Edible Oil Co-Products and By-Products Market

Edible Oil Co-Products and By-Products Market Value and Growth Analysis:

Edible Oil Co-Products and By-Products Market was at USD 167.39 million in 2021 and is anticipated to reach over USD 186.29 million, and it is also estimated to record a CAGR of 2.69% throughout the foreseen period 2022 - 2027.

Edible oils are defined as oils of vegetable origin and are similar to those produced by the industrial biotechnology manufacturer for application in cosmetics, biodiesel, and others. They are made up of almost 96% triacylglycerides and of different fatty acids. Edible oils can be in a liquid or solid state at room temperature. Edible oils well defined by the Canadian government as a food substance other than a dairy product, regardless of its source, origin, and composition that is manufactured for human consumption in whole or in part. Edible oil production results in various by-products, which find applications in different industries.

Global Edible Oil Co-Products and By-Products Market Segmentation: 

By Product:

• Dried Soap Stock

• Hard Oil Fatty Acid Distillate

• Pure Soft Oil Fatty Acid Distillate

• Mixed Soft Oil Fatty Acid Distillate

• Pure Acid Oil

• Palmitic Acid

• Stearic Acid

• Sludge

• Earth Distillate

The Edible Oil Co-Products and By-Products Market has been divided by product into, dried soap stock, hard oil fatty acid distillate, pure soft oil fatty acid distillate, mixed soft oil fatty acid distillate, pure acid oil, palmitic acid, stearic acid, sludge and earth distillate. The one which had the larger Edible Oil Co-Products and By-Products Market size was the dried soap stock. It leads both in terms of volume as well as revenue. Owing to the increasing application of dried soap stock in animal feed, it is forecasted to grow even further. As the soap made from dried soap stock is biodegradable, it is also used in powder detergents as an anionic surfactant. Mixed oil fatty distillate is also projected to exhibit strong growth.

Egypt's oil and soap business is one of the country's oldest and most important. Dried soap stock is in high demand in the country because it lowers the cost of raw materials used in soap production and provides various economic benefits. When used in cosmetics, stearic acid functions as an emulsifier and thickener. With Egypt's growing middle-class population, demand for personal care products is expected to increase, pushing up demand for stearic acid during the projection period. Due to the substantial usage of this by-product in the production of soap and detergents as well as as an animal feed ingredient, the market for dried soap stock in Saudi Arabia is expected to grow over the forecast period. Iran is a major manufacturer of soaps and detergents, and the dried soap stock and pure acid oil markets in the country have enormous potential. Fatty acid distillates are expected to increase significantly in Egypt and Morocco in the Middle East. Turkey has a stronger demand for hard oil fatty acid than any other country in the region, owing to expanding soap and detergent manufacturing and rising disposable income. It is because of these reasons that we see the dried soap stock type products taking the bigger Edible Oil Co-Products and By-Products Market share when segmented by product. This is the Edible Oil Co-Products and By-Products Market trends we see with regards to the product.

By Application:

• Intermediate Chemical

• Personal Care Products

• Tocopherol

• Soaps and Detergent

• Animal Feed

The Edible Oil Co-Products and By-Products Market has been divided by application into, Intermediate chemicals, personal care products, tocopherol, soaps and detergents and animal feed. In this segment, the one which had the larger Edible Oil Co-Products and By-Products Market share in terms of application was the soaps and detergents as demand for soaps and detergents spiked due to the ongoing covid-19 pandemic. Dried soap stock provided soap and manufacturers with a cheaper soap base alternative. It is because of these reasons that we see the soaps and detergent industry taking the bigger Edible Oil Co-Products and By-Products Market size when segmented by application. This is the Edible Oil Co-Products and By-Products Market trends we see with regards to the application

Recent Developments in the Industry:

• The Gujarat Milk Marketing Cooperative Federation (GCMMF), which sells dairy products under the Amul brand, announced its foray into the edible oils segment with the launch of the "Janmay" brand of edible oil packaging. The large dairy company has released five variations that include cottonseed oil, soybean oil, peanut oil, sunflower oil, and mustard oil in a 1-liter sachet, a 5-liter jar, and a 15 kg tin container.

• Food Company Cargill India is seeking acquisition opportunities in the branded oils segment to strengthen its portfolio in the domestic market. Earlier this year, Cargill had acquired the Leonardo brand from Dalmia Continental for almost Rs 100 million.

• The publicly-traded company, Bunge Ltd, has entered into an agreement to acquire the edible oil business of the diversified Noida-based Amrit Group in a deal worth 413 million rupees ($ 78 million).

• Patanjali Ayurveda Ltd. plans to sell shares of Ruchi Soya, the indebted edible oil mill it acquired in December. Ramdev has not specified any reason for selling Ruchi Soya shares. Ramdev said the company aims to beat Hindustan Unilever Ltd., India's largest fast-growing consumer goods manufacturer, in terms of sales for the next fiscal year.

REPORT COVERAGE:

Edible Oil Co-Products and By-Products Market Drivers and Restraints:

The growth of the oil and gas sectors is an important factor that is expected to drive the revenue growth of the edible oil co-products and by-products market during the foreseen period.

In addition, the increased level of dispersible income, the surge in demand for new flavors in developing economies, the augmented demand from industries such as cosmetics and personal care, etc., and population growth are some of the factors that are likely to increase the demand for Edible Oil Co-Products and By-Products in the world. The growing concern for the environment among people has led to the adoption and use of environmentally friendly and biodegradable products that contain natural ingredients. This factor has led manufacturers to focus more on natural products due to the rising awareness among the population about health and wellness, which is one of the current key trends observed in the target market. However, the lack of knowledge of the benefits of edible oil co-products and by-products in developing countries is a factor that may hamper the growth of the target market to some extent.

Impact of COVID-19 on Edible Oil Co-Products and By-Products Market

COVID-19 is likely to extend its impact on the food industry and its supply chains. The strict lockdown conditions implemented in several nations to curb the spread of coronavirus have resulted in the temporary closure of manufacturing units and sales channels, affecting revenue in all the industries, including edible oil co-products and by-products. Therefore, it is estimated that the target market will take some time in the future to resume to its normal state.

Edible Oil Co-Products and By-Products Market Regional Analysis:

The global Edible Oil Co-Products and By-Products market has been divided on the basis of geography into

• North America

• Asia Pacific

• Europe

• Latin America

• the Middle East and Africa

Depending on the country, the Middle East edible oil by-products and co-products market is segmented into the Kingdom of Saudi Arabia, Iran, Egypt, Sudan, Morocco, Algeria, and Turkey. The oil and soap industry is one of the oldest and most important in Egypt. The market for dry soap stocks in Saudi Arabia is supposed to increase during the conjecture timeframe due to the heavy use of this by-product for soap and detergent production and as a feed ingredient. Iran is one of the leading producers of soaps and detergents and there is immense potential for the growth of dry soap stocks and pure acid oil markets in the country. Egypt and Morocco are likely to see significant growth in fatty acid distillates in the Middle East. The demand for hard oil fatty acids is comparatively higher in Turkey than in any other country in the region, due to increased production of soaps and detergents and increased disposable income in the country.

Edible Oil Co-Products and By-Products Market Key Players:

1. Oleo Misr

2. Rade Chemicals

3. A & B Chemical Corporation

4. Iran Chemical Provider Co.

5. Cayman Chemical Company

6. Genome Specialities Fzc

7. VVF L.L.C.

8. Mallinath Group

9. Chemipakhsh Iran Co. Ltd