Soybean Oil Market By Product Type (Processed Soybean Oil, Virgin Soybean Oil), By Distribution Channel (Trade Channels, Franchise Outlets), By End User (For Foodservice, Food Processor, Retail) & By Region – Global Insights to 2031
The latest intelligence report published by Fact.MR estimates that the global soybean oil market revenues will maintain a positive growth rate between 2021 and 2031, following a CAGR of 5% to reach US$ 33 Bn by the end of the forecast period. Prospects appear highly lucrative in the short-run, with an anticipated valuation of over US$ 21 Bn in 2022.
From 2016 to 2020, the market experienced moderate yet positive growth, expanding at under 5% CAGR to reach US$ 20 Bn. Production crunches attributed to the imposition of mandatory lockdowns in the initial half of 2020 amid COVID-19 temporarily stalled growth prospects.
In recent years, global soybean production has increased incessantly, attributed to its increasing application in the food & beverage industry. Demand is acquiring traction, owing to the presence of omega-3 fatty acids and polyunsaturated fats. According to the U.S Department of Agriculture, global production volume is anticipated to reach 385.524 million metric tons in FY 2021-22.
Key Takeaways from the Market Study:
- The global soybean oil market is anticipated to add 1.5x value by 2031 as compared to 2021.
- By product type, processed soybean oil likely to gain 70 BPS by 2022
- Retail soybean oil sales likely to surpass a valuation of US$ 8 Bn by 2031
- By distribution channel, modern trade segment is likely to account for nearly 33% of overall sales
- U.S soybean oil consumption to account for 10 Mn metric tons as of 2021
- India and China are collectively anticipated to expand at a CAGR of 6% through 2031
“Rising multifunctionality of soybean oil, with respect to its application across key end use industries is anticipated to influence future sales across key geographies, comments a Fact.MR analyst.
Competitive Landscape
Prominent players are embracing innovative approaches such as ground-breaking marketing tactics, technological advances for cancer screening, mergers, and acquisitions.
- In December 2019, Patanjali Ayurveda completed its acquisition of bankrupt Ruchi Soya at INR 4350 Crores through an insolvency process. The acquisition will help Patanjali acquire edible oil plants as also soyabean oil brands such as Mahakosh and Ruchi Gold.
- In May 2021, Archer Daniels Midland Company announced the manufacture of North Dakota’s first dedicated soybean crushing and refinery plant to meet fast-growing demand from food, feed, industrial and biofuel customers, including producers of renewable diesel.