Global palm oil markets set for key expansion to $105 billion value over five years

Amidst a challenging backdrop of supply chain uncertainty, the global palm oil market has been projected to expand notably, from $77.42 billion in 2025, to $105bn by 2032, according to latest research, writes Neill Barston.

The studies, from Maximise Market Research, have forecast projected growth of 4.47%, with confectionery, snacks and bakery ranges all widely engage with the critical ingredient, with the chocolate segment a particularly strong area of usage, despite continuing concerns expressed by non-governmental environmental groups including Mighty Earth.

However, as previously covered by our title, organisations such as the Roundtable on Sustainable Palm Oil (RSPO), have maintained that key progress has been made on meeting traceability and eco-standards in recent years, which will be further amplified by the introduction of EUDR deforestation rules that require accurate mapping and monitoring of several agricultural commodities including cocoa, soy and palm oil. 

As the studies from Indian-based research group Maximise Market Research reveal, Asia Pacific remains the dominant market leader within the field, which it is anticipated to retain. 

According to the company’s findings, Indonesia remains the leading producer and exporter, with domestic consumption levels reportedly backed-up by demand across the food sector. 

As the research observed, the commodity remains successful due to its versatility, particularly in terms of edible oils, which are considered as being comparatively stable, as well as emerging as being competitively priced against other alternatives.

They are also used across a broad spread of applications including as confectionery fats, as well as in bakery and product frying, that has given such oils a competitive advantage.

Furthermore, in terms of market share India is said to consume around 10% of palm oil products, most of which are imported, with an increase in demand for edible oil, as well as strategic shifts to deliver greater food security believed set to prove decisive growth drivers within the market. 

In addition, as the latest market studies noted, Europe has claimed second spot in the terms of demand for palm oil, with the region being especially noted for its processing capabilities. 

As Maximise noted, the region converts imported crude palm oil into high-value specialty fats, oleochemicals, and industrial derivatives. Biofuel blending mandates, a mature food manufacturing ecosystem, and premium demand for certified sustainable palm oil (CSPO) collectively strengthen Europe’s strategic revenue contribution and long-term market positioning.