Rosewood (Aniba rosaeodora) essential oil is a valuable ingredient that has long been used in the perfume and cosmetic industries. The main rosewood timber quality parameters are its essential oil yield and quality. A hydrodistillation method has been developed for yield determination, but it is time consuming. Here we tested the applicability of near infrared (NIR) spectroscopy for determining essential oil yield directly from wood powder. Essential oil from 139 wood powders was extracted via hydrodistillation. The measurements were based on the ratio between the extracted essential oil mass and the oven-dried wood mass and were correlated with the wood powder NIR spectra. The calibration model statistical findings demonstrated that NIR could be a fast and feasible alternative method for selecting trees with a high essential oil yield potential. NIR-based predictions obtained in an independent validation set indicated a high correlation (r2 = 0.92) with laboratory essential oil yield measurements. This NIR model could help wood managers in selecting trees with a high essential oil yield potential and in developing sustainable rosewood management strategies.