Date : October 17, 2020
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Being the most preferred in the south, how likely the other markets are for these oils?

Being the most preferred in the south, how likely the other markets are for these oils?

These oils have been a part of almost all Indian kitchens, which is one of the most likely factors that would influence the purchase decision of the next generation. Sunflower oil being promoted as one of the healthy oils since the pre-satellite TV era, and the consumption of this oil spread across the country. While on the other hand, the consumption of the other two oils is concentrated much towards southern India, with Kerala holding more than 30% consumption of coconut oil. With this uneven distribution of coconut oil, its consumption is expected not to exceed 0.7 million Tonnes. Sesame oil is much popular not only for consumption but also is considered an integral part of the religious rituals and traditions in the south. With many such other uses, only 3/4th of the sesame oil extracted is used for direct consumption, while 12% is used for industrial purposes. With sunflower oil being popular across the country, the market is expected to grow with the highest CAGR among the three, at a rate of more than 11% through the forecasted period, in terms of value. Bonafide Research backs these findings as a conclusion of the recent publication 'India Edible Coconut Oil, Sunflower Oil & Sesame Oil Market Outlook, 2027-28'.

Even though coconut oil is consumed extensively in the country directly or indirectly, many known health organizations, including the World Health Organization, advising to limit or avoiding consumption, due to its high levels of saturated fat. With the increasing awareness of the varied uses of sesame oil other than for cooking and rituals, the demand for organic sesame oil has increased for its use as a massage oil in Ayurvedic wellness centers. The direct consumption of raw sesame oil is considered advantageous for young females. Consumers prefer to purchase pet bottles, as these oils tend to get have a short shelf life once exposed to air, and thus the market is evident with the high share from the 1-liter size segment.

Sunflower oil is popular due to its light golden colors, which are assumed to purity of the oil. As the sunflower is suitable for all cuisines and cookery purposes, the household consumers prefer to purchase in bulk, evidently the 5-litre size segment holding a share of around 28% in 2021, and expected to show an increase in the forecasted period. With the increasing competition from the newer oils, branding themselves as 'healthy' oils, the marketers of sunflower oil still continue their old strategy to targeting the ultimate decision makers - the homemakers, with the light colour and health benefits at a reasonable price. the chances of adulteration remain low in these oils, as the mixing could be caught with the change in the colour and fragrance.

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Being the most preferred in the south, how likely the other markets are for these oils?

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