April 20, 2024
Edible Oils Market

The Edible Oils Market is primed for sustainable production by 2030

The edible oils market plays a crucial role in meeting the global demand for nutrition. Edible oils such as soybean oil, palm oil, sunflower oil, and canola oil are rich sources of vitamins, minerals and unsaturated fats that promote heart health. Manufacturers produce refined, blended and processed oils to cater to various cooking needs. 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 2030.

Key players operating in the Global Edible Oils Market Demand 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. These brands produce a variety of edible vegetable and seed oils through agricultural sourcing and refining processes. The oils offer health benefits when used to replace animal fats and tropical oils in cooking.

The growing global population and increased health-consciousness have led to a rise in demand for edible oils. Countries like India and China that have large populations consume considerable volumes of oils. Users prefer oils that provide desired tastes while promoting wellness. Manufacturers cater to these evolving preferences through new product launches, renovations and campaigns.

Major edible oils companies have also expanded their global footprint to boost supply and better serve international demand. The market landscape comprises large multinational corporations and local players who source oilseeds from various geographies. Stakeholders aim to ensure sustainable production practices that preserve the environment and farmers’ livelihoods over the long term.

One of the key market trends in the edible oils sector is the move towards sustainable agricultural practices. Major producers are investing in programs that encourage regenerative farming techniques like mixed cropping and minimal chemical usage. These protect biodiversity and soil quality to allow for stable long-term yields. The adoption of sustainability principles enables the edible oils market to thrive responsibly by 2030 through community-based initiatives and traceability.

Porter’s Analysis
Threat of new entrants: Entering the edible oils market would require high capital investment in production facilities, distribution channels and branding. Therefore, threat of new entrants is moderate.

Bargaining power of buyers: The edible oils market has many established brands providing substitutable products. This gives buyers higher bargaining power in terms of price negotiation.

Bargaining power of suppliers: Major suppliers of edible oil include palm oil, soybean oil, sunflower oil, canola oil etc producers. Due to availability of substitutes, bargaining power of suppliers is moderate.

Threat of new substitutes: Alternative oils such as olive oil and coconut oil pose threat of substitution. However, customer loyalty and cooking traditions somewhat limit this threat.

Competitive rivalry: The edible oils market is dominated by few large brands. Competition is based on pricing, innovation, quality and brand positioning.

Geographical regions: India and China are currently the largest markets for edible oils in terms of value, together accounting for over 50% global share.

Fastest growing region: Emerging economies of Southeast Asia are expected to witness strongest growth in demand for edible oils over the forecast period, driven by rising incomes, population growth and urbanization trends. Countries like Indonesia, Vietnam and Philippines are poised to outpace global average growth rate.

*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it