Hydrogenated Cottonseed Oil Market - Forecast(2024 - 2030)

Hydrogenated Cottonseed Oil market size is forecast to reach $2.5 billion by 2030, after growing at a CAGR of 3.5% during 2024-2030, owing to the increasing popularity of hydrogenated cottonseed oil. The popularity of hydrogenated cottonseed oil is rising due to its extensive properties such as it contains a high number of antioxidants which are essential for good health, it is better for baking as it is not as heavy as other oils and the light texture of this oil makes it great for cosmetic use, making it a common ingredient in creams and lotions. Also, it is rich in Vitamin E that helps in fighting the free radicals, which is anticipated to drive the hydrogenated cottonseed oil market during the forecast period.

There's a growing emphasis on sustainability throughout the cosmetics and personal care industry, and the Hydrogenated Cottonseed Oil market is no exception. Consumers are increasingly demanding products that are environmentally friendly and ethically sourced. As a renewable resource, cottonseed oil aligns well with this trend. Manufacturers are therefore focusing on sustainable sourcing practices, such as sourcing cottonseed oil from certified organic or fair-trade sources. Additionally, efforts to reduce the environmental impact of production processes, such as optimizing energy usage and minimizing waste generation, are becoming more prevalent within the industry.

Cosmetic and personal care products are continually evolving, with consumers seeking more effective and multifunctional solutions. Hydrogenated cottonseed oil offers various functional benefits, such as moisturization, emulsification, and texture enhancement, making it a valuable ingredient in formulations. Manufacturers are investing in research and development to discover new applications and formulations that leverage the unique properties of hydrogenated cottonseed oil. This includes exploring novel combinations with other ingredients to enhance product performance and cater to evolving consumer preferences for texture, sensory experience, and efficacy.

The COVID-19 pandemic has had a mixed impact on the hydrogenated cottonseed oil market within the personal care and cosmetics sector. Initially, during the early stages of the pandemic, there was a disruption in the supply chain due to lockdown measures, travel restrictions, and labor shortages, which affected the production and distribution of hydrogenated cottonseed oil. The decline in consumer spending and shifts in purchasing behavior during the pandemic led to a slowdown in demand for cosmetic products, including those containing hydrogenated cottonseed oil. With consumers prioritizing essential items and reducing discretionary spending, the sales of non-essential cosmetics were impacted. 

As the pandemic progressed, there was a growing emphasis on personal hygiene and self-care routines, leading to increased demand for skincare and haircare products. This trend contributed to the recovery of the cosmetics market, including products containing hydrogenated cottonseed oil. Rising awareness of the importance of natural and sustainable ingredients in cosmetic formulations has continued to drive the demand for hydrogenated cottonseed oil, as it aligns with the preference for eco-friendly options among consumers.

Overall, while the COVID-19 pandemic initially disrupted the hydrogenated cottonseed oil market, the gradual recovery of the cosmetics sector and continued consumer interest in natural ingredients have helped sustain demand for this product

The report: “Hydrogenated Cottonseed Oil Market – Forecast (2024-2030)”, by IndustryARC, covers an in-depth analysis of the following segments of the hydrogenated cottonseed oil Industry. 

By Type: Partially Hydrogenated, and Fully Hydrogenated

By Application: Personal Care Products & Cosmetics, Food & Beverages (Bakery & Confectionary, Sauces, Spreads & Dressings, Shortenings/Margarine, Others), Food Service Providers, Retail/Households and Others

By Geography: North America (USA, Canada, and Mexico), Europe (UK, Germany, France, Italy, Netherlands, Spain, Russia, Belgium, and Rest of Europe), Asia-Pacific (China, Japan, India, South Korea, Australia, and New Zealand, Indonesia, Taiwan, Malaysia, and Rest of APAC), South America (Brazil, Argentina, Colombia, Chile, and Rest of South America), and Rest of the World (Middle East, and Africa).

• Asia Pacific dominates the Hydrogenated cottonseed oil market, owing to the increasing personal care and cosmetic products industry in the region. The key factor for the increasing personal care and cosmetic products industry in the region is increasing population and per capita income. 

• Hydrogenated Cottonseed Oil is the product obtained by refining and hydrogenating oil obtained from seeds of cultivated plants of various varieties of Gossypium hirsutum or other species of Gossypium. The product consists mainly of triglycerides of palmitic and stearic acids.

• Hydrogenated cottonseed oil contains high amounts of vitamin E, which is an antioxidant with many proven benefits for the skin, including faster wound healing. Vitamin E has also been shown to have a positive effect on skin ulcers, psoriasis, and other skin conditions and injuries, due to which the demand for hydrogenated cottonseed oil is increasing.

• The global hydrogenated cottonseed oil market is driven by the decreasing use of harmful chemicals, including phthalates, aluminum salts, and parabens coupled with committed efforts from several cosmetics manufacturers to develop sustainable products.      

                                               

The fully hydrogenated cottonseed oil segment held the largest share in the Hydrogenated cottonseed oil market in 2023, as fully hydrogenated oils have better characteristics than partially hydrogenated oils. The fully hydrogenated cottonseed oils are firmer and do not contain any of the dangerous artery inflaming trans-fat found in the partially hydrogenated oils. Also, the fully hydrogenated oils are much more like stearic acid, which is a less harmful form of saturated fat. And since stearic acid doesn't raise LDL cholesterol levels, and it's relatively stable, so fully hydrogenated cottonseed oil is being widely used. All these extensive properties of fully hydrogenated cottonseed oil are the key factor anticipated to boost the demand for Hydrogenated cottonseed oil during the forecast period.

The food & beverage application held a significant share in the Hydrogenated cottonseed oil market in 2023 and is growing at CAGR of 4%, owing to the increasing use of hydrogenated cottonseed oil in the food and beverages industries for making potato chips, cookies, crackers, margarine, mayonnaise, salad dressing and more. The demand for hydrogenated cottonseed oil is increasing as it is being widely used in processed foods as cooking oil because of its ability to extend shelf life, low cholesterol, and reduced fat intake. It’s also a popular ingredient for baking as it provides a solid fat index for shortening, making for baked goods that are moist and chewy. Also, hydrogenated cottonseed oil is used by many fast-food chains for deep frying because it enhances the flavor of food instead of masking it and it is less expensive than other vegetable oils, which is anticipated to drive the hydrogenated cottonseed oil market during the forecast period.

Asia Pacific region held the largest share in the hydrogenated cottonseed oil market in 2023 up to 34%, owing to the increasing demand of hydrogenated cottonseed oil from the personal care & cosmetic product industries in the region. According to the International Trade Administration (ITA), China is the 10th largest market for U.S. personal care and cosmetics exports. According to the India Brand Equity Foundation (IBEF), the market size of India's beauty, cosmetic and grooming market will reach $ 20 billion by 2025. Thailand's beauty care and personal care industry are anticipated to have a growth of 7.3% per year from 2024 to 2030. Since the personal care and cosmetic industries are booming, the demand for hydrogenated cottonseed oil is also showing a significant increase. According to Assocham, the rise in the middle-class disposable incomes and people’s growing aspirations to live a good life and look good is increasing the cosmetics market, which is anticipated to further drive the hydrogenated cottonseed oil market in the Asia Pacific during the forecast period.

The Beauty and Personal Care market worldwide is projected to generate a revenue of US$646.20 billion in 2024. It will grow at 3.33% CAGR during the forecast period 2024 – 2030. Hydrogenated cottonseed oil serves as a versatile ingredient with various applications in cosmetics, including skincare, haircare, and makeup products. Its emollient properties make it ideal for moisturizing formulations, helping to soften and hydrate the skin and hair. The increasing consumer demand for natural and sustainable ingredients is propelling the growth of hydrogenated cottonseed oil in the market. As it is derived from cottonseed, a renewable and abundant resource, it aligns well with the growing preference for eco-friendly options among consumers. The rising awareness regarding the benefits of hydrogenated cottonseed oil, such as its ability to improve product texture and stability, is driving its adoption by cosmetic manufacturers. It acts as an effective thickening agent and can enhance the overall performance of cosmetic formulations. Technological advancements in extraction and processing techniques are making hydrogenated cottonseed oil more accessible and cost-effective for cosmetic manufacturers, further fueling its market growth.

The partially hydrogenated cottonseed oil (PHOs) is the primary dietary source of artificial trans-fat in processed foods, and trans-fat has been linked to heart disease. Partially hydrogenated cottonseed oil (PHOs) contains gossypol, which has been found to have several negative side effects such as infertility, reduced sperm counts, pregnancy problems, liver damage, respiratory distress, anorexia. On June 18 2018, the US Food and Drug Administration FDA announced it was revoking the “generally recognized as safe” (GRAS) status of partially hydrogenated oils (PHOs) and food manufacturers cannot add PHOs to human food unless they are approved by the FDA. Thus, the health risks due to which the ban has been imposed on the partially hydrogenated cottonseed oil may restrain its market growth.

Technology launches, acquisitions, and R&D activities are key strategies adopted by players in the Hydrogenated cottonseed oil market. The key companies in the Hydrogenated cottonseed oil market are:

1. Archer Daniels Midland Company

2. JRS Pharma

3. Vink Chemicals

4. ABF Ingredients Ltd. (ABITEC Corporation)

5. Sun Agro Export Co.

6. V.P. Udyog Ltd.

7. Gabani Group

8. Adani Wilmar Limited (AWL)

9. Bunge Ltd.

10. Louis Dreyfus Company

• In September 2023, Bunge Ltd, an American agribusiness and food company, is merging with Viterra Ltd, a Canadian grain handling company. The merger is valued at $34 billion. Bunge's Viterra acquisition would make the world's largest oilseed processor more dominant as it aims to capitalize on soaring demand for vegetable oils to produce biofuels.

Report Code: FBR 53450

Report Code: AGR 0087