Animal Fats Market

The article discusses the projected growth of the global market for animal fats and oils over the period from 2022 to 2030. It covers trends in market performance, consumption, production, imports, and exports, providing detailed insights into the key factors influencing the market. The analysis includes data on consumption volumes, market values, and key players in the industry. The article also highlights the highest consuming and producing countries, as well as trends in import and export prices. Overall, the article provides a comprehensive overview of the animal fats and oils market and its future prospects.

Market Forecast

Driven by increasing demand for animal fats and oils worldwide, the market is expected to continue an upward consumption trend over the next eight-year period. Market performance is forecast to decelerate, expanding with an anticipated CAGR of +2.6% for the period from 2022 to 2030, which is projected to bring the market volume to 3.5M tons by the end of 2030.

In value terms, the market is forecast to increase with an anticipated CAGR of +4.5% for the period from 2022 to 2030, which is projected to bring the market value to $15.2B (in nominal prices) by the end of 2030.

Consumption

World Consumption of Animal Fats And Oils

In 2022, after ten years of growth, there was significant decline in consumption of animal fats and oils, when its volume decreased by -6.4% to 2.9M tons. Over the period under review, consumption, however, saw a prominent expansion. Global consumption peaked at 3.1M tons in 2021, and then dropped in the following year.

The global animal fats market value shrank to $10.7B in 2022, falling by -8.9% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers' margins, which will be included in the final consumer price). Overall, consumption, however, continues to indicate a buoyant expansion. Global consumption peaked at $11.8B in 2021, and then reduced in the following year.

Consumption By Country

The countries with the highest volumes of consumption in 2022 were China (361K tons), the United States (235K tons) and Italy (167K tons), with a combined 27% share of global consumption. India, Japan, Spain, Russia, Pakistan, Indonesia, Nigeria, Brazil, France and Sweden lagged somewhat behind, together accounting for a further 28%.

From 2012 to 2022, the biggest increases were recorded for Sweden (with a CAGR of +37.3%), while consumption for the other global leaders experienced more modest paces of growth.

In value terms, China ($2.2B), Japan ($1.1B) and Russia ($971M) constituted the countries with the highest levels of market value in 2022, together accounting for 41% of the global market. The United States, France, Sweden, Italy, India, Pakistan, Brazil, Indonesia, Spain and Nigeria lagged somewhat behind, together accounting for a further 25%.

In terms of the main consuming countries, Sweden, with a CAGR of +35.4%, saw the highest growth rate of market size over the period under review, while market for the other global leaders experienced more modest paces of growth.

In 2022, the highest levels of animal fats per capita consumption was registered in Sweden (5.9 kg per person), followed by Italy (2.8 kg per person), Spain (1.8 kg per person) and France (0.9 kg per person), while the world average per capita consumption of animal fats was estimated at 0.4 kg per person.

In Sweden, animal fats per capita consumption increased at an average annual rate of +36.0% over the period from 2012-2022. The remaining consuming countries recorded the following average annual rates of per capita consumption growth: Italy (+14.9% per year) and Spain (+22.7% per year).

Production

World Production of Animal Fats And Oils

In 2022, after ten years of growth, there was significant decline in production of animal fats and oils, when its volume decreased by -6% to 2.8M tons. Overall, the total production indicated a remarkable increase from 2012 to 2022: its volume increased at an average annual rate of +8.6% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, production increased by +129.2% against 2012 indices. The pace of growth appeared the most rapid in 2013 with an increase of 27% against the previous year. Global production peaked at 3M tons in 2021, and then declined in the following year.

In value terms, animal fats production shrank to $10.9B in 2022 estimated in export price. Over the period under review, production, however, continues to indicate a strong expansion. The pace of growth appeared the most rapid in 2013 with an increase of 28%. Global production peaked at $12.1B in 2021, and then reduced in the following year.

Production By Country

The countries with the highest volumes of production in 2022 were China (361K tons), the United States (235K tons) and Italy (168K tons), together comprising 27% of global production. India, Japan, Russia, Spain, Pakistan, Indonesia, Nigeria, Brazil, the UK and France lagged somewhat behind, together accounting for a further 29%.

From 2012 to 2022, the biggest increases were recorded for Spain (with a CAGR of +21.3%), while production for the other global leaders experienced more modest paces of growth.

Imports

World Imports of Animal Fats And Oils

After six years of growth, overseas purchases of animal fats and oils decreased by -6.3% to 130K tons in 2022. Over the period under review, imports, however, posted a resilient increase. The most prominent rate of growth was recorded in 2019 when imports increased by 58% against the previous year. Over the period under review, global imports attained the maximum at 139K tons in 2021, and then reduced in the following year.

In value terms, animal fats imports amounted to $394M in 2022. In general, imports, however, posted resilient growth. The pace of growth was the most pronounced in 2020 with an increase of 38% against the previous year. Over the period under review, global imports hit record highs in 2022 and are likely to continue growth in years to come.

Imports By Country

Sweden represented the main importer of animal fats and oils in the world, with the volume of imports recording 62K tons, which was near 47% of total imports in 2022. Hungary (11K tons) took the second position in the ranking, followed by Denmark (10K tons). All these countries together took near 16% share of total imports. Chile (4.8K tons), the Netherlands (4.5K tons), Germany (3.3K tons), Pakistan (3K tons), Romania (2.4K tons), the United States (2.4K tons), Spain (2.2K tons), Greece (2.2K tons) and the UK (2.2K tons) followed a long way behind the leaders.

Sweden was also the fastest-growing in terms of the animal fats and oils imports, with a CAGR of +62.4% from 2012 to 2022. At the same time, Denmark (+60.5%), Chile (+52.5%), Greece (+47.8%), Pakistan (+46.3%), Romania (+28.4%), the United States (+13.5%), Hungary (+13.1%), Germany (+7.3%), Spain (+6.5%) and the Netherlands (+3.1%) displayed positive paces of growth. By contrast, the UK (-11.0%) illustrated a downward trend over the same period. While the share of Sweden (+46 p.p.), Denmark (+7.5 p.p.), Chile (+3.5 p.p.), Hungary (+2.5 p.p.), Pakistan (+2.1 p.p.) and Greece (+1.6 p.p.) increased significantly in terms of the global imports from 2012-2022, the share of the Netherlands (-2.7 p.p.) and the UK (-11.1 p.p.) displayed negative dynamics. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the largest animal fats importing markets worldwide were Sweden ($73M), the United States ($65M) and Denmark ($26M), with a combined 41% share of global imports. Germany, the Netherlands, Hungary, the UK, Romania, Chile, Spain, Greece and Pakistan lagged somewhat behind, together comprising a further 26%.

Greece, with a CAGR of +47.0%, recorded the highest growth rate of the value of imports, in terms of the main importing countries over the period under review, while purchases for the other global leaders experienced more modest paces of growth.

Import Prices By Country

The average animal fats import price stood at $3,028 per ton in 2022, growing by 12% against the previous year. Over the period from 2012 to 2022, it increased at an average annual rate of +2.0%. The most prominent rate of growth was recorded in 2017 an increase of 15% against the previous year. Over the period under review, average import prices attained the maximum at $3,096 per ton in 2018; however, from 2019 to 2022, import prices remained at a lower figure.

There were significant differences in the average prices amongst the major importing countries. In 2022, amid the top importers, the country with the highest price was the United States ($27,559 per ton), while Pakistan ($694 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by the UK (+11.7%), while the other global leaders experienced more modest paces of growth.

Exports

World Exports of Animal Fats And Oils

In 2022, shipments abroad of animal fats and oils increased by 4.1% to 98K tons, rising for the third year in a row after three years of decline. Overall, total exports indicated a remarkable increase from 2012 to 2022: its volume increased at an average annual rate of +5.0% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, exports increased by +61.2% against 2019 indices. The most prominent rate of growth was recorded in 2013 with an increase of 38%. The global exports peaked in 2022 and are expected to retain growth in the immediate term.

In value terms, animal fats exports surged to $305M in 2022. In general, exports recorded strong growth. The pace of growth appeared the most rapid in 2013 with an increase of 55%. The global exports peaked in 2022 and are expected to retain growth in the near future.

Exports By Country

In 2022, Belgium (26K tons) was the largest exporter of animal fats and oils, constituting 27% of total exports. Canada (11K tons) ranks second in terms of the total exports with an 11% share, followed by the Netherlands (9.6%), Australia (5.6%) and Saudi Arabia (4.7%). The following exporters - Croatia (4.3K tons), Germany (3.6K tons), the UK (3.2K tons), the United States (2.9K tons), Chile (2.8K tons), Romania (2.7K tons), Colombia (2K tons) and New Zealand (1.7K tons) - together made up 24% of total exports.

From 2012 to 2022, average annual rates of growth with regard to animal fats exports from Belgium stood at +5.6%. At the same time, Australia (+111.1%), Canada (+69.8%), Romania (+55.4%), Saudi Arabia (+35.2%), the Netherlands (+30.4%), Croatia (+25.4%), Colombia (+23.9%), Chile (+20.6%), New Zealand (+9.1%) and Germany (+2.6%) displayed positive paces of growth. Moreover, Australia emerged as the fastest-growing exporter exported in the world, with a CAGR of +111.1% from 2012-2022. By contrast, the United States (-5.1%) and the UK (-16.6%) illustrated a downward trend over the same period. From 2012 to 2022, the share of Canada, the Netherlands, Australia, Saudi Arabia, Croatia, Romania, Chile and Colombia increased by +11, +8.5, +5.6, +4.3, +3.7, +2.7, +2.2 and +1.6 percentage points, respectively. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the largest animal fats supplying countries worldwide were Chile ($53M), Belgium ($39M) and the Netherlands ($37M), together comprising 42% of global exports. The United States, Colombia, the UK, Australia, Germany, Canada, Croatia, Romania, New Zealand and Saudi Arabia lagged somewhat behind, together accounting for a further 31%.

In terms of the main exporting countries, Australia, with a CAGR of +71.5%, recorded the highest rates of growth with regard to the value of exports, over the period under review, while shipments for the other global leaders experienced more modest paces of growth.

Export Prices By Country

In 2022, the average animal fats export price amounted to $3,106 per ton, jumping by 37% against the previous year. Overall, export price indicated a prominent increase from 2012 to 2022: its price increased at an average annual rate of +7.0% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. As a result, the export price attained the peak level and is likely to continue growth in the immediate term.

Prices varied noticeably by country of origin: amid the top suppliers, the country with the highest price was Chile ($18,474 per ton), while Saudi Arabia ($626 per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was attained by Chile (+25.3%), while the other global leaders experienced more modest paces of growth.

Source: IndexBox Market Intelligence Platform