Apart from being scented liquids, Gucci’s Flora Beautiful Gardenia Eau de Parfum and Unilever’s Dove Go Contemporary Pomegranate & Lemon Verbena Scent bathe gel shouldn’t have lots in widespread. One is 100 instances costlier than the opposite by quantity and is bought by a trend label, not a packaged items firm.

However each have been created by the identical firm, the Swiss fragrances group Firmenich. Chances are you’ll by no means have heard of it, however the smells it concocts permeate 1000’s of merchandise, from perfumes, toothpastes and deodorants to laundry liquids. Unseen and unheralded, it’s an ambient presence in houses.

These are good instances for luxurious fragrances. Gross sales of scented candles, and perfumes from manufacturers and celebrities such because the singer Ariana Grande, have grown as individuals indulge. Firmenich, which silently produces a lot of them (together with Grande’s R. E. M) has been carried alongside: its superb perfume gross sales rose by 33 per cent final yr.

The journey was rudely interrupted final week when Firmenich and its three largest rivals have been raided by antitrust investigators from Switzerland, the EU, the US and the UK. They’re suspected of colluding to boost costs, blocking rivals from supplying their prospects, and limiting manufacturing of some fragrances.

Firmenich, Givaudan of Switzerland, Symrise of Germany and the US group Worldwide Flavors & Fragrances haven’t admitted any wrongdoing: they are saying they’re co-operating with the inquiry, which can not result in fees. It covers not solely fragrances however “perfume elements”, which go into meals to make them scent good.

We have no idea which merchandise regulators have their eyes on, however I can make a remark on the hole between costs of luxurious scents and of bathe gel. You needn’t combat too onerous when prospects will fortunately pay for a label and a tiny bottle of scent. Producing family staples is a wrestle that creates a temptation to collude.

The presence of Firmenich and the others is the hidden issue behind the luxurious business’s “perfume growth”. Labels realised there was cash to be made by including perfumes to their attire strains, however few of them had Chanel’s capability to make the scents themselves. They wanted companions and the perfume teams have been keen to help.

The rise in gross sales of luxurious perfume began throughout the pandemic and has carried on. Sue Nabi, chief government of the US magnificence firm Coty, which makes perfumes for manufacturers together with Burberry, Chloé and Tiffany, famous final yr that consumers have been “shopping for an increasing number of . . . costly gadgets” for themselves, not simply as presents.

However whereas luxurious perfume is rising quick, it varieties solely a small a part of the business. Most is much less glamorous and extra quotidian: making air fresheners, deodorants, soaps, gels, washing powders, ground cleaners and all types of different merchandise fragrant.

The Geneva-based Worldwide Perfume Affiliation is a part of the antitrust inquiry and advised me that it conducts all conferences “beneath strict competitors coverage tips”. It estimates that in 2017, superb fragrances accounted for 9 per cent of gross sales of scented merchandise; almost 70 per cent concerned private care gadgets similar to shampoo.

Life is harder within the latter enterprise: development is way weaker and perfume corporations face worth rises from their 3,000 uncooked materials suppliers, together with farmers of lavender and patchouli. Additionally they have to barter with the world’s largest packaged items corporations in promoting their fragrances, together with Unilever and Procter & Gamble.

The business produces an enormous vary of smells and smells: Givaudan alone makes 176 “perfume molecules”, starting from benzyl salicylate (“floral, balsamic, candy”) to Alicate (“fruity, rhubarb, fragrant, lilac”). However regardless of how candy they scent, promoting chemical compounds to multinationals is a slog.

The truth that individuals select perfumes rigorously however care little concerning the provenance of pine scent in ground cleaner dictates the phrases of commerce. When Gucci wished a scent with “ultra-dry woody notes”, it consulted one in all Firmenich’s grasp parfumiers, who blended the components. When a multinational makes a grocery store product, it has a plethora of provider selections.

Maybe perfume corporations colluded to slender these selections: we will know when the inquiry ends. In the meantime, the raids inform a narrative about earning profits in scents, or different merchandise. Get as shut as potential to consumers who’re insensitive to cost, and stay away from industrial provide chains.

I’ve one other statement: one authorized technique to restrict competitors is to merge. When managers agree on costs inside an organization, it’s referred to as technique, not collusion. Like others, the business has been consolidating: Firmenich is merging with the Dutch biosciences group DSM: the €41bn deal was cleared by EU competitors authorities final month.

Count on extra mergers after this. And if you subsequent spray fragrance or wash your hair, study the small print on the again in addition to the labels on the entrance. The scent might have wafted all the best way from Switzerland.

john.gapper@ft.com