Agarwood price newest updated 2023 – 5 factors affect Agarwood price

Agarwood is very rare and has many values based on the origin and the quality. So what is the agarwood price? What is the difference in the price of grade 1 agarwood compared to other types? Let’s update the Agarwood newest price per kg in 2023 below!

I. Agarwood introduction

The Aquilaria tree, from which agarwood, the most expensive wood in the world, is derived. Certain eastern nations have aquilaria trees. From earlier centuries, this wood has been employed in Asian countries. In their sacred locations and at official royal events, the royal family burns this wood.

Because of the global tendency of depicting trees, agarwood is the rarest wood in the world. There is a finite amount of agarwood in the world, and only a few nations produce it. Nevertheless there is a growing global demand for agarwood.

Agarwood has been used for medicinal and scent purposes since ancient times, but today there are a variety of goods on the market that are raising global demand for agarwood. That is the reason why “Agarwood price in the international market” is still the most searched question.

II. Trade and use of agarwood

Agarwood is a highly prized and valuable wood that has been in demand for centuries due to its unique and distinct fragrance. The global market demand for agarwood has been steadily increasing in recent years due to its use in the production of high-end perfumes, incense, and medicinal products. 

The major producers of agarwood are countries in Southeast Asia such as Vietnam, Cambodia, and Indonesia. The largest consumers of agarwood are countries in the Middle East, particularly Saudi Arabia, United Arab Emirates, and Kuwait, where it is used for religious and cultural purposes. 

In addition to its traditional uses, agarwood is also used in the production of luxury furniture and decorative items. The growing demand for agarwood has led to concerns over unsustainable harvesting practices and the need for sustainable cultivation methods to meet future demand.

III. Updating the agarwood price per kg 2023

Historically, the price of agarwood has been on an upward trend due to increasing demand and dwindling supply. According to a report by Global Agarwood Market Research, the global agarwood market size was valued at $8.24 billion in 2020 and is expected to reach $14.64 billion by 2028, with a CAGR of 7.8% during the forecast period.

However, it’s worth noting that the price of agarwood can be volatile and subject to fluctuations due to various factors such as changes in regulations, natural disasters, and economic conditions.

Price of agarwood depends on type

1. Price of Ky Nam – 1st grade of agarwood

Agarwood is generally divided into three types based on the amount of essential oil more or less. 1st grade is Ky Nam. Currently, the selling price of male agarwood ranges from about 100,000 USD to 800,000 USD per kilogram of the period. Some special Ky Nam blocks can be worth millions of dollars. Bach Ky Nam is currently the most valuable type of flag on the market. 

Ky Nam is so expensive because Ky Nam is extremely rare and of very good quality. Not every Aquilaria crassna tree with Agarwood also has a male period. If about 1000 Aquilaria crassna trees, there will be a tree that has agarwood; it is impossible to calculate the ratio with the male period because it is extremely rare; It can be 2000, 3000, or even hundreds of thousands of trees to get 1 tree containing Ky Nam.

Ky Nam is the inner core that contains many aromatic resins and a large number of essential oils. They are heavy, have a strong scent, and are long-lasting. Therefore, it also contains many precious substances that help cure diseases and have a higher value on feng shui.

2. Price of Natural agarwood

Agarwood is a generic term, but it generally has four categories, sorted by quality and origin.

Agarwood type 1 price

The price of type 1 agarwood is for submerged agarwood products. Although it is type 1 agarwood this type is also divided into many smaller segments, with different prices. Generally, agarwood type 1 is currently in the range of $20,000 – $100,000 per kg. 

Type 1 Natural Agarwood is the most expensive because it has the ability to sink in the water because of the high amount of essential oil included.

Agarwood type 2, 3, 4 price

In addition, the price between 2, 3, and 4 types of incense? The agarwood price in Vietnam for these types is about 500 USD – 20,000 USD. Equivalent to 10 million to 400 million dongs for a kilogram of this type of agarwood.

The second is Bass and the last is speed. In general, the cost of these two types is quite high but not up to the number of thousands of million USD for a block like the male period. These two types are often used to make many products: bracelets, incense, buds, essential oils, etc. Currently, Agarwood rings made from these two types are quite popular due to their variety and cost.

3. Price of Artificial agarwood

Many people are still confused about the characteristics of natural agarwood and artificial agarwood. In fact, the quality of these two types is not much different. However, because the amount of exploitation, as well as the time of sedimentation in the wild, is quite long, people take advantage of technology and transplant techniques to shorten this period.

The price of artificial agarwood fluctuates in the range of $15,000 – $70,000, a bit lower than natural agarwood, but still retains the original function and quality of the agarwood. In general, the cost of these two types is quite high but not up to the number of thousands of million USD for a block like the male period. These two types are often used to make many products: bracelets, incense, buds, essential oils, etc. Currently, agarwood bracelets are mainly made from these two types of agarwood.

4. Price of Agarwood made into essential oil

Agarwood incense is also classified into many types but mainly ordinary incense and high-grade incense. Regarding frankincense essential oil, the price of essential oil is usually in the range of 30,000 USD per liter. The amount of essential oil is poorly extracted in the form of a liquid, concentrated, and has a characteristic aroma. Frankincense essential oil is sold on the market in the form of small extractable jars costing several million. Easy for consumers to shop and use.

IV. 4 Factors affect in Agarwood price 

The price of agarwood depends on the rarity, quality, age, origin and size of the woodblock. Many people confuse agarwood with many other aromatic kinds of wood, agarwood has a warm sweet aroma. If the oil quality is high, usually over 25% will sink. Many people equate the wood they have with fragrant and sink in water, thinking it is agarwood. So the first thing if you don’t know anything about frankincense, learn it first. Let’s identify the 5 main factors that affect the price of natural agarwood:

1. Rarity

Agarwood is a rare and precious commodity, and as such, its price is influenced by its availability in the market. Agarwood trees are rare, and the formation of agarwood resin occurs in less than 10% of the trees, making it a highly sought-after commodity. The rarer the agarwood, the higher the price it commands.

2. Quality

The quality of agarwood is determined by the amount and quality of resin present in the wood. High-quality agarwood has a higher resin content, which results in a more intense aroma and longer-lasting fragrance. The quality of agarwood is also influenced by the tree’s age, species, and the location where it was grown.

3. Age of agarwood

Agarwood becomes more valuable as it ages, as the resin continues to mature and develop a richer, more complex aroma over time. The age of agarwood can also influence its rarity, as older trees are harder to come by and the formation of agarwood resin becomes less frequent with age.

4. The origin

As mentioned above, Agarwood is mainly located in the tropical Asian climate area. However, depending on the terrain and the area formed, Agarwood has its own characteristics and thereby creates a agarwood price difference. In each country, there are areas where the quality of the agarwood is better, the price is higher.

It can be said that Vietnam is one of the few countries with Agarwood in large quantities and high quality in the world. The reason is the Vietnamese forests have good reserves of Agarwood. Therefore, Vietnamese Agarwood has a higher price than countries such as Laos, Indonesia, or the Philippines. Different geographical locations will produce different good-smelling agarwood blocks. In Vietnam, Nha Trang – Khanh Hoa and Phu Yen, Quang Binh, Gia Lai are the main areas having high quality Aquilaria crassna trees – which contain agarwood or Ky Nam. 

5. Agarwood size

An important factor in evaluating the agarwood price is the nature of the agarwood that it infects with. The bigger the block of agarwood, the denser it is, the higher the value. The reason is that we can easily craft as many things as we want with a large block of agarwood, for example, making natural agarwood blocks or agarwood statues, followed by making agarwood bracelets, agarwood beads. , or making other types of incense jewelry…

As for the thin, small pieces, most of them are for medicinal purposes, which are rotated to make incense, agarwood powder, or used to extract agarwood essential oil for life.

With these factors, they have made a difference in the agarwood price in Vietnam. Hopefully, with the above article, We have helped you answer questions about the price of this precious wood. Also, know how much the incense ring costs. Agarwood is expensive not only because of its rarity but also because of the great benefits and uses that they bring.

V. Thien Moc Huong – The address selling agarwood with the best price

Thien Moc Huong is an address in Vietnam that is well-known for selling high-quality agarwood at the best price. Thien Moc Huong is known for its strict quality control and sourcing only the finest agarwood from the best producers. They offer a wide range of agarwood products, including chips, oil, and incense, and have earned a reputation for providing excellent customer service. If you’re looking for the best agarwood at a reasonable price, Thien Moc Huong is the perfect place to go.