Analysis of Potential Impact of COVID-19 on Fats & Oils Market

Global Fats & Oils Market: Snapshot

Edible fats and oils are either used as staples in diets while inedible ones have a wide variety of industrial applications.  Diet fats and oils are considered as highly concentrated forms of energy and occupy a vital role in promoting growth of cells. In addition, they are consumed to protect various body organs, apart from their functions in regulating hormones and vitamins in the body. In additions, edible oils and fats are source of various essential fatty acids (EFA), such as linoleic acid and a-linolenic acid. Depending on whether oils are monounsaturated or polyunsaturated, they have a significant effect on the cholesterol levels of the body. Recent advances in production processes of edible fats and oils have led to the advent of high-grade products. The growing consumption of animal products also bodes well for the market for edible fats and oils. The growing prevalence of cardiovascular diseases in emerging and developed nations is expected to boost the uptake of diet fats and oils.

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Inedible oils are holding great promise in the transport sector for developing alternative biodiesel fuels for automobiles. Oils such as those made from palm, coconut, rapeseed, and corn are extensively used in manufacturing soaps to facilitate saponification.  Emerging quality standards and more exacting environmental requirements are expected to open up numerous exciting opportunities for the production of vegetable oils. For instance, this has led to the construction of new oil production plants in various developing markets.

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Fats & oils are the organic substances which are an essential part of the diet and also used in many industries. Generally, fats are in solid and oils are in liquid form at normal room temperature owing to their chemical properties which includes quantity of saturation present in the ester. The method of obtaining oils are processed in such a way that it will obtain a highest grade of edible oil. Inedible oils are suitable for manufacturing soaps and other industrial purposes. Fats & oils are the high energy foods substances which provide 9 calories per gram of fat and has a high energy density compare to carbohydrates and proteins.  Fats & oils have a lubricating, emulsifying, and whipping properties along with high caloric value. Majority of fats and oils are made up of fatty acid esters. Various foods and beverages contain nutrients includes proteins, carbohydrates, vitamins, fats and minerals. Dietary fats are important to support cell growth in the body and also protect body organs. Moreover, dietary fats are significant for many body processes such as developing hormones and regulate vitamins in the body. Thus, the dietary fats are classified as various groups which includes saturated, monounsaturated, trans, and polyunsaturated which has a different effect on cholesterol level.

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Fats & Oils Market: Drivers and Restraints   

Rising consumption of animal products which in turn driving demand for high quality edible fats & oils product and processed food, and changing in consumer eating habits are the factors which is expecting to boost the demand of fats & oils market over the forecast period. Moreover, rising demand for alternative biodiesel fuel in the transportation sector and increasing overall population worldwide are witnessing the growth opportunity for fats & oils market. However, increasing health concern such as heart related disease and obesity owing to excessive consumption of fats & oils rising quality standards, stringent government regulations for food safety and increasing environmental concern may hamper the growth of fats & oils market in near future.