The global cold-pressed canola oil market was valued at USD 1,461.1 Million in 2019 and is projected to reach USD 2,506.1 Million by 2027, expanding at a CAGR of 7.1% during the forecast period. Cold-pressed canola oil is extracted from canola seeds using a press method in a heat-controlled environment. This method preserves flavor and nutrients to obtain highest quality of canola oil. Cold-pressed canola oil is rich in omega-three. The cold-pressed canola oil has an omega ratio of 3-6 (1:2). Health benefits associated with the cold-pressed canola oil include reduction in the probability of a heart attack, reduction in linoleic acid consumption per meal, and promotion in brain health. Consumption of cold-pressed canola is significantly increasing across the world, as it has low saturated fats, 0% trans fats & cholesterol, contains antioxidants, is rich in vitamin E & K, and is fortified with vitamin A & D.
The oil is organic and chemical-free. Moreover, no heat treatment is required during the extraction of canola oil from oilseeds in the cold-pressed method. The rise in preference for organic consumption with less saturated fats, due to its cardiological benefits is significantly boosting market growth across the globe. Moreover, the number of companies which market campaigns and advertise cold-pressed canola oil is significantly increasing product awareness among customers across the globe.
Increasing consumption of cold-pressed canola oil in the food industry is boosting B2B sales of the products. Additionally, rise in usage of cold-pressed canola oil in cosmetics products due to its skincare benefits is driving market growth across the globe.
Health-Conscious Consumers Seek Low Fat Alternatives
The demand for canola oil is significantly increasing across the globe due to health benefits associated with it. Canola oil contains lesser amount of saturated fats than other oils. Moreover, the consumption of organic cold-pressed canola oil is rapidly increasing among health-conscious consumers. The cold-pressed canola oil contains omegas 3, 6, and 9; essential fatty acids reduce cholesterol and maintain a healthy heart, brain function, and joint mobility, which in turn, increases its consumption among consumers. Cold-pressed canola oil is natural and free from additives and processing; thus, its demand is rising significantly among customers. For example, the demand for canola oil products increased by 8% to 9% in 2019 in Europe. Moreover, increasing awareness regarding health benefits associated with cold-pressed canola oil across the globe is expected to drive the market during the forecast period.
Increasing Product Penetration in Retail Channels
Expansion of the e-commerce industry provides is encouraging local vendors in cold-pressed canola oil market to distribute cold-pressed canola oil globally, which has resulted in a significant increase in company penetration in the online sales of cold-pressed canola oil. Moreover, rising number of retail stores and supermarket chains engaged in selling cold-pressed canola oil is creating growth opportunities for small scale vendors in the market. Furthermore, rising purchasing power of consumers, changes in lifestyle, and relaxations of foreign investment regulations by governments are anticipated to boost investments in the e-commerce sector. Key players in the market are significantly focusing on partnership with e-commerce giants such as Amazon.com, Inc. and Alibaba Group Holding Limited to increase their customer base across the globe.
High Preference for Substitutes and High Cost of Cold-pressed Canola Oil
Use of less costly substitutes that are easily available such as conventional canola oil, olive oil, safflower oil, coconut oil, sunflower oil, almond oil, cottonseed oil, corn oil, soybean oil, avocado oil, and peanut oil is expected to restraint the cold-pressed canola oil market. Some of the traditional manufacturers in the food industry are engaged in the use of conventional techniques expeller pressed instead of cold-pressed for extraction of canola oil techniques due to the lack of technological advancements and lack of skilled workers. Additionally, the prices of canola oil are comparatively higher than other edible oils that are available in the market, restricting its large-scale adoption. These factors are retaining the growth of the global cold-pressed canola oil market.
Based on distribution channels, the Global Cold-pressed Canola Oil Market is bifurcated into B2B and B2C. The B2B segment is anticipated to hold a significant share of the cold-pressed canola oil market and the B2C distribution channel is expected to expand at a high CAGR during the forecast period.
High usage of cold-pressed canola oil in food services and food processing has led to an increase in the share of the B2B segment in the market. Moreover, increasing cold-pressed canola oil use in biodiesels is expected to boost B2B sales of the market during the forecast period.
B2C distribution channel is expected to rise during the forecast period due to rapid product adoption among end-use customers globally as key players in the market are significantly engaged in product advertisement through various media. Moreover, the availability of cold-pressed canola oil in hypermarket/supermarkets, specialty/convenience stores, online channels, and other retail channels is positively influencing the purchasing trend among customers.
Based on end-uses, the Global Cold-pressed Canola Oil Market is classified as food industry, biofuels, cosmetics, and others. The food industry holds a significant share of the market, while the cosmetics industry is expected to expand at a significant CAGR during the forecast period.
Rising number of health-conscious consumers is fueling the growth of the food segment of the Global Cold-pressed Canola Oil Market. High oleic acid properties in the oil aid lower the level of bad cholesterol without disturbing good cholesterol present in the human body, thereby limiting the risk of heart ailments. This is a key factor, boosting product demand in the food industry. Moreover, growing awareness about the benefits of cold-pressed canola oil is driving segment growth globally.
In terms of regions, the Global Cold-pressed Canola Oil Market is divided into North America, Europe, Latin America, Asia Pacific, and Middle East & Africa.
North America accounts for a significant share of the market, followed by Europe. Ease of availability of the oil in Canada has led to significant growth of the market in the region. Moreover, increasing product sales in hypermarket, supermarket, convenience stores, and online stores, has contributed to the growth of the canola oil market in North America.
The market in Asia Pacific is projected to expand at a significant CAGR during the forecast period due to the rise in demand for cold-pressed canola oil among consumers and increasing product awareness. Key players are engaged in promoting cold-pressed canola oil among consumers in developed economies of Asia Pacific through marketing.
Some frequently asked quetions about this report!
Additional company profiles can be provided on request.
According to this Growth Market Reports report, the cold-pressed canola oil market is likely to register a CAGR of 7.1% during forecast period 2020-2027, with an anticipated valuation of USD 2,506.1 million by the end of the 2027.
In addition to market size (in US$ Million), Company Market Share (in % for base year 2019), pricing analysis, production process outlook, and regulatory landscape.
Health-conscious consumers seek low fat alternatives, increasing product penetration in retail channels, rising use of cold-pressed canola oil in cosmetics, growing preference for cold-pressed canola oil among millennials, and increasing advisements on social media fuels demand are the factors expected to drive the market growth during forecast period.
Food industry, biofuel, cosmetics, and others, are the major applications of the cold-pressed canola oil.
Factors such as competitive strength and market positioning are key areas considered while selecting top companies to be profiled.
The market is expected to slight decrease in growth of 0.9% between 2019 and 2020 owing to the COVID 19 pandemic on the cold-pressed canola oil market.
The base year considered for the global cold-pressed canola oil market report is 2019. The complete analysis period is 2017 to 2027, wherein, 2017, and 2018 are the historic years, and the forecast is provided from 2020 to 2027.
Factors such as vegetable oil industry, consumer behavior, e-commerce industry, import and export, biofuel industry, and technological advancement are analyzed in the final report.
Major manufacturers include, Bunge North America, Inc., Jivo Wellness Pvt. Ltd., Pleasant Valley Oil Mills, Mol Farms Inc., Good Earth Oils Pty. Ltd, and others.
Some other reports from this category!