Global specialty fats and oils market was valued at US$ 13,156.2 Mn in 2021 and is projected to attain a market value of US$ 25,970.3 Mn by 2030 at a healthy CAGR of 7.8 % during the forecast period 2022–2030.
In recent years, the specialty fats and oils industry has seen significant growth. This is due in part to the rising popularity of health-conscious consumers who are willing to pay a premium for products that offer health benefits. Astute Analytica’s analysis shows that the global specialty fats and oils market is worth an estimated $13,156.2 Million in 2021. The report also notes that the Asia-Pacific region is the fastest growing market for specialty fats and oils, accounted for over 30% share of the global market in 2021.
Our analysis shows that the growth of the specialty fats and oils market is being driven by health-conscious consumers who are looking for healthier alternatives to traditional cooking oils. Sales of olive oil, for example, have increased by 11.4% in the last year. The report also highlights some of the challenges facing the industry, such as the rising cost of raw materials and competition from cheaper alternatives such as sunflower oil. Despite these challenges, Astute Analytica’s analysis shows that market is still growing strongly and is set to continue doing so in the years to come.
Top 5 Players to Continue Holding Over 58% Revenue Share of Global Specialty Fats and Oils Market
Astute Analytica’s analysis found that competition in the specialty fats and oils market is intensifying, with a growing number of players vying for market share. The top five companies – Wilmar International, Cargill, Incorporated, Bunge Limited, AAK AB, and Mewah International Inc – accounted for more than 58.7% of the market revenue in 2021 and are projected to continue leading the global specialty fats and oil market in the years to come.
These players have been actively involved in various growth strategies such as expansions, acquisitions, new product launches, and joint ventures & agreements to enhance their foothold in the global specialty fats and oils market. For instance, in November 2021, Cargill announced investment of USD 35 million in expanding production facility at Port Klang, Malaysia to meet growing customer demand for specialty fats. Moreover, in April 2021, Bunge and Chevron entered into Joint Venture to develop renewable fuel feedstocks to meet the demand for renewable fuels and create feedstocks with lower carbon intensity.
Cargill’s presence in the specialty fats and oils industry is strong, according to a new analysis from Astute Analytica. The company holds a leading market share position in North America and Europe, and its products are used in a wide range of applications, including food, cosmetics, and pharmaceuticals. Cargill’s product portfolio is broad and includes both branded and private-label products. The company offers a wide range of products, including: – edible oils – bakery shortenings – margarines – cocoa butter replacements – non-dairy creamers – nutritional oils – personal care ingredients. It has a strong R&D program and is constantly innovating to meet the changing needs of customers in the global specialty fats and oils market. Cargill is committed to sustainable sourcing and production, and its facilities are certified by leading third-party organizations.
The company’s flagship brand, NutriWise, is a range of healthy fats and oils that are designed to meet the needs of consumers looking for healthier alternatives. In recent years, Cargill has been investing heavily in research and development, in order to maintain its position as the leader in the specialty fats and oils market. The company’s R&D efforts have led to the development of new products, such as Omega-3 enriched oil, which has been proven to offer health benefits. Cargill’s focus on innovation has also been evident in its marketing strategy. The company has been working hard to raise awareness of its brands among consumers, and has been successful in doing so. In particular, Cargill’s NutriWise brand has gained popularity among health-conscious consumers. Looking to the future, we expect Cargill to continue to lead the way in the market.
Astute Analytica’s Survey Reveals Players in Global Specialty Fats and Oils Market are Very Optimistic Grow their Applications across Food, Pharmaceutical and Cosmetic Industries
The global market comprise a small but growing share of the overall fats and oils market. In Astute Analytica’s survey of specialty fats and oils industry, conducted in September 2022, we asked over 280 industry experts about their organization’s use of specialty fats and oils, as well as their thoughts on the future of the specialty fats and oils. Specialty fats and oils are defined as those that are not used in the production of food or feed, but rather in industrial applications such as lubricants, coatings, cosmetics and pharmaceuticals. The market for specialty fats and oils is still relatively small, but it is expected to grow at a faster rate than the overall fats and oils market due to the rising demand for natural and sustainable ingredients in these industries.
In our survey of the global specialty fats and oils market, we found that only 22% of respondents were using specialty fats and oils in their organization, but nearly half (48%) said they were interested in doing so in the future. The most popular applications for specialty fats and oils were food and beverages (61%), cosmetics (51%) and pharmaceuticals (50%). Looking ahead, respondents were optimistic about the future of the specialty fats and oils industry, with 71% expecting it to grow significantly or somewhat in the next five years. The main drivers of growth were expected to be rising demand for natural ingredients (cited by 64% of respondents) and new applications for these oils (cited by 62%).
In terms of sustainability, respondents indicated that they were under pressure to improve their environmental credentials, with almost 60% saying that they had made progress in this area over the past 12 months. However, a significant minority (40%) also said that they were struggling to meet customer demands in this area.
In terms of regulatory compliance, the specialty fats and oils market is currently facing a number of challenges, including the European Union’s proposed ban on palm oil biodiesel and increasing pressure from NGOs to disclose the use of conflict palm oil. Respondents to the survey indicated that they are feeling increasingly confident about meeting these challenges, with almost 60% saying that they are compliant with current regulations and a further 20% saying that they are compliant with expected future regulations.
Top Trends in the Global Specialty Fats and Oils Market
There is a growing demand for specialty fats and oils market due to their wide range of applications in the food, cosmetics, and pharmaceutical industries. Considering the numerous health benefits associated with these products, the market is forecast to grow significantly in the coming years.
Some of the top trends in specialty fats and oils include:1. Increased demand for natural and organic products:
- Consumers are becoming increasingly health-conscious and are therefore seeking out natural and organic products that are free from synthetic ingredients and chemicals. This trend is especially prevalent in developed countries such as the US, UK, and Germany.
- Growth of the functional foods market: Functional foods are those that offer health benefits beyond basic nutrition. Specialty fats and oils can be used to fortify foods with essential nutrients such as omega-3 fatty acids, which are known to improve heart health.
- Expansion of the beauty market: Specialty fats and oils market is also witnessing a growing trend of variety of cosmetics and personal care products including specialty fats and oils. For example, many skin care products contain shea butter, an ingredient derived from African trees that is rich in vitamins A and E.
- Growing popularity of plant-based diets: More people are adopting plant-based diets for health reasons or ethical concerns about animal welfare. As a result, there is an increased demand for plant-based fats and oils such as palm oil, coconut oil, and olive oil.
- Natural antioxidants: Antioxidants are compounds that protect against cell damage caused by free radicals. Many plant-based oils, such as olive oil and grape seed oil, contain natural antioxidants that can help boost overall health.
- Low-trans fats: Trans fats are man-made fats that can increase the risk of heart disease and other health problems. Many companies in the global specialty fats and oils market are now offering products made with low-trans fats, which are a healthier alternative.
Top Players in the Global Specialty Fats and Oils Market
- AAK AB
- BASF SE
- Bunge Limited
- Cargill, Incorporated
- D&L Industries
- Fuji Oil Co. Ltd
- IOI Corporation
- Mewah International Inc
- Wilmar International
- Intercontinental Specialty Fats Sdn. Bhd
- Musim Mas
- Other Prominent Players
About Astute Analytica
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