Yes. Aloe vera gel does help in reducing hyper or excess pigmentation. It may also help in reducing scar marks and certainly alleviates inflammation. But there are limits to this effect of aloe vera.

Aloe vera contains a compound called “aloesin”. Aloesin helps in actively reducing melanin, the natural colour of skin and hair. Reduction of melanin leads to the lightening and brightening of skin colour. Thereby, resulting in removing uneven or excess pigmentation from wherever required.

All you have to do is apply pure aloe vera gel over the affected area and leave it to get soaked in. Immediately after it gets absorbed by the skin, apply your usual moisturizer (if you have dry skin). Wash the next day or after a couple of hours.

Aloesin, however, cannot heal scars that comprise of damaged tissues.

I have been using Indus Valley Organic Aloe Vera Gel and have never been happier. So, I recommend that you should use it too.