Growing processed food consumption and increasing premium edible oil demand is projected to positively influence the global fats & oils market over the forecast period. Extensive fast food consumption and surge in demand for processed food is expected to bolster the market growth. Increasing disposable income among consumers in emerging economies is anticipated to have positive influence in overall market growth. In addition to the dominant food industry end-use, a shift towards chemical, industrial, animal feed, cosmetics and pharmaceutical applications is presumed to further aid the global market demand. Rising health concerns regarding the adverse effect related to excessive fats & oils consumption is anticipated to hamper the market growth. Stringent health & safety regulations and rising raw material prices are slated to further hamper the fats & oils market over the next six years. R&D investments to develop trans fat substitutes and innovative applications such as bio-diesel production promise vast opportunities for the global market participants.
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Asia Pacific led the global fats & oils consumption market in 2013 and is expected to witness the fastest growth over the forecast period. Emerging economies such as China, India, Indonesia and Malaysia are expected to witness higher processed food consumption and increasing edible oil demand due to rise in disposable income levels. North American and Latin American markets are characterized by alternative fats & oils applications, such as chemicals, pharmaceuticals and bio-diesel production. Volatile crude oil prices are touted to provide ample bio-diesel production opportunities in the regional markets.
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Prominent participants are expected to engage in strategic alliances, acquisitions, and joint ventures to gain market share and increase profitability. Key industry participants include Associated British Food Plc, Archer Daniels Midland Company, Cargill Incorporated, United Plantations Berhad, International Foodstuff Company Holdings Ltd., Unilever Plc, Bunge Limited, Ajinomoto Co. Inc. and Conagra Food Inc.
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