Interesterified Oils Market is Segmented By Source (Palm Oil, Sunflower Oil, Soybean Oil, Others), By End User (Food Processing, Bakery & Confectionery, Personal Care, Others), and By Region (North America, Latin America, Europe, Asia Pacific, Middle East, and Africa) – Share, Size, Outlook, and Opportunity Analysis, 2024-2031
Market Overview
The Global Interesterified Oils Market is estimated to reach at a CAGR of 5.1% during the forecast period (2024-2031)
Interesterified fats have been enzymatically or chemically altered to enhance their nutritional profile or texture. They are manufactured by mixing vegetable oils containing unsaturated fat with stearic acid, observed in chocolate and believed a comparatively safe saturated fat. Interesterified oil is produced by altering fatty acids that consist of a chemical reaction because of the reorganization of the fatty acid sequence. This rancidification of the oil, and lowers the melting point, making it less in fatty acid content and increasing its functionality to a high level. Interesterified oil is mainly utilized in the food industry as a baking and frying agent and consumption of interesterified oil are considered healthy to cardiac patients.
Market Summary
| Metrics | Details |
| Market CAGR | 5.1% |
| Segments Covered | By Source, By End User, and By Region |
| Report Insights Covered | Competitive Landscape Analysis, Company Profile Analysis, Market Size, Share, Growth, Demand, Recent Developments, Mergers and acquisitions, New Product Launches, Growth Strategies, Revenue Analysis, and Other key insights. |
| Fastest Growing Region | Asia Pacific |
| Largest Market Share | North America |
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Market Dynamics
The large-scale application of interesterified oil in the personal care and food industry is expected to drive the market growth
The interesterified oil is extensively utilized in the production of butter and oil blends, mainly margarine. The large-scale application of interesterified oil in the personal care and food industry is a key factor to fuel the demand for interesterified oil in the upcoming years. Currently, consumers are more aware of the components utilized in the manufacturing of food. Enzymatic interesterification is comparatively inexpensive as the manufacturing needs lower temperature, hence it conserves the quality of the oil and less oil loss. Both qualitative and economic advantages of the interesterified oil are considered as major driving factors for the global interesterified oil market over the forecast period. interesterified oil is a suitable raw material to produce food products along with it maintaining the quality and stability of the product with diverse raw materials and yet preventing the fluctuations in the final prices of the product. Hence the demand for interesterified oil is rapidly increasing in the food industry.
Interesterified Oils Market Segmentation Analysis
The food processing segment accounted for the largest share, holding about XX% of the global market
By end-use, the food processing segment was accounted for the largest market share in 2020 and is expected to be the dominating segment market during the projected periods. This is owing to the food processing manufacturers having a lesser requirement of interesterified fats behind per finished products, but their total sales of finishing products are large. Due to that, the annual procurement of interesterified oil from the food processing industry is high as compared to other sectors. However, the bakery & confectionery segment is expected to exhibit the fastest-growing segment within the projected period owing to the rising use of interesterified oil in various bakery products as it is cost-effective raw material.
Market Geographical Share
By geography, North America accounted for the largest share in 2020 and is anticipated to be the dominating regional market within the projected year. This is due to the awareness of the consumers about the trans-fat consist in the food goods that they eat. Hence, the demand for clean and green label food products has shown in high demand for the interesterified oils. The European region is also taking up measures for substitutes for PHO-including products. Moreover, the demand from Europe and MEA is also estimated to rise in the coming years. Asia Pacific is accounted for the second-largest market share global interesterified oil market in 2020 and is expected to grow at a CAGR of XX% owing to the tremendous market potential and emerging new technologies are likely to propel the growth of the interesterified oil market in the region.
Companies and Competitive Landscape:
The global interesterified oil market is competitive with the presence of many formulators. Some of the major players of the market include Cargill, Incorporated, Aak Kamani Private Limited, Bunge Ltd, Intercontinental Specialty Fats SDN. BHD, Willowton Group, Archer Daniels Midland Company, Oleofins, Yentop, among others. They have increased the market through with their product offerings. Constant invention to launch innovative products, with innovative technology is the major competitive factor in the market. For instance, in March 2018, Bunge Limited has announced that the company has completed its acquisition of a 70% ownership interest in IOI Loders Croklaan from IOI Corporation Berhad.
COVID-19 Impact
The market witnessed a negative impact
The COVID-19 pandemic had a considerable impact on several sectors and industries around the globe. The interesterified oil demand and supply chain of interesterified oil have been hampered in various regions due to the regulation imposed by various governments which impacted the transport, but the interesterified oil market is back to normal condition after lockdown. The demand for various chemicals and ingredients was affected across the globe, it was lower for a few months. the coronavirus affected the USA, the Netherlands, Germany, China, France, Italy, India, Spain, Brazil, and other major nations involved in food ingredient production. The influence of COVID-19 is a lot higher on the developed countries, the multination firms would focus their strategies and energies more on these countries as compared to the poor and developing countries. After the pandemic, people become more aware of their health and food, most of them are choosing to eat homemade food to increase immunity and avoid further health problems.
