North America Palm Oil Market Research Report: By Type (Crude Palm Oil, Palm Kernel Oil, Others) and By Application (Edible Oil, Bio-Diesel, Lubricants, Cosmetics, Others) - Forecast to 2035

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

Key North America Palm Oil Market Trends Highlighted

North America Palm Oil Market Drivers

Increasing Demand for Plant-Based Products

In North America, the trend towards healthier eating and plant-based diets continues to drive the demand for palm oil as plant-based alternatives gain popularity. According to the Plant-Based Foods Association, plant-based food sales in North America have surged by over 27% from 2019 to 2021, resulting in consumers increasingly favoring products containing palm oil as a versatile ingredient. This upward trend is further supported by key organizations like the American Heart Association, which promotes the inclusion of heart-healthy fats in the diet.As the North America Palm Oil Market Industry grows, it aligns itself with this consumer shift towards nutritious and sustainable food options, ultimately contributing to its growth potential.

Growth of Food and Beverage Sector

The food and beverage industry in North America is projected to expand significantly, contributing to the increased usage of palm oil in food preparation. The U.S. Department of Agriculture reported that U.S. food expenditure reached approximately $1.9 trillion in 2021, indicating a robust growth trajectory. As more companies focus on incorporating palm oil in the formulation of processed foods – from snacks to baked goods – the North Americaalm Oil Market Industry stands to benefit from this trend.The adaptability of palm oil in various culinary applications makes it an attractive choice for manufacturers aiming to meet consumer demands.

Sustainability Initiatives and Certifications

Sustainability in sourcing palm oil has become a focal point for producers in North America, driven by consumer demand for ethically sourced products. The Roundtable on Sustainable Palm Oil (RSPO) promotes sustainable palm oil production and has seen increased participation among North American firms. Data from the RSPO indicates that global demand for certified sustainable palm oil has increased by 10% in recent years. As consumer awareness rises, companies that adopt sustainable practices are likely to capture a larger share of the North America Palm Oil Market Industry, fostering growth and profitability.

Innovations in Palm Oil Processing Technology

Advancements in processing technologies for palm oil are leading to increased efficiency and product quality. In the North American context, research institutions and agricultural extensions are focusing on developing methods that enhance yield and sustainability. For instance, the United States Department of Agriculture has invested extensively in research initiatives aimed at improving oil extraction techniques. Innovations, such as enzymatic treatments, have the potential to reduce production costs and improve the overall quality of palm oil used in food and non-food products.As processing technology evolves, it enhances the competitive edge of the North America Palm Oil Market Industry, promoting its growth prospects.

North America Palm Oil Market Segment Insights:

Palm Oil Market Type Insights

The North America Palm Oil Market is categorized primarily by , which includes Crude Palm Oil, Palm Kernel Oil, and others. The overall market has shown remarkable resilience and growth due to various factors influencing consumer preferences and industrial applications. Crude Palm Oil, recognized for its versatile applications in food products, cosmetics, and biofuels, holds a significant portion of the market share due to its prevalent use among manufacturers aimed at catering to the increasing demand for sustainable products. On the other hand, Palm Kernel Oil, derived from the kernel of the palm fruit, is gaining attention for its high-fat content and its applications in food processing and personal care items, thereby augmenting its importance in the market.This particular segment is essential for manufacturers looking to meet the rising consumer interest in natural and organic products, as it is derived from a renewable resource. Furthermore, the 'Others' category encompasses a variety of palm oil products that contribute to the market dynamics, including specialty oil blends and products aimed at specific industry needs. The segmentation within the North America Palm Oil Market is crucial as it highlights trends that bounce from the increasing health consciousness among consumers, legislative pressures for sustainable sourcing, and industry's push towards eco-friendly practices.These segments are reflecting broader market trends, such as plant-based diets and the adoption of palm oil in alternative energy sectors, emphasizing the adaptability of palm oil products to fit changing consumer behavior and regulatory environments. The North America Palm Oil Market continues to evolve, responding to the economic landscapes while providing opportunities for innovation and strategic market entry for stakeholders across the sectors. This evolution is critical as stakeholders increase their focus on sustainable practices and product sourcing, creating a more balanced and responsible market atmosphere within North America.As businesses navigate through these segments, they find opportunities to optimize their supply chains and product offerings to fulfill consumer demands while aligning with sustainability goals.

Palm Oil Market Application Insights

The North America Palm Oil Market exhibits a diverse Application segment, encompassing various industries such as Edible Oil, Bio-Diesel, Lubricants, and Cosmetics. The rising consumption of palm oil as a cooking ingredient reflects its importance in the Edible Oil category, driven by shifting dietary habits and preferences toward healthier cooking oils. Additionally, the Bio-Diesel application is gaining traction due to the increasing demand for sustainable fuel alternatives align with environmental goals and regulations. The Lubricants sector benefits from the unique properties of palm oil, making it preferable for industrial applications, while the Cosmetics industry leverages palm oil's moisturizing properties, reinforcing its significance in personal care products.Overall, the North America Palm Oil Market segmentation showcases a robust framework that supports various applications, indicating a steady growth trajectory. The incorporation of palm oil into diverse sectors not only highlights its versatility but also emphasizes the opportunities present in sustainable practices, ultimately shaping market dynamics in the region.

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

North America Palm Oil Market Key Players and Competitive Insights:

The North America Palm Oil Market is characterized by a dynamic competitive landscape influenced by various factors including sustainability concerns, regulatory frameworks, and consumer preferences. In recent years, there has been a growing emphasis on ethically sourced palm oil, driving companies to innovate and adapt their offerings. The market has seen entry from both global players and local enterprises seeking to capitalize on the rising demand for palm oil, which is increasingly utilized in food processing, cosmetics, and biofuels. As the market evolves, participants are focusing on building strategic partnerships, enhancing distribution networks, and investing in research and development to strengthen their positions within this competitive arena. Furthermore, challenges such as public perception regarding palm oil and its environmental impact necessitate a comprehensive approach to marketing, product development, and corporate responsibility.BASF, as a significant player in the North America Palm Oil Market, has established a foothold through its commitment to sustainability and innovation. The company’s strengths lie in its extensive research capabilities and a robust product portfolio that offers functional solutions across various industries. BASF focuses on developing sustainable palm oil derivatives that meet the increasing demand for environmentally friendly products. Its strategic initiatives include collaborating with suppliers to ensure responsible sourcing and actively participating in industry coalitions that promote sustainable practices. The company’s strong brand reputation and customer relationships enhance its competitive edge, allowing BASF to maintain a substantial presence in the North American palm oil sector.Greentrade is another prominent player in the North America Palm Oil Market, recognized for its focus on providing sustainable and certified palm oil products. The company specializes in trading and supplying various palm oil products that cater to food manufacturers and other industries looking for ethically sourced materials. Greentrade's strengths are anchored in its commitment to transparency and traceability, which resonates well with the increasing consumer demand for sustainable options. The company has effectively positioned itself in the market by leveraging its expertise in supply chain management and fostering strong partnerships with producers committed to sustainability. Recent strategic initiatives, including mergers and acquisitions, have further expanded Greentrade's market presence, enabling it to enhance its product offerings and services in the region, ultimately contributing to a more sustainable palm oil industry in North America.

Key Companies in the North America Palm Oil Market Include:

BASF

Greentrade

Olam International

Unilever

Bunge Limited

Austrian Oil and Gas

Sime Darby Plantation

Green Planet Bioengineering

Kuala Lumpur Kepong Berhad

Archer Daniels Midland Company

Musim Mas

Fuji Oil Holdings

Wilmar International

IOI Loders Croklaan

Cargill

North America Palm Oil Market Industry Developments

In recent developments within the North America Palm Oil Market, major companies are aligning with sustainability initiatives and focusing on responsible sourcing, aligning with consumer trends towards environmentally-friendly products. Unilever has made significant strides in enhancing its palm oil supply chain, targeting a fully traceable supply by 2025, while BASF continues to innovate in sustainable palm oil solutions. Additionally, Olam International has been expanding its operations, aiming to increase its market share through the enhancement of production capabilities. In the realm of mergers and acquisitions, there hasn't been any notable activity reported among the specified companies such as Cargill, Bunge Limited, or IOI Loders Croklaan in the past months, reflecting a cautious approach amid regulatory challenges and sustainability goals. Over the past few years, market valuation has seen fluctuations influenced by pricing volatility of palm oil and rising demand for alternatives, which puts pressure on existing players to adapt. As of 2022, there was an evident push from consumers for ethically sourced palm oil, which has compelled companies like Musim Mas and Wilmar International to reassess their practices and product offerings in the North American market.

North America Palm Oil Market Segmentation Insights

Palm Oil Market Type Outlook

Crude Palm Oil

Palm Kernel Oil

Others

Palm Oil Market Application Outlook

Edible Oil

Bio-Diesel

Lubricants

Cosmetics

Others

 

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Report Attribute/Metric Source:	Details
MARKET SIZE 2018	20.45(USD Billion)
MARKET SIZE 2024	20.79(USD Billion)
MARKET SIZE 2035	38.94(USD Billion)
COMPOUND ANNUAL GROWTH RATE (CAGR)	5.87% (2025 - 2035)
REPORT COVERAGE	Revenue Forecast, Competitive Landscape, Growth Factors, and Trends
BASE YEAR	2024
MARKET FORECAST PERIOD	2025 - 2035
HISTORICAL DATA	2019 - 2024
MARKET FORECAST UNITS	USD Billion
KEY COMPANIES PROFILED	BASF, Greentrade, Olam International, Unilever, Bunge Limited, Austrian Oil and Gas, Sime Darby Plantation, Green Planet Bioengineering, Kuala Lumpur Kepong Berhad, Archer Daniels Midland Company, Musim Mas, Fuji Oil Holdings, Wilmar International, IOI Loders Croklaan, Cargill
SEGMENTS COVERED	Type, Application
KEY MARKET OPPORTUNITIES	Sustainable palm oil demand growth, Healthier food product formulations, Biofuels and renewable energy potential, Increased consumer awareness initiatives, Eco-friendly packaging solutions
KEY MARKET DYNAMICS	Health concerns over palm oil, Environmental regulations impact sourcing, Rising demand for sustainable products, Competition from alternative oils, Price fluctuations due to global supply
COUNTRIES COVERED	US, Canada