Oleo oils Market

The article discusses the depressed demand for oleo oils worldwide, with a forecasted decline in market volume and value from 2022 to 2030. The consumption, production, imports, and exports trends are detailed, highlighting key countries, growth rates, and price fluctuations. Indonesia emerges as the main exporter of oleo oils, while the United States leads in production and the Netherlands stands out in imports. Overall, the global oleo oils market is expected to face challenges in the coming years.

Market Forecast

Depressed by shrinking demand for oleo oils worldwide, the market is expected to continue its downward consumption trend over the next eight-year period. The performance of the market is forecast to contract with an anticipated CAGR of -0.1% for the period from 2022 to 2030, which is projected to depress the market volume to 221K tons by the end of 2030.

In value terms, the market is forecast to contract with an anticipated CAGR of +2.5% for the period from 2022 to 2030, which is projected to bring the market value to $329M (in nominal prices) by the end of 2030.

Consumption

World Consumption of Lard Stearin, Lard Oil, Oleostearin, Oleo-Oil And Tallow Oil

In 2022, consumption of lard stearin, lard oil, oleostearin, oleo-oil and tallow oil was finally on the rise to reach 222K tons for the first time since 2017, thus ending a four-year declining trend. Over the period under review, consumption, however, recorded a relatively flat trend pattern. Global consumption peaked at 231K tons in 2012; however, from 2013 to 2022, consumption stood at a somewhat lower figure.

The global oleo oils market revenue soared to $269M in 2022, rising by 36% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). In general, consumption, however, continues to indicate a relatively flat trend pattern. Global consumption peaked at $275M in 2012; however, from 2013 to 2022, consumption remained at a lower figure.

Consumption By Country

The countries with the highest volumes of consumption in 2022 were the United States (49K tons), the UK (37K tons) and Ireland (25K tons), with a combined 50% share of global consumption. The Netherlands, Egypt, India, Belgium, Spain, Indonesia, France, Sierra Leone and Germany lagged somewhat behind, together accounting for a further 38%.

From 2012 to 2022, the most notable rate of growth in terms of consumption, amongst the main consuming countries, was attained by Sierra Leone (with a CAGR of +90.2%), while consumption for the other global leaders experienced more modest paces of growth.

In value terms, the largest oleo oils markets worldwide were the United States ($41M), Egypt ($36M) and Ireland ($32M), together comprising 40% of the global market. The Netherlands, Spain, the UK, India, Indonesia, Belgium, Germany, France and Sierra Leone lagged somewhat behind, together comprising a further 44%.

Sierra Leone, with a CAGR of +57.8%, recorded the highest rates of growth with regard to market size among the main consuming countries over the period under review, while market for the other global leaders experienced more modest paces of growth.

In 2022, the highest levels of oleo oils per capita consumption was registered in Ireland (4,899 kg per 1000 persons), followed by the Netherlands (1,048 kg per 1000 persons), Belgium (855 kg per 1000 persons) and the UK (548 kg per 1000 persons), while the world average per capita consumption of oleo oils was estimated at 28 kg per 1000 persons.

From 2012 to 2022, the average annual growth rate of the oleo oils per capita consumption in Ireland stood at -5.5%. The remaining consuming countries recorded the following average annual rates of per capita consumption growth: the Netherlands (+55.1% per year) and Belgium (+34.2% per year).

Production

World Production of Lard Stearin, Lard Oil, Oleostearin, Oleo-Oil And Tallow Oil

In 2022, after two years of decline, there was significant growth in production of lard stearin, lard oil, oleostearin, oleo-oil and tallow oil, when its volume increased by 9.5% to 249K tons. In general, production, however, continues to indicate a relatively flat trend pattern. The pace of growth was the most pronounced in 2014 when the production volume increased by 18% against the previous year. Over the period under review, global production attained the peak volume at 295K tons in 2017; however, from 2018 to 2022, production stood at a somewhat lower figure.

In value terms, oleo oils production declined slightly to $272M in 2022 estimated in export price. The total output value increased at an average annual rate of +1.3% from 2012 to 2022; the trend pattern remained relatively stable, with only minor fluctuations being recorded in certain years. The growth pace was the most rapid in 2021 with an increase of 8.7% against the previous year. As a result, production reached the peak level of $282M, and then declined modestly in the following year.

Production By Country

The countries with the highest volumes of production in 2022 were the United States (54K tons), the UK (52K tons) and Indonesia (49K tons), together accounting for 62% of global production.

From 2012 to 2022, the most notable rate of growth in terms of production, amongst the main producing countries, was attained by the UK (with a CAGR of +3.2%), while production for the other global leaders experienced more modest paces of growth.

Imports

World Imports of Lard Stearin, Lard Oil, Oleostearin, Oleo-Oil And Tallow Oil

In 2022, after three years of decline, there was significant growth in supplies from abroad of lard stearin, lard oil, oleostearin, oleo-oil and tallow oil, when their volume increased by 86% to 71K tons. Overall, total imports indicated a slight increase from 2012 to 2022: its volume increased at an average annual rate of +1.3% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. As a result, imports attained the peak and are likely to continue growth in the immediate term.

In value terms, oleo oils imports skyrocketed to $102M in 2022. Over the period under review, imports showed a notable expansion. As a result, imports reached the peak and are likely to continue growth in the immediate term.

Imports By Country

The Netherlands (18K tons) and Ireland (17K tons) represented roughly 49% of total imports in 2022. It was distantly followed by Belgium (10K tons), the UK (6K tons), Germany (5.1K tons) and Sierra Leone (4.3K tons), together achieving a 36% share of total imports. Poland (1.9K tons) followed a long way behind the leaders.

From 2012 to 2022, the biggest increases were recorded for Sierra Leone (with a CAGR of +90.2%), while purchases for the other global leaders experienced more modest paces of growth.

In value terms, the largest oleo oils importing markets worldwide were the Netherlands ($29M), Ireland ($24M) and Belgium ($16M), with a combined 68% share of global imports. The UK, Germany, Poland and Sierra Leone lagged somewhat behind, together comprising a further 20%.

Sierra Leone, with a CAGR of +57.8%, recorded the highest growth rate of the value of imports, among the main importing countries over the period under review, while purchases for the other global leaders experienced more modest paces of growth.

Import Prices By Country

In 2022, the average oleo oils import price amounted to $1,446 per ton, rising by 35% against the previous year. Over the period under review, import price indicated noticeable growth from 2012 to 2022: its price increased at an average annual rate of +2.0% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, oleo oils import price increased by +81.1% against 2019 indices. As a result, import price reached the peak level and is likely to continue growth in the immediate term.

There were significant differences in the average prices amongst the major importing countries. In 2022, amid the top importers, the country with the highest price was the Netherlands ($1,668 per ton), while Sierra Leone ($522 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by the UK (+4.2%), while the other global leaders experienced more modest paces of growth.

Exports

World Exports of Lard Stearin, Lard Oil, Oleostearin, Oleo-Oil And Tallow Oil

In 2022, the amount of lard stearin, lard oil, oleostearin, oleo-oil and tallow oil exported worldwide contracted to 97K tons, with a decrease of -14.1% against the previous year's figure. Overall, total exports indicated a mild expansion from 2012 to 2022: its volume increased at an average annual rate of +1.4% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, exports decreased by -35.9% against 2017 indices. The pace of growth appeared the most rapid in 2014 with an increase of 43%. Over the period under review, the global exports hit record highs at 152K tons in 2017; however, from 2018 to 2022, the exports stood at a somewhat lower figure.

In value terms, oleo oils exports expanded rapidly to $199M in 2022. Over the period under review, exports, however, posted a buoyant increase. The most prominent rate of growth was recorded in 2014 with an increase of 45%. The global exports peaked in 2022 and are expected to retain growth in the near future.

Exports By Country

Indonesia represented the main exporter of lard stearin, lard oil, oleostearin, oleo-oil and tallow oil in the world, with the volume of exports amounting to 42K tons, which was approx. 43% of total exports in 2022. The UK (21K tons) ranks second in terms of the total exports with a 22% share, followed by Ireland (21%) and the United States (4.6%). The Netherlands (4K tons) followed a long way behind the leaders.

Indonesia was also the fastest-growing in terms of the lard stearin, lard oil, oleostearin, oleo-oil and tallow oil exports, with a CAGR of +50.9% from 2012 to 2022. At the same time, Ireland (+11.1%) displayed positive paces of growth. The UK experienced a relatively flat trend pattern. By contrast, the Netherlands (-2.7%) and the United States (-13.8%) illustrated a downward trend over the same period. From 2012 to 2022, the share of Indonesia and Ireland increased by +43 and +12 percentage points, respectively.

In value terms, Indonesia ($124M) remains the largest oleo oils supplier worldwide, comprising 63% of global exports. The second position in the ranking was held by the UK ($27M), with a 14% share of global exports. It was followed by Ireland, with a 13% share.

From 2012 to 2022, the average annual rate of growth in terms of value in Indonesia amounted to +64.7%. In the other countries, the average annual rates were as follows: the UK (+5.3% per year) and Ireland (+16.1% per year).

Export Prices By Country

The average oleo oils export price stood at $2,040 per ton in 2022, surging by 26% against the previous year. Over the period under review, the export price enjoyed a remarkable increase. The pace of growth was the most pronounced in 2021 an increase of 33%. Over the period under review, the average export prices hit record highs in 2022 and is likely to continue growth in years to come.

There were significant differences in the average prices amongst the major exporting countries. In 2022, amid the top suppliers, the country with the highest price was Indonesia ($2,937 per ton), while the United States ($790 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Indonesia (+9.1%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform