South America Cold Pressed Oil Market Outlook, 2030

The South America cold pressed oil market is witnessing a steady surge, driven by growing consumer awareness about health benefits, rising demand for minimally processed natural oils, and a shift towards plant-based diets. Brazil and Argentina are the dominant forces in the region, with Brazil accounting for over half of South America’s fats and oils market, and Argentina emerging as one of the fastest-growing cold pressed oil producers. Countries like Chile, Peru, and Colombia are focusing on niche oils such as olive, avocado, and coconut oils, with Chile especially known for its high-quality extra-virgin olive oil.

The availability of raw materials across the region is robust Brazil alone produces millions of metric tons of soybean oil annually and continues to expand its oil palm cultivation. Colombia and Ecuador are also boosting sustainable palm oil output, with a growing number of plantations aligning with RSPO certification standards to meet international sustainability benchmarks. The COVID-19 pandemic, while initially disruptive, brought a long-term boost to the cold pressed oil segment. Lockdowns and logistical constraints caused short-term supply chain issues and production halts, but consumer demand pivoted towards healthier, immune-boosting foods, leading to increased interest in cold pressed oils. Many small-scale producers adapted by shifting to direct-to-consumer and digital retail models. On the policy front, South American governments are encouraging biofuel usage, sustainable agriculture, and value-added exports. Brazil’s biodiesel mandate (minimum 10% blend in diesel) supports demand for cold pressed soybean and palm oils, while Argentina’s export-oriented policies and tax incentives promote large-scale oilseed processing.

According to the research report, "South America Cold Pressed Oil Market Outlook, 2030,", the South America Cold Pressed Oil market is anticipated to add to more than USD 910 Million by 2025-30. The region's growing e-commerce sector is also playing a key role in reusable packaging adoption, especially with the rising demand for eco-friendly last-mile delivery solutions and returnable packaging systems that reduce excess waste. Additionally, multinationals operating in the region, such as Unilever and Nestlé, are piloting circular packaging systems in partnership with local suppliers and retailers to support reuse and refill models.

However, despite these advancements, infrastructure limitations, inconsistent waste management systems, and the relatively high upfront cost of reusable solutions remain challenges, particularly in less developed parts of the region. Large food distributors and agricultural cooperatives in Brazil have adopted reusable transit packaging to reduce costs and minimize environmental impact, particularly in the transportation of fruits, vegetables, and poultry. In Argentina, sustainable packaging startups are emerging, providing innovative solutions like reusable pouches and smart containers embedded with tracking technologies. Chile has been proactive in enacting the Extended Producer Responsibility (EPR) law, which mandates manufacturers to take responsibility for their packaging waste, thereby incentivizing reusable alternatives. In Colombia, logistics companies are partnering with material manufacturers to deploy reusable packaging pallets made of recycled polymers to replace wooden alternatives, which often degrade quickly in humid climates. Furthermore, consumer behavior in urban centers is shifting in favor of refillable containers and zero-waste retail options, particularly among younger demographics that are environmentally conscious and digitally engaged.

Market Drivers

• Growing Interest in Natural and Functional Foods: A key driver of the cold pressed oil market in South America is the growing consumer demand for natural, minimally processed, and functional foods. As awareness increases about the harmful effects of trans fats and refined oils, many consumers especially in urban centers like São Paulo, Buenos Aires, and Santiago are shifting toward healthier oil alternatives such as cold pressed oils. These oils are rich in essential fatty acids, antioxidants, and nutrients, making them ideal for health-conscious diets. This shift is particularly evident among younger, wellness-driven consumers who value clean-label products and natural food sources.
• Expanding Health and Wellness Sector: The rising emphasis on preventive healthcare and wellness in South America is driving the adoption of products like cold pressed oils. With increasing cases of obesity, cardiovascular diseases, and diabetes in the region, there is a greater focus on nutrition and healthier lifestyles. This trend is supported by the growth of organic food stores, specialty health shops, and fitness communities that promote natural oils such as cold pressed avocado, chia, and flaxseed. Additionally, the use of these oils in personal care and nutraceuticals is further boosting demand across multiple industries.

Market Challenges

• Limited Consumer Awareness in Rural and Low-Income Areas: Despite the health benefits, the market for cold pressed oils in South America faces a significant challenge due to limited awareness outside of urban and affluent areas. Many consumers in rural or economically constrained regions continue to rely on cheaper, refined oils, as they are more familiar and affordable. There is often a lack of understanding of the differences between cold pressed and regular oils, which hinders wider adoption. Moreover, limited marketing and educational campaigns by producers contribute to the slow penetration of cold pressed oils in the broader market.
• Inconsistent Supply Chain and Raw Material Sourcing: Another key challenge is the inconsistency in raw material availability and supply chain logistics. South America's agricultural richness offers access to ingredients like sunflower seeds, avocados, and nuts, but production can be affected by seasonal fluctuations, climate variability, and lack of infrastructure. In countries like Brazil and Argentina, small-scale producers often face difficulties in maintaining consistent quality, organic certification, and efficient cold chain storage, all of which are essential for cold pressed oil products. These factors create hurdles for scalability and export readiness.

Market Trends

• Growth of Organic and Specialty Oil Segments: There is a notable trend toward organic and specialty oils in the South American cold pressed oil market. Consumers are increasingly seeking oils that offer specific health benefits or align with sustainable practices. Oils such as cold pressed chia, sacha inchi, and Brazil nut are gaining attention for their nutrient density and regional uniqueness. This trend is supported by a growing interest in plant-based diets and superfoods, encouraging innovation in product offerings tailored to both domestic and international markets.
• Expansion of E-commerce and Health-Focused Retail: Digital transformation and the expansion of e-commerce are reshaping product accessibility across South America. Online health stores and e-commerce platforms like Mercado Libre are playing a crucial role in enabling consumers to access a wider variety of cold pressed oils, especially in regions with limited physical retail infrastructure. Health and wellness brands are increasingly turning to digital marketing, influencer promotions, and subscription services to reach younger demographics. This trend is also allowing niche producers and local startups to compete with larger brands by emphasizing authenticity, quality, and direct-to-consumer relationships.

Soybean oil is moderately growing in the South America cold pressed oil industry due to the region's strong soybean production base and rising demand for healthier, less processed cooking oils.

The moderate growth of soybean oil in South America's cold pressed oil industry is largely attributed to the region's established dominance in global soybean cultivation, particularly in countries like Brazil and Argentina, which are among the top soybean producers worldwide. This abundant local availability of raw materials makes it economically viable for producers to invest in cold pressing methods that preserve the oil’s natural nutrients and flavor. Consumers across South America are becoming increasingly health-conscious and are seeking alternatives to heavily refined oils, which has driven a shift toward cold pressed oils, including soybean oil.

Cold pressed soybean oil retains more omega-3 and omega-6 fatty acids, vitamin E, and phytosterols, making it appealing to individuals who are focused on cardiovascular health, reducing cholesterol levels, and avoiding chemical additives. Additionally, the versatility of soybean oil in various culinary applications from frying and sautéing to salad dressings adds to its consumer appeal, especially in urban households and food service sectors. Moreover, the regional trend toward cleaner labels and sustainable food production aligns well with cold pressing, which uses no heat or chemicals and supports a more environmentally friendly oil extraction process. While traditionally refined soybean oil still dominates due to lower costs and longer shelf life, a growing segment of middle- to upper-income consumers is willing to pay a premium for healthier options. Governments and local organizations have also started promoting the consumption of less processed and trans-fat-free oils through awareness campaigns, which further supports moderate growth in this niche.

Convenience stores are moderately growing in the South America cold pressed oil industry due to increasing urbanization and changing consumer lifestyles favoring quick, accessible retail options for health-oriented products.

The moderate growth of convenience stores as a distribution channel in the South American cold pressed oil industry is primarily driven by the region’s ongoing urbanization and the shift in consumer behavior toward fast, accessible, and nearby shopping options. As more people migrate to urban centers, especially in countries like Brazil, Colombia, and Chile, lifestyles have become increasingly fast-paced, leading consumers to prefer smaller retail formats located near residential or transit areas. Convenience stores, known for their easy accessibility and extended operating hours, are well-positioned to meet the needs of busy urban dwellers who seek to quickly purchase essential items, including cold pressed oils.

This trend is especially visible among young professionals and health-conscious consumers who may not have the time or inclination to visit large supermarkets for everyday shopping. Moreover, the growing popularity of cold pressed oils recognized for their natural extraction methods and nutritional benefits is prompting retailers to diversify their product offerings to meet rising demand. Convenience stores are gradually adapting by stocking premium and health-focused items, including small-sized bottles of cold pressed coconut, olive, and soybean oils, which are ideal for single or small household use. Although traditional grocery and supermarket chains still dominate cold pressed oil sales, convenience stores are carving out a niche by offering quick access to health products for on-the-go consumers, particularly in metropolitan areas. Furthermore, many convenience stores in South America are part of larger retail chains that have begun to invest in upgrading product portfolios, introducing organic and clean-label products in response to shifting health trends.

The cosmetics and personal care industry is the fastest-growing application segment in South America's cold pressed oil industry due to rising demand for natural, chemical-free beauty products and the growing influence of organic skincare trends.

Increasing awareness about the adverse effects of synthetic chemicals in conventional skincare and haircare products has led consumers to seek out safer, plant-based alternatives, with cold pressed oils gaining widespread popularity for their purity, nutrient content, and multifunctional benefits. Oils such as cold pressed coconut, argan, jojoba, almond, and rosehip are being increasingly used in a variety of personal care formulations from moisturizers and facial serums to shampoos, conditioners, and body oils due to their high levels of essential fatty acids, antioxidants, and vitamins that promote skin and hair health.

The beauty industry in South America, particularly in Brazil and Colombia, has seen a surge in demand for clean-label products, supported by a culturally ingrained emphasis on personal grooming and aesthetics. This preference for natural and organic cosmetics aligns perfectly with the benefits of cold pressed oils, which are perceived as pure and minimally processed, free from synthetic additives or heat treatment. Additionally, local cosmetic brands and multinational companies operating in South America are increasingly formulating their products using locally sourced cold pressed oils, tapping into regional biodiversity while appealing to eco-conscious consumers. This also aligns with the global trend of “green beauty” and sustainability, where consumers are not only looking at what goes into their products but also how they’re sourced and manufactured.

Colombia is growing in the South American cold pressed oil industry due to increasing demand for natural and organic products, supported by abundant local oilseed resources and rising health consciousness among consumers.

Colombia’s growth in the cold pressed oil industry is being fueled by a combination of shifting consumer preferences, rich agricultural diversity, and expanding awareness of natural health and wellness practices. As Colombian consumers become more conscious of the long-term health impacts of highly processed and refined foods, they are increasingly seeking alternatives that offer higher nutritional value and minimal chemical exposure. Cold pressed oils, which retain essential fatty acids, vitamins, and antioxidants due to their mechanical, heat-free extraction process, are gaining favor among health-focused individuals.

The growing middle class, especially in urban centers like Bogotá, Medellín, and Cali, is showing a marked interest in organic and clean-label food products, aligning with global wellness trends that emphasize traditional, minimally processed ingredients. Colombia’s climate and biodiversity offer ideal conditions for cultivating a wide range of oilseeds and nuts, including coconut, avocado, sunflower, and sesame key raw materials for cold pressed oil production. This agricultural strength not only ensures consistent domestic supply but also supports the country’s vision of developing value-added food products for both local and international markets. The increasing use of native ingredients like sacha inchi and moringa for oil extraction also showcases Colombia’s push toward innovation while promoting indigenous resources. As consumers become more educated on the health benefits of cold pressed oils such as improved heart health, skin nourishment, and better digestion, the oils are being incorporated not only into cooking but also into personal care and beauty products.