World Vegetable Oils Market to Reach 138 Million Metric Tons by 2010, According to New Report by Global Industry Analysts, Inc.

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Driven by increasing population, rising standards of living and disposable incomes in developing countries, the world vegetable oils market is projected to reach 138 million metric tons by the year 2010. With the mature North American, and European markets on ice, Asia-Pacific is expected to dominate the world market both in terms of production and consumption opportunities. The future masks the emergence of new trends i.e. increasing competition, continued shifts in vegetable oil production, continued demand growth in Asian economies, rising, and changing facets of consumer health concerns, and developments in non-edible applications.

Vegetable Oils: A Global Strategic Business Report

The world vegetable oils market stands enthused by the rising per capita consumption of edible oils in developing countries in Asia-Pacific, and Latin America. Driven by China and India, Asia-Pacific is expected to offer lucrative growth opportunities. China has emerged into the most powerful market to single handedly influence the world trade in vegetable oils. Today, China accounts for 30% of the world trade in vegetable oils. In the developed countries, per capita consumption of vegetable oils has reached a point of saturation, and unlike the developing countries low fat content is the crucial deciding factor influencing purchasing patterns.

The ongoing imbroglio over trans-fatty acids, and genetically modified (GM) oils is expected to cripple soy oil consumption across North America, and Europe. GMO free, and organic oils are therefore expected to witness increased demand in these markets. Trans-fat free crude palm oil is expected to witness consumption growth at the cost of soybean oil. The low prices of palm oil in comparison to soybean oil is expected to stimulate its demand even in developing countries although they are not bogged down by TFA labeling requirements. Public concerns over health, and food safety issues will continue to dot the industry's landscape, especially in the developed markets. Several food companies have already embarked on the legendary transition towards trans-fat free food processing. The issue is expected to witnesses a realignment in consumption patterns across product segments, while overall market growth momentum will continue to go strong. Successful strategies, which will ensure the survival, and commercial sustenance of vegetable oil companies' include oldest tricks in the book such as bulk selling, low-cost leadership, and nurturing strong consumer-focused brands, given the fact that branded oil is radically gaining importance in developed and developing countries alike.

Non-edible applications of vegetable oils are expected to gain momentum in the future, and an anecdotal evidence is the rising market for biodiesel. In the developed markets, a medley of factors such as environmental concerns, stringent emission regulations, high-energy prices and government incentives, are leading to increased interest in biodiesel. This, thereby, is expected to turbo-charge growth in the world vegetable oils market to historic levels. As a potential demand shifter, biodiesel is expected to drive future growth of market. Given the continued rise in fossil fuel prices, optimistic and exuberant outlook for the industry indicates the emergence of vegetable oils as a fuel source as important as petroleum in the long run. Technology advancements in straight vegetable oil (SVO) based automotive systems will directly translate into higher demand for vegetable oils in regions like North America and Europe.    

As stated by the recent report published by Global Industry Analysts, Inc., world palm oil market is dominated by Asia-Pacific with a 66% share estimated in the year 2007. Growth in this market is expected to be led by the United States and Canada with projected CAGRs of 15.6% and 18% respectively over the years 2001 through 2010.

Leading global and regional players operating in the industry include Archer Daniels Midland, Bunge North America Inc, Cargill Inc, ConAgra Foods Inc, Unilever, Central Soya, Dow AgroSciences, COFCO, J-Oil Mills, Kumpulan Guthrie, K.L. Kepong, Pt Intiboga Sejhatera, Saffola Quality Foods, and United Plantations, among others.

The report titled "Vegetable Oils: A Global Strategic Business Report" published by Global Industry Analysts, Inc., provides a comprehensive review of market trends, drivers, issues, and challenges. Richly annotated with authoritative, and unbiased commentaries, and hard-to-find statistical facts, the report provides unequivocal views on future potential while throwing light on the prevailing climate in key regional markets. Market estimates and projections are presented over the years 2001 through 2010, while long-term projections are listed over the years 2001-2015. A Historic Review of market size has been presented over the years 1991 through 2000.

For more details about this research report, please visit

About Global Industry Analysts, Inc.
Global Industry Analysts, Inc., (GIA) is a reputed publisher of off-the-shelf market research. Founded in 1987, the company is globally recognized as one of the world's largest market research publishers. The company employs over 700 people worldwide and publishes more than 880 full-scale research reports each year. Additionally, the company also offers a range of over 60,000 smaller research products including company reports, market trend reports, and industry reports encompassing all major industries worldwide.

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