DOHA: The cooking oil market in the GCC has been witnessing a major shift in investment patterns in recent years. Over the past decade, the investment in this market has doubled owing to players realizing the scope this market presents. The increasing population and a higher propensity of consumers to spend on edible oils are the primary factors driving the cooking oil market in the GCC. The presence of leading companies in the region has increased of late with the growth in demand. Improvisation and diversification of products in this market is a key strategy adopted by vendors.
However, the high cost of raw materials required for the extraction of cooking oils is a major restraining factor for any new player in this market. The lack of local production of cooking oils due to adverse climatic conditions and less rainfall is another major factor limiting the scope of the GCC and Qatar cooking oil market.
In terms of revenue, the cooking oil market in the GCC and Qatar was valued at US$988.2 mn in 2015 and is expected to reach US$1.7 bn by 2024, expanding at a 6.6% CAGR therein. In terms of volume, the market is projected to register a CAGR of 8.4% during the forecast period.
