Agarwood is one of the most well-known and loved fragrance ingredients in the world. Intense aromas and exotic flavors have been synonymous with oriental fragrances for centuries. Agarwood, known as the "wood of the gods", has played an important role in religious traditions around the world for thousands of years. The burning agarwood is called "the incense of Nirvana" by the Buddha. In "Genesis", agarwood is mentioned It was the only tree that Adam and Eve could pick. The Prophet Muhammad used agarwood for the fumigation ceremony. This practice is still continued by the Orthodox Church. After the death of Jesus, believers buried with agarwood.

In the Middle East and Egypt in ancient times, agarwood was the raw material for refining high-grade spices. Resins were distilled to obtain essential oils to make perfumes, which were only used by kings or nobles. The wood is used for both incense and medicine, and it has been used in Tibet, India, China and the Arab world to treat a range of physical and mental ailments.

Because of its value, numbers have declined by more than 80% over the past 150 years, and the IUCN and CITES list the agarwood species as critically endangered, with only 7% of naturally occurring agarwood production. The high rarity drives the market price of top-quality agarwood oil to more than $50,000 per kilogram, making it one of the most expensive raw materials used in modern perfumery manufacturing.

The resinous agarwood tree is at risk of extinction throughout its known habitat in Southeast Asia. Cultivation is the current trend, investing medium to long term time to maintain the natural resource base, provide genetic resources for current and future agarwood plantations, maintain diversity and possibly increase resin production.

Due to huge demand and extremely limited supply, agarwood is by far the most valuable and expensive wood in the world. Top perfume companies such as Chanel, Gucci, and Aarmani add agarwood oil to their top perfume series, establishing the key ingredient of agarwood in luxurious and expensive perfumes.