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Soybean Oil Market

The market for Soybean Oil was estimated at $41.8 billion in 2025; it is anticipated to increase to $54.1 billion by 2030, with projections indicating growth to around $70.0 billion by 2035.

Report ID:DS1901086
Author:Debadatta Patel - Senior Consultant
Published Date:
Datatree
Food & Beverage
Packaged & Processed F&B
Soybean Oil
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Report Summary
Market Data
Methodology
Table of Contents

Global Soybean Oil Market Outlook

Revenue, 2025

$41.8B

Forecast, 2035

$70.0B

CAGR, 2026 - 2035

5.3%

The Soybean Oil industry revenue is expected to be around $41.8 billion in 2026 and expected to showcase growth with 5.3% CAGR between 2026 and 2035. This expected expansion reinforces the strategic importance of Soybean Oil in the global edible oil and vegetable oil market, as manufacturers and retailers rely on its cost-efficiency, reliable supply, and wide consumer acceptance across regions. The food industry and household cooking segments together account for 69.9% of Soybean Oil end-use, underlining its central role in packaged foods, food service, and daily cooking as a versatile cooking oil with a neutral flavor profile. Within the Soybean Oil market, refined type dominates the competitive landscape, contributing about $35.6 billion in sales in 2025 as food processors and brand owners favor refined soybean oil for its consistent quality, extended shelf life, and suitability for large-scale food processing operations. Demand is further sustained by rising urbanization, expanding snack and convenience food categories, and the gradual integration of Soybean Oil into biodiesel and industrial applications that complement its core food-industry positioning, while health-conscious consumers increasingly view it as an affordable source of heart-healthy fats within balanced diets, supporting its ongoing relevance despite competition from other edible oils.

Soybean Oil is a light-colored, neutral-tasting vegetable oil extracted from soybeans, characterized by a favorable fatty-acid composition with polyunsaturated and heart-healthy fats, a relatively high smoke point, and excellent oxidative stability that suits diverse culinary and industrial uses. Key applications span frying, baking, and food manufacturing for snacks, margarine, shortenings, salad dressings, bakery products, and ready-to-eat meals, as well as extensive household use as an everyday cooking oil. Beyond food, the Soybean Oil industry increasingly serves as a feedstock for biodiesel, lubricants, and oleochemical derivatives, leveraging advances in soybean oil processing technologies and improvements in sustainable agriculture and traceability. Recent market trends include growing demand for non-GMO and identity-preserved Soybean Oil, clean-label and minimally processed formulations, and the alignment of Soybean Oil with plant-based protein and flexitarian eating patterns, which collectively enhance its demand profile across both mature and emerging markets.

Soybean Oil market outlook with forecast trends, drivers, opportunities, supply chain, and competition 2025-2035
Soybean Oil Market Outlook

Market Key Insights

  • The Soybean Oil market is projected to grow from $41.8 billion in 2025 to $70.0 billion in 2035. This represents a CAGR of 5.3%, reflecting rising demand across Food Industry Usage, Industrial, and Cosmetics and Personal Care.

  • Archer-Daniels-Midland Company, Cargill Incorporated, and Bunge are among the leading players in this market, shaping its competitive landscape.

  • U.S. and Germany are the top markets within the Soybean Oil market and are expected to observe the growth CAGR of 3.4% to 5.1% between 2025 and 2030.

  • Emerging markets including Nigeria, Philippines and Kenya are expected to observe highest growth with CAGR ranging between 6.1% to 7.3%.

  • Transition like Shift towards High Oleic Soybean Oil has greater influence in United States and Brazil market's value chain; and is expected to add $1 billion of additional value to Soybean Oil industry revenue by 2030.

  • The Soybean Oil market is set to add $28.2 billion between 2025 and 2035, with manufacturer targeting HoReCa & Food Industry Application projected to gain a larger market share.

  • With

    healthy eating trends, and

    Innovation in Food Industry, Soybean Oil market to expand 68% between 2025 and 2035.

soybean oil market size with pie charts of major and emerging country share, CAGR, trends for 2025 and 2032
Soybean Oil - Country Share Analysis

Opportunities in the Soybean Oil

Brazil’s expanding biodiesel mandates and decarbonization agenda are opening underexploited opportunities for Soybean Oil as advanced biofuel feedstock for commercial truck and bus fleets. Blending policies favor domestically sourced crude soybean oil, strengthening integration between crushers, refiners, and fuel distributors. The crude soybean oil segment, valued at $6.18 billion globally in 2025 and forecast to reach $7.63 billion by 2030 at 4.3% CAGR, is also poised for above-average growth in industrial-scale, sustainable energy applications aligned with fleet emission targets.

Growth Opportunities in Asia-Pacific and North America

In Asia-Pacific, Soybean Oil demand is anchored by the Household segment, where it serves as a staple cooking oil within a rapidly expanding edible oil market, while HoReCa usage is accelerating in tandem with organized foodservice growth and urbanization; competition is shaped by strong regional vegetable oil players and the widespread availability of lower-priced palm oil, driving price-sensitive consumers toward blends. Key drivers include rising disposable incomes, dietary diversification beyond traditional fats, and the expansion of the packaged food processing industry, which is increasing bulk procurement of refined soybean oil for snacks, bakery, and instant foods. Strategic opportunities center on scaling branded retail packs for the Household segment with clear health positioning, while targeting HoReCa with cost-efficient bulk formats optimized for industrial frying applications; at the same time, investing in regional crushing and refining capacity with sustainable sourcing and traceability can strengthen competitiveness and support premium niches such as non-GMO soybean oil and high-oleic soybean oil for health-conscious and export-oriented customers.
In North America, Soybean Oil is most strategically leveraged within the Food Industry segment, where large-scale processors rely on it as a versatile input across snacks, bakery, ready meals, and plant-based foods, with the Others category gaining traction through biofuel, agro-industrial, and oleochemical usage; Household and HoReCa segments remain important but are more mature and brand-saturated. Competitive dynamics are defined by concentrated oilseed crushing capacity, advanced refining technologies, and strong retailer private labels, alongside substitution pressures from canola and specialty oils that emphasize perceived health and flavor advantages. Core regional drivers include regulatory and customer pressure to lower saturated fat and eliminate trans fats, rapid adoption of functionality-enhanced and high-oleic soybean oil, and growing demand for transparent, sustainably managed supply chains. Top opportunities lie in partnering with major food manufacturers to co-develop tailored formulations that improve shelf life and frying stability, expanding value-added clean label and sustainably certified soybean oil lines within retail and foodservice channels, and channeling investment into innovation for Others applications, where Soybean Oil can support low-carbon biofuel mandates and differentiated industrial product portfolios.

Market Dynamics and Supply Chain

01

Driver: Rising Demand for Processed & Packaged Foods Along With Growing Biofuel Production Mandates

The global soybean oil market is also propelled by the increasing consumption of processed and packaged foods and expanding biofuel production requirements. As urbanization and changing lifestyles boost demand for ready-to-eat meals and snacks, food manufacturers prefer soybean oil for frying, baking, and blending due to its neutral flavor, emulsifying properties, and stability across formulations. This trend is also evident in rising global food consumption projections for soybean oil by 2025. Simultaneously, government policies and renewable energy mandates are also strengthening the biofuel sector’s appetite for soybean oil as a key feedstock for biodiesel production, particularly in the United States and Europe where blending targets are also rising. These dual forces food industry growth and renewable fuel commitments are also driving market expansion, improving processing infrastructure, and encouraging investments in sustainable production technologies.
A major driver of soybean oil demand is also the growing consumer shift toward healthier, plant-based edible oils with favorable nutritional profiles. As health consciousness rises, buyers increasingly choose oils rich in polyunsaturated fats and omega-3 fatty acids, such as soybean oil, over saturated fat alternatives. This trend supports higher usage in household cooking and packaged food products globally, encouraging refiners and food brands to expand soybean oil offerings. Improved awareness of heart health benefits and the plant-based diet movement are also reinforcing this demand, helping soybean oil maintain a central role in edible oil portfolios.
02

Restraint: Volatile Raw Material Prices and Weather-Driven Supply Disruptions Strain Market Stability

The soybean oil market is constrained by price volatility of soybeans and weather-linked crop fluctuations, which directly affect raw material costs and profit margins for processors and refiners. Erratic weather such as droughts in South America can reduce yields and tighten supply, leading to price spikes that erode demand from food and industrial users due to cost-sensitive pricing. This unpredictability also complicates long-term planning for manufacturers and traders, dampening revenue growth and market confidence.
03

Opportunity: Trans-fat-free soybean oil cooking applications for urban households in India and High-oleic refined soybean oil for European premium snack manufacturers

Rapidly urbanizing Indian households are shifting from traditional fats to affordable, heart-healthier edible oils, creating a lucrative niche for refined Soybean Oil in cooking formats. Growing awareness of cholesterol management and trans-fat regulations is expanding demand for versatile vegetable oil suitable for frying and everyday cuisine. The refined soybean oil segment, a $35.60 billion market in 2025 and projected to reach $46.46 billion by 2030 at 5.47% CAGR, is expected to capture strong growth for branded, fortified, non-GMO consumer packs.
European premium snack and bakery manufacturers are seeking stable frying media to replace palm and hydrogenated fats, creating a differentiated space for high-oleic refined Soybean Oil. Its oxidative stability, neutral flavor, and favorable fatty-acid profile suit long-shelf-life chips, crackers, and baked snacks. As the refined soybean oil market grows from $35.60 billion in 2025 to $46.46 billion by 2030, high-oleic, cold-pressed formats tailored for functional foods and selective omega-3 fortification are expected to expand fastest across Western and Northern Europe.
04

Challenge: Intense Competition From Alternative Vegetable Oils and Shifting Consumer Preferences

Soybean oil faces stiff competition from other edible oils such as palm, sunflower, and canola, which often offer lower prices, higher yields, or specific health perceptions, diverting demand and reducing soybean oil market share. This competitive landscape is amplified as consumers increasingly favor specialty oils like olive or avocado for perceived health benefits, forcing soybean oil producers to innovate and differentiate their offerings to maintain demand and revenue streams.

Supply Chain Landscape

1

Soybean Farming

Archer-Daniels-Midland CompanyCargill IncorporatedBunge Limited
2

Soybean Oil Processing

Archer-Daniels-Midland CompanyBunge LimitedWilmar International Ltd
3

Soybean Oil Distribution

Cargill IncorporatedLouis Dreyfus Company B.V.Archer-Daniels-Midland Company
4

Soybean Oil Applications

Food processingBiodiesel productionAnimal nutrition
Soybean Oil - Supply Chain

Use Cases of Soybean Oil in Food Industry Usage & Cosmetics

Food Industry Usage : In the food industry, refined and high-quality soybean oil is primarily used as an edible oil for frying, cooking, baking, sauces, dressings, margarine, and processed foods due to its neutral taste, high smoke point, and functional versatility in salads, snack foods, and bakery products. Its widespread culinary use supports texture, moisture retention, and nutritional value, making it a preferred choice for both commercial food processors and household kitchens. Major global suppliers such as Archer Daniels Midland (ADM), Cargill, Bunge, Wilmar International, and Louis Dreyfus Company maintain extensive processing and distribution networks that anchor their leadership in the food application segment. These companies leverage scale, sustainability commitments, and product quality to meet rising consumer demand for healthier, plant-based edible oils and refined vegetable oil blends in diverse food categories.
Industrial : Soybean oil’s renewable, biodegradable, and sustainable properties make it valuable across industrial applications ranging from bio-based lubricants, hydraulic fluids, paints, coatings, adhesives, and biodiesel feedstock to other specialty industrial uses. Its utility as an eco-friendly alternative to petroleum derivatives has attracted interest from manufacturers seeking to reduce environmental impact and comply with regulatory sustainability goals. Agribusiness leaders such as Bunge and Cargill utilise advanced processing technologies and integrated supply chains to supply industrial-grade soybean oil to automotive, machinery, and bioenergy sectors. Their strategic positioning in global oilseed processing enables them to support both traditional manufacturing and green industrial solutions.
Cosmetics and Personal Care : In the cosmetics and personal care industry, soybean oil is widely used for its emollient, antioxidant, and skin-conditioning benefits in products such as moisturizers, lotions, creams, soaps, shampoos, and massage oils. Rich in vitamin E, omega fatty acids, and lecithin, it enhances skin hydration, improves texture, and supports barrier repair, making it ideal for natural and nourishing formulations. Soybean oil’s compatibility with sensitive skin and its versatility in haircare and skincare products have strengthened its adoption by major ingredient suppliers and personal care brands, responding to consumer demand for plant-based and gentle cosmetic ingredients.

Recent Developments

Recent strategic developments in the soybean oil market highlight a shift toward sustainable bio-based products and renewable energy integration, with processors expanding capacity for edible oil refining and biodiesel feedstock supply. Increasing demand for plant-based cooking oils and health-oriented lipid solutions is driving investment in advanced extraction and refining technologies. A key market trend is the adoption of eco-friendly industrial applications, where soybean oil serves as a biodegradable lubricant and green chemical feedstock, reinforcing its role in circular and low-carbon value chains.

August 2025 : Bunge Limited agreed to acquire key soy assets from International Flavors & Fragrances (IFF) including soy protein concentrate, soy lecithin, and crush operations. This strategic acquisition will expand Bunge’s vertical integration in oilseed processing and plant-based ingredients, strengthening its footprint across food, feed, and biofuel markets. The deal is expected to close by end of 2025, subject to regulatory approvals.
November 2025 : Cargill Incorporated and Louis Dreyfus Company (LDC) were part of a broad set of agricultural supply contracts signed with China’s Xiamen C&D worth over $5.2 billion. These agreements involve large volumes of soybeans and related commodities, bolstering global supply chain stability and supporting future soybean oil and soy meal processing flows for food and industrial customers.

Impact of Industry Transitions on the Soybean Oil Market

As a core segment of the Packaged & Processed F&B industry, the Soybean Oil market develops in line with broader industry shifts. Over recent years, transitions such as Shift towards High Oleic Soybean Oil and Rise of Bio-based and Environment-friendly Products have redefined priorities across the Packaged & Processed F&B sector, influencing how the Soybean Oil market evolves in terms of demand, applications and competitive dynamics. These transitions highlight the structural changes shaping long-term growth opportunities.
01

Shift towards High Oleic Soybean Oil

The accelerating shift toward high oleic Soybean Oil is becoming a pivotal value-creation lever in the global edible oil market, as health-conscious consumers and food manufacturers replace traditional, trans fat–containing formulations with trans fat–free, high-stability alternatives. Offering superior frying stability, extended shelf life, and improved nutritional positioning, high oleic Soybean Oil is driving reformulation strategies across packaged foods and foodservice applications, particularly in the United States and Brazil, where its impact on the Soybean Oil value chain is most pronounced. This transition is prompting upstream seed innovation, contract farming, and refinery upgrades, and is projected to unlock approximately $1 billion in incremental Soybean Oil industry revenue by 2030, strengthening margins, enhancing brand differentiation, and consolidating the role of Soybean Oil as a preferred, heart-healthy vegetable oil in both retail and industrial segments.
02

Rise of Bio-based and Environment-friendly Products

The rise of bio-based and environment-friendly products is driving a meaningful transition in the soybean oil industry as manufacturers seek renewable alternatives to petroleum-derived inputs. Soybean oil is increasingly adopted in biodiesel, bio-lubricants, inks, coatings, and adhesives due to its biodegradability and lower carbon footprint. This shift is evident in the transportation and energy sectors, where biodiesel blending mandates have expanded soybean oil demand, influencing agricultural planning and crushing capacities. In industrial manufacturing, soybean oil-based polymers and lubricants are replacing mineral oils to meet sustainability regulations. The cosmetics and personal care industry is also aligning with this transition by using soybean oil in natural formulations. Collectively, these changes are reshaping supply chains, encouraging sustainable farming practices, and supporting long-term market growth.