Groundnut oil and fractions market in Sub-Saharan Africa

Earlier Report Observations

The market for groundnut oil and fractions in Sub-Saharan Africa, centered on Senegal, began the period at 1.2 million tons in 2018. It experienced a gradual decline over the next two years, falling to 1.15 million tons by 2020. During the initial phase, government interventions were introduced, such as a protocol to direct local peanut supplies to domestic refiners and a rule mandating that small retail oil packages contain only Senegalese-produced oil. These measures aimed to strengthen local processing, though significant unsold inventories at the state-owned processor Sonacos pointed to ongoing market challenges.

A recovery commenced in 2021, with market volume expanding to 1.23 million tons by 2022 and stabilizing near that level in 2023. This turnaround coincided with renewed government support, including a major subsidy program for peanut seeds launched in 2023 to boost national production and reduce reliance on imported oils. Subsequent steps in 2024 focused on securing raw materials for local industry, notably through a suspension of peanut seed exports and the introduction of new, higher-yielding peanut varieties designed to improve oil output and climate resilience.

The revival of Sonacos' industrial operations and a policy favoring locally refined oil over imports in small packaging sought to reshape the market structure. However, persistent high stocks among domestic refiners indicated that increasing consumer uptake of local branded oils remained a key objective for the sector by the end of the period.

Production groundnut oil and fractions in Sub-Saharan Africa

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

Sub-Saharan Africa's production of groundnut oil and fractions saw a two-year increase before declining. In 2020, the region produced 1 161 K t, marking a 6.5% year-over-year drop. Production grew by 4% between 2017 and 2020, averaging 1.3% annually. The peak was in 2019 at 1 241 K t, with the largest annual increase of 10.1% occurring in 2018.

Annual dynamics of production in Sub-Saharan Africa in kind, 2017-2020, K t

In value, 2017-2020, M $ US

Following a two-year decline, Sub-Saharan Africa's production value for groundnut oil and fractions rebounded. In 2020, output was valued at 1 553 M $ US, showing a strong 11.2% increase from 2019. However, over the 2017-2020 period, production value fell by 14.4%, with a compound annual growth rate of -5.1%. The lowest value was in 2019 at 1 396 M $ US, and the sharpest decline of 18.5% happened in 2018.

Annual dynamics of production in Sub-Saharan Africa in value, 2017-2020, M $ US

Exports groundnut oil and fractions from Sub-Saharan Africa

Exports in kind, t

Export volumes showed volatility during this period. They reached their highest point in 2019 at 63 521 t, then fell to a low of 11 435 t in 2020, a 5.6-fold decrease. The 2020 figure represents an 82.0% drop from the previous year. The largest increase of 79.1% was recorded in 2018.

Annual dynamics of product's exports from Sub-Saharan Africa in kind, 2017-2020, t

From 2017 to 2020, the main destinations for Sub-Saharan Africa's groundnut oil and fractions exports by volume were China with 34.7%, Italy with 15.2%, and the Netherlands with 14.8%. Together, these three countries accounted for 64.7% of total exports.

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

World map of product's exports from Sub-Saharan Africa in kind, 2017-2020

Exports in value, K $ US

Export values experienced significant fluctuations. They peaked in 2019 at 71 456 K $ US and dropped to 15 296 K $ US in 2020, a 4.7-fold decline. This 2020 value reflects a sharp 78.6% decrease year-over-year. The largest increase of 55.9% occurred in 2019.

Annual dynamics of product's exports from Sub-Saharan Africa in value, 2017-2020, K $ US

Between 2017 and 2020, China was the top destination by value with 33.7%, followed by Italy at 16.3%, and the Netherlands at 16.1%. These three countries combined represented 66.1% of total export value.

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

World map of product's exports from Sub-Saharan Africa in value, 2017-2020

Imports groundnut oil and fractions to Sub-Saharan Africa

Imports in kind, t

Imports of groundnut oil and fractions into Sub-Saharan Africa fell for the third year in a row. In 2020, imports totaled {value_last_year} t, a 47.9% decrease from the previous year. Over the 2017-2020 period, imports declined by 84.9%, with a compound annual growth rate of -46.8%.

Annual dynamics of product's imports to Sub-Saharan Africa in kind, 2017-2020, t

From 2017 to 2020, Malaysia was the largest source of imports by volume with 43.1%, followed by Indonesia at 18.1%, and Singapore at 4.4%. Together, these three countries made up 65.6% of total import volume.

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

World map of product's imports to Sub-Saharan Africa in kind, 2017-2020

Imports in value, K $ US

Import values for groundnut oil and fractions into Sub-Saharan Africa decreased for the third consecutive year. In 2020, imports were valued at 2 345 K $ US, down 18.4% from 2019. Over the 2017-2020 span, import value fell by 80.8%, with a compound annual growth rate of -42.3%.

Annual dynamics of product's imports to Sub-Saharan Africa in value, 2017-2020, K $ US

During 2017-2020, Malaysia led as the top supplier by value with 34.0%, followed by Indonesia at 16.1%, and Turkey at 5.0%. These three countries accounted for 55.1% of total import value.

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

World map of product's imports to Sub-Saharan Africa in value, 2017-2020