In our new research report we deliver value in terms of segmental analysis and forecasts on the global specialty fats and oils market at the regional level as well as from a global perspective. With the help of extensive research, our analysts have studied how different market dynamics are likely to impact the current and future scenario of the global specialty fats and oils market, thus providing useful insights to market players to plan their differentiating strategies capable of evolving with the changing market landscape with a view to achieve competitive advantage in the long run. We have analyzed the key trends, drivers, restraints and opportunities and their magnitudes across various regions in the globe while studying this market. Impact analysis of key growth drivers and restraints based on the weighted average model is included in the report to better equip clients with the necessary acumen and decision-making insights. This report provides historical data of 2012-2016 along with value and volume forecast projections for the period 2017 - 2025 in terms of revenue (US dollars). The study also includes detailed pricing analysis by type as well as the specialty fats and oils value chain analysis.
After covering the executive summary and market overview, our expert team of analysts have analyzed the market using various models that present extensive insights on the global specialty fats and oils market, which gradually help in transforming global businesses associated with the same. To understand the popularity of the different market segments and regions, the market attractiveness index with elaborated insights on the same is provided, to showcase the market’s attractiveness based on factors such as CAGR and incremental opportunity. A top-down approach has been used to assess market numbers for each segment while the bottom-up approach has been used to counter-validate the market estimations. Macro-economic indicators such as population growth, growth of housing units and others have been considered to arrive at the indicated market numbers.
To ascertain the global specialty fats and oils market size, we have taken into account the revenue generated by the various manufacturers. The forecast presented in this report assesses the total revenue generated by value across the global specialty fats and oils market. In order to provide an accurate forecast, we have initiated by sizing up the current market, which forms the basis of how the global specialty fats and oils market is expected to develop in the future. Given the characteristics of the market, we have triangulated the outcome on the basis of three different types of analysis – based on the supply side, downstream industry demand and the economic envelope. In addition, it is imperative to note that in an ever-fluctuating global economy, we not only conduct forecasts in terms of CAGR but also analyze the market based on key parameters such as year-on-year (Y-o-Y) growth rates to understand the predictability of the global specialty fats and oils market and to identify the right opportunities across the market.
The market is segmented into the following sections
By End Use Industries
Revenue growth of the specialty fats and oils market impacted by the increasing adoption of specialty palm based fats
Increase in global production of oils and fats and demand for alternatives and value added ingredients across the food and beverages industry is expected to contribute to the revenue growth of the global specialty fats and oils market. Over the last few years, there has been significant growth in the global specialty fats and oils market owing to rising consumption of specialty oils in several industrial applications. Since the last few years, research in developing specialty fats and oils has increased significantly due to the growing demand for value added ingredients across the food and beverages industry. Shea and palm oil derivatives are the most common sources of cocoa butter alternatives. Researchers are working on creating novel and healthier alternatives ranging from mango seed to hump fat.
Global specialty fats and oils regional market structure
Global specialty fats and oils market is primarily characterized by the presence of a large number of local and regional players. An approximate share of 40%-45% is accounted for by local players. Asia Pacific and Western Europe are the two main target regions due to increasing demand for alternative and healthier specialty fats and oils in these regions. Countries such as Indonesia, China, EU-28, and Malaysia are the largest producers of specialty oils and fats globally.
Decreasing demand for coconut oil and rising challenges for growing better quality cocoa crop likely to hamper the growth of the global market for specialty fats and oils
The demand for coconut oil has been decreasing across the globe. Particularly in the U.S. the popularity of coconut oil is declining fast, leading to a reduction of revenue in the North America market for specialty fats and oils. This remarkable reduction in the consumption of coconut oil is associated with the rising health conscious population particularly in North America which is responsible in hampering the growth of the global market for specialty fats and oils during the projected period.
Due to uncertain weather conditions and political instability, the prices of oil crops are unstable thereby impacting the oil output from oil crops growers, which in turn is restraining the oil supply to manufacturers. Other key factors attributed to reduced production volumes of specialty oils across the globe are limited access to finance and lack of knowledge about modern farming techniques and farm management skills. It is estimated that around 30%-40% of crops in major producing regions are lost due to improper pest and crop disease control procedures.
Land available for the production of major oil producing crops are limited as agriculture land availability in the Asia Pacific is witnessing a rapid decline. This factor is adversely affecting the overall growth of the global specialty fats and oils market. The declining agricultural land availability can be attributed to a drop in the agricultural workforce due to the growing urban population.
With more than 75% revenue share, specialty oils will continue to dominate the global specialty fats and oils market during the period of study
In terms of value, the specialty oils segment is projected to be the most attractive in the global specialty fats and oils market during the period of assessment. The specialty oils segment accounted for a relatively high value share of 76.0% in 2017 and is anticipated to register a CAGR of 5.2% in terms of value over the forecast period.