Demand for Avocado Oil in North America to Increase in the Coming Years

Published: Mon Sep 17 2018

Increasing health awareness among people due to prevalence of chronic diseases and heart related disorders owing to improper diet and lifestyle is expected to be a major driving factor for the consumption of avocado oil. Advances in medical science and innovations in food nutrition have made it possible in producing essential oils that offer health benefits and are used in treating several health problems. Avocado oil is no exception. The growing popularity of this product has up surged its demand across various regions in the globe.

Fact.MR analysis on the global market for avocado oil reveals that the global avocado oil market is expected to witness stellar growth in the coming years. To back it up, the research anticipates that the sale of avocado oil in various applications across the globe is expected to surpass an estimate of US$ 1700 Mn. Moreover, the global avocado oil market is projected to expand at a volume CAGR of 6.7% during the period of assessment, 2017-2026, which reflects that volume sales of the product across the global scenario.

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Manufacturers involved in the production of avocado oil are adopting various expansion strategies to increase their foothold in the market and by expanding their product lines. For example, Chosen Foods, a San Diego based company, has been acquired by Mexican company Sesajal S.A. de C.V. which claims to be a huge supplier of avocado oil. With this acquisition, the Mexican company can gain penetrating into foreign markets as products from Chosen Foods are largely sold across the United States and Canada, making it a beneficial target market for avocado oil in the coming years. Key participants in the global avocado oil market include La Tourangelle Inc., The Village Press, Tron Hermanos S.A. De C.V., BIO Planète, Kevala International Llc., Avocado Global Pte Ltd., SESAJAL S.A. de C.V., CHOSEN FOODS LLC, Avocado Oil De Mexico, Bella Vado and Olivado Ltd.

Changing lifestyle and dietary habits of consumers across the globe are causing rising demand for easy-to-cook or ready-to-eat food products. As packaged and processed food products are convenient to carry, cook, preserve, and eat, consumers are preferring to purchase these products over fresh foods. Advanced technologies are being employed by the manufacturers to improve taste, color, flavor, and nutritional values of processed foods, which supports the industrial growth prospect. Increasing consumer demand for a variety of packaged foods and beverages are mainly contributing to the growth of the food industry. Avocado Oil being one of the main ingredients, high consumption of processed food products and beverages is expected to trigger the growth of the global avocado oil market in future.

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Key Highlights on the Global Avocado Oil Market

1- Region wise, Latin America is expected to showcase higher consumption of avocado oil in the coming years. Growth of the avocado oil market in this region is largely driven by avocado oil sales and exports from Mexico, which is the largest producer of avocado oil. Moreover, North America has shown high growth potential for avocado oil market owing to higher demand for the product due to health benefits it offers. North America avocado oil market is projected to expand at a high value CAGR of 8.7% during the forecast period

2- Extra-virgin avocado oil has gained high traction since past years. The sale of extra-virgin avocado oil is the largest as compared to other avocado oil product types. This is mainly because extra-virgin oil has a higher smoke point. It is produced at lower temperatures owing to which it has higher nutritional value, strong flavor and aroma. It has natural taste and is extensively used  for spreading, emulsifying, drizzling and dipping in cooking applications

3- By application, the retail segment is expected to lead the global avocado oil market. The sale of avocado oil for medicinal and cosmetic and personal care applications is also expected to trigger the growth of the global market during the forecast period

4- Sale of avocado oil from specialty stores is expected to touch an estimate of over US$ 550 Mn by 2026 end. Specialty stores segment is the largest with a high valuation and is poised to lead the global market. Also modern trade is expected to gain high traction in the coming years

5- By source, hass is a highly preferred choice for the production of avocado oil. The hass segment is expected to grow at a high value CAGR of 8.1% during the period of assessment

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