Middle East & Africa Edible Oil Market Outlook, 2028

The market for edible oils in the Middle East and Africa is expanding significantly, driven by factors such as an expanding population, shifting lifestyles, greater health consciousness, and rising demand for convenience meals. Government policies and activities aimed at promoting healthy eating and limiting the use of harmful cooking oils also have an impact on the market. Additionally, new processing processes and strategies for creating healthier and more sustainable edible oils have been developed as a result of technological advancements. During the anticipated period, businesses investing in R&D to bring these items to market are likely to prosper. The market for edible oils in the Middle East and Africa is predicted to grow favorably as a result of rising oilseed production. Growing oilseed crops, especially canola, sunflower, and soybeans, is becoming more common in the area. This is a result of both government programs to encourage food production self-sufficiency and the rising demand for edible oils in the area. Increased oilseed production will result in a bigger supply of raw materials for making edible oils, which will help the market's growth. Additionally, this will aid in stabilizing the price of edible oils, which are susceptible to changes in the cost of raw materials. Another outstanding feature is Moroccan-native argan oil. This oil, which is obtained from the kernels of the argan tree, is renowned for its nutty flavor and outstanding nutritional qualities. Its dual uses - as a cosmetic elixir and in cooking-reflect its all-encompassing advantages. Widely used in Middle Eastern and African cuisines, sesame oil gives food a characteristic toasted flavor and aroma. Sesame oil's distinctive profile plays a crucial role in regional specialties, whether it is drizzled over falafel or used to flavor sauces.

According to the research report, “Middle East & Africa Edible Oil Market Outlook, 2028” the market is expected to reach market size of more than USD 13 Billion by 2028. Growing health consciousness has led to a desire for better oil sources. Oils with positive qualities like high amounts of monounsaturated and polyunsaturated fats are in demand, and consumers are increasingly exhibiting interest in oils strong in omega-3 fatty acids due to their potential heart health benefits. The demand for particular kinds of edible oils is being driven by the region's historic culinary tastes. For instance, palm oil is commonly utilized in many African cuisines, while olive oil is a mainstay in Mediterranean diets. However, there is also a rise in interest in international cuisines, which has led to the use of oils such as canola, soybean, and sunflower oil in a variety of cooking methods. The rise of urbanization and changing lifestyles is impacting the edible oil market as well. Busier routines and increased demand for convenience have led to higher consumption of packaged and processed foods that use edible oils, both in households and in the foodservice sector. The Middle East and Africa are home to a broad range of specialty edible oils adapted to the peculiar flavors and cooking techniques of the region. These regions have a rich tapestry of culinary traditions and distinctive nutritional preferences. Argan oil, a beloved Moroccan delicacy made from the kernels of argan trees, is one prominent specialty. This oil is significant to Moroccan culture and is used in many of the country's traditional meals. It is known for its nutty flavor and high level of unsaturated fatty acids. Similar to this, sesame oil is widely used in Middle Eastern and African cuisines. It is praised for its distinctive flavor and scent, which improve dishes like tahini and hummus.

Based on countries market is segmented into United Arab Emirates, Saudi Arabia, and South Africa. South Africa is leading the market of edible oil in Middle East & Africa. Rooibos-infused edible oil is a distinctive specialty of South Africa. A native plant to the nation, Rooibos is recognized for its high antioxidant content and unique flavor. Cold-pressed oils, such as olive oil or grapeseed oil, are combined with Rooibos leaves to produce this specialty oil. Due to the oil's mild herbal and somewhat sweet Rooibos undertones, it is highly sought-after in both the culinary and health-conscious communities. With its distinctive flavor profile, it may add a special South African touch to a wide range of meals, from salads to marinades. Beyond its culinary uses, Rooibos-infused oil is prized for its conceivable health advantages because Rooibos is renowned for its antioxidant qualities and ability to enhance immunological health. This specialty oil truly encapsulates the essence of South African culture by incorporating indigenous botanicals into modern culinary practices, all while offering a nod to the nation's commitment to wellness and sustainable sourcing. Furthermore, United Arab Emirates and Saudi Arabia are growing significantly in edible oil market of Middle East and Africa. Both the UAE and Saudi Arabia function as important international trade and commercial hubs, acting as ports of entry for commodities from all over the world. Because of their advantageous location, they have been able to build strong supply networks for a variety of goods, including edible oils, making them hubs for the wider area. In the UAE and Saudi Arabia, where consumers are becoming more health-conscious and looking for edible oils that correspond with their wellness goals, the increased emphasis on nutrition and health is replicated globally. Due to this, people are increasingly seeking healthier oil alternatives like olive oil and oils with lower levels of saturated fat.

By Product Type, there is significant rise in demand for olive oil in Middle East & Africa.

A confluence of variables, including shifting consumer preferences, health-conscious decisions, cultural traditions, and the promotion of Mediterranean diets, has resulted in a major increase in the demand for olive oil in the Middle East and Africa (MEA) area. Olive oil's appeal has been fueled by the idea that it is a healthier alternative to other types of oils. Olive oil's numerous health advantages, such as its high concentration of monounsaturated fats, antioxidants, and anti-inflammatory characteristics, are drawing more and more attention from consumers in the MEA region. This is consistent with the growing trend of health consciousness and the demand for nutritional options that support general wellbeing. Additionally, the MEA region's growing urbanization and evolving lifestyles have raised demand for convenience meals and eating out. Olive oil is a favorite among professional chefs and home cooks alike due to its versatility and culinary adaptation, which allows it to be used for sautéing, frying, baking, and enhancing flavors in a variety of recipes. Olive oil consumption has increased in many MEA nations due to the focus on tourism and the hospitality sector. International visitors expose locals to Mediterranean recipes where olive oil is a key component, encouraging consumers to use it and boosting demand. Based on nature market is divided into conventional and organic. Organic segment is expected to register highest CAGR of the market in Middle East & Africa edible oil market. In the MEA region, concerns about sustainability and environmental awareness are growing, and customers place a higher value on goods that use ethical and environmentally friendly production methods. Organic agricultural practices put biodiversity, water conservation, and soil health first, which appeals to customers looking for goods that support ethical and sustainable consumption. Additionally, the cultural importance of traditional and unprocessed meals in the MEA region contributes to the development of organic edible oils. Naturally occurring components are heavily emphasized in many regional cuisines. These culinary ideals are in line with organic edible oils, which are frequently seen as a cleaner and more genuine option by consumers who value preserving cultural and culinary traditions.

Based on end-user, the market is divided into domestic, industrial, and food service. Domestic segment is leading the market of Middle East & Africa.

The MEA region's long-standing culinary traditions place a strong emphasis on using edible oils in regular meals. Individuals and families place a high value on home-cooked meals, which leads to a constant need for edible oils for frying, sautéing, and flavoring different foods. A strong sense of cultural identity and pride in regional cuisines are characteristics of the MEA region. Because of this, customers frequently favour using traditional edible oils that are consistent with their cultural history. The domestic consumption of these oils inside households is reinforced by this desire for well-known and culturally pertinent oils. The MEA region's economic environment also plays a role in the domestic segment's dominance. The region has a diverse population with varying income levels, and a significant portion of the population still engages in home cooking due to economic considerations. As a result, the demand for edible oils for domestic use remains consistently high, reflecting the daily culinary practices of a large segment of the population. Furthermore, while the foodservice industry is growing in the MEA region, the majority of meals are still prepared at home, particularly in less urbanized areas. This further amplifies the significance of the domestic end-user segment in driving the demand for edible oils.

Based on distribution channel market is segmented into offline and online. Offline channel includes convenience store, hypermarket/ supermarket, direct sales. Online channel is predicted to grow at fastest rate in Middle East Africa edible oil market.

Digital usage has increased as a result of smartphones and internet connectivity becoming more widely available in the MEA region. Customers are getting more accustomed to shopping online and are increasingly using e-commerce sites to get the things they need on a daily basis, such as edible oil. Additionally, a big allure of online platforms is the wider selection they offer. E-commerce gives customers access to a wide variety of edible oil brands, varieties, and tastes, frequently giving them more choices than what would be offered in conventional retail outlets. Because of the variety, customers may discover new products and choose wisely depending on their tastes. The specific needs of customers in the MEA region are catered for by specialized online marketplaces and supermarket delivery services. For instance, certain systems emphasize local and organic product delivery, which appeals to customers who value these qualities. Consumers are further empowered to make informed judgments because of the availability of reviews and comprehensive product information online. They may improve their overall buying experience by comparing costs, reading customer reviews, and learning about the nutritional value of various edible oils.

Market Dynamics

Rise in Culinary Traditions

Edible oils have a crucial role in molding the tastes and textures of traditional cuisines in the Middle East, where culinary traditions are highly valued. Mediterranean diets are becoming more prevalent, which reflects the history and ties of the area to this heart-healthy food. Similar to how it is embedded in Middle Eastern cooking, sesame oil brings out the flavors of foods like hummus and falafel. The popularity of olive oil and other oils with positive nutritional profiles has increased as a result of the rise in the number of health-conscious consumers who have fueled the desire for healthier substitutes.

Rise in tapestry of flavors in African Region

The edible oil market in Africa is a tapestry of tastes and customs from various nations and areas. A common ingredient in many African cuisines, palm oil gives dishes like West African jollof rice both color and flavor. Indigenous oil varieties, such as shea oil and red palm oil, are prized for their distinctive flavors and cultural importance; they are frequently used for both cosmetic and culinary purposes. The desire for convenience and processed foods has increased as the area experiences urbanization and changing lifestyles, which has increased the consumption of edible oils in both home-cooked meals and the expanding foodservice industry.

Recent Developments

• In February 2023, ADM announced the expansion of its edible oil refinery in Jebel Ali, United Arab Emirates. The expansion will increase the refinery's capacity by 50%, to 300,000 tons per year.
• In January 2023, Cargill announced the launch of a new line of high-oleic sunflower oil products in the Middle East and Africa. The products are designed to meet the growing demand for healthier cooking oils in the region.
• In December 2022, Louis Dreyfus Company announced the acquisition of a palm oil mill in Cameroon. The mill has a capacity of 60,000 tons per year.
• In November 2022, Wilmar International announced the opening of a new edible oil refinery in Egypt. The refinery has a capacity of 150,000 tons per year.

Key Players Insights

Cargill, Incorporated, The Archer-Daniels-Midland Company, IOI Corporation Berhad, Olam International, Associated British Foods plc, Ajinomoto Co., Inc, Wilmar International Limited, Borges International Group, Marico Limited, CHS Inc, Corteva, Inc.

Considered in this report

• Geography: Middle East & Africa
• Historic year: 2017
• Base year: 2022
• Estimated year: 2023
• Forecast year: 2028

Aspects covered in this report

• Middle East & Africa Edible Oil with its value and forecast along with its segments
• Country-wise Edible Oil market analysis
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

Countries covered in the report:

• United Arab Emirates
• Saudi Arabia
• South Africa

By Product Type

• Soybean oil
• Palm Oil
• Rapeseed Oil
• Mustard oil
• Sunflower Oil
• Olive Oil
• Ground nut Oil
• Coconut Oil
• Corn Oil
• Rice bran oil
• Sesame Oil
• Cottonseed oil
• Others (Apricot, Hazelnut, Almond, Macadamia, Walnut, Avocado, grape seed, Cashew, Brazil nuts, canola etc.)

By Nature

• Conventional
• Organic

By End User

• Domestic
• Industrial
• Food Service

By Distribution channel

• Offline
• Convenience Store
• Hypermarket/Supermarket
• Direct Sales
• Others
• Online

The approach of the report:

This report consists of a combined approach of primary and secondary research. Initially, secondary research was used to get an understanding of the market and list the companies that are present in it. The secondary research consists of third-party sources such as press releases, annual reports of companies, and government-generated reports and databases. After gathering the data from secondary sources, primary research was conducted by conducting telephone interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this; we have started making primary calls to consumers by equally segmenting them in regional aspects, tier aspects, age group, and gender. Once we have primary data with us, we can start verifying the details obtained from secondary sources.

Intended audience

This report can be useful to industry consultants, manufacturers, suppliers, associations and organizations related to the Edible Oil industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing and presentations, it will also increase competitive knowledge about the industry.