Groundnut oil and fractions market in Eastern Asia

Earlier Report Observations

The groundnut oil market in Eastern Asia contracted in 2019, with volume dropping by 8% to 1.8 million metric tons and value falling to USD 15.5 billion, as stricter food safety regulations tightened controls on harmful substances and state-owned enterprises underwent mergers. New brands and small-to-medium enterprises entered the market, intensifying competition. The market rebounded sharply in 2020 to 2.2 million metric tons and USD 23.0 billion, driven by increased consumer demand for healthy oils during the COVID-19 pandemic and government support policies that stabilized supply chains.

From 2021 to 2023, market volume stabilized around 2.1 million metric tons, while value peaked in 2022 at USD 25.4 billion before declining to USD 20.6 billion in 2023. This value volatility reflected raw material price fluctuations due to global climate and geopolitical factors. Regulatory changes such as enhanced labeling rules and quality enforcement continued to shape production standards. Consumer preference shifts spurred growth in high-oleic and organic segments, and e-commerce channels expanded significantly. Major state-owned producers invested in capacity expansion, cold-press technology, and digital transformation to capture premium demand.

Production groundnut oil and fractions in Eastern Asia

In kind, 2017-2020, K t

Top producers of groundnut oil and fractions, 2017-2020

World map of production of groundnut oil and fractions, 2017-2020

After two years of decline, groundnut oil and fractions production in Eastern Asia rebounded. In 2019, production hit its lowest point at 1,597 K t, with the largest decline of 12.4% recorded that year. By 2020, output surged to 1,902 K t, marking a strong year-over-year increase of 19.1%.

Annual dynamics of production in Eastern Asia in kind, 2017-2020, K t

In value, 2017-2020, M $ US

Following a two-year decrease, groundnut oil and fractions production in Eastern Asia saw a significant recovery in value terms. In 2019, the minimum value was recorded at 15,277 M $ US, with the largest decline of 20.6% occurring that year. By 2020, production value rose sharply to 22,580 M $ US, up 47.8% year-over-year. Over the period from 2017 to 2020, production increased by 5.4%, equating to an annualized growth rate of 1.8%.

Annual dynamics of production in Eastern Asia in value, 2017-2020, M $ US

Exports groundnut oil and fractions from Eastern Asia

Exports in kind, K t

Eastern Asia's groundnut oil and fractions export volume declined for the second consecutive year. In 2018, exports peaked at 11.4 K t, with the largest increase of 6.1% recorded that year. By 2020, exports dropped to 4.4 K t, reflecting a decline of 59.2% compared to 2019. Over the 2017-2020 period, exports decreased by 59.2%, with a compound annual growth rate of -25.8%.

Annual dynamics of product's exports from Eastern Asia in kind, 2017-2020, K t

The partner structure of exports in kind from 2017 to 2020 remained fragmented. Malaysia accounted for 11.3% of exports, the United States for 4.2%, and Singapore for 2.8%. Together, these three countries represented only 18.3% of total flows, with no single destination achieving a dominant share.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Eastern Asia in kind, 2017-2020

Exports in value, M $ US

After a two-year drop, foreign groundnut oil and fractions supplies from Eastern Asia increased. In 2018, the largest decline of 3.0% was recorded, and by 2019, exports reached their minimum value at 25.3 M $ US. In 2020, exports rebounded to 33.7 M $ US, showing a sharp increase of 33.4% compared to the previous year. Between 2017 and 2020, exports grew by 25.6%, equating to an annualized rate of 7.9%.

Annual dynamics of product's exports from Eastern Asia in value, 2017-2020, M $ US

Data from 2017 to 2020 indicate that exports in value terms of groundnut oil and fractions from Eastern Asia were not concentrated on a few key destinations. Malaysia accounted for 9.8% of exports, the United States for 7.1%, and Singapore for 2.4%. Collectively, these three countries represented only 19.3% of total flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Eastern Asia in value, 2017-2020

Imports groundnut oil and fractions to Eastern Asia

Imports in kind, K t

Eastern Asia's groundnut oil and fractions import volume increased for the third consecutive year. In 2020, imports totaled 284.4 K t, up by 38.2% compared to the previous year. Over the period from 2017 to 2020, imports grew by 134.8%, equating to an annualized rate of 32.9%.

Annual dynamics of product's imports to Eastern Asia in kind, 2017-2020, K t

From 2017 to 2020, Argentina, India, and Brazil were the main sources of groundnut oil and fractions imports in kind to Eastern Asia. Argentina accounted for 31.4% of imports, India for 20.0%, and Brazil for 19.1%. Together, these three countries absorbed 70.5% of total imports.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Eastern Asia in kind, 2017-2020

Imports in value, M $ US

Groundnut oil and fractions imports into Eastern Asia increased for the third consecutive year. In 2020, imports totaled 468.6 M $ US, indicating an advance of 86.1% year-over-year. Over the period from 2017 to 2020, imports increased by 165%, with a compound annual growth rate of 38.4%.

Annual dynamics of product's imports to Eastern Asia in value, 2017-2020, M $ US

In 2017-2020, Argentina, India, and Brazil continued to lead as suppliers of groundnut oil and fractions to Eastern Asia in value terms. Argentina accounted for 27.2% of imports, India for 22.4%, and Brazil for 18.6%. Jointly, these three countries took 68.2% of total imports.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Eastern Asia in value, 2017-2020