Why aren’t there smells in dreams? This observation is common, but so too is common that most people share certain biases.
For instance, the level to which body, sensations and emotions are repressed, and not lived fully.
When you get past some common personal patterns in your psyche, when you loosen up the body, your range of sensation and emotion grows greatly.
Smell has a lot to do – often – with intuition and also symbolically with the connection to the higher and lower Self. In myth many sacrifices consist of burning substances so that the aromas reach the heavens.
The nose is symbolically the organ through which we sense the irrational, the possibilities which we cannot yet explain.
It is also the sense that is more closely connected to our animal nature, and in western people the more repressed.