A natural oil, vegetable oil, is derived from the plants’ nuts, fruits, and seeds. It functions as a resource of industrial raw materials and nutrients to humans. The key kinds of vegetable oils comprise rapeseed oil, sunflower oil, palm kernel oil, palm oil, and soybean oil. At present, this oil is found literally in all, from household and food items, to cosmetics and make-up products. Further, this oil, in the food industry, is utilized as cooking oil and as a component to margarine, ice cream, and non-dairy creamers.
The key factors contributing to the growth of the global vegetable oil market include its growing application in culinary, fuel production, perfume, and soap formulations. Further, the increased requirement for organic health-based products with elevated high quality cooking/edible oil consumption among health-conscious customers is further expected to fuel market growth in coming period. Rising need for biodiesel in the aerospace, aviation, and automotive industries will also surge the product demand in near future. Numerous other factors boosting the market growth comprise enhancing living standards, population growth, and altering dietary habits.
The global vegetable oil market can be bifurcated based on type, application, and region. By type, the market is segregated into soybean oil, olive oil, palm oil, sunflower oil, rapeseed oil, and others. Among these, sunflower oil segment dominates the market due to its health advantages like cardiovascular benefits, assists in averting asthma, arthritis, and colon cancer. The market, by application, is divided into feed, food, and industrial.
Regionally, the global vegetable oil market is governed by Asia Pacific, with China holding the biggest oil production and consumption share. Although the production capacity is elevated, consumption surpasses production, leading to greater import volumes in comparison to export volumes. North America is also expected to witness substantial growth in the market during the forecast period owing to elevated consumption of vegetable oils in manufacturing of bio-based products and production of biofuels along with increased customer alertness about the environmental impact of petrochemical-obtained products.
Key players active within the global vegetable oil market comprise ACH Foods Company Inc, Archer Daniel Midland Company, Bunge North America Inc., Cargill Agricola S.A., ConAgra Foods Inc., Chinatex Corporation, Carapelli Firenzi S.P.A, J-Oil Mills Inc., Richardson Oilseed Ltd., and CHS Inc., among others. To cite, in July 2020, Amul entered the edible oils category in Rajasthan and Gujarat, following the call for self-reliant India by PM Narendra Modi. The firm, with the introduction of Janmay array of edible oils, seeks to decrease edible oil dependence of India while assisting local farmers.