Home About Us Industry Report Store Resources Contact us

Indonesia Vegetable Oil Market Research Report 2023

Indonesia Vegetable Oil Market Size By Type (Palm Oil, Soybean Oil, Rapeseed Oil, Sunflower Oil, Olive Oil, Others), Nature, (Organic, Conventional), Packaging Type (Cans, Bottles, Pouches, Others), Application (Food Industry, Pharmaceutical, Cosmetics & Personal, Animal Feed, And Industrial), Distribution Channels (Hypermarkets/Supermarkets, Convenience Stores, Online Retail, Wholesale Distributors, Specialty Stores) And Country Market Analysis And Forecast, 2023-2030

0/5
( 0 votes )

Report ID: 186

Categories: Food and Beverages

Format :

Summary TOC Segmentation Methodology

Indonesia Vegetable Oil Market Synopsis

The Vegetable Oil is Expected to Grow at a Significant Growth Rate, and the Forecast Period is 2023-2030, Considering the Base Year as 2022.

Vegetable oil is a type of edible oil derived from various plant sources, making it a key component of human diets and an essential ingredient in food preparation and cooking. These oils are extracted from seeds, fruits, or other parts of plants, and they come in a wide range of varieties, each possessing distinct flavors, nutritional profiles, and culinary uses.

  • The most commonly used vegetable oils include soybean oil, canola oil, sunflower oil, olive oil, palm oil, and coconut oil. Each type of vegetable oil offers unique qualities that cater to different cooking methods and cuisines. Vegetable oils are rich in unsaturated fats, which are considered healthier than saturated fats, and they provide a concentrated source of energy and essential fatty acids vital for the human body's proper functioning.
  • Apart from their use in cooking, vegetable oils have widespread applications in the food industry, serving as ingredients in baked goods, processed foods, salad dressings, margarine, and various snacks. Additionally, they are also used in non-food sectors, such as cosmetics, personal care products, and industrial uses like biodiesel production. Due to their versatility, availability, and nutritional benefits, vegetable oils play a crucial role in global food systems and remain an indispensable part of modern-day diets.

The Indonesian vegetable oil market has witnessed a steady rise in per capita consumption of vegetable oils from 24.78 kilograms in 2019 to 25.58 kilograms in 2020, further increasing to 26.66 kilograms in 2021, and reaching 27.47 kilograms in 2022. This upward trajectory indicates a sustained and growing demand for edible oils in the country. With consumers relying heavily on vegetable oils for cooking and food preparation, the market presents promising

Top Key Players: 

"Wilmar International Limited (Singapore), Golden Agri-Resources Ltd (GAR) (Singapore), Astra Agro Lestari (Indonesia), Indofood Agri Resources Ltd (Indonesia), Musim Mas Group (Singapore), Salim Ivomas Pratama Tbk (Indonesia), Sinar Mas Agribusiness and Food (Indonesia), London Sumatra Indonesia Tbk (Indonesia), Sime Darby Plantation Indonesia (Indonesia), Cargill Indonesia (United States), Bumitama Agri Ltd (Indonesia), First Resources Ltd (Singapore), Darmex Agro Group (Indonesia), Triputra Agro Persada (Indonesia), Tunas Baru Lampung Tbk (Indonesia), Asian Agri Group (Indonesia), Pacific Inter-Link (Singapore) and Other Major Players"

new description

The Indonesia Vegetable Oil Market Trend Analysis

High Domestic Consumption

  • the Indonesian vegetable oil market, owing to the country's large population and robust economic growth. As a staple in Indonesian cuisine, vegetable oils, particularly palm oil, are widely used for cooking and food preparation in households across the nation. The traditional use of vegetable oils in various dishes, such as stir-fries, fried snacks, and traditional desserts, has ingrained them into the culinary culture of Indonesia.
  • The country's burgeoning middle-class population and rising disposable incomes further contribute to the increased demand for vegetable oils. As households experience improved purchasing power, there is a greater willingness to invest in cooking oils for daily use. Additionally, as urbanization progresses, the busy lifestyle in cities fuels the demand for convenience foods and pre-packaged products, which invariably rely on vegetable oils as ingredients.
  • Moreover, Indonesia's growing food processing industry relies heavily on vegetable oils for product formulation, leading to a surge in demand for oils as essential components in packaged foods, snacks, and bakery items. As manufacturers seek to meet the rising demands of domestic and international consumers, the requirement for vegetable oils in the food processing sector continues to rise.

Sustainable and Responsible Practices

  • The opportunity for "Sustainable and Responsible Practices" in the Indonesian vegetable oil market stems from the increasing global focus on environmental and social concerns related to palm oil production. With Indonesia being the world's largest producer of palm oil, there is growing pressure from both domestic and international stakeholders to address deforestation, habitat loss, and greenhouse gas emissions associated with the industry.
  • Adopting sustainable practices, such as implementing zero-deforestation policies, protecting biodiversity, and promoting responsible land use, presents an opportunity for vegetable oil producers to demonstrate their commitment to environmental conservation and gain consumer trust. By obtaining sustainability certifications, such as RSPO (Roundtable on Sustainable Palm Oil), companies can access niche markets and appeal to consumers who are increasingly conscious of the environmental impact of their choices.
  • Moreover, responsible practices can also positively impact the social aspect of the industry. Ensuring fair wages, safe working conditions, and proper labor practices for plantation workers can enhance the industry's reputation and foster a positive image for Indonesian vegetable oil exports.

new description

Source: Statista

Segmentation Analysis of The Indonesia Vegetable Oil Market

Indonesia Vegetable Oil Market segments cover the Type, Nature, Packaging Type, Application, and Distribution Channel. By Type, the Palm Oil segment is Anticipated to Dominate the Market Over the Forecast Period.

  • Palm oil dominates the Indonesian vegetable oil market due to several key factors. Firstly, Indonesia is one of the world's largest producers of palm oil, with vast plantations and favorable climatic conditions that enable high yields. This abundant domestic production ensures a steady and cost-effective supply of palm oil, making it readily available for domestic consumption and export.
  • Secondly, palm oil's versatility and affordability contribute to its dominance in the market. It is widely used in various applications, including cooking, frying, and baking, and as an ingredient in processed foods, snacks, and confectionery. Its neutral flavor profile makes it suitable for a wide range of culinary uses, making it a popular choice among Indonesian consumers.
  • Furthermore, the Indonesian government's support for the palm oil industry plays a significant role in its dominance. Policies promoting palm oil usage in biodiesel production and bioenergy contribute to its market expansion. Additionally, the government's efforts to enhance productivity, research, and development further bolster the industry's growth.

Country Analysis of The Indonesia Vegetable Oil Market

  • Indonesia's vegetable oil market holds significant importance both domestically and globally. As the world's largest producer and exporter of palm oil, the country plays a pivotal role in the global vegetable oil trade. The favorable climate and extensive plantations enable Indonesia to maintain a competitive edge in the production of palm oil, a major component of its vegetable oil market.
  • The domestic consumption of vegetable oil in Indonesia is substantial, driven by the country's large population and growing economy. Edible oils are a staple in Indonesian cuisine, and the rising middle-class population has led to an increase in demand for processed and packaged vegetable oils. However, the Covid-19 pandemic had a mixed impact on the market. While panic buying and stockpiling initially boosted demand, disruptions in supply chains and reduced economic activities posed challenges for the industry.
  • The government of Indonesia has been proactive in supporting the vegetable oil sector through policies promoting sustainable practices and expanding the use of palm oil in biodiesel production.

Covid-19 Impact Analysis on Indonesia Vegetable Oil Market

  • As the virus spread and lockdowns were implemented, the foodservice sector experienced a significant decline in demand. With restaurants, hotels, and cafes facing closures or restricted operations, the demand for vegetable oils in the HoReCa (Hotel/Restaurant/Cafe) segment drastically reduced, resulting in financial losses for businesses in the industry.
  • Disruptions in supply chains also negatively affected the vegetable oil market. Transportation restrictions, border closures, and labor shortages hampered the smooth movement of raw materials and finished products. These disruptions led to inventory challenges for manufacturers and retailers, impacting the availability of vegetable oils in the market.
  • Moreover, the economic uncertainty and reduced consumer spending during the pandemic influenced purchasing behavior. With financial constraints and uncertainties about the future, some consumers may have curtailed discretionary spending, including purchases of premium vegetable oils. This, in turn, impacted the overall demand and sales in the vegetable oil market in Indonesia.

Top Key Players Covered in The Indonesia Vegetable Oil Market

  • Wilmar International Limited (Singapore)
  • Golden Agri-Resources Ltd (GAR) (Singapore)
  • Astra Agro Lestari (Indonesia)
  • Indofood Agri Resources Ltd (Indonesia)
  • Musim Mas Group (Singapore)
  • Salim Ivomas Pratama Tbk (Indonesia)
  • Sinar Mas Agribusiness and Food (Indonesia)
  • London Sumatra Indonesia Tbk (Indonesia)
  • Sime Darby Plantation Indonesia (Indonesia)
  • Cargill Indonesia (United States)
  • Bumitama Agri Ltd (Indonesia)
  • First Resources Ltd (Singapore)
  • Darmex Agro Group (Indonesia)
  • Triputra Agro Persada (Indonesia)
  • Tunas Baru Lampung Tbk (Indonesia)
  • Asian Agri Group (Indonesia)
  • Pacific Inter-Link (Singapore) and Other Major Players

Key Industry Developments in the Indonesia Vegetable Oil Market

In October 2022, Golden Agri-Resources (GAR) teamed up with MARS and Fuji Oil to launch the Sawit Terampil program, aimed at upskilling over 4,000 independent smallholders operating within the Leuser Ecosystem region in Aceh and North Sumatera. This initiative is an extension of GAR's ongoing traceability efforts, as the company has successfully mapped 95 percent of its supply chain up to the plantation level.

In April 2022, Musim Mas Group and Sinar Mas Agribusiness and Food joined forces once again to organize their second joint supplier workshop in Aceh, Indonesia, with a shared focus on sustainability. Palm oil, being the most widely-consumed and efficient vegetable oil, finds applications in various sectors, including food products, cosmetics, and industries. Leading palm oil producers are dedicated to sustainable practices, pledging to adhere to principles such as "No Deforestation, No Peat, and No Exploitation (NDPE)", obtaining sustainability certifications, and ensuring "Traceability to Plantation (TTP)

Indonesia Vegetable Oil Market

Base Year:

2022

Forecast Period:

2023-2030

Historical Data:

2016 to 2021

Market Size in 2022:

USD XXX Bn.

Forecast Period 2023-30 CAGR:

XXX%

Market Size in 2030:

USD XXX Bn.

Segments Covered:

By Type

  • Palm Oil
  • Soybean Oil
  • Rapeseed Oil
  • Sunflower Oil
  • Olive Oil
  • Others

By Nature

  • Organic
  • Conventional

By Packaging Type

  • Cans
  • Bottles
  • Pouches
  • Others

By Application

  • Food Industry
  • Pharmaceutical
  • Cosmetics & Personal
  • Animal Feed
  • Industrial

By Distribution Channels

  • Hypermarkets/Supermarkets
  • Convenience Stores
  • Online Retail
  • Wholesale Distributors
  • Specialty Stores

Frequently Asked Questions

What would be the forecast period in the Indonesia Vegetable Oil Market research report?

The forecast period in the Indonesia Vegetable Oil Market research report is 2023-2030.

Who are the key players in the Indonesia Vegetable Oil Market?

Wilmar International Limited (Singapore), Golden Agri-Resources Ltd (GAR) (Singapore), Astra Agro Lestari (Indonesia), Indofood Agri Resources Ltd (Indonesia), Musim Mas Group (Singapore), Salim Ivomas Pratama Tbk (Indonesia), Sinar Mas Agribusiness and Food (Indonesia), London Sumatra Indonesia Tbk (Indonesia), Sime Darby Plantation Indonesia (Indonesia), Cargill Indonesia (United States), Bumitama Agri Ltd (Indonesia), First Resources Ltd (Singapore), Darmex Agro Group (Indonesia), Triputra Agro Persada (Indonesia), Tunas Baru Lampung Tbk (Indonesia), Asian Agri Group (Indonesia), Pacific Inter-Link (Singapore) and Other Major Players.

What are the segments of the Indonesia Vegetable Oil Market?

The Indonesia Vegetable Oil Market is segmented into Type, Nature, Packaging Type, Application, Distribution Channels, and region. By Type, the market is categorized into Palm Oil, Soybean Oil, Rapeseed Oil, Sunflower Oil, Olive Oil, And Others. By Nature, the market is categorized into Organic and conventional. By Packaging Type, the market is categorized into Cans, Bottles, Pouches, and Others By Application, The market is categorized into the Food Industry, Pharmaceutical, Cosmetics and personal, Animal Feed, And Industrial. By Distribution Channels, the market is categorized into Hypermarkets/Supermarkets, Convenience Stores, Online Retail, Wholesale Distributors, and Specialty Stores.

What is the Indonesia Vegetable Oil Market?

Vegetable oil is a type of edible oil derived from various plant sources, making it a key component of human diets and an essential ingredient in food preparation and cooking. These oils are extracted from seeds, fruits, or other parts of plants, and they come in a wide range of varieties, each possessing distinct flavors, nutritional profiles, and culinary uses.The most commonly used vegetable oils include soybean oil, canola oil, sunflower oil, olive oil, palm oil, and coconut oil. Each type of vegetable oil offers unique qualities that cater to different cooking methods and cuisines.

How big is the Indonesia Vegetable Oil Market?

Indonesia Vegetable Oil Market is Expected to Grow at a Significant Growth Rate, and the Forecast Period is 2023-2030, Considering the Base Year as 2022.

Select Licence Type

Single User

US$ 1800

Corporate User

US$ 2650

Excel Datapack

US$ 1500

Yearly Membership/Subscription

Connect with our sales team

Why AkViS Intelligence LLP

100%

Customer
Satisfaction

24x7+

Availability - we are always
there when you need us

200+

Fortune 50 Companies trust
AkViS Intelligence LLP

80%

of our reports are exclusive
and first in the industry

100%

more data
and analysis

1000+

reports published
till date