Buttered up: Exports will continue to grow revenue and demand for margarine and cooking oil

The Margarine and Cooking Oil Processing industry in Canada grew over the five years to 2019 as enterprises expanded operations in Canada and demand for the industry's products rose. The direction of the industry is largely influenced by the multinational corporations that also have a presence in the industry's supply chains and upstream markets. The versatility of soybeans, canola and corn has enabled the industry to continuously innovate its products and keep up with trends in consumption. Modern oil and margarine processors are increasingly developing products that are nutritious, flavorful and often organic to appeal to health-conscious consumers. The industry is expected to continue growing over the next five years to 2024...read more.

Industry Statistics & Market Size
Annual Growth 14-19
Forecast Growth 19-24

Industry Threats & Opportunities

  • Modern oil and margarine processors are increasingly developing products to appeal to health-conscious consumers
  • Canada in particular has grown its presence as a major processor of oilseeds
  • Consolidation is expected to increase throughout the industry
  • Industry Report - Industry Key Buyers Chapter

    The Margarine and Cooking Oil Processing industry in Canada has a moderate to high level of concentration, with the top five operators accounting for an estimated 70.4% of industry revenue in 2019. The major players of the industry are large, vertically integrated and multinational companies that can afford to have more plants and facilities. The industry's small size to begin with, at an estimated total of 125 establishments, makes it easier for larger companies to gain market share over their smaller competitors with only a handful of facilities. For example, private company Cargill Inc. has only five industry-contributing locations in Canada but maintains an estimated 12.3% market share after accounting for the company's revenue...purchase to read more.

    Additional Insights for the Margarine & Cooking Oil Processing Industry

    IBISWorld identifies 250 Key Success Factors for a business.The most important for the Margarine & Cooking Oil Processing Industry are

  • Downstream ownership links
  • Supply contracts in place for key inputs
  • Economies of scale
  • IBISWorld analysts also discuss how external factors such as Consumer spending and World price of soybeans in the Margarine & Cooking Oil Processing industry impact industry performance..

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    What's in this report

    What is the Margarine & Cooking Oil Processing Industry?

    Operators in this industry produce cooking oil, shortening and margarine. Activities include wet-milling corn and vegetables, crushing oilseeds and tree nuts, refining and blending cooking oils and blending purchased animal fats with vegetable fats.

    Industry Products
  • Oilseed processing
  • Wet corn milling
  • Fat and oil refining and blending
  • Industry Activities
  • Margarine
  • Vegetable oil, meal or cake
  • Edible oils or fats blending and
  • Deodorized vegetable oil
  • Starch
  • Refined tallow
  • Refined lard
  • Table of Contents

    Industry Definition
    Main Activities
    Similar Industries
    Additional Resources
    Industry Statistics Snapshot
    Industry Structure
    Executive Summary
    Executive Summary
    Key External Drivers
  • Consumer spending
  • World price of soybeans
  • Canadian effective exchange rate index
  • Demand from food manufacturing

  • Current Performance
  • It is a process
  • Domestic growth and exports
  • Structure
  • Chart: Revenue Growth

  • Industry Outlook
  • Expansion
  • Premium products
  • Rising exports
  • Table: Margarine & Cooking Oil Processing Industry Revenue Outlook

  • Industry Life Cycle
  • Life cycle reasons
  • Chart: Benchmarking - Margarine & Cooking Oil Processing Industry Lifecycle vs The Economy

  • Supply Chains
    Key Buying Industries
  • Chocolate Production in Canada
  • Seasoning, Sauce and Condiment Production in Canada
  • Grocery Wholesaling in Canada
  • Full-Service Restaurants in Canada
  • Margarine & Cooking Oil Processing in Canada

  • Key Selling Industries
  • Corn Farming in Canada
  • Meat, Beef & Poultry Processing in Canada
  • Soybean Farming in Canada
  • Vegetable Farming in Canada

  • Products & Services
  • Oilseed processing
  • Fat and oil refining and blending
  • Wet corn milling
  • Chart: Margarine & Cooking Oil Processing Industry Products and Services Segmentation

  • Demand Determinants
    Major Markets
  • Exports
  • Food manufacturers
  • Retailers
  • Grocery wholesalers
  • Foodservice providers
  • Chart: Major Market Segmentation for the Margarine & Cooking Oil Processing Industry

  • International Trade
    Business Locations
    Chart: Business Locations by State
    Market Share Concentration
    Key Success Factors
    Cost Structure Benchmarks
  • Profit
  • Purchases
  • Rent and utilities and depreciation
  • Wages
  • Chart: Cost Structure Benchmarking – Sector vs Margarine & Cooking Oil Processing

  • Basis of Competition
    Internal competitionExternal competition
    Barriers to Entry
  • Table: Barrier to Entry Checklist for the Margarine & Cooking Oil Processing Industry

  • Industry Globalization
    Bunge Limited, Archer Daniels Midland Company, Cargill Inc.,
  • Table: Bunge Limited - financial performance
  • Table: Archer Daniels Midland Company - financial performance
  • Table: Cargill Inc. - financial performance

  • Capital Intensity
  • Chart: Level of Capital Intensity for the Margarine & Cooking Oil Processing Industry
  • Chart: Tools of the Trade: Growth Strategies for Success

  • Technology & Systems
    Revenue Volatility
  • Chart: Volatility vs Industry Growth

  • Regulation & Policy
    Industry Assistance
    Table: Industry Data for the Margarine & Cooking Oil Processing Industry
  • Industry Revenue (2010-2024)
  • Industry Gross Product (2010-2024)
  • Establishments (2010-2024)
  • Businesses (2010-2024)
  • Employment (2010-2024)
  • Exports (2010-2024)
  • Imports (2010-2024)
  • Wages (2010-2024)
  • World Price of Soybeans (2010-2024)

  • Table: Annual Percentage Change for Key Industry Data
    Table: Key Ratios for Industry Key Data
    High-Fructose Corn Syrup (Hfcs)
  • Sweet syrup derived via an enzymatic process to convert its naturally occurring glucose into fructose.
  • Trans Fat
  • A manmade, unsaturated fat that is created by partial hydrogenation. This type of fat is associated with an elevated risk of coronary heart disease.
  • Vertical Integration
  • Owning different parts of the supply chain, either in the form of forward integration (owning downstream buyers) or backward integration (owning upstream suppliers).
  • What Our Customers Say

    Why buy this report?

    IBISWorld’s Margarine & Cooking Oil Processing market research report is a comprehensive guide to market size and growth prospects. Our industry reports offer strategic industry analysis of the factors influencing companies, including new product developments, economic, lifestyle and demographic influences, distribution and supply chain factors and pricing issues. Full analysis accompanies our data forecasts to illustrate how the market responds to emerging industry trends.

    IBISWorld industry market research reports enable you to:
    • Find out about key industry trends
    • Identify threats and opportunities
    • Inform your decisions for marketing, strategy and planning
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    This report on Margarine & Cooking Oil Processing:
    • Provides Market Size information to assist with planning and strategic decisions.
    • Includes the necessary information to perform SWOT, PEST and STEER analysis.
    • Helps you understand market dynamics to give you a deeper understanding of industry competition and the supply chain.
    • Analyses key performance and operational metrics so that you can benchmark against your own business, that of your customers’ businesses, or your competitors’ businesses.
    The Margarine & Cooking Oil Processing market research report includes:
    • Historical data and analysis for the key drivers of this industry
    • A five-year forecast of the market and noted trends
    • Detailed research and segmentation for the main products and markets
    • An assessment of the competitive landscape and market shares for major companies
    • And of course, much more

    IBISWorld reports on thousands of industries around the world. Our clients rely on our information and data to stay up-to-date on industry trends across all industries. With this IBISWorld Industry Research Report on Margarine & Cooking Oil Processing, you can expect thoroughly researched, reliable and current information that will help you to make faster, better business decisions.

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