Canada Rapeseed Oil Market Outlook, 2028

Rapeseed oil, also known as canola oil, plays a significant role in Canada's agricultural and culinary landscape. Canada is one of the world's largest producers of canola, and this versatile oil is a staple in Canadian households and the food industry alike. Canola plants thrive in the Canadian climate, particularly in the prairie provinces of Alberta, Saskatchewan, and Manitoba, where vast fields of bright yellow rapeseed flowers are a common sight during the growing season. The oil extracted from these plants is renowned for its heart-healthy properties due to its low saturated fat content and high levels of beneficial omega-3 fatty acids. Additionally, the Canadian government ensures strict quality standards for canola oil production, further solidifying its reputation as high-quality cooking oil both domestically and on the international market. Canada's canola industry is a global powerhouse, and its import and export activities are integral to its success. On the export front, Canada is one of the world's largest exporters of canola products, including canola oil, canola meal, and canola seeds. According to the Canadian International Merchandise Trade Database, Canadian canola oil is exported to majorly Chile, China, Colombia, Hong Kong, India, Japan, Malaysia, Mexico, S. Korea, Taiwan, and United States. According to the Canola Council of Canada, by 2025, it’s estimated that 62% of canola grown in Canada will be processed in Canada, slightly higher than the long-term average of approximately half of the canola crop being processed domestically. Canola’s contribution to the Canadian economy has increased nearly by USD 7.2 billion, or 35%, in the last 10 years, according to the latest independent analysis commissioned by the Canola Council of Canada and conducted by LMC International. This study shows Canadian-grown canola contributed around USD 29.9 billion to the Canadian economy each year, including more than 207,000 Canadian jobs and more than USD 12 billion in wages.

According to the research report "Canada Rapeseed Oil Market Outlook, 2023-28," published by Bonafide Research, is predicted to expand significantly during the course of the forecast year 2023-2028. Rapeseed has long been a prominent crop in Canadian agriculture, and its oil is a key player in the country's agricultural industry. The expansion of the rapeseed oil market can be attributed to several factors. Canada's reputation for producing high-quality rapeseed oil has grown over the years. Canadian farmers have adopted advanced agricultural practices and technology, resulting in improved crop yields and oil quality. This has made Canadian rapeseed oil highly sought after in both domestic and international markets. Additionally, the increasing demand for healthier cooking oils has boosted the popularity of rapeseed oil. As consumers become more health-conscious, the demand for rapeseed oil as a cooking and frying medium has surged. The Canadian government has also played a supportive role in the expansion of the rapeseed oil market. Investment in research and development, sustainable farming practices, and marketing initiatives had helped promote Canadian rapeseed oil on the global stage. Trade agreements and international partnerships have also played a significant role in shaping the rapeseed oil market in Canada. Canada's participation in trade deals like the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the United States-Mexico-Canada Agreement (USMCA) has facilitated greater access to international markets, increasing exports of Canadian rapeseed oil to countries around the world.

According to the report, the market is been segmented on the basis of Nature of Rapeseed oil; Conventional and Organic. In Canada, conventional rapeseed oil currently holds the largest market share, and this dominance can be attributed to several key factors. Firstly, conventional rapeseed oil has a well-established presence in the market, with a history of consistent production and distribution. Consumers have long been familiar with this type of rapeseed oil, and it is readily available at various price points, making it a preferred choice for many. Additionally, the conventional rapeseed oil market benefits from economies of scale and efficient production processes, allowing it to offer competitive pricing. The widespread use of conventional rapeseed oil in various food processing industries and the foodservice sector has also contributed to its market dominance. However, looking ahead to the period from 2023 to 2028, there is a growing expectation that the organic type of rapeseed oil will experience significant growth and boost its market presence. Several factors are expected to drive this trend. Firstly, consumers are increasingly concerned about health and environmental sustainability, leading to a heightened interest in organic and natural products. Organic rapeseed oil, produced without synthetic pesticides and fertilizers, aligns with these consumer preferences for healthier and more environmentally friendly options. Moreover, Canada's well-established organic farming sector is poised to contribute to the growth of organic rapeseed oil. As more farmers transition to organic farming practices and expand their organic canola cultivation, the supply of organic rapeseed oil is expected to increase. Furthermore, the global demand for organic food products is on the rise, and this includes organic cooking oils. Canada's reputation for producing high-quality canola, combined with its commitment to organic farming practices, positions it well to capture a share of the growing international organic rapeseed oil market.


On the basis of End-Users of rapeseed oils, the report has been categorized into three end -users type; Households, Industrial, and Food Service. In Canada, the use of rapeseed oil predominantly occurs in households, making it the largest market segment within the Canadian rapeseed oil market. Rapeseed oil is a popular choice among Canadian consumers for a variety of culinary purposes, including frying, sautéing, baking, and salad dressings. Its mild flavor, high smoke point, and heart-healthy profile make it preferred cooking oil for many Canadian households. Following the household segment, the industrial sector is the next significant market for rapeseed oil in Canada. Industrial applications include the use of rapeseed oil in the production of biodiesel, as an ingredient in cosmetics, and in various non-food applications such as lubricants and bio-based plastics. The versatility and eco-friendly characteristics of rapeseed oil contribute to its appeal in industrial settings. The food services sector represents another important market segment for rapeseed oil in Canada. Restaurants, catering services, and food manufacturers use rapeseed oil extensively due to its desirable cooking properties. Its ability to withstand high temperatures without breaking down or imparting unwanted flavors to food makes it a popular choice in professional kitchens.

In the Canadian rapeseed oil market, segmentation by distribution channels is a key factor influencing the market. Currently, conventional stores, including local grocery shops and specialty stores, hold the largest market share. These traditional retail outlets have been the go-to source for consumers seeking rapeseed oil for their household cooking needs. However, following conventional stores, hypermarkets and supermarkets have emerged as significant players in the distribution of rapeseed oil. Their expansive reach, diverse product offerings, and competitive pricing have made them popular destinations for consumers looking for a wide range of cooking oil options. Direct sales, which often involve farmers' markets and farm-to-table initiatives, also contribute to the market, particularly for consumers seeking direct sourcing options and organic varieties of rapeseed oil. Looking ahead to the years 2023-2028, online sales are expected to show the highest CAGR within the Canadian rapeseed oil market. This growth can be attributed to several factors. Firstly, the convenience of online shopping has become increasingly appealing to consumers, and this trend extends to the purchase of cooking oils. Online platforms offer a wide selection of rapeseed oil products, including conventional and organic options, making it easier for consumers to explore and choose the products that best suit their preferences. Additionally, the digital landscape provides a platform for brands to promote their products, educate consumers about the benefits of rapeseed oil, and cater to the rising demand for organic and specialty varieties. With consumers becoming more health-conscious and environmentally aware, online sales channels are well-positioned to meet these evolving consumer needs and preferences.



The COVID-19 pandemic had a notable impact on the Canada rapeseed oil market, as it did on various sectors of the economy. Initially, the pandemic led to disruptions in supply chains and a degree of uncertainty in the agricultural and food processing industries. However, the overall impact on the rapeseed oil market can be described as a mix of challenges and opportunities. One of the immediate challenges faced by the Canadian rapeseed oil market was related to logistical issues and labor shortages. Lockdowns, social distancing measures, and restrictions at processing facilities temporarily disrupted the smooth flow of canola seeds and oil production. This led to some disruptions in the supply chain, causing fluctuations in rapeseed oil availability and pricing. On the consumer side, there was a surge in demand for essential food items, including cooking oils, during the initial phases of the pandemic. This increased demand for rapeseed oil in households as people cooked more at home. However, the demand from the foodservice and restaurant sectors experienced a significant decline due to lockdowns and reduced dining out. Moreover, the pandemic underscored the importance of food security and the resilience of supply chains. As a result, there was an increased focus on supporting local producers and supply chain diversification.

Considered in this report:
• Geography: Canada
• Historic year: 2017
• Base year: 2022
• Estimated year: 2023
• Forecast year: 2028

Aspects covered in this report:
• Canada Rapeseed Oil Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Nature:
• Conventional
• Organic

By End User:
• Household
• Industrial
• Food Service

By Distributional Channel:
• Conventional Store
• Hypermarket/Supermarket
• Direct Sales
• Online
• Others

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and list out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, and annual reports of companies, analyzing the government-generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers into regional aspects, tier aspects, age groups, and gender. Once we have primary data with us we started verifying the details obtained from secondary sources.

Intended audience:
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the Rapeseed Oil Market industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.