by Avocado oil has gained immense popularity owing to its numerous health benefits. Rich in monounsaturated fats and vitamin E, avocado oil helps in lowering cholesterol levels and reducing the risk of heart disease. It is widely used as cooking oil and in cosmetic/personal care products due to its moisturizing and skin-repairing properties. Avocado oil contains antioxidants that protect skin cells from damage, keeping the skin looking younger. Furthermore, avocado oil serves as a substitute for olive oil in the food industry as it has a higher smoke point, making it suitable for high-temperature cooking. The oil industry has witnessed increases avocado oil production to cater to the growing demand.
The global Avocado Oil Market is estimated to be valued at US$ 1660.15 Mn in 2023 and is expected to exhibit a CAGR of 5.3% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
One of the key trends witnessed in the global avocado oil market is the increasing adoption of cold-pressed extraction technique. Cold pressing avocados helps retain maximum nutrients, flavors and color pigments. It involves mechanically squeezing the avocado pulp without applying any heat, thus maintaining the nutritional integrity of the oil. This has fueled the demand for cold-pressed avocado oil among health-conscious consumers. Furthermore, rising awareness regarding benefits of natural and chemical-free products has augmented the usage of cold-pressed avocado oil in cosmetic and personal care industries. Continuous innovations and new product launches featuring avocado oil as a key ingredient will further support market growth over the forecast period.
Porter’s Analysis
Threat of new entrants: The threat of new entrants in the Global Avocado Oil Market Size is moderate. Established brands have strong distribution networks and supply chain management in place. However, the growing popularity of the product presents opportunities.
Bargaining power of buyers: The bargaining power of buyers is high due to the availability of substitutes. Buyers can opt for cheaper alternatives like olive oil depending on pricing.
Bargaining power of suppliers: Major suppliers in key regions control a large share of production. However, the market is shifting towards processed products reducing supplier control.
Threat of new substitutes: Products like olive oil and coconut oil are alternatives. However, avocado oil’s unique composition and marketing as a superfood reduces threat of substitutes.
Competitive rivalry: The market is consolidated with top players competing on pricing and product differentiation. Competition is expected to intensify with the market growth.
Key Takeaways
The global avocado oil market is expected to witness high growth over the forecast period supported by increasing health awareness. The global Avocado Oil Market is estimated to be valued at US$ 1660.15 Mn in 2023 and is expected to exhibit a CAGR of 5.3% over the forecast period 2023 to 2030.
North America currently dominates the market owing to large production and consumption in the US and Mexico. Major avocado producing countries in North America include Mexico, Chile, Peru and Dominican Republic. The Asia Pacific region is expected to be the fastest growing market for avocado oil during the forecast period driven by growth in Indian and Chinese markets. Rising health consciousness is positively impacting the usage of avocado oil in Asia Pacific. Growing availability of processed avocado oil products through e-commerce and modern trade channels will support market growth.
Key players operating in the avocado oil market are 3M Company, Turtle Wax, Inc., Meguiar’s, Inc., Simoniz USA, Inc., WD-40 Company. These players compete on the basis of product quality and pricing. 3M Company is a leading player known for product innovation. Smaller brands are focusing on organic and non-GM avocado oils to gain market share.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
About Author - Alice Mutum
Alice Mutum is a seasoned senior content editor at Coherent Market Insights, leveraging extensive expertise gained from her previous role as a content writer. With seven years in content development, Alice masterfully employs SEO best practices and cutting-edge digital marketing strategies to craft high-ranking, impactful content. As an editor, she meticulously ensures flawless grammar and punctuation, precise data accuracy, and perfect alignment with audience needs in every research report. Alice's dedication to excellence and her strategic approach to content make her an invaluable asset in the world of market insights. LinkedIn
