The global palm oil market is expected to surpass USD 102,362.0 Million by 2030, expanding at a compound annual growth rate (CAGR) of 5.6% during the forecast period, 2022–2030. The market growth is attributed to the rising consumer usage of the oil and recent mandates for biodiesel worldwide propel the palm oil industry.
What Is Palm Oil?
Palm oil or palm fruit oil is an edible vegetable oil obtained from the mesocarp of the fruit of the palm tree. It is used in beauty products, biofuel, and food manufacturing. The main source of this oil is the Elaeis guineensis tree, which is native to the coastal countries of West and Southwest Africa including Nigeria, Gabon, Liberia, Sierra Leone, Angola, and others.
Palm oil calories are derived from fat. Additionally, refined palm oil is primarily used for cooking in developing countries such as India and China, as it is cheaper than other vegetable oils.
Unrefined Palm Oil is raw oil that can be gained directly from the palm tree. The unrefined variant is also known as red palm oil due to its reddish color. Moreover, it is a reliable source of carotenoids and vitamin E, which function as antioxidants to help prevent cell damage.
- Octyl Palmitate: This derivative of palm oil is used in cosmetic formulations as a solvent, pigment-wetting agent, carrying agent, and emollient, as it makes the skin soft and smooth.
- Hydrogenated Palm Glycerides: Hydrogenated palm glycerides are palm glycerides that react to obtain hydrogen atoms in the structure of a particular molecule. Palm glycerides have high-fat content; therefore, they can be used to nourish dry skin.
How Many Types of Palm Oil Are There?
Two types of oils can be produced from the palm tree. Kernel palm oil is derived from crushing the kernel, or the stone present in the middle of the fruit, while the other is crude palm oil, which is extracted from crushing the fleshy fruit. The usage of these oils is as follows:
Kernel Palm Oil:
- Derivatives of this oil are used as surfactants in detergents to ensure adequate cleaning functionality to remove dirt.
- This oil contains vitamin E and oxidants that fight free radicals to remove wrinkles, thus they are used in skincare products.
Crude Palm Oil:
- This oil is widely used for cooking and food products, as it is resistant to oxidation, which increases the shelf life of products, and can be used for frying foods, as it can withstand hot temperatures.
- It is used for manufacturing pre-packaged food, in the practicals industry, and for personal care products such as soaps and cosmetics.
Palm Oil Benefits:
Palm Oil Benefits:
- Consumption of red palm oil can help prevent vitamin A deficiency, as it is rich in carotenoids, which the body converts into a vitamin.
- It is used to increase the body’s metabolism and to cure brain disease.
- The oil can be used to treat malaria owing to the high presence of Vitamin A in this oil. Vitamin A supplements can reduce malaria and parasite counts and red palm oil is a reliable source of vitamin A.
- Hydrogenated palm glycerides present in palm oil act as antioxidants, emollients, and skin conditioners.
Palm Oil Disadvantages:
- Increases Risks of Heart Diseases: Palm oil has comparatively higher saturated fats than other oils. It contains about 34% of saturated fat, while olive oil contains almost half of it. Saturated fats present in the oil can increase the risk of heart disease.
- Increases Cholesterol Level: High consdiseaseof this oil result boosts LDL cholesterol and LDL cholesterol levels that are considered as “bad” cholesterol, which clog the human arterieeading to heart attacks.
Key players & insights:
- IOI Corporation Berhad
- Kuala Lumpur Kepong Berhad
- PT PP London Sumatara Indoensia TbK
- Bumitama Agri Limited
- Genting Plantations Berhad
- Wilmar International Ltd
- BELEM BIOENERGIA BRASIL
- United Plantation Berhard
- FGV Holdings Berhad
- SIPEF NV
Global companies are increasing their palm oil production owing to its rising demand for cooking and food due to its rising. Furthermore, the rising demand for palm oils in the food & beverage industry has led to a rise in the export of palm oil in Asia. Thus, increasing the preference for organic products can open new opportunities for the growth of the palm oil industry.