American cosmetic and pharmaceutical industry.
   1. Why demand is high: This is where the world’s biggest beauty brands have their R&D labs and manufacturing partners. The demand here is industrial.
   2. Common oils: Peppermint, Eucalyptus, Spearmint, and various citrus oils used in fragrance and flavoring.
   3. The Buyers: Large-scale labs, flavoring houses, and fragrance manufacturers.
3. Texas:

   Texas has seen a massive boom in the last decade. As people move to Texas, businesses follow.

   1. Why demand is high: A growing manufacturing sector and a very strong spa and wellness industry in cities like Austin and Dallas.
   2. Common oils: Lemongrass, Cedarwood, and Rosemary.
   3. The Buyers: New wellness brands, soap makers, and regional distributors.
4. Florida: Florida’s demand is driven by two things: tourism and the elderly population.
   1. Why demand is high: The spa industry in Florida is massive. There is also a high demand for natural products used in senior care and wellness.
   2. Common oils: Orange, Grapefruit, and Bergamot (Citrus is very popular here).
   3. The Buyers: Professional spas, hotel chains, and natural wellness centers.
5. Illinois:

   Illinois, specifically the Chicago area, is a major hub for the food and cleaning product industries.

   1. Why demand is high: Essential oils are used heavily in "natural" cleaning products and as flavorings in the food industry.
   2. Common oils: Peppermint, Lemon, and Clove.
   3. The Buyers: Industrial cleaning companies and food processing facilities.

West Coast Demand: Wellness and Natural Living

The West Coast—led by California and Washington—buys essential oils based on a specific philosophy. Here, the focus is on "Clean Beauty" and "Holistic Health."

• California’s Influence:

  California is not just buying oils; it is setting the trends. If a certain oil becomes popular in a Los Angeles wellness clinic, it will likely be a top wholesale seller across the country six months later.

  Buyers here are very sensitive to certifications. They want to see Organic, Non-GMO, and Cruelty-Free documentation. They are often willing to pay a bit more for a premium, ethically sourced oil because their customers demand it.

• Washington State:

  In Washington, there is a strong focus on sustainable living. We see a lot of demand here for oils used in small-batch soap making and eco-friendly home products. It is a very "maker-focused" market.

  For a wholesale supplier, the West Coast requires a focus on consistent quality. These brands build their entire reputation on the "purity" of their ingredients. If a batch of Lavender smells slightly different, it can ruin a small brand’s reputation. That is why they value long-term, stable partners like AG Organica.

East Coast Demand: Manufacturing and Private Label Growth

If the West Coast is about the "lifestyle" of essential oils, the East Coast is about the "business" of essential oils.

• The New Jersey/New York Lab Hub

  States like New Jersey are packed with cosmetic labs. When these labs order, they aren't looking for a few bottles. They are looking for raw materials that will be blended into millions of tubes of lotion or shampoo.

  The focus here is on technical documentation. These buyers need MSDS (Material Safety Data Sheets), COAs (Certificates of Analysis), and stability data. They need to know exactly how an oil will react when mixed with other chemicals.

• Private Label Growth

  The East Coast is also a hub for many of the newer, "medical-grade" skincare brands. These brands often use private label manufacturers to create high-end serums. This creates a steady, high-volume demand for "hero" oils like Frankincense, Neroli, and Helichrysum.

Southern States: Fast Growth and Cost-Sensitive Bulk Buying

The South, including Texas, Florida, and Georgia, represents the fastest-growing segment of the U.S. wholesale market.

• Texas: The New Powerhouse

  Texas is becoming a major player in the beauty and wellness manufacturing space. The state is business-friendly, which has attracted many new brands. Demand here is practical. They want high-quality oils, but they are also very focused on competitive bulk pricing.

• Florida: The Spa Capital

  Florida has one of the highest concentrations of professional spas in the country. This creates a massive demand for "bulk-to-professional" products. Think 5-gallon pails of massage oils infused with Eucalyptus or Lavender.

• Georgia and the Southeast

  Georgia has a growing cosmetic manufacturing sector. The demand here is often for oils used in hair care and personal hygiene products. Buyers here tend to favor multipurpose oils—ingredients that can be used across five different product lines to keep inventory costs low.

Midwest Demand: Steady, Functional, and Industrial Use

The Midwest is often overlooked in the essential oil industry, but it provides a very steady, reliable source of demand.

The Focus on Function

In states like Illinois, Ohio, and Michigan, essential oils are often bought for their functional properties rather than just their scent.

• Peppermint is bought for flavoring and cooling effects.
• Tea Tree and Eucalyptus are bought for their antimicrobial properties in cleaning products.
• Lemon and Orange are bought for their ability to cut through grease.

Long-Term Supply Relationships

Midwest buyers tend to be very loyal. They aren't looking to switch suppliers every month to save a few pennies. They want a supplier who can guarantee that the oil will be in their warehouse on the same day every month. They value reliability and supply chain stability above all else.

Most Common Essential Oils Ordered in Bulk by U.S. States

Regardless of the state, some oils simply move faster than others. These are the "staples" of the wholesale industry.

• Lavender (Bulgarian and French)

  Lavender is the undisputed king. It is used in everything from high-end perfumes to laundry detergents. It is the first oil most brands buy and the one they buy in the largest quantities.

• Peppermint

  Peppermint has huge demand in the food, oral care, and cosmetic industries. Because it is used in such high volumes, buyers are always looking for a reliable wholesale source that can provide a consistent menthol content.

• Tea Tree

  The demand for Tea Tree spiked during the pandemic and has stayed high. It is now a standard ingredient in "natural" hand sanitizers, acne treatments, and scalp-care products.

• Eucalyptus

  Eucalyptus is the go-to for the spa and wellness industry. It is also a major ingredient in over-the-counter (OTC) respiratory balms and cleaning supplies.

• Lemon and Sweet Orange

  Citrus oils are essential for the fragrance industry. Because they are often cheaper than floral oils, they are used as "top notes" in almost every cleaning and personal care product on the market.

• Frankincense

  Once a niche "spiritual" oil, Frankincense is now a major ingredient in anti-aging skincare. We see high demand for this from premium skincare brands in California and New York.

What U.S. Wholesale Buyers Look for in a Supplier

If you are a buyer in the U.S., you know that the market is full of "middlemen." Many companies just buy oil from one place and sell it to another. Real wholesale buyers—the ones who run factories and labs—look for something more.

• Consistent Batches

  Nothing is more frustrating for a manufacturer than a batch of oil that smells different from the last one. It forces them to change their entire formulation. Buyers want a supplier that has strict quality control.

• Transparent Sourcing

  Modern consumers want to know where their oil came from. Was it sustainably harvested? Are the farmers being paid fairly? Buyers need this information so they can pass it on to their customers.

• Paperwork and Documentation

  In the U.S., you cannot just sell an oil without the right papers. You need COAs, MSDS, and often technical dossiers for export. A good supplier handles this paperwork as part of the service.

• Bulk Pricing Clarity

  Wholesale is a game of margins. Buyers need clear, transparent pricing that doesn't fluctuate wildly every week. They need to be able to forecast their costs for the next six months.

How AG Organica Supports U.S. Wholesale Demand

At AG Organica, we have built our business to support the specific needs of the U.S. market. We don't just "ship oil." We provide a manufacturing backbone for our partners.

• Global Scale, Local Understanding: We understand the regional differences we’ve discussed in this guide. We know that a New Jersey lab needs different documentation than a Florida spa. Our systems are set up to provide exactly what each buyer needs.
• Bulk Supply Capability: We operate at a scale that allows us to supply everything from a few kilograms to several tons. Our facility is equipped with state-of-the-art testing labs to ensure that every drum leaving our floor meets international standards.
• Private Label and Customization: For brands that aren't ready to manufacture themselves, we offer full private label support. We can help you choose the right oils for your region, handle the bottling, and even assist with the packaging.
• A Long-Term Approach: We don't look for one-time sales. We look for partnerships. Many of our U.S. clients have been with us for years. They trust us because we are consistent, we are honest about our sourcing, and we understand the pressures of the American market.

What This Means for New Buyers and Growing Brands

If you are just starting or looking to grow your brand, what should you take away from this?

• Plan Around Your Region: If you are based in California, lean into the "clean and organic" story. If you are in New Jersey, focus on the "clinical and formulated" angle. Use the natural demand of your region to help your brand grow.
• Don't Guess Your Inventory: Look at what is moving. If you are a new brand, don't start with 50 different oils. Start with the "staples" like Lavender and Peppermint. They have the lowest risk because the demand is already proven.
• Choose Your Partner Carefully: Your supplier is your most important partner. If they fail to deliver, your brand fails to deliver. Look for a manufacturer, not just a reseller. Look for someone who can provide the paperwork you need to stay compliant.

Conclusion: Regional Demand Is About People

At the end of the day, a "state" doesn't buy essential oils. People buy them.

The demand in California is high because the people there value natural wellness. The demand in New York is high because the people there have built a world-class beauty industry. The demand in Texas is high because of a growing, entrepreneurial spirit.

Understanding these regions is simply about understanding the people and the businesses that operate there. When you understand the "why" behind the demand, you can make better decisions for your own business.

Whether you are a lab in New Jersey, a spa in Florida, or a startup in California, the goal is the same: to find high-quality, reliable, and pure essential oils that help your brand succeed. At AG Organica, that is exactly what we provide.

Would you like us to provide a custom bulk quote for your specific region, or would you like to see the technical documentation for one of our top-selling oils?