Cocoa Butter Alternatives Market Share

Global Cocoa Butter Alternatives Market Overview

Cocoa Butter Alternatives Market Size was valued at USD 1.1 Billion in 2022. The cocoa butter alternatives market industry is projected to grow from USD 1.17 Billion in 2024 to USD 2.00 Billion by 2032, exhibiting a compound annual growth rate (CAGR) of 6.91% during the forecast period (2024 - 2032). Rising disposable income supported by emerging economies and rising chocolate consumption are the key market drivers enhancing market growth.

Source Secondary Research, Primary Research, MRFR Database and Analyst Review

Cocoa Butter Alternatives Market Trends

Rising disposable income supported by emerging economies is driving market growth.

Market CAGR for cocoa butter alternatives is being driven as, on a scale, chocolate demand and consumption are gradually increasing. For use in confectionery and baking, chocolate always seems to be needed. The demand for chocolate is expected to rise due to rising disposable income supported by emerging economies like India, China, and Brazil. However, there is a high demand for cocoa butter substitutes to satisfy consumer needs and work around the current scarcity of cocoa that can be used to make cocoa butter. Many industries heavily rely on chocolate, including bakery, confectionery, personal care products, desserts, seasoning, and others. With a high CAGR expected for the projected period, each of these industries has a sizable potential for growth in producing cocoa butter substitutes.

Due to the decrease in cocoa butter production, producers now have various opportunities to develop potential cocoa butter substitutes and increase sales of their goods. To develop distinctive products and introduce their product line on a scale, producers of oils and fats are investing much money in R&D. Much research has been done on both plant- and animal-based oils as potential cocoa butter substitutes.

The development of efficient and widely used extraction techniques for cocoa butter substitutes can also benefit from investments in R&D. Additionally, there should be a strong focus on research on a scale to address some of the main drawbacks of cocoa butter substitutes, such as a propensity to bloom and rheological stability. The rise in demand for chocolates and the high cost of cocoa butter. However, due to its low cost, easy accessibility, and increased use in the cosmetics sector, the market for palm oil fraction products has experienced rapid growth in recent years. Additionally, the market is growing due to the presence of well-known confectionery manufacturers and rising chocolate consumption in Europe. Chocolate is produced using cocoa butter as a key ingredient. It can melt completely at oral temperature while remaining hard, moldable, and brittle at room temperature. A few drawbacks of cocoa butter include its low tolerance for milk fat, loss of consistency at high temperatures, and propensity to flower.

In contrast, processing chocolate costs are reduced because peanut butter is less expensive than cocoa butter. In a tropical climate, it supports the stability of chocolate and controls the boom. In addition to enrobing chocolates, they are frequently used to create compound coatings for bread and other confectionery products. Increasing consumer demand for chocolate, rising cocoa butter costs, an increase in cosmetics industry applications, easy access to products on the market, an increase in patients with various skin diseases, as well as a rise in people who are health conscious and concerned with maintaining healthy skin conditions, are some of the key factors that will probably spur the growth. Shea is highly sought-after in numerous markets and industries all over the world. The main factors driving demand for cocoa butter equivalents (CBEs) are the rising demand for chocolate, the high cost of cocoa, and the high demand for natural soaps and cosmetics. The quality and processing capacity may cap the market's growth. Thus, driving the cocoa butter alternatives market revenue.

Cocoa Butter Alternatives Market Segment Insights

Cocoa Butter Alternatives Type Insights

Based on type, the cocoa butter alternatives market segmentation includes cocoa butter equivalents, cocoa butter replacers, and cocoa butter substitutes. The cocoa butter equivalents segment dominated the market, CBEs are frequently used as substitutes for cocoa butter in the chocolate industry. In addition to saving money, they aid in maintaining the desirable mouthfeel, texture, and stability of chocolate products. To make chocolate coatings, fillings, and compound chocolates, CBEs and cocoa butter can be combined. CBEs make confectionery products like ganaches, pralines, and truffles. They enable the production of high-quality confections by providing the suppleness and creaminess connected with cocoa butter.

Cocoa Butter Alternatives Source Insights

The cocoa butter alternatives market segmentation, based on source, includes shea, sal, kokum & mango kernel and, illipe & palm kernel stearin. The shea category generated the most income. Shea is highly sought-after in numerous markets and industries all over the world. The main factors driving demand for cocoa butter equivalents (CBEs) are the rising demand for chocolate, the high cost of cocoa, and the high demand for natural soaps and cosmetics. The quality and processing capacity may cap the market's growth.

Figure 1: Cocoa Butter Alternatives Market, by Source, 2022 & 2032 (USD Billion)

Source Secondary Research, Primary Research, MRFR Database and Analyst Review

Cocoa Butter Alternatives Application Insights

Based on application, the cocoa butter alternatives market segmentation includes bakery & confectionery, dairy & frozen desserts, sweet & savory snacks, and dips, sauces, and dressings. The bakery & confectionery category generated the most income. Various vegetable oils can be used as an alternative to cocoa butter in baking. Shea butter, palm oil, and coconut oil are a few options that are frequently used. These oils give baked goods a comparable texture and can increase their richness. Considering the impact on your recipe’s overall flavor, remember that they might have slightly different flavors. If a recipe calls for a solid fat, margarine or vegetable shortening can replace cocoa butter in some baked goods. These substitutes can offer a comparable consistency and aid in maintaining the desired texture. They might not, however, provide the same distinctive flavor as cocoa butter, so you might need to modify your recipe.

Cocoa Butter Alternatives Regional Insights

By region, the study provides market insights into North America, Europe, Asia-Pacific and Rest of the World. The North American cocoa butter alternatives market will dominate this market. The growth of industries using these products, such as food and beverage and personal care, is a major factor driving the market for cocoa butter substitutes in North America.

Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 2: COCOA BUTTER ALTERNATIVES MARKET SHARE BY REGION 2022 (USD Billion)

Source Secondary Research, Primary Research, MRFR Database and Analyst Review

Europe’s cocoa butter alternatives market accounts for the second-largest market share because the cosmetics industry uses them more frequently, at lower prices, and easily. Additionally, the market is growing due to the presence of well-known confectionery manufacturers and rising chocolate consumption in Europe. A crucial ingredient in the creation of chocolate is cocoa butter. Further, the German cocoa butter alternatives market held the largest market share, and the UK cocoa butter alternatives market was the fastest-growing market in the European region.

The Asia-Pacific Cocoa Butter Alternatives Market is expected to grow at the fastest CAGR from 2023 to 2032. Due to the growth of numerous producers of food, beverages, and personal products nearby, regional market sales are anticipated to rise. China, Japan, and India are the three biggest national markets that impact the expansion of the regional market. Moreover, China’s cocoa butter alternatives market held the largest market share, and the Indian cocoa butter alternatives market was the fastest-growing market in the Asia-Pacific region.

Cocoa Butter Alternatives Key Market Players & Competitive Insights

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the cocoa butter alternatives market grow even more. Market participants are also undertaking various strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, cocoa butter alternatives industry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics manufacturers use in the cocoa butter alternatives industry to benefit clients and increase the market sector. The cocoa butter alternatives industry has offered some of the most significant advantages in recent years. Major cocoa butter alternatives market players, including Nisshin OilliO Group, Ltd. (Japan), Fuji Oil Holdings, Inc. (Japan), Cargill, Incorporated (US), Bunge Ltd. (US), Wilmar International Ltd. (Singapore), AAK AB (Sweden), 3F INDUSTRIES LIMITED(India), Felda IFFCO Sdn. Bhd. (Malaysia), Musim Mas (Singapore), The Mewah Group (Singapore) and others are attempting to increase market demand by investing in research and development operations.

Fuji Oil Holdings, Inc (Japan), The mouthfeel of pure chocolate depends on the physical attributes of cocoa butter. The Fuji Oil Group has been researching and developing specialty fats for a long time, enabling it to be used for things that cocoa butter previously made impossible. Each specialty fat has unique qualities and purposes, such as physical properties comparable to cocoa butter, a wider range of textures, preservation of luster and shine, and reduced physical properties due to temperature changes. Our compound chocolate extracts the deliciousness of cacao and chocolate to satisfy customers' needs, and it is supported by the Group's plant-based oil and fat technology.

AAK AB (Sweden), Plant-based oils and fats, which add value to various popular products, are our area of expertise. We improve these products' flavors, health, and sustainability. Customer Co-Development, at the core of AAK's offering, combines our desire to comprehend what Making Better HappenTM means for each customer with the exceptional flexibility of our production assets and in-depth product and industry knowledge, including Chocolate and Confectionery, Bakery, Dairy, Plant-based Foods, Special Nutrition, Foodservice, and Personal Care. With the assistance of more than 20 production facilities, 25 regional sales offices, 16 customer innovation centers, and 4,000 employees, we can work closely with our customers.

Key Companies in the cocoa butter alternatives market include

• Nisshin OilliO Group, Ltd. (Japan)


• Fuji Oil Holdings, Inc. (Japan)


• Cargill, Incorporated (US)


• 
  Bunge Ltd. (US)


• Wilmar International Ltd. (Singapore)


• AAK AB (Sweden)


• 3F INDUSTRIES LIMITED(India)


• Felda IFFCO Sdn. Bhd. (Malaysia)


• Musim Mas (Singapore)


• The Mewah Group (Singapore).

Cocoa Butter Alternatives Industry Developments

For Instance, August 2022 Karibon, the first premium cocoa butter equivalent (CBE) made exclusively from shea and exceeding industry standards, was recently introduced, according to Bunge Loders Croklaan. This plant-based, nutritionally balanced, and sustainably sourced ingredient will likely satisfy consumer demand for more ethical and sustainable food options without sacrificing taste and quality.

For Instance, September 2022 Illexao, a collection of fats suitable for creating a "super compound" that can substitute up to 100% of the free cocoa butter in a chocolate recipe, was introduced by AAK AB.

Cocoa Butter Alternatives Market Segmentation

Cocoa Butter Alternatives Type Outlook

• Cocoa Butter Equivalents


• Cocoa Butter Replacers


• Cocoa Butter Substitutes

Cocoa Butter Alternatives Source Outlook

• Shea


• Sal


• Kokum & Mango Kernel


• Illipe & Palm Kernel Stearin

Cocoa Butter Alternatives Application Outlook

• Bakery & Confectionery


• Dairy & Frozen Desserts


• Sweet & Savory Snacks


• Dips


• Sauces


• Dressings

Cocoa Butter Alternatives Regional Outlook

• North America
  
  
  
  • US
  
  
  • Canada
  
  
  
  


• Europe
  
  
  
  • Germany
  
  
  • France
  
  
  • UK
  
  
  • Italy
  
  
  • Spain
  
  
  • Rest of Europe
  
  
  
  


• Asia-Pacific
  
  
  
  • China
  
  
  • Japan
  
  
  • India
  
  
  • Australia
  
  
  • South Korea
  
  
  • Australia
  
  
  • Rest of Asia-Pacific
  
  
  
  


• Rest of the World
  
  
  
  • Middle East
  
  
  • Africa
  
  
  • Latin America