The resin is still used in certain cough syrup formulas. However its main use in the modern era is in perfumery, where it is valued for its warm, mellow yet somewhat spicy scent. It is also used as a natural remedy for skin rashes. Ironically, it is a well known cause of contact dermatitis, a form of skin allergy.

T. balsamum is a tall tree native to South America and grows abundantly on the high plains and mountains of Venezuela, Colombia, and Peru. The species is also known as Myroxylon toluiferum HBK and M. balsamamum (L.) Harms. It is also cultivated in the West Indies.

The resin is tapped from the trunk of the tree through incisions into the bark and collected when dry. The colour of the resin is light to reddish brown. Tolu balsam is pliable when warm and fractures in a pattern similar to flint when cold. The dry resin has a complex aroma consisting chiefly of cinnamon and vanilla notes with a slight floral character.