The global Avocado Oil Market is estimated to be valued at US$ 1660.15 Mn in 2023 and is expected to exhibit a CAGR of 7.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Avocado oil is extracted from the pulp and seed of avocados. It has a light texture and mild flavor. Avocado oil is rich in monounsaturated fatty acids like oleic acid which provides various health benefits. It helps improve cholesterol levels, support weight management and reduce inflammation. Growing awareness about health advantages of avocado oil is fueling its demand. The oil is used for cooking, as a salad dressing and in cosmetic products due to its hydrating and skin nourishing properties. Versatility in usage and nutrition profile is propelling avocado oil market growth.
Market key trends:
Rising vegan and vegetarian population is positively impacting avocado oil market. Plant-based diets are gaining traction due to health, sustainability and animal welfare concerns. As avocado oil does not contain cholesterol and is non-GMO, it is preferable for vegan cooking. Moreover, growth in cosmetic industry is augmenting the demand for avocado oil. Key players are launching avocado based personal care items like lotions, shampoos owing to its hydrating properties. Various end-use applications in food processing, pharmaceutical and biofuel sectors are also likely to offer new opportunities over the forecast period.
Porter’s Analysis
Threat of new entrants: High capital requirements for setting up processing facilities and brands limits new competition.
Bargaining power of buyers: Large retail chains can negotiate lower prices but buyers have limited influence as the market is growing.
Bargaining power of suppliers: Mexico dominates global avocado production and supply. Few suppliers control bulk of production.
Threat of new substitutes: Coconut, olive and other vegetable oils pose potential threat as substitutes but avocado oil’s unique composition and health benefits provide some protection.
Competitive rivalry: The market has several regional players but is dominated by top few global brands. Product differentiation and branding influence buying decisions.
Key Takeaways
The global avocado oil market is expected to witness high growth, exhibiting CAGR of 7.8% over the forecast period, due to increasing awareness about the health benefits of avocado oil. The market size for 2023 is estimated to be US$ 1660.15 Mn.
Regional analysis: North America dominates the global avocado oil market currently. However, Asia Pacific is expected to witness the highest growth owing to rising health consciousness. China, India and other South Asian countries will drive high demand in the region. Mexico is the largest producer currently but growth in exports from Peru, Colombia and Chile is likely to make Latin America another fastest growing regional market.
Key players: Key players operating in the avocado oil market include Sesajal S.A. de C.V., Olivado, Grupo Industrial Batellero S.A. de C.V, YASIN, Tron Hermanos SA de CV, The Village Press, Bella Vado, Chosen Foods LLC, and Storino’s Quality Products. Product innovation, branding and marketing strategies have enabled top companies like Sesajal and Olivado to strengthen their positions in global market.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
About Author - Vaagisha Singh
Vaagisha brings over three years of expertise as a content editor in the market research domain. Originally a creative writer, she discovered her passion for editing, combining her flair for writing with a meticulous eye for detail. Her ability to craft and refine compelling content makes her an invaluable asset in delivering polished and engaging write-ups. LinkedIn