The Cottonseed Oil Market is valued at US$ 4 Billion in 2021. The market is likely to grow at a CAGR of 3.2% through 2028, reaching US$ 5 Billion.
Registering decent consumption in retail and industrial sectors, cottonseed oil is gradually gaining ground in the food service provider segment as well. However, according to a new Future Market Insights’ study, the global revenue through cottonseed oil sales will continue to expand at a passive rate.
Towards the end of 2022, the global cottonseed oil sales are likely to cross the valuation of US$ 4 Bn and a majority of it will come from the sales observed in the Asia Pacific region, as reported by the FMI analyst.
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At a mere below-3% year on year revenue growth estimated for 2019 and ahead, the global cottonseed oil landscape reflects a sluggish growth outlook at a global level. The report based on the cottonseed oil market analysis discusses in detail the top two pull factors associated with the declining growth rate of cottonseed oil market revenue.
Gossypol Content of Cottonseed Oil Accounts for the Demand on Lower Side
Although the demand for edible oils, especially cold-pressed variants, is observing a steady upsurge across the globe, cottonseed oil remains an exception. The report cites ample presence of a compound – gossypol – in cottonseed as the key factor responsible for the restricted consumption of cottonseed products, including cottonseed oil.
“While constantly ongoing research is likely to result in lowering the toxicity levels of gossypol content in cottonseed, the overall growth of the demand for cottonseed and derived products such as cottonseed oil remains passive worldwide,” adds the analyst further.
Another strong factor restraining the sales of cottonseed oil is its neutral taste and indistinct flavor, unlike that of other edible oil competitors – as indicated by the FMI report.
Market segmentation
Global Cottonseed Oil Market Segmentation on the Basis of Nature
- Organic
- Conventional
Global Cottonseed Oil Market Segmentation on the Basis of Raw Material
- Genetically Modified Cotton
- Non-genetically Modified Cotton
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Global Cottonseed Oil Market Segmentation on the Basis of Distribution Channel
- Industrial
- Food Processing Industry
- Bakery & Confectionery
- Sauces, Spreads, & Dressings
- Shortenings/Margarine
- Others
- Cosmetics & Personal Care
- Others
- Food Processing Industry
- Food Service Providers
- Retail/Households
Global Cottonseed Oil Market Segmentation on the Basis of Packaging
- Bulk
- Retail
- Pouches
- Cans
- Tins
Global Cottonseed Oil Market Segmentation on the Basis of Distribution Channel
- Direct/B2B
- Indirect/B2C
- Hypermarkets/Supermarkets
- Convenience Stores
- Traditional Groceries
- Online Retail
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China’s Lead Sustains APEJ’s Top Consumer Position in Cottonseed Oil Landscape
Asia Pacific (excluding Japan), the largest cottonseed producer and exporter – and the potential goldmine for leading F&B manufacturers, processors, packagers, and import-export stakeholders – offers a heap of business opportunities increasing the likelihood for businesses to thrive in this regional market. India and China currently hold an almost equal revenue share in the APEJ market for cottonseed oil; however, according to the report, China is witnessing moderate yearly growth in revenue and thus will reflect higher incremental opportunity in the market, in coming years. At present, China accounts for more than 40% share of APEJ’s revenue, closely trailed by India.
Regional and Local Market Players Hold Important Positions in Cottonseed Oil Market
The global landscape of cottonseed oil is characterized by the active presence of a large number of MNCs as well as regional players, of which the former account for around 50% market value share whereas the latter make up for nearly 30% share of the total market value.
The report closely examines significant players in the cottonseed oil market such as Cargill, Incorporated, Archer-Daniels-Midland Company, Wilmar International Ltd, The Nisshin OilliO Group, Ltd, Bunge Limited, and Louis Dreyfus Company B.V. Moreover, the competition tracking involves some of the important regional and local level companies, including Gabani Industries Ltd., Asha Cotton Industries, PYCO Industries, Inc., and Matangi Cotton Industries.
Significant Contributions of the Report
- Key Trends and Challenges: Detailed analysis on the ‘ins and outs’ of the market with qualitative research and quantitative insights
- Recent Drivers and Opportunities: Detailed assessment on the key growth drivers, technological developments, and factors affecting the market over the forecast period.
- Segmental Analysis: Extensive research on each segment and sub-segment, compiled by expert research analysts of FMI
- Regional Market Forecast: Thorough analysis of each regional market to provide market players with real-time data and reliable statistic to gain a competitive edge in the industry
- Competitive Landscape: Comprehensive analysis on prominent players and new entrants eyeing to improve their revenue prospects in the industry
About FMI
Future Market Insights (ESOMAR certified market research organization and a member of Greater New York Chamber of Commerce) provides in-depth insights into governing factors elevating the demand in the market. It discloses opportunities that will favor the market growth in various segments on the basis of Source, Application, Sales Channel and End Use over the next 6 years.
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