North America Used Cooking Oil Market

North America Used Cooking Oil Market Analysis:

North America Used Cooking Oil Market is expected at USD xx.xx million in 2021 and is anticipated to extent an over of USD xx.xx million by the end of the assessment period. The North America Used Cooking Oil Market is estimated to experience reasonable growth to record a CAGR of x.xx% throughout the estimate period (2022 - 2027).

Used cooking oil, also known as used cooking oil, is obtained as a result of the repeated use of vegetable oils for food in restaurants, hotels and food industries, as well as in the domestic sectors. Used cooking oil can be obtained from a variety of vegetable oils including sunflower, palm, rapeseed, soybean and the like and are generally available in large volume in mixed composition. Used cooking oil replaces vegetable oil in the production of biodiesel, oleochemicals and feed. The used kitchen is considered a waste and does not compete in the market. Therefore, its cost is less than that of vegetable oil and it is readily available in bulk. This is driving the growth of the used cooking oil market. 

Recent Developments

Food producer Kido Joint Stock Company (KDC) has completed the purchase of a 65% stake, in Tuong “An Vegetable Oil JSC” (TAC), according to information published on the website of the Ho Chi Minh Stock Exchange. The official value of the deal has not been disclosed. However, in early November, KDC offered a higher price than initially offered to show its determination to buy TAC shares.

US Foodservice is entering the biofuels industry by purchasing a company specializing in recycling used cooking oils into biodiesel. US Foodservice has acquired Bluffton, S.C.-based WVO Industries with the intention of converting waste vegetable oils used in its customers' fryers into biodiesel to fuel its fleet. In a phone interview, Owens explained that US Foodservice sells fresh vegetable oil to restaurant customers for use in their deep fryers. For the past 18 months, US Foodservice has acted as WVO's exclusive used oil collector, collecting the full five-gallon sealable pails and leaving the empty containers in place.

Olleco, the UK's largest converter of used cooking oil and food waste into renewable energy, announced this week the successful acquisition of Convert2Green Ltd. This acquisition demonstrates Olleco's ongoing commitment to achieving its vision of 100% resource recovery for the food industry. The combination of Convert2Green and Olleco increases our number of depots to 17 across the UK and enables us to improve efficiency and coverage to enhance the used cooking oil collection service offered to our customers.

The Federal Trade Commission today filed an administrative complaint alleging that JM Smucker Co.'s proposed $ 285 million acquisition of Conagra Brands, Inc.'s Wesson brand of cooking oil "is likely to" significantly reduce competition or create a monopoly.“ In violation of the Clayton Act; thereby reducing competition in the United States for vegetable and canola oils. Smucker currently owns the Crisco brand and, by acquiring the Wesson brand, would control at least 70% of the vegetable oil market and brand name canola sold to grocery stores and other retailers.

Market Drivers and Restraints:

The North America Used Cooking Oil Market is expected to expand at a significant growth rate during the forecast period. The expansion of the world market can be attributed to the growing demand for biofuels in developing and developed economies. Governments in developed economies are focused on improving bioenergy due to increased air pollution which, in turn, is expected to accelerate the growth of the global used cooking oil (UCO) market during the forecast period. In addition, the use of UCO is high in the feed production process. Animal feed production has gradually increased in North America, which is expected to drive growth in the North America Used Cooking Oil Market during the forecast period. In addition, there is an increase in the production of biodiesel from used cooking oil as it saves 21% fossil fuel compared to crude oil and also saves 96% energy compared to fossil diesel production. It has also made used cooking oil popular with biodiesel manufacturers, increasing its use in biodiesel production. However, the use of OCU in the production of animal feed in the North America region is prohibited due to the implementation of the Regulation on animal by-products.

Market Segmentation:

The North America Used Cooking Oil Market can be segmented according to Source and Application. Depending on the Source it can be divided into Household, and food services. On the basis on Application for North America Used Cooking Oil Market it can be divided into Animal Feed, industry usage and others.

Impact of COVID-19 on North America Used Cooking Oil Market

COVID 19 is a deadly disease that disrupted the supply chain in every country. Due to the disruptions in the supply chain, there were decreased shares of the used cooking oil market in North America. However, by following necessary guidelines to prevent the spread of coronavirus, the world is slowly falling into the previous state which is showing positive sign towards the growth rate of the market in the coming years.

Regional Analysis:

The market for North America Used Cooking Oil has been categorized on the basis of geography to offer a clear understanding of the market. North America Used Cooking Oil Market has been divided into the United States, Canada, Mexico and rest of North America. North America has a significant share of the used cooking oil (UCO) market. The region's market is expected to show a moderate growth rate between 2019 and 2025. The United States is expected to have a dominant market share in the region during the forecast period. The North America region is a leader in the field of used cooking oil, as large companies invest in used cooking oil refineries and emerge in favor of the growth of the North America Market. The presence of several large-scale used cooking oil processing refineries will also help market growth. United States and Canada are expected to show higher growth in used cooking oil due to large populations and an increase in restaurants, hotels and street corners.

Leading Company

Darling Ingredients Inc. had the largest share of the North America Used Cooking Oil Market in terms of sales revenue in 2021.

Key Players

The North America Used Cooking Oil Market is concentrated with well-established players. Key players in the North America Used Cooking Oil Market include Greasecycle, Darling Ingredients Inc., Grand Natural, Waste Oil Recyclers Inc., Baker Commodities Inc., Arrows Oils Ltd, and others.