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Fractionated Coconut Oil Market: Pin-Point Analysis For Changing Competitive Dynamics

Dec 12th 2018 at 2:35 AM

Market Outlook of Fractionated Coconut Oil

Coconut oil has established itself as a healthy fat source among consumers as it as associated with a plethora of health benefits that are being covered by various health blogs, social media, and reputed media houses. These factors have resulted in a substantial increase in the awareness towards coconut oil which is also anticipated to supplement the growth of fractionated oil market over the forecast period.

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Fractionated coconut oil is made from the regular coconut oil by the process of fractionation, in the processing most of the fatty acid such as 12-carbon lauric acid (C12), long chain fatty acid is removed while only caprylic acid (C8) and capric acid (C10) are retained in the final product, however some fractionated coconut oil may have lauric acid in their composition. In the process of manufacturing fractionated coconut oil, various oils are fractionated on the basis of their melting points, long-chain fatty acids and lauric acid have a higher melting point than caprylic acid and capric acid, thus they become solid sooner when the process is cooled down. Attributed to fractionation, fractionated coconut oil is rich in medium-chain triglyceride which helps in increases the burning of fat and calories and is less likely to be stored as fat. MCT in fractionated coconut oil is also associated with a reduction in insulin resistant, better functioning of brain and improvement in the performance during exercise. These associated benefits of fractionated coconut oil have created a positive momentum for the growth of global fractionated coconut oil market and are anticipated to fuel the growth of the market over the forecast period.

Fractionated coconut oil is tolerated well by most of the people. However, consumption of fractionated coconut oil may cause digestive problems such as stomach cramps, vomiting, and diarrhea especially among children which are anticipated to hamper the growth of fractionated coconut oil over the forecast period

Reasons for Covering Fractionated Coconut Oil Market

Attributed to high media coverage coupled with increasing consumer awareness, the demand of fractionated coconut oil have bolstered over the past few years especially in the developed economies such as the United States, which can be seen in the graphical representation below. The graph shows the import quantity of coconut oil and its fraction (excluding crude coconut oil) in the U.S. which is increasing robustly over the years. In addition availability of organic fractionated coconut oil and non-GMO status of coconut coupled with versatile functionality i.e. it can be used as cooking oil or a moisturizer or massage oil, has differentiated the fractionated coconut oil and made it superior from its competitors such as palm oil, canola oil, soybean oil etc. which is anticipated to drive the growth global fractionated coconut oil market over the forecast period.

Global Fractionated Coconut Oil Market: Key Players

Some of the key players operating in the global fractionated coconut oil market are Wilmar International Limited, Lonza Group, BASF SE, NOW Foods, Nature’s Way Products, LLC, Nutiva Inc, Cargill Inc., among others.

Fractionated Coconut Oil Market Opportunities

Fractionated Coconut Oils are anticipated to witness a high demand in developed regions such as Europe and North America, wherein owing to increasing health awareness and higher spending on specialty oil and fats. Thus creating a lucrative opportunity for key players to expand their operations.

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