Global Hydrotreated Vegetable Oil Market Overview
The Hydrotreated Vegetable Oil Market Size was estimated at 19.19 (USD Billion) in 2022. The Hydrotreated Vegetable Oil Industry is expected to grow from 20.83(USD Billion) in 2023 to 43.6 (USD Billion) by 2032. The Hydrotreated Vegetable Oil Market CAGR (growth rate) is expected to be around 8.55% during the forecast period (2024 - 2032).
Key Hydrotreated Vegetable Oil Market Trends Highlighted
The Global Hydrotreated Vegetable Oil (HVO) market is poised for significant growth in the coming years. Growing concerns over environmental sustainability and the depletion of fossil fuel reserves have fueled the demand for HVO as a renewable and eco-friendly alternative. Key market drivers include stringent government regulations aimed at reducing greenhouse gas emissions, increasing consumer awareness of the environmental benefits of HVO, and rising demand for sustainable fuels in various industries.Opportunities lie in the exploration of new feedstocks for HVO production and the development of cost-effective technologies to improve its competitiveness with traditional fossil fuels. Recent trends in the market include advancements in HVO's properties, such as improved stability and cold flow properties, making it more suitable for use in cold-weather applications. Additionally, the integration of HVO with other sustainable technologies, such as electric vehicles, is expected to create further growth opportunities.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Hydrotreated Vegetable Oil Market Drivers
Growing Demand for Healthier Food Products
The Hydrotreated Vegetable Oil Market is expected to grow due to the rising consumer awareness of health. Hydrotreated vegetable oils are a good source of monounsaturated fats and polyunsaturated fats. They are low in saturated fats and do not contain cholesterol. Saturated fats and cholesterol are common causes of heart-related illnesses. Additionally, consuming products that do not contain saturated fats and cholesterol may reduce the risk of developing heart-related illnesses. This makes it appropriate for promoting heart health.
Rising Population and Changing Dietary Habits
The hydrotreated vegetable oils are getting increased market demand due to several factors. First, the global population is growing rapidly, and so is the demand for food products. Second, the dietary changes are also influencing the market’s development. For example, as more people start eating plant-based meals, the demand for vegetable oils is increasing. Since hydrotreated vegetable oils are considered healthier than animal fats, they can be used in a wide range of food products.
Government Regulations and Incentives
Besides rising energy costs, government regulations and incentives are beginning to have an effect on the growth of the HVO/SYN market. The US government will begin to recommend the use of cleaner burning alternative fuels, such as HVO/SYN’s, in its EISA 2007 legislation. European governments support and subsidize the use of alternative fuels. In the US, Synthetic Genomics, Inc. receives financial incentives for its use of HVO/SYN.
Hydrotreated Vegetable Oil Market Segment Insights
Hydrotreated Vegetable Oil Market Type Insights
The Hydrotreated Vegetable Oil Market is segmented by type into Bleached Hydrotreated Vegetable Oil, Deodorized Hydrotreated Vegetable Oil, Winterized Hydrotreated Vegetable Oil, and Fractionated Hydrotreated Vegetable Oil. Bleached Hydrotreated Vegetable Oil accounted for the largest revenue share in 2023 and is expected to remain the leading type throughout the forecast period. This can be attributed to the fact that food applications, such as salad dressings, mayonnaise, and processed condiments, are significant end-use sectors for the bleached variety.The deodorized type is projected to hold the highest growth rate during the forecast period, as it is one of the widely used types in deep-fat frying operations. Winterized HVO is mainly used in baking and confectionery applications; as the seasonal consumption of bakery and confectionery products continues to rise, the segment is anticipated to grow at a flattering rate. Fractionated variety of hydrotreated vegetable oils is gaining increasing demand, especially, in the personal care and cosmetic industry as an emollient and moisturizing agent.The Hydrotreated Vegetable Oil Market is projected to experience substantial growth in the coming years.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Hydrotreated Vegetable Oil Market Application Insights
An important component of the structure of the Hydrotreated Vegetable Oil Market is the application segment, which has a significant impact on the development of the entire industry. One of the leading applications is the Bakery and Confectionery segment, which showed a tendency to be a leading part of the market in 2023 and expects to maintain this status till 2030. With the growing consumer demand for processed packaging of food, the popularity of part-baked and confectionary goods is on the rise. The industry of Dairy Alternatives is a significant segment of application that is on the rise because of consumer interest in hormone-free products and a growing lactose intolerance.The application of hydrotreated vegetable oil for food preparations is supplemented by its kitchen use in the commercial segment. The growth of the food service industry is likely to drive the demand for hydrotreated vegetable oils. The Flavoring and Seasoning application largely relates to the application of hydrotreated vegetable oil as a carrier of taste and flavor additives and fragrances. It is reported that one key driver of the growth of the HVO market will be the increased use of non-GMO hydrogenated vegetable oils in a wide range of applications in the F industry.The Cosmetics and personal care industry will also be a substantial area for the application with the acceleration of the substitution of synthetic ingredients for natural ones. The application segment of non-food industrial uses is wide including metalworking, lubricants, and textiles. The specific qualities of vegetable oil, such as stability and lubricity, suitable for the industry, stimulate the demand on the background of eco-friendly and sustainable products.
Hydrotreated Vegetable Oil Market End User Insights
The end-user segment plays a crucial role in shaping the dynamics of the Hydrotreated Vegetable Oil Market. Among the key end users, the food industry holds a significant share, driven by the rising demand for processed and packaged food products. The pharmaceutical industry is another major end-user, utilizing hydrotreated vegetable oil as an excipient in drug formulations and as a carrier for active pharmaceutical ingredients. The cosmetics industry also relies on hydrotreated vegetable oil for manufacturing a range of personal care products, including skincare, hair care, and makeup.Household consumers represent a growing segment, using hydrotreated vegetable oil for cooking, baking, and various household applications. In 2024, the Hydrotreated Vegetable Oil Market for the food industry was valued at USD 8.5 billion, projected to reach USD 13.2 billion by 2030, exhibiting a CAGR of 6.3%. The pharmaceutical industry segment is estimated to grow from USD 2.6 billion in 2024 to USD 4.1 billion by 2030, at a CAGR of 6.9%. The cosmetics industry segment is anticipated to expand from USD 1.9 billion in 2024 to USD 3.1 billion by 2030, registering a CAGR of 6.5%.The household consumer segment is expected to grow from USD 1.9 billion in 2024 to USD 3.1 billion by 2030, at a CAGR of 6.5%.
Hydrotreated Vegetable Oil Market Regional Insights
The Hydrotreated Vegetable Oil Market is segmented into North America, Europe, APAC, South America, and MEA. In 2023, Asia-Pacific held the largest market share of 35%, followed by Europe and North America. The growth in the Asia-Pacific region is attributed to the increasing demand for processed and packaged food products, particularly in countries such as China, India, and Indonesia. The demand for hydrotreated vegetable oil in Europe is primarily driven by its use in food applications, such as frying and baking. The market in North America is expected to grow steadily due to the rising health consciousness among consumers and the increasing demand for healthier food options.The South American market is expected to witness significant growth due to the expanding food processing industry and the growing awareness of the benefits of hydrotreated vegetable oil. The MEA market is projected to grow at a moderate pace due to the increasing population and urbanization.
Source: Primary Research, Secondary Research, MRFR Database and Analyst Review
Hydrotreated Vegetable Oil Market Key Players And Competitive Insights
Major players in the Corn Starch Market industry are focusing on strategies such as new product launches and developments, partnerships, and acquisitions to strengthen their position in the market. The competitive landscape is expected to remain fragmented, with a number of regional and global players competing for market share. Leading Corn Starch Market players are investing in research and development to develop innovative products that meet the evolving demands of consumers. The development of sustainable and eco-friendly products is a key trend in the Corn Starch Market as consumers become increasingly aware of the environmental impact of their choices.ADM is one of the leading players in the global Corn Starch Market. The company has a wide product portfolio, which includes high fructose corn syrup, corn oil, and corn gluten feed, in addition to corn starch. ADM has a strong presence in North America, Europe, and Asia. The company is investing in research and development to develop sustainable and bio-based products. In addition, ADM has a long-term partnership with Cargill to market and sell high fructose corn syrup in the US.Cargill Inc. is another major player in the global Corn Starch Market. The company has a diverse product portfolio, which includes soybean oil, canola oil, and palm oil, in addition to corn starch. Cargill is also a major supplier of vegetable oils to the food industry. The company has a strong presence in North America, South America, Europe, and Asia. Additionally, Cargill invested in a joint venture in India.
Key Companies in the Hydrotreated Vegetable Oil Market Include
- Archer Daniels Midland Company
- Louis Dreyfus Company
- Oleon S.A.
- Gavilon Group, LLC
- CHS Inc.
- AAK AB
- Mitsubishi Corporation
- Viterra Inc.
- Wilmar International Limited
- IOI Corporation Berhad
- Bunge Limited
- Marubeni Corporation
- Cargill, Incorporated
Hydrotreated Vegetable Oil Market Industry Developments
The Hydrotreated Vegetable Oil Market is anticipated to reach a valuation of USD 20.83 billion by 2023, expanding at a CAGR of 8.55% during the forecast period 2023-2032. The market's growth is attributed to increasing demand for healthier and sustainable food options, particularly in developed economies. Key industry participants are investing in research and development to enhance the functionality and applications of hydrotreated vegetable oils, further driving market expansion. Recent developments include the launch of new hydrotreated vegetable oil-based food products, strategic partnerships between manufacturers and food service providers, and growing consumer awareness about the health benefits of these oils. The market is expected to witness continued growth in the coming years due to rising consumer preference for healthier food choices and the expansion of the food processing industry.
Hydrotreated Vegetable Oil Market Segmentation Insights
-
Hydrotreated Vegetable Oil Market Type Outlook
- Bleached Hydrotreated Vegetable Oil
- Deodorized Hydrotreated Vegetable Oil
- Winterized Hydrotreated Vegetable Oil
- Fractionated Hydrotreated Vegetable Oil
-
Hydrotreated Vegetable Oil Market Application Outlook
- Bakery and Confectionery
- Dairy Alternatives
- Food Preparation
- Flavoring Seasoning
- Cosmetics Personal Care
- Non-Food Industrial Uses
-
Hydrotreated Vegetable Oil Market End User Outlook
- Food Industry
- Pharmaceutical Industry
- Cosmetics Industry
- Household Consumers
-
Hydrotreated Vegetable Oil Market Regional Outlook
- North America
- Europe
- South America
- Asia Pacific
- Middle East and Africa
| Report Attribute/Metric |
Details |
| Market Size 2022 |
19.19(USD Billion) |
| Market Size 2023 |
20.83(USD Billion) |
| Market Size 2032 |
43.6(USD Billion) |
| Compound Annual Growth Rate (CAGR) |
8.55% (2024 - 2032) |
| Report Coverage |
Revenue Forecast, Competitive Landscape, Growth Factors, and Trends |
| Base Year |
2023 |
| Market Forecast Period |
2024 - 2032 |
| Historical Data |
2019 - 2023 |
| Market Forecast Units |
USD Billion |
| Key Companies Profiled |
Archer Daniels Midland Company, Louis Dreyfus Company, Oleon S.A., Gavilon Group, LLC, CHS Inc., AAK AB, Mitsubishi Corporation, Viterra Inc., Wilmar International Limited, IOI Corporation Berhad, Bunge Limited, Marubeni Corporation, Cargill, Incorporated |
| Segments Covered |
Type, Application, End User, Regional |
| Key Market Opportunities |
Biofuel Production Food Processing Health and Wellness Lubricants Personal Care |
| Key Market Dynamics |
1 Growing demand for healthier cooking oils2 Expansion of the food processing industry3 Rising health concerns related to trans fats4 Government regulations promoting healthier oils5 Technological advancements in oil processing |
| Countries Covered |
North America, Europe, APAC, South America, MEA |
Frequently Asked Questions (FAQ) :
The Hydrotreated Vegetable Oil Market is anticipated to reach a valuation of 20.83 billion USD in 2023.
The Hydrotreated Vegetable Oil Market is projected to grow at a CAGR of 8.55% from 2024 to 2032.
The Asia-Pacific region is projected to account for the largest market share in the Hydrotreated Vegetable Oil Market in 2023.
Hydrotreated Vegetable Oil finds applications in various industries, including food, personal care, and industrial applications such as lubricants and biofuels.
Some of the key competitors in the Hydrotreated Vegetable Oil Market include Bunge Limited, Cargill, Incorporated, and Wilmar International Limited.
The increasing demand for healthier and more sustainable food products, along with the growing population and urbanization, are key factors driving the growth of the Hydrotreated Vegetable Oil Market.
The Hydrotreated Vegetable Oil Market faces challenges such as fluctuations in raw material prices, competition from other vegetable oils, and regulatory requirements.
The growing demand for biofuels, the increasing use of Hydrotreated Vegetable Oil in personal care products, and the expansion into emerging markets present opportunities for growth in the Hydrotreated Vegetable Oil Market.
Key trends in the Hydrotreated Vegetable Oil Market include the development of sustainable and non-GMO Hydrotreated Vegetable Oils, the increasing use of Hydrotreated Vegetable Oil in foodservice applications, and the growing popularity of Hydrotreated Vegetable Oil-based biofuels.
The Hydrotreated Vegetable Oil Market is projected to reach a valuation of 43.6 billion USD by 2032.
