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Specialty Fats and Oils Market and its key opportunities and challenges

(Food-Beverage-News.Com, November 04, 2019 ) The Specialty Fats and Oils Market was valued at USD 1.96 Billion in 2016 and is projected to reach USD 3.66 Billion by 2023, growing at a CAGR of 9.4%, as per a report by MarketsandMarkets.

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Why demand for clean-label products from consumers present an opportunity?

Natural and organic concepts are two tools used predominantly in the food industry by marketers in order to increase the demand for natural ingredients in the market. “Clean-label ingredients” are essentially natural ingredients with no chemicals. With rising health awareness, consumers are opting for clean-label foods that use natural ingredients and show a propensity to spend on expensive food products that are minimally processed. Consumers have been observed to thoroughly check labels before buying confectionery and bakery products. This has prompted manufacturers toward producing goods with natural ingredients.

For instance, Cognis (Germany) introduced vegetable fat ingredients, which are low in saturated and trans-fats, provide a creamy texture, and maintain the healthy profile of products. These ingredients find application in manufacturing soups, sauces, and creams. The products under the vegetable fat ingredients range are “clean label” and are listed as “vegetable fats” instead of “hydrogenated vegetable fats” with trans-fats lower than 1% on the list of ingredients of the end product. The benefits associated with such labeling of products are encouraging companies to focus on developing new products from natural sources with minimal processing, thereby making them clean-label products.

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How high dependence on imports and high cost of end products is a challenge?

There is a significant gap between the demand and supply of oilseed processed products such as edible oil, owing to the limited availability of oilseeds in some domestic markets.

For instance, India and European countries import palm oil on a large scale from Indonesia and Malaysia, which are the leading producers, owing to the favorable climatic conditions of these countries. Palm oil is widely used in the confectionery products sector, which experiences high demand in India and European countries.

Similarly, European personal care product manufacturers depend on high-cost imports of shea butter from South Africa, which accounts for a significant share of its production.

Due to the high dependence of these countries on imports of palm oil and shea butter, respectively, their import cost as well as the cost of the end products increases, which serves as a challenge for the market.

About MarketsandMarkets™

MarketsandMarkets™ provides quantified B2B research on 30,000 high growth niche opportunities/threats which will impact 70% to 80% of worldwide companies’ revenues. Currently servicing 7500 customers worldwide including 80% of global Fortune 1000 companies as clients. Almost 75,000 top officers across eight industries worldwide approach MarketsandMarkets™ for their painpoints around revenues decisions.

Our 850 fulltime analyst and SMEs at MarketsandMarkets™ are tracking global high growth markets following the "Growth Engagement Model – GEM". The GEM aims at proactive collaboration with the clients to identify new opportunities, identify most important customers, write "Attack, avoid and defend" strategies, identify sources of incremental revenues for both the company and its competitors. MarketsandMarkets™ now coming up with 1,500 MicroQuadrants (Positioning top players across leaders, emerging companies, innovators, strategic players) annually in high growth emerging segments. MarketsandMarkets™ is determined to benefit more than 10,000 companies this year for their revenue planning and help them take their innovations/disruptions early to the market by providing them research ahead of the curve.

MarketsandMarkets’s flagship competitive intelligence and market research platform, "Knowledgestore" connects over 200,000 markets and entire value chains for deeper understanding of the unmet insights along with market sizing and forecasts of niche markets.

Mr. Shelly Singh
MarketsandMarkets™ INC.
630 Dundee Road
Suite 430
Northbrook, IL 60062
USA : 1-888-600-6441


Mr. Shelly Singh


Source: EmailWire.Com
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