The Margarine and Shortening Market is estimated to be valued at US$ 15.75 Bn or Billion in 2023 and is expected to exhibit a CAGR of 1.5% over the forecast period 2023 – 2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
Margarine and shortening are used as alternatives to butter in the production of various food products like bakery, confectionery and spreads. Margarine provides similar texture and taste of butter at lower cost and is suitable for vegan population. Shortening improves the texture and moisture retention in baked goods.
Market Dynamics:
The growth of the market is attributed to increasing demand for plant-based butter alternatives owing to rise in vegan population and health concerns related to dairy products. Margarine containing plant-based oils provide similar nutrients as butter and are cholesterol free. Additionally, growing awareness about the health risks associated with trans-fats has prompted manufacturers to introduce trans-fat free varieties, boosting the margarine and shortening market.
SWOT Analysis:
- Strength: Margarine and shortening products offer versatility and functionality in cooking and baking applications. They have long shelf life and are cost effective alternatives to butter. Margarine and shortening products can be easily available through multiple retail channels.
- Weakness: Consumer preference for healthier vegetable-based oils over partially hydrogenated oils due to trans-fat content. Stringent regulations over trans-fat limits in many countries.
- Opportunity: Growth in demand for plant-based and clean label products provides opportunities for product innovation. Rising health-conscious consumer base in developing regions offer prospects.
- Threats: The surging popularity of dairy and non-dairy butter substitutes poses threat. Fluctuations in commodity prices impact input costs.
Key Takeaways:
The Global Margarine and Shortening Market Growth is expected to witness high, exhibiting CAGR of 1.5% over the forecast period, due to increasing demand for plant-based and clean label products. The market size is anticipated to reach US$ 15.75 Bn by 2023.
Regional analysis:
The Asia Pacific margarine and shortening market is growing at the fastest pace due to rising health awareness and expanding retail sector in countries like India and China. North America dominates currently due to strong demand, however Asia Pacific is emerging as dominant region in the forecast period.
Key players:
Key players operating in the margarine and shortening market are Unilever, Conagra Brands, Bunge Limited, Wilmar International Ltd., Upfield Holdings BV, Cargill, Incorporated, Archer Daniels Midland Company (ADM), Fuji Oil Co., Ltd. ,Richardson International Limited, Dairy Farmers of America, AAK AB, NMGK Group, Puratos Group, Kerry Group, Vandemoortele.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
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