Organic olive oil is becoming a preferred choice due to its perceived health benefits, eco-friendly production, and superior quality.
Food & Beverages
Until the 1990's the dominant edible oil produced and consumed in India were mustard, sesame, and groundnut. The technological, economic and policy changes thereafter induced dynamics in consumer demand for food, including edible oils. The possible reason for these shifts is increased urbanization, changing lifestyles, increased awareness, availability of oils in packet form in varied quantities even in remote rural areas, change in relative prices of oils, and increased income levels of households. The Rice Bran Oil market in India is still at its nascent stage. The groundnut oil and the mustard/rapeseed oil, which were traditionally consumed by households, have been replaced by soybean oil, implying the need for appropriate changes in production. Even though the constant change in the preference, the consumption of oil differs among the regions, with a glimpse of the traditions and climatic influences. The growth of the packaged oil type was not even and only certain variants showed growth in the market. Consumers still prefer to purchase the traditional oils from the unorganized sector, even though there is a negligible price difference among them. With the increase in the health-conscious Indian population, the sales of branded edible oil have also increased.
Edible oil packaging has been evolved over the years to encompass a wide range of packaging products such as jerry cans, pouches, jars, tin cans, bottles, among others. With the continuous innovations and the increasing awareness about the adulteration in the edible oil industry, the market of the packaged edible oil is expected to grow more than 200000 Crore, by the end of the year 2027. In terms of production, the mustard & soybean oilseed are expected to lead the market during the end of the forecasted period, with both accounting to more than 3 Million Tonnes of production. Whereas on the other hand, the major traditionally used cotton oilseed and sesame oilseed are expected to a very low growth in the future. When interviewed directly, the consumer disagreed to the fact that celebrity endorsements having any effect on their purchase decision. However, supporting the advertisement with a scientifically prove fact have influence in the consumer mind. Adulteration of edible oil has emerged as a major issue worldwide, especially in India, due to their increasing market demand and the potential profit.
The Indian edible oil market is broadly divided into two main segments: branded and unbranded. The branded segment is rapidly growing due to increasing consumer awareness about quality, hygiene, and health benefits. Leading brands offer refined, cold-pressed, and fortified edible oils, catering to different dietary needs. The unbranded segment, often consisting of loose or locally sourced oils, still dominates in rural areas due to affordability and traditional buying habits. However, with government initiatives promoting food safety and the rise of modern retail formats, the shift toward branded edible oils is accelerating. Additionally, the market is witnessing a trend toward healthier oil options, such as olive oil, rice bran oil, and blended oils, which offer added nutritional value. The edible oil industry in India offers various packaging types to cater to diverse consumer needs. The most common packaging types include plastic pouches, bottles, jars, tins, and tetra packs. Plastic pouches are widely used due to their affordability and convenience, while bottles and jars are preferred for premium oils like olive oil and cold-pressed variants. Tins remain popular for bulk purchases, especially among commercial users. Recent innovations include eco-friendly packaging and resealable packs, which enhance convenience and sustainability. The shift toward sustainable packaging solutions is gaining momentum, driven by consumer demand and regulatory guidelines promoting environmentally friendly alternatives.
Edible oil in India is available in a wide range of packaging sizes to suit different consumer preferences and budgets. Small sachets and 500ml pouches cater to price-sensitive consumers and daily wage workers, while 1L bottles and 5L jars are preferred by households for regular use. Bulk packaging, such as 15L tins and drums, is mainly used by hotels, restaurants, and food processing industries. The trend of family-size packs and combo offers is growing, as consumers seek cost-effective options. With the rise of e-commerce and modern retail, multi-pack offerings and subscription-based purchases are becoming popular, allowing consumers to buy in bulk while ensuring freshness and affordability. The edible oil market in India varies significantly by region due to dietary preferences, availability of raw materials, and consumption patterns. North India has a high demand for mustard oil due to its traditional use in cooking, whereas South India predominantly consumes coconut and groundnut oils. The western states, including Gujarat and Maharashtra, favor groundnut and cottonseed oils, while eastern regions like West Bengal and Odisha prefer mustard and rice bran oil. The penetration of refined and blended oils is increasing across all regions, driven by health awareness and urbanization. The expansion of retail chains and online grocery platforms has further facilitated the availability of a diverse range of edible oils across different parts of the country.
The end users of the Indian edible oil market include households, food processing industries, HoReCa (hotels, restaurants, and catering), and institutional buyers. Households remain the largest segment, with preferences shifting toward healthier options such as sunflower, olive, and blended oils. The food processing industry uses a significant volume of palm and soybean oil for manufacturing snacks, bakery products, and ready-to-eat foods. HoReCa players prefer bulk packaging for cost efficiency, while institutional buyers, such as hospitals and corporate cafeterias, focus on healthier and fortified oils. The increasing awareness of heart health and cholesterol management is influencing purchasing decisions across all end-user segments.Edible oil in India is widely used for various applications, including cooking, frying, baking, and food preservation. Home cooking remains the dominant application, with households choosing different oils based on regional cuisine and health preferences. The food processing sector extensively utilizes palm, soybean, and sunflower oils for snack manufacturing, fast food, and confectionery. The growing trend of home baking and gourmet cooking has increased the demand for specialty oils such as extra virgin olive oil and avocado oil. Additionally, edible oils are used in non-food applications such as cosmetics, pharmaceuticals, and biofuels, further diversifying market opportunities.
The edible oil market in India is distributed through multiple sales channels, including supermarkets, hypermarkets, local grocery stores, e-commerce platforms, and wholesale markets. Traditional kirana stores remain the primary sales channel, especially in rural and semi-urban areas. However, modern retail formats such as supermarkets and hypermarkets are gaining popularity in urban areas due to their wide product assortment and promotional offers. E-commerce platforms have witnessed exponential growth, providing consumers with doorstep delivery and subscription-based purchases. Direct-to-consumer (D2C) brands are also emerging, leveraging digital marketing and health-conscious messaging to attract customers looking for premium and organic edible oil options.
Edible oil packaging has been evolved over the years to encompass a wide range of packaging products such as jerry cans, pouches, jars, tin cans, bottles, among others. With the continuous innovations and the increasing awareness about the adulteration in the edible oil industry, the market of the packaged edible oil is expected to grow more than 200000 Crore, by the end of the year 2027. In terms of production, the mustard & soybean oilseed are expected to lead the market during the end of the forecasted period, with both accounting to more than 3 Million Tonnes of production. Whereas on the other hand, the major traditionally used cotton oilseed and sesame oilseed are expected to a very low growth in the future. When interviewed directly, the consumer disagreed to the fact that celebrity endorsements having any effect on their purchase decision. However, supporting the advertisement with a scientifically prove fact have influence in the consumer mind. Adulteration of edible oil has emerged as a major issue worldwide, especially in India, due to their increasing market demand and the potential profit.
The Indian edible oil market is broadly divided into two main segments: branded and unbranded. The branded segment is rapidly growing due to increasing consumer awareness about quality, hygiene, and health benefits. Leading brands offer refined, cold-pressed, and fortified edible oils, catering to different dietary needs. The unbranded segment, often consisting of loose or locally sourced oils, still dominates in rural areas due to affordability and traditional buying habits. However, with government initiatives promoting food safety and the rise of modern retail formats, the shift toward branded edible oils is accelerating. Additionally, the market is witnessing a trend toward healthier oil options, such as olive oil, rice bran oil, and blended oils, which offer added nutritional value. The edible oil industry in India offers various packaging types to cater to diverse consumer needs. The most common packaging types include plastic pouches, bottles, jars, tins, and tetra packs. Plastic pouches are widely used due to their affordability and convenience, while bottles and jars are preferred for premium oils like olive oil and cold-pressed variants. Tins remain popular for bulk purchases, especially among commercial users. Recent innovations include eco-friendly packaging and resealable packs, which enhance convenience and sustainability. The shift toward sustainable packaging solutions is gaining momentum, driven by consumer demand and regulatory guidelines promoting environmentally friendly alternatives.
Edible oil in India is available in a wide range of packaging sizes to suit different consumer preferences and budgets. Small sachets and 500ml pouches cater to price-sensitive consumers and daily wage workers, while 1L bottles and 5L jars are preferred by households for regular use. Bulk packaging, such as 15L tins and drums, is mainly used by hotels, restaurants, and food processing industries. The trend of family-size packs and combo offers is growing, as consumers seek cost-effective options. With the rise of e-commerce and modern retail, multi-pack offerings and subscription-based purchases are becoming popular, allowing consumers to buy in bulk while ensuring freshness and affordability. The edible oil market in India varies significantly by region due to dietary preferences, availability of raw materials, and consumption patterns. North India has a high demand for mustard oil due to its traditional use in cooking, whereas South India predominantly consumes coconut and groundnut oils. The western states, including Gujarat and Maharashtra, favor groundnut and cottonseed oils, while eastern regions like West Bengal and Odisha prefer mustard and rice bran oil. The penetration of refined and blended oils is increasing across all regions, driven by health awareness and urbanization. The expansion of retail chains and online grocery platforms has further facilitated the availability of a diverse range of edible oils across different parts of the country.
The end users of the Indian edible oil market include households, food processing industries, HoReCa (hotels, restaurants, and catering), and institutional buyers. Households remain the largest segment, with preferences shifting toward healthier options such as sunflower, olive, and blended oils. The food processing industry uses a significant volume of palm and soybean oil for manufacturing snacks, bakery products, and ready-to-eat foods. HoReCa players prefer bulk packaging for cost efficiency, while institutional buyers, such as hospitals and corporate cafeterias, focus on healthier and fortified oils. The increasing awareness of heart health and cholesterol management is influencing purchasing decisions across all end-user segments.Edible oil in India is widely used for various applications, including cooking, frying, baking, and food preservation. Home cooking remains the dominant application, with households choosing different oils based on regional cuisine and health preferences. The food processing sector extensively utilizes palm, soybean, and sunflower oils for snack manufacturing, fast food, and confectionery. The growing trend of home baking and gourmet cooking has increased the demand for specialty oils such as extra virgin olive oil and avocado oil. Additionally, edible oils are used in non-food applications such as cosmetics, pharmaceuticals, and biofuels, further diversifying market opportunities.
The edible oil market in India is distributed through multiple sales channels, including supermarkets, hypermarkets, local grocery stores, e-commerce platforms, and wholesale markets. Traditional kirana stores remain the primary sales channel, especially in rural and semi-urban areas. However, modern retail formats such as supermarkets and hypermarkets are gaining popularity in urban areas due to their wide product assortment and promotional offers. E-commerce platforms have witnessed exponential growth, providing consumers with doorstep delivery and subscription-based purchases. Direct-to-consumer (D2C) brands are also emerging, leveraging digital marketing and health-conscious messaging to attract customers looking for premium and organic edible oil options.
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