Shea Butter Market Report 2026

The shea butter market size has grown strongly in recent years. It will grow from $2.27 billion in 2025 to $2.43 billion in 2026 at a compound annual growth rate (CAGR) of 6.8%. The growth in the historic period can be attributed to rising cosmetic industry usage, increasing awareness of natural skincare benefits, early adoption in traditional African markets, expanding use in personal care formulations, growing recognition of moisturizing properties.

The shea butter market size is expected to see strong growth in the next few years. It will grow to $3.24 billion in 2030 at a compound annual growth rate (CAGR) of 7.4%. The growth in the forecast period can be attributed to increasing demand for organic personal care products, rising use of plant based cosmetic ingredients, growth in pharmaceutical application potential, expansion of global skincare industry, strengthening preference for sustainable natural ingredients. Major trends in the forecast period include growing adoption of shea butter in cosmetics and skincare, rising demand for natural and organic beauty ingredients, increasing use of shea butter in food and nutritional products, expansion of pharmaceutical and therapeutic shea applications, strengthening focus on ethically sourced shea products.

The increasing use of cosmetics is expected to propel the growth of the shea butter market. Cosmetics refer to a diverse range of products applied to the body, face, hair, or nails to enhance or alter appearance. Shea butter is commonly used in cosmetics for its moisturizing, nourishing, and anti-inflammatory properties, promoting healthier, more hydrated skin and hair. For instance, in September 2024, according to the U.S. Bureau of Labor Statistics, a US-based Department of Labor, average personal care products and services expenditures of all consumer units were $950 in 2023, up from $866 in 2022. Therefore, the increasing use of cosmetics is driving the growth of the shea butter market.

The growing e-commerce industry is expected to boost the growth of the shea butter market going forward. The e-commerce sector refers to the electronic commerce industry, encompassing online platforms and digital channels where businesses and consumers engage in buying and selling goods and services. E-commerce platforms have made shea butter more accessible to a global audience. Consumers can now easily find and purchase shea butter from all over the world, regardless of their location. This has opened up new markets for shea butter producers and has helped to increase the overall demand for the product For instance, in August 2024, according to the U.S Census Bureau, a US-based Government agency, in the second quarter of 2024, U.S. retail e-commerce sales, adjusted for seasonal fluctuations but not for price changes, amounted to $291.6 billion. This represents a 1.3 percent increase (± 0.7) compared to the first quarter of 2024. Therefore, the growing e-commerce industry is driving the growth of the shea butter market.

Major companies operating in the shea butter market are adopting a strategic partnership approach to enhance their product offerings and expand market reach. Strategic partnerships refer to a process in which companies leverage each other's strengths and resources to achieve mutual benefits and success. For instance, in January 2024, SheaMoisture, a US-based personal care company, launched its first-ever deodorant range designed specifically for melanin-rich skin, in collaboration with Grammy-nominated artist Coco Jones. The line includes six antiperspirants and two whole-body deodorants, all formulated to provide effective odor and sweat protection while promoting even skin tone and hydration. Free from parabens and mineral oils, these products feature a signature Coconut & Hibiscus fragrance and are dermatologist-approved.

Major companies operating in the shea butter market report are BASF SE, Bunge Limited, Wilmar Africa Limited, Clariant AG, AAK AB, Fuji Oil Holdings Inc, Croda International plc, 3F Industries Limited, OLVEA Group, International Oils & Fats Limited, Akoma International Ltd, Manorama Industries Limited, Sophim SA, The Savannah Fruits Company, Ghana Nuts Company Limited, Better Butter Company, Shebu Industries, Makers Ingredients Limited, Purenso Select, LOccitane en Provence, NOW Foods, Bulk Apothecary, Green Leaf Naturals, Shea Radiance, Zoic Cosmetics, Suru Chemicals and Pharmaceuticals Pvt Ltd.

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

The shea butter market consists of sales of shea butter extract and shea tree seed fat. 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.

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