In this research, solid collagen-based protein hydrolysate was isolated from chromium-tanned leather wastes and its chemical properties were determined. After that, the use of collagen hydrolysate (CH) was investigated as a polymeric wall material in the microencapsulation process. The effects of variations in concentrations of CH, lavender oil (LO) and glutaraldehyde (GA), which were used during the microencapsulation process, on the oil load of microcapsules, oil content, encapsulation efficiency and release rate of oil were determined. The morphological structure of the microcapsules was investigated using optical and scanning electron microscopes (SEM). It was determined by FTIR studies that there was no evidence for any significant interaction between CH and LO.