What is Oud? Understanding Agarwood & Its Mystical Appeal

Oud, also known as agarwood, is a rare and fragrant resin that forms in the heartwood of Aquilaria trees when they become infected with a specific type of mold. This dark, aromatic resin is treasured for its deep, woody scent and is widely used in high-end perfumery, incense, and traditional rituals across the world.

Often called “liquid gold” due to its rarity and value, oud has held spiritual, medicinal, and cultural significance for over 3,000 years. From sacred ceremonies in Southeast Asia to luxury oud fragrances in the Middle East, its unique scent profile — smoky, earthy, slightly sweet, and animalic — continues to captivate perfumers and fragrance lovers alike.

Intrigued by the mystique of oud? Explore Odyssey Aoud. 

Let's delve deeper and uncover the captivating story behind this aromatic treasure.

Historical & Cultural Uses of Oud: From Ancient Rituals to Modern Fragrances

Oud, or agarwood, boasts a storied past spanning thousands of years, across diverse cultures from the deserts of Arabia to the forests of East Asia. Historically prized for its captivating aroma, oud quickly evolved from simple incense into a symbol of luxury, spirituality, and refinement.

When Was Agarwood First Discovered?

The earliest known references to agarwood date back more than 3,000 years, appearing in ancient Sanskrit scriptures, notably within the Vedas. Its fragrance was originally cherished in India and gradually spread through ancient trade routes into China, Japan, and the Middle East.

While oud's roots lie in spirituality and ceremony, its most celebrated application today remains in perfumery—particularly within the Middle Eastern fragrance tradition. Here, oud embodies sophistication, exclusivity, and enduring appeal.

Oud Production Process (Natural & Synthetic)

How Natural Oud is Produced:

Oud's precious resin is produced by the Aquilaria tree as a natural response to fungal infection or damage. Here's the detailed journey from tree to fragrance:

1. Infection Initiation:
   The Aquilaria tree is naturally or artificially wounded, allowing fungi to infect it.

2. Resin Formation:
   The tree reacts defensively, secreting a dense, fragrant resin to protect and heal the wound.

3. Harvesting the Oud Resin:
   After several years (usually 8-12 years), the dark resin-saturated heartwood is harvested manually by skilled workers.

4. Extraction & Distillation:
   The harvested wood undergoes steam distillation or other extraction techniques, producing pure oud oil—highly concentrated and exceptionally aromatic.

Why Synthetic Oud?
Synthetic oud, extensively used in modern perfumery, provides a reliable, sustainable alternative—mimicking oud's luxurious scent without environmental concerns.

Types and Variations of Oud: Exploring Scents 

Why is Oud So Expensive? Understanding the Luxury Behind Agarwood

Oud is among the most valuable fragrance ingredients globally, often referred to as "liquid gold" due to its rarity and high cost. But why exactly is oud so costly?

Here’s a concise breakdown of the primary factors:

1. Rarity & Limited Availability

Oud resin only forms in a small percentage of Aquilaria trees (approximately 2-7%) after infection, making genuine oud extremely rare. Furthermore, these trees are now endangered due to overharvesting, significantly limiting supply.

2. Labour-intensive Harvesting and Extraction

The harvesting and distillation of oud are highly specialized and labour-intensive processes:

• Trees require years (often a decade) to produce enough resin.

• Skilled laborers must carefully harvest and select resin-rich heartwood.

• Traditional steam distillation methods further increase production time and cost.

3. Market Demand & Economic Factors

Oud’s cultural prestige, particularly in Middle Eastern markets, creates consistently high global demand, which directly influences its price. Additionally, increasing restrictions on natural oud harvesting and export further elevate costs.

This comparison underscores oud’s status as a genuine luxury—often matching or even exceeding the price of gold.

Oud Applications: The Heart of Luxury Fragrances

Oud’s rich, complex scent makes it a cornerstone ingredient in the world of fine perfumery. Whether natural or synthetic, oud brings depth, warmth, and sophistication to fragrances that few other ingredients can rival.

How Oud is Used in Perfumery:

1. Perfume Oils (Attars): Highly concentrated oud oils provide a deep, lingering scent.

2. Eau de Parfum & Eau de Toilette: Oud adds intensity and luxury to fragrance blends.

3. Layering in Fragrance Profiles: Balances florals, spices, or citrus elements to create harmonious scents.

4. Synthetic Oud: Affordable and consistent alternative for broader fragrance usage.

Discover long-lasting oud blends like Lamsat Oud. 

Environmental Impact & Conservation: Safeguarding Oud’s Future

The environmental challenges around oud production are becoming increasingly urgent.

The Fragility of Aquilaria Trees

• Overharvesting threatens the species, with several listed as endangered by CITES and IUCN.

Environmental Concerns

• Deforestation: Loss of biodiversity from unsustainable practices.

• Illegal Trade: Unregulated harvesting driven by high demand.

• Slow Growth Cycle: Limited ability for natural replenishment.

Global Conservation Efforts

• Managed plantations for sustainable oud production.

• Advanced inoculation techniques to enhance resin yield sustainably.

• Enforcement of strict trade regulations by global conservation bodies.

Further Reading:

• Sustainable Agarwood Cultivation (Traffic.org)

• Agarwood Sustainable Management Report (FAO)

Key Takeaways

• Oud is prized for rarity, complex scent, and cultural prestige.

• Natural oud is costly; synthetic oud provides an affordable alternative.

• Oud fragrances are luxurious, versatile, and long-lasting.

Explore Our Oud Fragrance Collection →