Specialty Fats and Oils Market Report 2026

The specialty fats and oils market size has grown strongly in recent years. It will grow from $13.95 billion in 2025 to $15.01 billion in 2026 at a compound annual growth rate (CAGR) of 7.6%. The growth in the historic period can be attributed to expansion of processed food manufacturing, growth of bakery and confectionery industries, increasing use of palm oil alternatives, development of fat modification technologies, rising demand for texture-enhancing fats.

The specialty fats and oils market size is expected to see strong growth in the next few years. It will grow to $21.96 billion in 2030 at a compound annual growth rate (CAGR) of 10%. The growth in the forecast period can be attributed to increasing demand for healthier fat profiles, expansion of plant-based food production, rising focus on traceable oil sourcing, growing innovation in specialty fat formulations, increasing regulatory scrutiny on trans fats. Major trends in the forecast period include increasing demand for clean-label oils and fats, rising use of specialty fats in confectionery applications, growing adoption of plant-based fat alternatives, expansion of functional and nutritional oil blends, enhanced focus on sustainable sourcing.

The increasing consumption of packaged food is expected to drive the growth of the specialty fats and oils market in the coming years. Packaged food refers to food products that are fully covered or enclosed using permeable or impermeable materials to protect them from direct contact with the external environment. Consumers increasingly prefer packaged foods that are low in fat, offer healthier options, and are ready to eat, as these products are convenient, widely available, palatable, and perceived as nutritious. Specialty fats and oils used in packaged foods provide both nutritional value and functional benefits, such as improved texture, shelf life, and stability. As a result, the rising consumption of packaged food is increasing demand for specialty fats and oils. For example, in June 2024, according to reports published by the US Department of Agriculture, a US-based government research service, retail food prices increased by 5% in 2023 compared with the previous year, following an 11.4% rise in 2022. Key packaged food categories contributing to higher retail revenues included rice, pasta and noodles, dairy products, processed meat, and seafood. Therefore, the growing consumption of packaged foods is driving the specialty fats and oils market.

Companies in the specialty fats and oils market are increasingly focusing on developing innovative and sustainable solutions, such as botanical emollient oils, to improve functionality, sustainability, and overall product performance. Botanical emollient oils are plant-derived ingredients that provide moisturizing, conditioning, and sensory benefits across various end-use applications. For instance, in December 2023, Evonik Industries AG, a Germany-based specialty chemicals company, introduced Ecohance Soft Baobab Oil, a refined oil derived from the non-edible seeds of the baobab fruit. This ingredient is positioned as a natural, sustainable, and fair-trade solution suitable for a wide range of cosmetic formulations, including hand creams, hair conditioners, and body butters. Ecohance Soft Baobab Oil is rich in antioxidants, offers moisturizing and conditioning properties, and serves as a source of vitamins A, C, and E.

In July 2024, Marubeni Corporation, a Japan-based trading and food business company, acquired a majority stake in Gemsa Enterprises LLC for an undisclosed amount. Through this acquisition, Marubeni aimed to expand its global food business presence by entering the US specialty fats and oils market and leveraging Gemsa’s established processing and marketing capabilities to address growing demand for healthier edible oil solutions. Gemsa Enterprises LLC is a US-based food manufacturing company specializing in the blending, packaging, and distribution of edible specialty fats and oils, including olive oil, avocado oil, and other health- and sustainability-focused oils.

Major companies operating in the specialty fats and oils market are AAK AB, Cargill Incorporated, Fuji Oil Co. Ltd., Bunge Limited, Mewah International Inc., Wilmar International Limited, D&L Industries Inc., IFFCO Group, Archer Daniels Midland Company, The Hain Celestial Group Inc., Ventura Foods LLC, Apical Group Ltd., Liberty Oil Mills Ltd., Adams Group, PRESCO plc, Intercontinental Specialty Fats Sdn. Bhd., MOI International Pte. Ltd., Golden Agri-Resources Ltd., Kuala Lumpur Kepong Berhad, Sime Darby Plantation Sdn. Bhd., IOI Corporation Berhad, Oleo-Fats, De Wit Speciality Oils, Puratos, Musim Mas Group, Savola Group, The Manildra Group, 3F Industries Ltd., OLENEX C.V.

North America was the largest region in the specialty fats and oils market in 2025. Asia-Pacific is expected to be the fastest-growing region in the global specialty fats and oils market report during the forecast period. The regions covered in the specialty fats and oils market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the specialty fats and oils market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Italy, Spain, Canada.

The specialty fats and oils market consists of sales of cocoa butter substitutes, cocoa butter equivalents, palm kernel stearin, interesterified specialty margarines, bakery shortenings, high-oleic sunflower oil. Values in this market are 'factory gate' values, that is the value of goods sold by the manufacturers or creators of the goods, whether to other entities (including downstream manufacturers, wholesalers, distributors, and retailers) or directly to end customers. The value of goods in this market includes related services sold by the creators of the goods.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

This product will be delivered within 1-3 business days.