Avocado oil is a naturally occurring edible oil pressed from the fruit of the avocado plant. Avocado oil is prized for its rich texture and high smoke point making it suitable for cooking. It contains beneficial fatty acids and vitamins that provide various health benefits such as reduced risk of heart disease and improved skin health.
The global avocado oil market is estimated to be valued at US$ 1660.15 Mn in 2023 and is expected to exhibit a CAGR of 7.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Growing consumer preference for healthy fats and oils is expected to boost the demand for avocado oil in the forecast period. Avocado oil contains monounsaturated fatty acids including oleic acid similar to olive oil which provides various health benefits like reduced cholesterol levels. Moreover, avocado oil contains antioxidants and vitamin E which protects the heart. Rising awareness about these health benefits is driving the demand for avocado oil among health conscious consumers. Furthermore, growing food industry uses of avocado oil such as in mayonnaise, dressings and baked goods are also propelling the avocado oil market growth.
SWOT Analysis
Strength: Avocado oil is considered healthier and more nutritious than other cooking oils as it is rich in monounsaturated fatty acids and antioxidants. It has a high smoking point which makes it suitable for frying or cooking at high temperatures.
Weakness: Avocado oil is costly compared to other vegetable oils which limits its mass consumption. The production of avocado oil is dependent on climate and geographical conditions which introduces supply uncertainties.
Opportunity: The growing health and wellness trend is driving the demand for plant-based oils with notable health benefits. The market has an opportunity to tap into new application areas and geographical regions to boost volumes.
Threats: Sudden variations in weather patterns can adversely impact avocado production and supply. Price fluctuations of avocado may increase production costs and pose challenges.
Key Takeaways
The Global Avocado Oil Market Share is expected to witness high growth over the forecast period supported by increased health awareness and changing dietary patterns. The global avocado oil market is estimated to be valued at US$ 1660.15 Mn in 2023 and is expected to exhibit a CAGR of 7.8% over the forecast period 2023 to 2030.
Regional analysis: The Asia Pacific region currently accounts for over 35% of the global avocado oil market share led by China, Indonesia, and Australia. Favorable climatic conditions allow large-scale avocado cultivation in these countries. Furthermore, improving economic prosperity and health awareness are driving significant growth in avocado oil demand.
Key players: Key players operating in the avocado oil market are focusing on capacity expansions to meet rising demand. Sesajal S.A. de C.V. is one of the largest producers globally, along with Olivado, Grupo Industrial Batellero S.A. de C.V. Emerging players like YASIN, Tron Hermanos SA de CV are expanding business into high potential Asian markets through tie-ups with local distributors. Innovation in product variants, formulations and packaging solutions stands to provide competitive edge.
