Soaring chocolate consumption boosts demand for interesterified fats
A study is projecting that the chocolate industry is to scale up in the coming years to replace cocoa butter with interesterified fats.
According to Fact.MR, the chocolate industry uses high volumes of cocoa butter, however, with the price escalation of cocoa butter, demand for cocoa butter alternatives including interesterified fats are also witnessing a significant rise.
Interesterified fats can be procured at almost half the price of cocoa butter and the substitution of the latter with the former is not only minimising the cost of chocolate production but is also replenishing the demand-supply gap of cocoa butter.
Interesterified fats have a lower composition of trans fats, which enhances its applicability in confectionery as a suitable substitute to cocoa butters. On this backdrop, the newest report estimates that the global interesterified fats market will witness an absolute dollar opportunity of over US$ 500 Mn during 2019 – 2029.
Key takeaways of global interesterified fats market
- Enzymatic process based interesterfied fats accounted for less than quarter market share in 2018. However, it is projected to garner significant demand during the forecast period.
- Soybean oil based interesterified fats are projected to remain the largest market throughout the analysis period, owing to the unhindered availability of soybeans in the projection period.
- Food processing industry accounted for over half of the interesterified fats market in 2018, and the demand in this sector is projected to witness significant growth during the forecast period.
- North America and Europe together accounted for over 60% of the global interesterified fats market, though the markets in South Asia and East Asia are projected to garner higher CAGR during the forecast period.