by Edible oils are derived from plant and marine sources and are widely used in various food preparations and for consumption. Some of the commonly consumed edible oils include soybean oil, canola oil, sunflower oil, olive oil, coconut oil and palm oil. Edible oils provide essential vitamins, minerals and unsaturated fats that are beneficial for health. The increasing popularity of healthier cooking oils over butter and ghee is propelling the growth of the edible oils market. Consumer preference for natural and chemical-free oils is also driving the demand for cold-pressed and organic oils.
The Global edible oils market is estimated to be valued at US$ 143.29 Mn in 2024 and is expected to exhibit a CAGR of 4.5% over the forecast period 2024 to 2031.
Key Takeaways
Key players operating in the Edible Oils market are AJF Cigars, Boutique Blends Cigars, Fenn Thompson & Co. Royal Cigar Works, Gurkha Cigar Group, Imperial Brands, Joya De Nicaragua, S.A., Scandinavian Tobacco Group, Swedish Match AB, and Swisher. The key players are focusing on new product launches, mergers & acquisitions and geographical expansion to gain a competitive advantage in the market.
The increasing health-conscious population, rising disposable incomes and growing demand for premium and organic Edible Oils Market Demand present significant growth opportunities for players in the edible oils market. Technological advancements such as cold pressing, fractionation and interesterification are allowing manufacturers to develop new product varieties with unique taste, texture and nutritional profiles.
Market drivers
The growing preference for healthy edible oils over saturated and trans-fat containing oils among consumers is a major driver for the Edible Oils Market. The increasing awareness about the link between diet and various lifestyle diseases has led to a shift towards polyunsaturated fatty acid rich edible oils. In addition, the expanding food industry and population growth are expected to fuel the demand for edible oils in food preparations over the forecast period.
Current challenges in Edible Oils Market:
The edible oils market is facing numerous challenges currently. High volatility in commodity prices due to geopolitical tensions and climate change is a major issue. Supply chain disruptions due to the ongoing Covid-19 pandemic have also negatively impacted the market. Additionally, growing health consciousness among consumers and rising demand for plant-based and non-GMO oils are prompting companies to invest heavily in R&D for product innovation. Protecting the environment and ensuring sustainable production practices is another key challenge for edible oil producers.
SWOT Analysis
Strength: Wide range of uses in food industry; Versatile ingredients in various cuisines.
Weakness: Price fluctuations due to raw material supply issues; Consumers increasingly preferring healthier plant-based oils.
Opportunity: Growing demand for customized blends and blended oils with added benefits; Research into new sources and production technologies.
Threats: Stringent regulations regarding genetically modified crops; Competition from alternative cooking media like olive oil.
Geographical regions with highest market share:
The Asia Pacific region currently accounts for the largest share of the global edible oils market, both in terms of production as well as consumption. Countries like India, China, Indonesia and Malaysia are among the top producers as well as consumers of edible oils.
Fastest growing region:
Africa is projected to be the fastest growing regional market for edible oils over the forecast period. Factors like rapid urbanization, rising incomes, increasing population and growth in food processing and foodservice industries are driving higher demand for edible oils in Africa. Several companies are also looking at Africa as an attractive investment destination for edible oil production facilities.
*Note:
1. Source: Coherent Market Insights, Public Source, Desk Research
2. We have leveraged AI tools to mine information and compile it.
