Your baby can distinguish between smells even at birth. The sense of smell is developed during the prenatal stage. The baby recognises the smell of mother's breast milk. The baby then recognises the scent of mother's neck and face, her perfume. She is able to differentiate between a familiar smell and a new smell.
Smell of breast milk, honey etc is pleasing to the baby. She shows her dislike for unpleasant smell. Here are some ways to stimulate her sense of smell:
Tips to Stimulate Sense of Smell
Let your baby recognise your natural smell- do not use fragrance and use a light scented soap.
Expose your baby to the scent of others by letting the baby be carried by other members of your family.
Allow your baby to have access to other scents like that of flowers, various objects and other people in the surrounding.
At around 1 to 2 years, play scent games asking the baby to name scents just as he names colours.
Introduce your baby to the scent of baby soap, baby shampoo, baby massage oil etc. during bath time.