Agarwood is also known as Oud and is produced from the spices of Aquilaria trees. Agarwood is beneficial for stress and is suitable to induce aroma. Agarwood is usually made from South East Asia, and it is the most expensive wood in the world.
The antiquity of Agarwood is associated with the traditions of some ancient countries. Agarwood, Oud, Agaru, Eaglewood, Gaharu, and Aloeswood are synonyms. These are the Aquilaria tree’s resins.
Agarwood is produced from the infected part of the Aquilaria tree. Agarwood is also known as the wood of God due to its considerable benefits.
Agarwood’s trade started 2000 years ago and mostly consumer centers located in Eastern Asia and the Middle East. The supply of Agarwood can be delivered from some traditional routes from growing zones to the consumer’s market.
After the 1970s, the demand phenomena of Agarwood increased by Asian countries, and it demanded from oust-side the Asian countries. Most of the Aquilaria trees grow in wild areas due to sustainable utilization.
Agarwood- Products Molecules and Spices:
There is believed that Egyptians are the first users of Agarwood in the world, and they started the use of Agarwood 3000 years ago. These Egyptians used the Agarwood for fragrance and used antiquity trade routes to sell and purchase Agarwood.
Presently, Agarwood’s oil is used in medicines, perfumes, cosmetic products, and Jewelry throughout the world. The incense can make Agarwood’s chips of Agarwood, the artists the shape of wood, and these chips are highly demanded in the international market.
Agarwood oil is the most expensive oil globally, and the price of Agarwood’s oil is from USD 50,000 to USD 80,000 per liter. The forms of Oud oil is used as a flavor in expensive perfumes and scents.
Global Trade of Agarwood in Today’s Market:
The trade of Oud and Oud oil started in ancient’s times, and there is known that Skill Roots make the trade of Agarwood; this was the most famous trade route at that time. The traders carry the Agarwood from China to the Middle East via India.
In the current global market estimated at USD 6 billion to USD 8 billion, Agarwood is the most commercially viable woof.
Due to the undefined trade of Agarwood and its products, the exact data of the Oud Market is not available.
Is Agarwood Legal in the USA?
USA government made a Law in Financial Year 2015; about CITIES regulated goods and trade Agarwood and its products are included in this category.
If you want to trade Agarwood in the USA, you must follow the CITIES rules and all supporting documents to fulfill the US government’s legal protocols.
FDA/USA must approve any product that ingests applied or orally to the skin. If you are a small trader of Agarwood, it is not easy for you to get approval.
If you want to trade wild-harvested Agarwood, mean Wood, not oil of Agarwood, then it is prohibited to sell US customers without exemption.
If you’re going to import this wood to the US, you might be in trouble if you live in the USA. Because it has a hefty penalty charge, there is only exemption up to 1 KG of wood.
If you want to trade Agarwood in the USA, there are some restrictions on importing Agarwood in the US.
You have to follow these rules, and if you are a small trader and don’t have significant investment, it won’t be easy to start your Agarwood business in the US.
If you have sufficient investment and bear the cost of approvals, you have earned a considerable return against your investment in Agarwood because it has enormous demand in the US market.