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Why is Argan so Expensive?

Published in Argan Oil Cost 2 mins read

Argan oil is expensive primarily because of the incredibly labor-intensive and manual process required to extract the oil from the argan nut.

The argan tree (Argania spinosa) is native to a specific region in Morocco, making the source geographically limited. However, the high cost is most directly linked to the complex journey from fruit to oil.

The Tedious Extraction Process

Unlike many other oils that can be extracted using large machinery, obtaining argan oil involves significant hand labor. As highlighted in the reference, the process includes crucial manual steps:

  • Hand-Peeling and De-Pulping: The fleshy outer layer of the argan fruit must first be removed. This step is often done by hand.
  • Cracking the Nut: After the outer layer is removed, the hard argan nut remains. This nut must be cracked open to access the oil-rich kernels inside. This cracking process is also typically done manually, often between stones.

This manual extraction is slow, requires skilled labor, and yields relatively small amounts of oil from each nut.

Factors Contributing to High Cost

Several other factors contribute to argan oil's premium price:

  • Limited Geographic Supply: Argan trees grow only in specific arid regions of Morocco, limiting global supply.
  • Low Yield: Each argan nut contains only a small kernel, and it takes a substantial quantity of kernels to produce a significant amount of oil. Producing just one liter of argan oil can require around 30-40 kilograms of argan fruit.
  • Sustainability Efforts: Efforts to protect the argan forest (a UNESCO Biosphere Reserve) and support local communities through fair trade practices also factor into the cost.
  • Growing Demand: The increasing global popularity of argan oil in cosmetics and culinary uses drives up demand, further influencing the price.

In summary, the manual, time-consuming process of peeling the fruit and cracking the nut by hand, combined with the tree's limited habitat and high demand, makes argan oil a costly commodity.

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