Edible Oils and Fats Market Report 2026

The edible oils and fats market size has grown strongly in recent years. It will grow from $327.11 billion in 2025 to $347.31 billion in 2026 at a compound annual growth rate (CAGR) of 6.2%. The growth in the historic period can be attributed to rising global consumption of processed and convenience foods, increasing use of vegetable oils in household cooking applications, growth in bakery and confectionery production worldwide, expansion of quick service restaurants and foodservice chains, higher demand for margarine and shortening in industrial food processing.

The edible oils and fats market size is expected to see strong growth in the next few years. It will grow to $445.31 billion by 2030 at a compound annual growth rate (CAGR) of 6.4%. The growth in the forecast period can be attributed to growing consumer preference for healthier and low cholesterol oils, increasing innovation in specialty and functional edible oils, rising adoption of sustainable and traceable oil sourcing practices, expansion of plant based fats in food manufacturing, increasing demand for premium and organic edible oil products. Major trends in the forecast period include increasing adoption of cold pressed and minimally processed edible oils, rising demand for plant based and trans fat free edible fats, growing use of fortified edible oils with vitamins and omega fatty acids, expansion of blended oils for balanced nutrition and functional benefits, increasing preference for clean label and organic edible oil products.

The rising food demand is expected to propel the growth of the edible oils and fats market going forward. Food demand refers to the total volume of food products that consumers are willing and able to purchase and consume at a specific time, influenced by factors such as population growth, income levels, pricing, and consumer preferences. Food demand is increasing primarily due to population expansion, as a growing global population leads to higher overall consumption requirements to satisfy basic nutritional needs. Edible oils and fats are supporting food demand by enabling large-scale food production and processing, particularly in baked goods, packaged foods, and ready-to-eat meals, thereby helping manufacturers produce nutrient-rich, energy-dense foods at scale to support a growing population. For instance, in January 2024, according to the Department of Agriculture, a US-based federal executive department, in 2023, food expenditures accounted for an average of 12.9% of U. S. household spending, slightly increasing from 12.8% in 2022. Therefore, the rising food demand is contributing to the growth of the edible oils and fats market.

Leading companies operating in the edible oils and fats market are focusing on developing innovative products, such as net-zero carbon oil, to reduce greenhouse gas emissions across the value chain and support climate-neutral and sustainable food production systems. Net-zero carbon oil is edible oil that is produced, processed, and distributed in a way that the total greenhouse gas emissions generated are balanced by equivalent carbon reductions or offsets, resulting in a net-zero climate impact. For example, in December 2023, IFFCO Group, a UAE-based food and agriculture company, launched the Middle East's first carbon-neutral olive oil products under its Rahma brand, including Extra Virgin and Organic Extra Virgin variants certified by CarbonNeutral. The initiative reduces emissions across the supply chain with 2030 targets, offsets remaining CO₂ through global renewable projects, and aligns with UAE sustainability goals during COP28.

In December 2025, Freudenberg Italia S. a. s. di Freudenberg S. r. l., an Italy-based technology group, acquired Eulip Srl for an undisclosed amount. Through this acquisition, Freudenberg Italia S. a. s. di Freudenberg S. r. l. aims to enhance and expand Capol’s global portfolio of plant-based oils and fats for bakery, confectionery, ice cream, and dessert manufacturers, while strengthening technical innovation and customer-specific solution capabilities. Eulip Srl is an Italy-based oil refining company offering edible oils and fats.

Major companies operating in the edible oils and fats market are Cargill Incorporated, Archer-Daniels-Midland Company, Bunge Limited, Louis Dreyfus Company, Golden Agri-Resources Ltd., Adani Wilmar Limited, Wilmar International Limited, Associated British Foods plc, GrainCorp Limited, Richardson International Limited, Nisshin Oillio Group Ltd., Aceitera General Deheza S. A., Patanjali Foods Limited, Emami Agrotech Limited, Marico Limited, United Plantations Berhad, Borges International Group, Vicentin S. A. I. C., Ajanta Soya Limited, Sime Darby Plantation Berhad, American Vegetable Oils Inc., 3F Industries Ltd., Sunora Foods, AJWA Group.

Asia-Pacific was the largest region in the edible oils and fats market in 2025 and is expected to be the fastest-growing region in the forecast period. The regions covered in the edible oils and fats 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 edible oils and fats market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The edible oils and fats market consists of sales of shortening fats, interesterified fats, and hydrogenated fats. 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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