India White Oil Market Size & Share Analysis - Growth Trends & Forecasts (2025 - 2030)

India White Oil Market Trends

Growing Cosmetics and Personal Care Industry

The expanding cosmetics and personal care industry in India represents a significant driver for the white oils market, with the sector demonstrating robust growth potential and increasing product sophistication. White mineral oil and liquid paraffin are integral components in numerous cosmetic formulations, being commonly utilized in almost all types of cosmetic and personal care products, ranging from emulsions to anhydrous cosmetics, with usage levels varying from 1% to 99% depending on the specific product requirements. For instance, pressed powders, mascara, eyeliner, and foundations contain up to 60% white mineral oil, while eye makeup removers can contain as much as 99% liquid paraffin, highlighting the versatility and importance of these materials in cosmetic applications.

The Indian beauty and personal care segment continues to evolve through consumer preferences, intense industry competition, technological advancement, and innovation, with the market size projected to reach USD 20 billion by 2025 from the current USD 6.5 billion. This growth is supported by significant investments in the sector, as evidenced by recent developments such as Good Glamm Group's acquisition of 'The Moms Co.' for INR 500 crores and ChrysCapital's USD 50 million investment in Wow skincare. The increasing standards of living and modern lifestyle choices are driving demand across various segments, including skincare, hair care, fragrance, color cosmetics, and oral care, with companies expanding their presence in both urban and rural markets through innovative product launches and marketing strategies.

Growing Pharmaceutical Industry

The pharmaceutical industry represents a crucial growth driver for the white oils market, with India establishing itself as a global pharmaceutical powerhouse. Paraffin oil plays an essential role in pharmaceutical applications, being utilized in the production of various medical products, including laxative jellies, pomades, balms, creams, capsule lubricants, pelletizing aids, ointment bases, and vaccines. The pharmaceutical-grade paraffin oil, characterized by the highest degree of purity and specific viscosity requirements ranging from light to medium, is particularly crucial for these applications, ensuring product safety and efficacy.

The Indian pharmaceutical industry's trajectory demonstrates remarkable potential, with projections indicating a market size of USD 130 billion by 2030. India's position as the largest provider of generic drugs globally, supplying pharmaceutical products to more than 200 countries, underscores the sector's robust growth potential. The country's pharmaceutical manufacturing capabilities are substantial, with approximately 10,500 domestic drug manufacturers contributing to the industry's expansion. Recent developments in the sector include significant government initiatives and private sector investments, such as the establishment of three bulk drug parks at a cost of INR 14,300 crore to manufacture chemical compounds and active pharmaceutical ingredients (APIs), demonstrating the industry's commitment to growth and self-sufficiency.

Segment Analysis: Application

Personal Care Segment in India White Oil Market

The personal care segment continues to dominate the India white oil market, holding approximately 61% market share in 2024. This significant market position is driven by the extensive use of white oils in various cosmetic formulations and personal care products, ranging from emulsions to anhydrous cosmetics. White oils are crucial ingredients in products like baby oils, creams, lotions, suntan oils, makeup removers, hair products, and bath oils, with usage levels varying from 1% to 99% depending on product requirements. The segment's strong performance is supported by increasing standards of living, modern lifestyle adoption, and growing awareness of personal hygiene among Indian consumers. The market is particularly robust in categories such as skincare, hair care, fragrance, color cosmetics, and oral care products, with manufacturers focusing on product development and marketing strategies to expand their consumer base.

Pharmaceutical Segment in India White Oil Market

The pharmaceutical segment is demonstrating the strongest growth trajectory in the India white oil market, with an expected growth rate of approximately 2% during 2024-2029. This accelerated growth is primarily attributed to the segment's diverse applications in pharmaceutical products, including laxative jellies, pomades, balms, creams, capsule lubricants, pelletizing aids, ointment bases, and vaccines. The segment's expansion is further supported by India's position as the largest provider of generic drugs globally, satisfying 40% of the generic drug demand in the United States and 30% of the United Kingdom. The growth is also driven by significant government initiatives and investments in the pharmaceutical sector, including the establishment of bulk drug parks and implementation of Production Linked Incentive (PLI) schemes, which are creating new opportunities for medicinal white oil market applications in pharmaceutical manufacturing.

Remaining Segments in Application

The other segments in the India white oil market, including plastics and elastomers, adhesives, agriculture, food and beverage, and other applications, each serve unique industrial needs. The plastics and elastomers segment utilizes white oils for improving melt flow rates and providing release properties in polymer manufacturing. In the adhesives sector, white oils are crucial components in hot-melt adhesive technology and pressure-sensitive adhesive applications. The agriculture segment employs white oils for grain dust suppression, crop protection, and animal feed production. The food and beverage industry uses white oils as pan oils, anti-foam agents, and protective coatings for food storage equipment. These diverse applications demonstrate the versatility and essential nature of white oils across various industrial sectors in India, contributing significantly to the industrial white oil market.

Segment Analysis: Grade

Pharmaceutical & Other Grades Segment in India White Oil Market

The pharmaceutical and other grades segment dominates the India white oil market, commanding approximately 75% of the total market volume in 2024. This segment's prominence is driven by the stringent quality requirements in pharmaceutical and cosmetic applications, where these highly refined white oils are essential ingredients in various formulations. These grades are characterized by extremely low sulfur and aromatic levels, making them ideal for pharmaceutical applications like laxative jellies, ointments, and medicinal preparations. The segment's growth is further supported by the expanding pharmaceutical manufacturing base in India, with the country being a major supplier of generic drugs globally. The pharmaceutical grade white oils' superior properties, including good oxidation stability, aging resistance, and compatibility with sealing materials, have made them indispensable in the production of cosmetic materials like skin creams, suntan lotions, and massage oils, contributing significantly to the white oil industry.

Technical/Industrial Grade Segment in India White Oil Market

The technical/industrial grade segment represents the remaining quarter of the market, serving diverse industrial applications. These grades, while highly refined, contain slightly higher levels of aromatic compounds compared to pharmaceutical grades. They find extensive use in plasticizers, automotive oils, paint strippers, and polystyrene manufacturing as essential raw materials. The segment's versatility extends to applications in protective coatings for fruits and vegetables, food preservatives, and food machinery lubrication. Technical grade white oils are particularly valued in the plastics industry for their role in controlling melt flow rates and providing release properties in polymer processing. The segment's steady presence in the market is maintained by its crucial role in industrial processes and manufacturing applications, supported by white mineral oil manufacturers in India.

Segment Analysis: Viscosity

Low Viscosity Segment in India White Oil Market

The low viscosity segment continues to dominate the India white oil market, holding approximately 72% of the total market share in 2024. Low viscosity white oils, which include products with viscosity less than 30 centistokes (cSt) at 37.8°C/40°C, are primarily utilized in consumer products and commodities that interact directly with humans. These oils play a crucial role in the manufacturing of various cosmetic and personal care products, including baby oil, creams, lotions, suntan oils, makeup removers, hair products, and bath oils. In the pharmaceutical sector, they serve as key ingredients in topical ointments and capsule formulations. The segment's strong market position is further reinforced by its extensive application in food packaging and as protective coatings for fruits and vegetables. The versatility and essential nature of low viscosity white oils in these applications have established them as the market leader, while also positioning them as the fastest-growing segment in the market, contributing to the overall white oil industry.

Remaining Segments in Viscosity

The medium and high viscosity segments represent significant components of the India white oil market, each serving distinct industrial applications. Medium viscosity white oils, with a viscosity range of 30 cSt to 63 cSt, are predominantly utilized in pharmaceutical and personal care products, particularly in laxative formulations and various industrial applications including plastics and elastomers manufacturing. High viscosity white oils, characterized by viscosity greater than 64 cSt, find extensive application in plastics and polymer manufacturing, as well as in the food industry for applications such as bakery pan oils, food packing materials, and food-grade lubricants and greasers. These segments also serve specialized applications like brake fluids, scented candle production, and anti-rust agents for blades, complementing the overall market dynamics with their unique properties and applications.