Dublin, Nov. 06, 2023 (GLOBE NEWSWIRE) -- The "Global Vegetable Oil Market, Size, Forecast 2023-2028, Industry Trends, Growth, Share, Outlook, Impact of Inflation, Opportunity Company Analysis" report has been added to ResearchAndMarkets.com's offering.
The global vegetable oil market is on a growth trajectory, projected to reach a value of US$ 420.47 billion by 2028, according to this report.
Vegetable oils play a pivotal role in global diets, serving as a critical source of fats and contributing approximately 10% of daily caloric intake per individual (equivalent to 300 kcal per day). This makes vegetable oils the second most essential food group, following cereals. Rich in omega-3 and omega-6 fatty acids, as well as vitamins E and K, vegetable oils offer significant nutritional benefits.
Significance Beyond Cooking
In addition to their importance in cooking, vegetable oils are particularly valuable for less affluent consumers who may not afford more expensive alternatives like butter or animal fat-based products. The global trade of vegetable oils is extensive, with imports accounting for around 40% of worldwide consumption, surpassing other commodities like grains, where imports make up less than 20%.
Steady Growth with a CAGR of 3.56%
Furthermore, vegetable oils serve multiple purposes, finding utility in soap production, biodiesel, cosmetics, pesticides, and various other industries. As a renewable source of energy, vegetable oil production has witnessed significant growth due to population increases and rising per capita income, particularly since the Industrial Revolution. The shift toward urbanization has increased global population growth, leading to improved economic prosperity and enhanced living standards worldwide. These factors are substantial drivers for the growth of the vegetable oil market.
Countries such as Malaysia, Indonesia, Thailand, and Sri Lanka have become major players in palm oil production due to its cost-effectiveness. Developing countries across the Asia-Pacific, Middle East, and Africa regions have experienced improved living standards, which, in turn, have influenced people's dietary choices. As health awareness rises, the demand for processed food products has increased, and consumers are willing to spend more on quality products to meet their nutritional needs. The Vegetable Oil Market was valued at US$ 340.78 billion in 2022.
Consumer Awareness Boosts Soybean Oil Demand
In terms of consumption, the Vegetable Oil Market is segmented into various types, including Coconut Oil, Cottonseed Oil, Olive Oil, Palm Oil, Palm Kernel Oil, Peanut Oil, Rapeseed Oil, Soybean Oil, and Sunflower Seed Oil. Soybean oil, rich in omega-3 and vitamin E, is highly regarded for its health benefits. Its versatility extends to cooking, baking, salad dressing, and serving as raw material for various industries. Soybean oil offers valuable properties such as treating osteoarthritis, reducing LDL cholesterol, and acting as a mosquito repellent.
High demand for soybean oil arises from its position as a healthier alternative to palmolein oil, commonly used in household cooking, restaurants, and hotels. The substantial growth of the edible vegetable oil market is attributed to increasing consumer awareness of health benefits, including zero trans-fat and low saturated fats, coupled with population growth, urbanization, distribution channels, soy crop yields, and awareness of healthier vegetable oils.
Rapeseed oil has various applications in industries such as bio-diesel and cosmetics. The European Union's growing consumption of rapeseed oil for bio-diesel production is driving the global market. Growing health consciousness and awareness of its benefits are expected to bolster market growth.
Residential Sector Drives Growth
The Vegetable Oil Market is segmented by end-user, including Food Services, Residential, Food Processing, and Others. The residential sector in the vegetable oil industry caters to household consumption for cooking, baking, and salad dressings, addressing global dietary requirements. The increasing health awareness is driving demand for zero trans-fat, low saturated fat oil, influenced by changing eating habits, population growth, urbanization, and economic conditions.
E-commerce Boosts Growth
The vegetable oil market is experiencing growth due to advancements in the e-commerce industry. The market is categorized based on distribution channels, including Hypermarkets & Supermarkets, Retail Stores, Business-to-Business, and Online sales channels. The surge in online distribution channels for vegetable oil creates revenue opportunities for manufacturers. Manufacturers are establishing a strong online presence to cater to consumers' grocery needs as e-commerce platforms gain popularity. Online platforms also provide valuable consumer insights, allowing tailored offerings and marketing strategies.
Pouch Packaging on the Rise
The vegetable oil market is further divided by packaging type, including Cans, Bottles, and Pouches. Pouches have gained immense popularity worldwide in household, personal care, and edible oil markets due to their convenience, portability, versatility, and cost-effectiveness.
Pouches offer an environmentally friendly and sustainable alternative to rigid bottles, cans, drums, and barrels. They are cost-effective due to high production volumes, automation, low labor costs, and ease of transportation. Pouch packaging is an ideal choice for premium products like gourmet oil, where consumers are willing to pay extra for superior packaging compared to bulk containers.
Palm Oil Dominates Production
The production of vegetable oils includes Coconut, Cottonseed, Olive, Palm, Palm Kernel, Peanut, Rapeseed, Soybean, and Sunflower oil. Palm oil stands out for its high productivity and lower production cost compared to other vegetable oils, driving its global demand. It is widely used in the food, beverage, biofuel, energy, personal care, and cosmetics industries. Major manufacturers are concentrated in the Asia-Pacific region due to easy access to raw materials. The market is competitive and diverse, with numerous players striving for an edge through high production, efficient distribution networks, product quality, and competitive strategies.
Global Export Trends
Global vegetable oil volume is categorized by Import and Export, including Coconut Oil, Cottonseed Oil, Olive Oil, Palm Oil, Palm Kernel Oil, Peanut Oil, Rapeseed Oil, Soybean Oil, and Sunflower Seed Oil. Sunflower oil is versatile and used in various applications, from curing ailments to chemical compositions. It experiences high demand in the food industry for frying purposes. The global sunflower oil market is predicted to steadily rise due to increasing demand from food producers. The expansion of online platforms and franchise shops will further benefit the worldwide market.
Europe remains the largest market for processed sunflower oil. Over the past decade, sunflower oil imports have surged significantly, with India, China, and the United States leading consumption. This trend reflects growing awareness of sunflower oil's health benefits and versatility. Sunflower oil exports have also experienced robust growth, with Ukraine, Russia, and Argentina emerging as major players meeting the escalating international demand for this nutritious and widely used cooking oil.
Key Players in the Vegetable Oil Market
The vegetable oil market is served by companies such as Archer-Daniels Midland Company, Wilmar, AAK (Aarhus Karlshamn), Bunge, Sime Darby, Unilever, Associated British Foods, and Cargill.
Market Segmentation
Type - Market & Volume breakup from 9 Viewpoints
1. Coconut Oil
2. Cottonseed Oil
3. Olive Oil
4. Palm Oil
5. Palm Kernel Oil
6. Peanut Oil
7. Rapeseed Oil
8. Soybean Oil
9. Sunflower Seed Oil
Country - Market & Volume breakup from 10 Country
1. China
2. European Union
3. India
4. Indonesia
5. United States
6. Brazil
7. Malaysia
8. Pakistan
9. Russia
10. Others
Production - Volume breakup 9 Viewpoints
1. Coconut Oil
2. Cottonseed Oil
3. Olive Oil
4. Palm Oil
5. Palm Kernel Oil
6. Peanut Oil
7. Rapeseed Oil
8. Soybean Oil
9. Sunflower Seed Oil
Import - Volume breakup 9 Viewpoints
1. Coconut Oil
2. Cottonseed Oil
3. Olive Oil
4. Palm Oil
5. Palm Kernel Oil
6. Peanut Oil
7. Rapeseed Oil
8. Soybean Oil
9. Sunflower Seed Oil
Export - Volume breakup 9 Viewpoints
1. Coconut Oil
2. Cottonseed Oil
3. Olive Oil
4. Palm Oil
5. Palm Kernel Oil
6. Peanut Oil
7. Rapeseed Oil
8. Soybean Oil
9. Sunflower Seed Oil
Producing Country - Volume breakup from 8 Country
1. Indonesia
2. China
3. Malaysia
4. European Union
5. United States
6. Brazil
7. India
8. Others
End User - Market is breakup into 4 viewpoints
1. Food Services
2. Residential
3. Food Processing
4. Others
Distribution Channel - Market is breakup into 4 viewpoints
1. Hypermarket/ Supermarket
2. Retail Stores
3. Business To Business
4. Online Sales Channel
By Packaging Type - Market is breakup into 3 viewpoints
1. Cans
2. Bottles
3. Pouches
Key Attributes:
| Report Attribute | Details |
| No. of Pages | 500 |
| Forecast Period | 2022 - 2028 |
| Estimated Market Value (USD) in 2022 | $340.78 Billion |
| Forecasted Market Value (USD) by 2028 | $420.47 Billion |
| Compound Annual Growth Rate | 3.5% |
| Regions Covered | Global |
For more information about this report visit https://www.researchandmarkets.com/r/wqtae5
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