Edible oils are liquid cooking oils extracted from various plants and finds wide application in food preparation and cooking. Some of the most commonly used edible oils include soybean oil, canola oil, sunflower oil, corn oil, olive oil, peanut oil, and others. These oils provide essential fatty acids and vitamins that are important for human nutrition. Edible oils are rich in both monounsaturated fatty acids (MUFAs) and polyunsaturated fatty acids (PUFAs), making them a healthier substitute for butter, ghee and other saturated fats. With increasing health consciousness, consumers are switching to edible plant oils that have cardiovascular benefits when used in moderate amounts.
The global edible oils market is estimated to be valued at US$ 180 Billion in 2023 and is expected to exhibit a CAGR of 4.5% over the forecast period 2023-2033, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the major trends in the edible oils market is the growing popularity of organic and non-GMO oils. Customers are increasingly preferring oils that are produced without the use of chemicals and genetically modified ingredients. This has led food producers and private label brands to offer a wide variety of organic oils made from plants like olive, sunflower, canola and soybean. Another prominent trend is the introduction of blended and flavored oils. Leading brands have come up with innovative oil blends containing two or more plant oils along with added flavors like herbs, spices and seasonings. These novel product varieties cater to evolving taste preferences and add versatility in culinary applications.
Porter’s Analysis
Threat of new entrants: The threat of new entrants is moderate. Establishing operations require high capital investment for farming, extraction and refining processes. Bargaining power of buyers: The bargaining power of buyers is high. Buyers can opt for substitutable edible oils. Bargaining power of suppliers: The bargaining power of suppliers is moderate. Major suppliers include farmers and vegetable oil producers. Threat of new substitutes: The threat of new substitutes is moderate. Other edible oils such as olive oil, peanut oil provide competition. Competitive rivalry: The competition is high among existing players like Cargill, Archer Daniels Midland, Bunge limited.
Key Takeaways
The Global Edible Oils Market Size is expected to witness high growth. The Asia Pacific region is expected to dominate the edible oils market during the forecast period. Countries like India, China, Indonesia are the major producers and consumers of edible oils.
Regional analysis comprises- The Asia Pacific region is projected to hold the largest share in the edible oils market due to high consumption in countries like India, China and Indonesia. India is the largest producer, consumer and importer of edible oils such as soybean oil and sunflower oil.
Key players operating in the edible oils market are Cargill, Archer Daniels Midland, Bunge Limited, Louis Dreyfus, Wilmar International. Cargill is one of the leading players focused on expanding its production capacity and product portfolio through acquisitions.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it