Global Vegetable Oil Market Expected to Reach USD 408.4 Billion by 2033 - IMARC Group

Global Vegetable Oil Market Statistics, Outlook and Regional Analysis 2025-2033

The global vegetable oil market size was valued at USD 280.5 Billion in 2024, and it is expected to reach USD 408.4 Billion by 2033, exhibiting a growth rate (CAGR) of 4.81% from 2025 to 2033.

The global vegetable oil market is experiencing significant growth, driven by rapid urbanization, and transforming dietary preferences. According to the Food and Agricultural Organization (FAO), the vegetable oil price index had a rise of 4.6% in September. Concurrent with this, the surging requirement for processed and convenience foods, that incorporate vegetable oils in cooking, preservation, and as flavoring agents, is contributing to the market expansion. In line with this, the increase in the global population is encouraging the food industry to enhance its output, through the utilization of vegetable oils across various culinary and industrial applications, which is strengthening the market share. Moreover, the shifting consumer attitudes toward physical health requirements are driving the market demand, especially for oils like olive, soybean, and sunflower oil which are considered healthier than the regular cooking mediums. Additionally, the biodiesel industry is supporting the market growth, as vegetable oils such as palm and rapeseed are used as feedstocks for biofuels globally. They also align with strict environmental standards and support sustainability, thus propelling the market forward.

Concurrently, continuous developments in agricultural technologies have established higher yields of crops and better efficiencies in extracting crude oils, helping the producers to fulfill the increasing market demand, and bolstering the market growth. Furthermore, industries such as the cosmetics and personal care industry are acting as other growth-inducing factors, as they are incorporating vegetable oils in their creams and products primarily due to their moisturizing characteristics. In confluence with this, the pharmaceutical industry incorporates them in various therapeutic applications, strengthening the market share. Furthermore, rising disposable incomes and shifts in consumer lifestyles, along with government subsidies and investments in infrastructure are fueling the market demand. For example, the FAO reported a 19-month high in world food prices in November 2024, driven by a 7.5% monthly and 32% yearly surge in vegetable oil prices. In addition to this, the rising adoption of plant-based diets and vegan lifestyles, promoting the use of vegetable oils as essential ingredients in plant-based food products, is providing an impetus to the market. Apart from this, the policies of trade liberalization and the enhancement of supply chains globally are increasing the easy accessibility of vegetable oils, thereby impelling the market growth.

Global Vegetable Oil Market Statistics, By Region

The market research report has also provided a comprehensive analysis of all the major regional markets, China, the United States, India, Europe, Indonesia, Malaysia, Brazil, and others. According to the report, China accounted for the largest market share on account of rising health awareness, biodiesel production, diverse industrial applications, and advanced agricultural practices.

China Vegetable Oil Market Trends:

The demand for vegetable oil in China is rising due to its increased use in cooking and ingestion of edible oils. In line with this, the rapid urbanization and rise in the consumption of interstate meals are driving the demand for various kinds of vegetable oils. For example, China imported a total of 9.8 million metric tons of edible vegetable oil in 2023, reflecting its substantial reliance on imports to meet domestic demand. Furthermore, the growing concern for food security and ensuring the sufficiency of the country in the production of oilseed is promoting domestic manufacturers to invest in the production of local vegetable oils. Similarly, the application of vegetable oils in industrial sectors like food processing industries and biodiesel industries is growing as the government emphasizes renewable sources of energy and a green industrial economy, impelling the market forward.

United States Vegetable Oil Market Trends:

In the United States, the demand for vegetable oil is expanding due to fast foods, bakery products, and the manufacturing of frozen and processed foods. Moreover, the growing biopolymers from renewable resources, such as vegetable oils, are enhancing the production of other environmentally friendly industrial materials, supporting the market growth.

India Vegetable Oil Market Trends:

The demand for vegetable oil in India is surging due to the high population concern of the region, as people seek fried and flavorful foods. Furthermore, the improved power supply has expanded to the rural areas, benefiting oil manufacturers through lighting that is required for processing, and preserving facilities. Also, the increasing government policies are encouraging the production of locally made edible oils, thus driving the market demand.

Europe Vegetable Oil Market Trends:

In Europe, the demand for vegetable oils is propelled by the incorporation of the product in quality foods, organic cosmetics, and green cleaning. It is also fostering the use of vegetable oils, especially in the production of biodiesel, spurring climate neutrality in the region, which is contributing to the market expansion.

Indonesia Vegetable Oil Market Trends:

The demand for vegetable oil in Indonesia is increasing driven by the large palm oil industry of the region, as it has a large requirement in the local and export market. Apart from this, the oils and traditional cookery and biofuel scheme introduced by the government is acting as another significant growth-inducing factor in the region.

Malaysia Vegetable Oil Market Trends:

In Malaysia, the demand for vegetable oil is spurring owing to its strong palm oil industry and associated products for food, cosmetics, and biofuels. Moreover, the policy to support downstream industries like oleochemical industries has increased the domestic consumption and export manufacturing, thereby strengthening the market share.

Brazil Vegetable Oil Market Trends:

In Brazil, the demand for vegetable oil is expanding due to its use in animal feedings and biofuels by the large farming fraternity. Apart from this, the constant getting convenience of local food industries, the increased exports to the neighboring countries along with the integration of soy-based products are significantly fueling the market demand.

Top Companies Leading in the Vegetable Oil Industry

Some of the leading vegetable oil market companies include Archer-Daniels-Midland Company, Bunge Limited, Cargill, Incorporated, Louis Dreyfus Company BV, and Wilmar International Ltd, among many others.

• In August 2024, Bunge Limited completed its $34 billion merger with Viterra, enhancing global supply chains and boosting innovation, marking a significant advancement in the vegetable oil market's efficiency and production capacity.

Global Vegetable Oil Market Segmentation Coverage

• On the basis of the oil type, the market has been categorized into palm oil, soybean oil, sunflower oil, canola oil, coconut oil, and palm kernel oil, wherein palm oil represents the leading segment due to its flexibility, affordability, and versatility for use in the manufacturing of food products, cosmetics, and fuel. Apart from this, it promotes high yield per hectare, and it is effectively used in cooking oil production which is contributing to the market growth.
• Based on the application, the market is classified into food industry, biofuels, and others, amongst which the food industry dominates the market owing to its application in cooking, baking, frying, and various processed food items. Moreover, the rising consumer demand for packaged and ready-to-eat (RTE) products has significantly increased the use of vegetable oils, aiding in the market expansion.

Browse IMARC Related Reports on Vegetable Oil Market:

• North America Vegetable Oil Market Report
   
• Latin America Vegetable Oil Market Report