The global plant-based oils market is projected to register revenue by value USD 110.36 billion by 2026. Plant-based oils are fats extracted from plants, most commonly from seeds. Plant oils, like most food fats, increase the palatability of foods. The food industry often promotes plant-based oils as "healthy." Plant oils are consumed in a variety of ways, including margarine, dried foods, lettuce oils, and cooking oils. Palm kernel oil, flaxseed oil, cottonseed oil, olive oil, almond oil, and sunflower seed oil are examples of plant-based oils. The two most common methods for extracting plant-based oils are hydraulic or screw press-based extraction and solvent-based extraction.
Fast-growing food processing industry and the widespread use of renewable fuels such as biodiesel are among major factors driving growth of the global industry. Confectionery, bakery, cheese, and other food items are also made from plant-based oils. The steady rise in the food processing industry, which uses plant-based oils for deep-frying, is the most important factor for growth. Furthermore, due to the increasing prevalence of cardiovascular diseases, there is a growing demand for healthy oils like olive oil, which is boosting the target industry's growth. The industry's biggest problem, though, is fluctuating raw material costs. The production of raw materials such as soybean, sunflower, and others is affected by changing climatic conditions. As a result, the supply of raw materials, as well as their quality, are critical factors in deciding the final product cost.
The food and beverage manufacturing and distribution industry is expanding into new and developing markets in the Middle East, Latin America, and Asia. Many keys and influential food and beverage manufacturers are launching themselves into the untapped market of these countries thanks to favorable government policies, sufficient labor capital, and improved ease of doing business. This is expected to generate a potential business demand for plant-based fragrance oil producers in these countries. ACH Food Companies, Inc. Westmill Foods, Wilmar International Ltd, Riceland Foods, among others, have increased their emphasis on groundbreaking product launches.
The main players operating in the global plant-based oils market include but are not limited to ACH Food Companies, Inc. Westmill Foods, Wilmar International Ltd, Riceland Foods, FUJI OIL ASIA PTE. LTD. CHS Inc. Cargill, Incorporated, Ag Processing Inc a cooperative, ADM, Bunge Limited, Carapelli Firenze S.p.A. and Olam International. They are also investing as well as acquiring minor scale business in order to upsurge their profits. Since the market is competitive, market concentration will be high as these major players with large market shares concentrate on expanding their consumer base across foreign countries. To gain a stronger position in the global market, major players in the target market are employing a variety of business strategies such as creative solutions, alliances, mergers and acquisitions, strategic collaborations, and large investments.
Plant-based Oils Market Scope
|Forecast Unit||Value (USD)|
|Revenue forecast in 2028||USD 110.36 billion|
|Growth Rate||CAGR of 5.1% during 2021-2028|
|Segment Covered||Source, Application, Regions|
|Regions Covered||North America, Europe, Asia Pacific, Latin America, Middle East & Africa|
|Key Players Profiled||ACH Food Companies, Inc. Westmill Foods, Wilmar International Ltd, Riceland Foods, FUJI OIL ASIA PTE. LTD. CHS Inc. Cargill, Incorporated, Ag Processing Inc a cooperative, ADM, Bunge Limited, Carapelli Firenze S.p.A. and Olam International.|
Key Segments of the Global Plant-based Oils Market
Source Overview, 2016-2026 (USD Billion)
- Palm Oil
- Soybean Oil
- Sunflower Oil
- Rapeseed Oil
- Olive Oil
- Coconut Oil
- Cottonseed Oil
Application Overview, 2016-2026 (USD Billion)
- Animal Feed
Regional Overview, 2016-2026 (USD Billion)
- North America
- United Kingdom
- Rest of Europe
- Asia Pacific
- Rest of Asia Pacific
- Latin America
- Rest of Latin America
- Middle East & Africa
Reasons for the study
- Rapid growth of the food processing industry
- Increasing production of biodiesel
- Higher demand for alternate and sustainable fuel
What does the report include?
- The study on the global plant-based oils market includes qualitative insights such as drivers, restraints, challenges and opportunities
- Additionally, the market has been evaluated using the Porter’s five forces analysis
- The study covers qualitative and quantitative analysis of the market segmented on the basis of type, and usage area. Moreover, the study on plant-based oils market provides similar information for the key geographies.
- Actual market sizes and forecasts have been provided for all the above-mentioned segments
- The study includes the profiles of key players operating in the market with a significant global and/or regional presence
Who should buy this report?
- The report on the global plant-based oils market is suitable for all the players across the value chain including component and raw material providers, disinfectant manufacturers, distributors, and other intermediaries
- Venture capitalists and investors looking for more information on the future outlook of the global plant-based oils market
- Consultants, analysts, researchers, and academicians looking for insights shaping the global plant-based oils market
The global plant-based oils market is fragmented but competitive, with product growth, collaboration, expansion, and mergers and acquisitions among the major strategies employed by the industry's main players. Any of the major players are Wilmar International Limited, Bunge Limited, and ADM. The market's main players have a wide global footprint and a diverse product lineup to meet a wide range of customer demands. This consideration aids the organization in maintaining a good market position. Due to strong demand from end-user industries, emerging regions are projected to become major markets for plant-based oils during the forecast period.
Global industry development is being fueled by biofuel policies and the biodiesel requirements, as well as growth in the food processing sectors. Another factor driving the target market's growth is rising consumption in Asian subcontinent markets. Furthermore, palm & palm kernel oil - as a trans-fat oil alternative - has emerged as a critical driver in this industry's lucrative growth prospects. However, high price volatility and the resulting lack of working capital could limit global business growth. Nonetheless, emerging-market growth prospects offer appealing expansion possibilities for global sector vendors. Leading players' tactics are expected to fuel competitive demand. Furthermore, a growing consumer base for these products, especially in developed countries, is fueling global demand.
The global plant-based oils industry can be divided into two categories: source and applications. Plant-based oils include palm oil, rapeseed oil, cottonseed oil, soybean oil, olive oil, sunflower oil, coconut oil, and others. The global market is further divided into three categories: fruit, industrial, and animal feed. In terms of sales, the food application segment is projected to dominate the global plant-based oils market shortly. The growing food processing industry in developing economies is driving the development of the food application market. Dairy, confectionery, bakery, and convenience foods such as margarine, salad dressings, biscuits, and mayonnaise all use plant-based oils in large quantities. All of these factors are boosting the food segment's progress. These factors are expected to propel the plant-based oils industry forward in the next ten years.
The demand for plant-based oils in the world was dominated by the Asia Pacific. The increase can be attributed to the increasing use of plant-based oils in various end-use industries, such as food and animal feed, in Asian countries, especially in China, India, and Japan. Furthermore, North America is expected to experience rapid growth shortly, as the foodservice industry continues to expand in the region's countries, especially in the United States. Growing biodiesel demand, as well as the involvement of major players in the area, are among the major factors driving the plant-based oils industry's development in Europe.