United States Vegetable Oil Market Size and Forecast
United States Vegetable Oil Market is expected to reach US$ 139.48 billion by 2033 from US$ 96.07 billion in 2024, with a CAGR of 4.23% from 2025 to 2033. The growing food processing industries, growing consumer demand, and the growing use of plant-based oils in a variety of applications are expected to propel the US vegetable oil market's steady growth.
Beyond food consumption, vegetable oils are finding growing applications in non-food industries. Their role in the production of biofuels, cosmetics, pharmaceuticals, and personal care products is expanding the scope of the market. As environmental sustainability becomes a key focus, vegetable oils are gaining traction as renewable feedstock for biodiesel production. Government policies and private investments supporting renewable energy adoption are strengthening this trend, making the market increasingly diverse in its applications. The flexibility of vegetable oil in serving both nutritional and industrial needs has contributed significantly to its growing relevance in the U.S. economy.
The sector still confronts several obstacles in spite of these developments, such as the erratic supply of raw materials, reliance on agricultural output, and environmental issues related to large-scale farming. Price volatility brought on by shifting trade regulations and crop output also affects market stability. But the focus on healthy oil substitutes, environmental farming methods, and technological advancements in refining and processing techniques are opening up new growth prospects. It is anticipated that the vegetable oil market in the United States will continue to grow steadily in the years to come due to changing customer preferences and continuous industry diversification.
United States Vegetable Oil Market is expected to reach US$ 139.48 billion by 2033 from US$ 96.07 billion in 2024, with a CAGR of 4.23% from 2025 to 2033. The growing food processing industries, growing consumer demand, and the growing use of plant-based oils in a variety of applications are expected to propel the US vegetable oil market's steady growth.
United States Vegetable Oil Industry Overview
The market for vegetable oil in the US is steadily developing due to factors like shifting dietary tastes, the growing popularity of plant-based diets, and rising demand from the food processing sector. The increasing demand for vegetable oils is a result of their widespread use in industry and cookery, including soybean, canola, sunflower, and corn oil. Healthy oil types with less trans-fat are becoming more and more popular with consumers, but the foodservice industry still uses a lot of vegetable oils for baking, frying, and packaging. Further supporting this steady demand are robust supply chains and the use of cutting-edge processing and refining technology.Beyond food consumption, vegetable oils are finding growing applications in non-food industries. Their role in the production of biofuels, cosmetics, pharmaceuticals, and personal care products is expanding the scope of the market. As environmental sustainability becomes a key focus, vegetable oils are gaining traction as renewable feedstock for biodiesel production. Government policies and private investments supporting renewable energy adoption are strengthening this trend, making the market increasingly diverse in its applications. The flexibility of vegetable oil in serving both nutritional and industrial needs has contributed significantly to its growing relevance in the U.S. economy.
The sector still confronts several obstacles in spite of these developments, such as the erratic supply of raw materials, reliance on agricultural output, and environmental issues related to large-scale farming. Price volatility brought on by shifting trade regulations and crop output also affects market stability. But the focus on healthy oil substitutes, environmental farming methods, and technological advancements in refining and processing techniques are opening up new growth prospects. It is anticipated that the vegetable oil market in the United States will continue to grow steadily in the years to come due to changing customer preferences and continuous industry diversification.
Key Factors Driving the United States Vegetable Oil Market Growth
Resilient Domestic Production and Competitiveness in International Exports
Due to improved seed genetics, precision agronomy, and centralized farm operations, the US continues to be the world's leading producer of soybean oil. The United States produced around 4.2 billion bushels of soybeans in 2023, up from roughly 3.5 billion bushels in 2019. With Illinois, Iowa, and Minnesota as the top-producing states, the Midwest continued to be the region with the highest soybean production. The local production infrastructure has improved extraction efficiency and yield consistency despite the volatility of the global market. With the help of trade agreements and improved logistics, US vegetable oils are positioned attractively in foreign markets through export routes via Gulf and West Coast ports. In Europe and Asia, buyer confidence is maintained through quality certification and GMO-tracing initiatives. Additionally, manufacturers are able to handle supply chain interruptions and seasonal strain thanks to responsive crushing capacity and backup storage capacity. Improved risk management through crop insurance, futures, and hedging supports processing margins and stabilizes grower revenue. The United States continues to strengthen its position in the global agricultural trade and is well-positioned to supply the world's markets with consistent, high-volume oil production as the demand for plant oils for food, feed, and fuel rises.Expanding Culinary and Practical Applications
Vegetable oils, especially canola, soybean, and sunflower, are seeing increased use in industrial applications, retail cooking, and food manufacture in addition to fuel. About 12.51 million metric tons of soybean oil were used in 2024, making it the most used edible oil in the US. The usage of palm oil, which came to over 1.8 million metric tons that year, was greatly exceeded by this. The food sector is reformulating its products in response to consumer desires for heart-healthy oils that are high in unsaturated fats. Oils are used in baked goods, plant-based protein products, and nutraceuticals as functional additives, emulsifiers, and transport agents. Furthermore, agricultural output is being linked to circular economy initiatives through the usage of vegetable oil derivatives in biodegradable lubricants, coatings, and packaging. To improve value-added applications, research into cold-pressed processing, antioxidant stabilization, and fractionation processes is being funded by private-public collaborations. This diversification protects vegetable oil markets from commodity-price volatility and offers premium-margin opportunities outside of traditional markets as the demand for advanced oil products grows in the industrial, culinary, and health sectors. This demonstrates a structural change supporting the expansion of the US vegetable oil sector.Rising Consumer Preference for Plant-Based Diets
The growing adoption of plant-based diets across the United States is one of the most significant drivers of vegetable oil demand. Consumers are increasingly seeking alternatives to animal fats and processed oils, fueling the demand for healthier vegetable oil options such as olive, canola, and sunflower oil. The emphasis on low-cholesterol, heart-healthy oils is influencing both retail and foodservice consumption patterns. Food manufacturers are reformulating products with vegetable oils to cater to these changing preferences, while supermarkets and online platforms are expanding their offerings. This shift aligns with broader lifestyle changes, where health-conscious consumers prioritize oils with nutritional benefits. As plant-based eating becomes more mainstream, vegetable oils continue to be positioned as essential products within modern dietary patterns.Challenges in the United States Vegetable Oil Market
Price Volatility and Supply Chain Disruptions
The vegetable oil market in the United States is highly vulnerable to fluctuations in raw material prices and agricultural productivity. Crop yields for soybean, sunflower, and corn can be impacted by unpredictable weather conditions, pest infestations, or supply chain disruptions. International trade policies and tariffs also influence import and export dynamics, further contributing to price instability. These fluctuations create uncertainty for manufacturers, food processors, and end consumers, often leading to higher costs. Additionally, supply chain challenges during global crises can delay product availability and affect downstream industries. Addressing these risks requires sustainable sourcing strategies, investment in resilient supply chains, and diversification of raw material sources to ensure stable market operations.Environmental Concerns and Sustainability Challenges
Large-scale cultivation of crops used for vegetable oil production raises concerns about deforestation, biodiversity loss, and high-water usage. Environmental organizations and policymakers increasingly highlight the ecological footprint associated with unsustainable agricultural practices. These issues not only affect brand reputation but also create regulatory challenges for producers. Consumers are becoming more conscious of sustainability, preferring oils sourced from eco-friendly and transparent supply chains. As a result, companies are under pressure to adopt sustainable farming practices, reduce carbon emissions, and ensure traceability in their production processes. While these transitions require significant investment, they are necessary for long-term growth and consumer trust. Failure to address environmental challenges could hinder the expansion of the U.S. vegetable oil market.United States Vegetable Oil Market Overview by States
The U.S. millets market shows strong regional adoption, with California, Texas, New York, and Florida leading demand, driven by health-conscious populations, diverse food industries, and increasing promotion of sustainable, gluten-free, and nutrient-dense diets The U.S. vegetable oil market shows strong demand across states, with consumption driven by food industries in California, Texas, New York, and Florida, supported by industrial diversification, renewable energy use, and growing plant-based dietary preferences. The following provides a market overview by States:
California Vegetable Oil Market
California represents one of the largest regional markets for vegetable oils in the United States, driven by its robust food processing and hospitality sectors. The state’s emphasis on healthy lifestyles and sustainable diets has increased the popularity of oils such as olive, avocado, and canola oil. California’s agricultural strength also supports the supply of raw materials, reinforcing the local production ecosystem. Food manufacturers, restaurants, and retail outlets all rely heavily on vegetable oils for their diverse needs. Additionally, the state’s commitment to renewable energy adoption has expanded the use of vegetable oils in biodiesel production. With a strong mix of consumer demand, industrial applications, and agricultural resources, California continues to be a leading contributor to the overall vegetable oil market in the U.S.Texas Vegetable Oil Market
Texas holds a significant share of the United States vegetable oil market, supported by its large population, food manufacturing base, and industrial activities. The foodservice industry, ranging from restaurants to large catering businesses, drives consistent demand for cooking and frying oils. Additionally, Texas plays a vital role in renewable energy, where vegetable oils are increasingly utilized in biodiesel production to support the state’s energy diversification goals. The agricultural sector further strengthens availability, as Texas contributes to the production and processing of oilseeds. Retail markets also showcase strong consumer demand for healthier oil varieties, reflecting the state’s growing health-conscious demographic. With its combination of strong food industry reliance and industrial applications, Texas continues to be an essential growth hub in the U.S. vegetable oil market.New York Vegetable Oil Market
New York is a critical market for vegetable oils, largely due to its thriving foodservice, hospitality, and retail sectors. The state’s dense population and diverse culinary culture generate consistent demand for cooking oils in restaurants, bakeries, and packaged food manufacturing. Health-conscious consumers are also driving retail demand for premium oils like olive and sunflower oil. Beyond food, vegetable oils are utilized in small-scale industrial and cosmetic applications across the state. The focus on sustainable living and plant-based dietary preferences further boosts market growth in New York. Additionally, the state’s international trade connections support the import and distribution of a wide variety of vegetable oils. Together, these factors make New York a key player in driving the U.S. vegetable oil industry forward.Florida Vegetable Oil Market
Florida contributes significantly to the U.S. vegetable oil market, with its foodservice, hospitality, and tourism industries creating strong demand. Restaurants, hotels, and catering businesses depend heavily on cooking oils for daily operations. Florida’s diverse population and multicultural food preferences encourage the widespread use of oils like soybean, corn, and canola oil, while rising health awareness boosts demand for premium oils. The state’s expanding biofuel initiatives also enhance industrial usage of vegetable oils, contributing to sustainable energy adoption. Retail channels in Florida reflect strong consumer interest in plant-based diets, increasing the demand for healthier oil alternatives. With its dynamic mix of tourism-driven food consumption, retail growth, and industrial diversification, Florida remains an influential regional market within the overall U.S. vegetable oil industry.Recent Developments in U.S. Vegetable Oil Market
- Bunge stated on April 10, 2023, that it has acquired a recently built multi-oil refinery from Fuji Oil New Orleans, LLC in Avondale, Louisiana. With commercial operations anticipated to start in Q2 2023, the facility, which is located at a strategic port, expands Bunge's ability to serve the food, feed, and fuel markets in North America. This calculated action supports Bunge's long-term objective of increasing its value-added oil offers and solidifies the company's position in the US vegetable oil market.
Market Segmentations
Oil Type
- Palm Oil
- Soybean Oil
- Rapeseed Oil
- Sunflower Oil
- Olive Oil
- Others
Application
- Food
- Feed
- Others
Distribution Channels
- B2B
- B2C
States
- California
- Texas
- New York
- Florida
- Illinois
- Pennsylvania
- Ohio
- Georgia
- New Jersey
- Washington
- North Carolina
- Massachusetts
- Virginia
- Michigan
- Maryland
- Colorado
- Tennessee
- Indiana
- Arizona
- Minnesota
- Wisconsin
- Missouri
- Connecticut
- South Carolina
- Oregon
- Louisiana
- Alabama
- Kentucky
- Rest of United States
All the Key players have been covered
- Overviews
- Key Person
- Recent Developments
- SWOT Analysis
- Revenue Analysis
Company Analysis:
- Archer - Daniels -Midland Company
- Wilmar
- AAK (Aarhuskarlshamn)
- Unilever Plc
- Bunge
- Cargill
- Sime Darby
- Associated British Foods
Table of Contents
1. Introduction3. Executive Summary11. Value Chain Analysis
2. Research & Methodology
4. Market Dynamics
5. United States Vegetable Oil Market
6. Market Share Analysis
7. Oil Type
8. Application
9. Distribution Channel
10. Top States
12. Porter's Five Forces Analysis
13. SWOT Analysis
14. Pricing Benchmark Analysis
15. Key Players Analysis
Companies Mentioned
- Archer – Daniels -Midland Company
- Wilmar
- AAK (Aarhuskarlshamn)
- Unilever Plc
- Bunge
- Cargill
- Sime Darby
- Associated British Foods
Methodology
In this report, for analyzing the future trends for the studied market during the forecast period, the publisher has incorporated rigorous statistical and econometric methods, further scrutinized by secondary, primary sources and by in-house experts, supported through their extensive data intelligence repository. The market is studied holistically from both demand and supply-side perspectives. This is carried out to analyze both end-user and producer behavior patterns, in the review period, which affects price, demand and consumption trends. As the study demands to analyze the long-term nature of the market, the identification of factors influencing the market is based on the fundamentality of the study market.
Through secondary and primary researches, which largely include interviews with industry participants, reliable statistics, and regional intelligence, are identified and are transformed to quantitative data through data extraction, and further applied for inferential purposes. The publisher's in-house industry experts play an instrumental role in designing analytic tools and models, tailored to the requirements of a particular industry segment. These analytical tools and models sanitize the data & statistics and enhance the accuracy of their recommendations and advice.
Primary Research
The primary purpose of this phase is to extract qualitative information regarding the market from the key industry leaders. The primary research efforts include reaching out to participants through mail, tele-conversations, referrals, professional networks, and face-to-face interactions. The publisher also established professional corporate relations with various companies that allow us greater flexibility for reaching out to industry participants and commentators for interviews and discussions, fulfilling the following functions:
- Validates and improves the data quality and strengthens research proceeds
- Further develop the analyst team’s market understanding and expertise
- Supplies authentic information about market size, share, growth, and forecast
The researcher's primary research interview and discussion panels are typically composed of the most experienced industry members. These participants include, however, are not limited to:
- Chief executives and VPs of leading corporations specific to the industry
- Product and sales managers or country heads; channel partners and top level distributors; banking, investment, and valuation experts
- Key opinion leaders (KOLs)
Secondary Research
The publisher refers to a broad array of industry sources for their secondary research, which typically includes, however, is not limited to:
- Company SEC filings, annual reports, company websites, broker & financial reports, and investor presentations for competitive scenario and shape of the industry
- Patent and regulatory databases for understanding of technical & legal developments
- Scientific and technical writings for product information and related preemptions
- Regional government and statistical databases for macro analysis
- Authentic new articles, webcasts, and other related releases for market evaluation
- Internal and external proprietary databases, key market indicators, and relevant press releases for market estimates and forecasts
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Table Information
| Report Attribute | Details |
|---|---|
| No. of Pages | 200 |
| Published | August 2025 |
| Forecast Period | 2024 - 2033 |
| Estimated Market Value ( USD | $ 96.07 Billion |
| Forecasted Market Value ( USD | $ 139.48 Billion |
| Compound Annual Growth Rate | 4.2% |
| Regions Covered | United States |
| No. of Companies Mentioned | 8 |
