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Growing Demand from the Biofuel Industry to Drive the Industrial Oils Market

terça-feira, outubro 01, 2019

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CHICAGO, Sept. 30, 2019 (GLOBE NEWSWIRE) -- According to the research report "Industrial Oils Market by Source (Soybean, Rapeseed, Sunflower, Cottonseed, Corn, Palm), Type (Grade I, Grade II, Grade III), End Use (Biofuel, Paints and Coatings, Cosmetics and Personal Care Products, Pharmaceuticals), Region - Global Forecast to 2025", published by MarketsandMarkets. The industrial oils market is evaluated at USD 60.2 billion in 2019 and is projected to grow at a CAGR of 5.0% from 2019 to 2025, to reach USD 80.7 billion by 2025. The biodiesel industry is projected to be a major revenue generator for industrial oils manufacturers in the coming years due to its reduced environmental impact.

In addition, the industrial sector in the emerging countries in the Asia Pacific region is growing in countries such as China and India, which is a hub of industrial oils, due to the expanding chemical, biodiesel, and cosmetics industries. These factors are projected to create new opportunities for the growth of the global industrial oils market in the coming years.

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By source, the sunflower segment is projected to be one of the fastest-growing segments in the global industrial oils market over the forecast period. The increased demand in the cosmetics and pharmaceutical industries is projected to increase the sales of sunflower oil in the coming years. Its high vitamin content makes it an ideal option to be used in lotions and cream bases for skin applications. In the pharmaceutical industry, filling materials in soft gelatin capsules are used. They are also used in the production of creams and ointments.

According to Cosmetics Europe-The Personal Care Association, in 2015, the region was a leading producer of cosmetic products at the global level. Increased demand for vegetable oils is in the cosmetics industry in this region and at a global level are factors projected to drive the demand for sunflower oil in the coming years. Louis Dreyfus Company (Netherlands) offers sunflower oil used in plastics, cosmetics, paints, and biodiesel. In 2018, the company opened a new oilseeds processing plant in China to increase the company’s capacity in the supply of crude soybean oil.

On the basis of type, the grade I (light) segment witnessed the highest growth in 2019, followed by grade III heavy) and grade II (medium). Grade I (light) finds applications in the growing cosmetics & personal care industry. In addition, the pharmaceutical industry also utilizes grade I (light) type industrial oil. The pharmaceutical industry in the Asia Pacific is projected to be a major revenue generator in the coming years due to the presence of developing countries such as China and India.

On the basis of end-use, the biofuels segment dominated the industrial oils market in 2019, followed by the cosmetics & personal care, paints & coating, and pharmaceuticals segments. The Asia Pacific region is projected to provide key growth opportunities for manufacturers in the biofuel segment of the market due to the presence of major palm oil producers such as Indonesia and Malaysia. In addition, countries such as China and India are projected to witness an increase in the number of vehicles. For instance, China recorded 75 million units of vehicles in 2005, which is projected to reach 750 million units by 2035, as per a Biofuel.org publication. A similar situation is projected to be witnessed in India. This rise in the number of vehicles is projected to drive the demand for biofuels in the coming years, to narrow down the impact of environmental pollution in the country.


The Asia Pacific region is projected to account for the largest market size during the forecast period.

The Asia Pacific is projected to be the fastest-growing market for industrial oils and is projected to record the highest CAGR during the forecast period. This is attributed to the expanding industrial sector in various countries of the region, which include the energy, chemical, thermal, cosmetic, and pharmaceutical industries. The region has developing countries such as China and India that are undergoing major transformations in terms of industrial developments. In addition, the region consists of major palm oil producing countries such as Indonesia and Malaysia. One of the leading players operating in the industrial oil market in the region is Singapore-based Wilmar International.

This report includes a study of marketing and development strategies along with the product portfolios of leading companies in the industrial oils market. It includes profiles of leading companies such as Cargill (US), Bunge Limited (Netherlands), Wilmar International (Singapore), Louis Dreyfus Company B.V. (Netherlands), Archer Daniels Midland (ADM) (US), Buhler Group (Switzerland), CHS Inc. (US), Ag Processing Inc (US), A&A Fratelli Parodi Spa (Italy), Gemtek Products (US), AAK Kamani (India), and Soya Mills SA (Greece).

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