Market Insights
The oilseed production on the global front has been maintained by South America’s processing sector. In 2015, olive oil recorded an 8% volume growth rate, while vegetable and seed oil volume sales declined by 1%. The biggest growth in oilseed production is expected in Brazil, with its share of world market growing to 20.9% in 2024.
Market Dynamics
The primary driving factor of South America’s oils and fats market is its focus towards the biodiesel sector. Argentina is expected to maintain an export-oriented biodiesel industry (about 50% of produced biodiesel). The vegetable oil used to produce biodiesel is expected to reach 2.5 Mt by 2024, i.e. 64% of domestic vegetable oil consumption. A low rate of consumption of oilseed meal results in high amounts of it being exported.
Market Segmentation
The market has been segmented by source type, application type, and geography.
The major market segmentation is on the lines of protein meal production and oilseed production. In contrast to vegetable oil, world production of protein meal is concentrated on soybean meal, which accounts for more than two-thirds of world production. Argentina and Brazil have a significant contribution. For Brazil and Argentina, strong growth in the production of protein meal is expected. Brazil has been expected to contribute to a one-third share of world exports in 2024. Brazil's exports are expected to grow at 2.6% p.a. Argentina has also played a part in the exports. Biodiesel production from fats & oils, along with other chemical and pharmaceutical applications are widespread in countries such as Brazil, Argentina and the U.S.
Regional Analysis
Argentina remains the largest meal exporter because it is the only country among the large oilseed meal producers with a very small consumption base. This low level of consumption is directly tied to the composition of its pasture-based livestock sector, which requires small amounts of protein meal. Brazil is also an important exporter of oilseed meals. The oilseed products market is much more active than the oilseeds market.
Capital Activities
Aarhus Karlshamn (AAK), a Sweden-based edible oils and fats producer, is all set to construct a new specialty and semi-specialty edible oils plant in Jundiai, São Paulo, Brazil.
Cargill has acquired SGS Micro ingredients by its growth strategy in the Parana province. SGS Micro ingredients have a production capacity of 56,000 tons per year in its plant.
Fuji Oil Co., Ltd. announced the establishment of a new company Fuji Oil South America in Campinas, São Paulo, Federative Republic of Brazil.
Key Deliverables in the Study
- Market analysis for the South America oil and fats market, with region-specific assessments and competition analysis.
- Market definition along with the identification of key drivers and restraints.
- The identification of factors instrumental in changing the market scenario, rising prospective opportunities, and identification of key companies that can influence the global market.
- Extensively researched competitive landscape section with profiles of major companies along with their market share.
- Identification and analysis of the macro and micro factors that affect the oil and fats market.
- A comprehensive list of key market players along with the analysis of their current strategic interests and key financial information.
- A wide-ranging knowledge and insight about the major players in the industry and the key strategies adopted by them to sustain and grow in the studied market.
- Insights on the major countries/regions, where this industry is growing and identify the regions that are still untapped.
1. Introduction
1.1 Key Deliverables of the Study
1.2 Study Assumptions
1.3 Market Definitions
2. Research Approach and Methodology
2.1 Introduction
2.2 Research Design
2.3 Study Timelines
2.4 Study Phases
2.4.1 Secondary Research
2.4.2 Discussion Guide
2.4.3 Market Engineering & Econometric Modelling
2.4.4 Expert Validation
3. Market Overview
3.1 Market Dynamics
3.1.1 Drivers
3.1.1.1 Increase in Consumption of High Quality Cooking Oils
3.1.1.2 Hike in Consumption of Processed Foods and Confectionery
3.1.1.3 Demand for Biodiesel
3.1.2 Restraints
3.1.2.1 Health related issues
3.1.2.2 Adulteration of Fats & Oil Products
3.1.3 Opportunities
3.1.3.1 Emerging Applications of Fats and Oils as Substitutes of Trans-Fats
3.1.3.2 Biotechnological Intervention
3.1.4 Porter's Five Forces Analysis
3.1.4.1 Bargaining Power of Suppliers
3.1.4.2 Bargaining Power of Buyers
3.1.4.3 Threat of New Entrants
3.1.4.4 Threat of Substitute Products and Services
3.1.4.5 Degree of Competition
4. Market Segmentation
4.1 By Type
4.1.1 Chemical Structure
4.1.1.1 Saturated fats
4.1.1.2 Unsaturated fats
4.1.1.2.1 Dietary Requirement
4.1.1.2.2 Essential fats
4.1.2 Non-essential fats
4.2 By Source
4.2.1 Vegetable oil
4.2.1.1 Palm oil
4.2.1.2 Soybean oil
4.2.1.3 Sunflower oil
4.2.1.4 Cotton oil
4.2.1.5 Coconut oil
4.2.2 Oilseed oil
4.2.2.1 Linseed oil
4.2.2.2 Sesame oil
4.2.2.3 Castor oil
4.2.3 Animal oil
4.3 By Application
4.3.1 Foods
4.3.1.1 Bakery and Confectionary
4.3.1.2 Processed foods
4.3.2 Feed
4.3.3 Industrial
4.3.3.1 Cosmetics
4.3.3.2 Paints
4.3.3.3 Biofuel
4.3.3.4 Lubricants and greases
4.3.3.5 Pharmaceutical
4.4 By Geography
4.4.1 South America
4.4.1.1 Brazil
4.4.1.2 Argentina
4.4.1.3 Others
5. Competitive Landscape
5.1 Strategy adopted by Key players
5.2 Most Active Companies in the past Five years
5.3 Market Share Analysis
6. Company Profiles
6.1 Wilmar International Limited
6.2 Archer Daniels Midland Company
6.3 Bunge Limited
6.4 Cargill, Incorporated
6.5 Aboissa
6.6 ConAgra Foods, Inc.
6.7 Unilever PLC
6.8 United Plantations Berhad
6.9 Astra Agro Lestari
6.10 Meridional
6.11 Associated British Foods PLC (ABF)
6.12 Arista Industries, Inc
6.13 Ajinomoto, Inc.
7. Appendix
7.1 Disclaimer
7.2 Sources
