Australia Vegetable Oils Market Report and Forecast 2025-2034

Australia Vegetable Oils Market Report and Forecast 2025-2034

Market Outlook

According to the report by Expert Market Research (EMR), the Australia vegetable oils market size reached around USD 645.00 million in 2024. Aided by the rising consumer preference for healthier, plant-based cooking oils and the increasing demand for sustainable, eco-friendly production practices, the market is projected to grow at a CAGR of 4.70% between 2025 and 2034 to attain nearly USD 980.2 million by 2034.

The Australia vegetable oils market growth is being fuelled by evolving dietary patterns, rising health consciousness, and the expanding food processing industry. Vegetable oils are extracted from various plant sources, including soybeans, canola, sunflower seeds, palm, and olives, and are widely used in cooking, food manufacturing, cosmetics, and industrial applications. In Australia, the demand for these oils is supported by the growing popularity of healthier cooking options as consumers seek alternatives to animal-based fats. With the rise of clean-label trends and the need for plant-based, heart-healthy fats, vegetable oils have become an essential staple in both household and commercial kitchens.

Health awareness plays a central role in driving the Australia vegetable oils market expansion, particularly those perceived to offer functional benefits such as lowering cholesterol, supporting heart health, and providing essential fatty acids. Oils like canola, olive, and sunflower are especially favoured for their high content of monounsaturated and polyunsaturated fats. These oils are widely promoted as suitable for everyday cooking, baking, salad dressings, and sautéing, making them a common choice for health-conscious consumers. The shift towards light and nutrient-rich diets has also contributed to the reduction in the consumption of trans fats and saturated fats, further propelling the popularity of vegetable-based oils.

The growing vegan and vegetarian population in Australia is also creating lucrative Australia vegetable oils market opportunities. Plant-based eating habits have created a preference for oils that complement meatless and dairy-free dishes, particularly as they serve as key ingredients in vegan spreads, dressings, marinades, and meat substitutes. As food manufacturers reformulate their products to cater to vegan consumers, vegetable oils are being increasingly used in the production of ready-to-eat meals, snacks, and alternative dairy products. The clean taste, texture-enhancing ability, and nutritional profile of these oils make them valuable assets in plant-based recipe development and production.

Australia’s food processing sector significantly boosts the Australia vegetable oils market revenue, with a high demand coming from manufacturers of baked goods, confectionery, sauces, and frozen foods. The stability and versatility of oils such as palm, soybean, and canola make them suitable for industrial-scale cooking and frying applications. Foodservice outlets, including restaurants, fast-food chains, and catering companies, also form a major portion of the market, where large volumes of oil are required for deep frying and meal preparation. To meet the demand for sustainable and high-performance solutions, suppliers are offering oils with longer shelf life, higher smoke points, and fewer impurities, supporting operational efficiency across commercial kitchens.

The cosmetic and personal care industry is another major end-user in the Australia vegetable oils market. Natural oils derived from plants are widely used in the production of skincare products, soaps, lotions, shampoos, and conditioners, owing to their moisturising, nourishing, and antioxidant properties. Oils such as coconut, almond, and olive are preferred for their skin-friendly characteristics and are often marketed as chemical-free alternatives to synthetic ingredients. The rising demand for clean beauty and organic personal care products has opened new avenues for vegetable oil suppliers catering to this segment.

As per the Australia vegetable oils market analysis, the industrial use of vegetable oils in Australia is also growing, particularly in the production of bio-lubricants, paints, coatings, and biodiesel. As the country explores more environmentally friendly and sustainable alternatives to petroleum-based products, vegetable oils are being considered as renewable raw materials for industrial formulations. Government policies aimed at promoting bio-based products and reducing carbon emissions are supporting this shift. The dual use of certain vegetable oils in both food and industrial applications creates a dynamic market structure, influencing supply chains, pricing, and import-export patterns.

Local production and imports of vegetable oils play a significant role in boosting the Australia vegetable oils market revenue. Canola oil, produced largely in regions such as Western Australia, New South Wales, and Victoria, is one of the country’s most prominent vegetable oils. Olive oil production, especially from South Australia, is also a growing sector, driven by increasing consumer interest in premium, cold-pressed varieties. However, oils like palm and soybean are often imported due to limited local production, with major trade partners including Southeast Asian and South American countries.

Challenges faced by the Australia vegetable oils market include fluctuations in raw material prices, climate-related disruptions affecting crop yields, and concerns about deforestation and sustainability in the palm oil supply chain. To address these issues, industry players are investing in traceability systems, certification schemes, and sustainable sourcing practices. Consumer education and transparent labelling are also being prioritised to build trust and support informed purchasing decisions.

Looking ahead, the Australia vegetable oils market is expected to grow further as consumers prioritise health, sustainability, and plant-based nutrition. Continued innovation in oil processing techniques, expansion in vegan and processed food segments, and growing demand from non-food industries are likely to shape the future of the market. With increasing emphasis on quality, functionality, and environmental responsibility, vegetable oils will remain a vital component of the Australian food and industrial landscape.

Market Segmentation

The market can be divided based on type, application, and region.

Market Breakup by Type

• Soybean Oil
• Palm Oil
• Olive Oil
• Sunflower Oil
• Others

Market Breakup by Application

• Food
• Feed
• Industrial

Market Breakup by Region

• New South Wales
• Victoria
• Queensland
• Australian Capital Territory
• Western Australia
• Others

Competitive Landscape

The EMR report looks into the market shares, plant turnarounds, capacities, investments, and mergers and acquisitions, among other major developments, of the leading companies operating in the Australia vegetable oils market. Some of the major players explored in the report by Expert Market Research are as follows:

• Archer-Daniels-Midland Company
• Bunge Global SA
• Cargill Inc.
• Louis Dreyfus Company B.V.
• Wilmar International Limited
• Others

About Us

Acquire unparalleled access to critical industry insights with our comprehensive market research reports, meticulously prepared by a team of seasoned experts. These reports are designed to equip decision-makers with an in-depth understanding of prevailing market trends, competitive landscapes, and growth opportunities.

Our high-quality, data-driven analysis provides the essential framework for organisations seeking to make informed and strategic decisions in an increasingly complex and rapidly evolving business environment. By investing in our market research reports, you can ensure your organisation remains agile, proactive, and poised for success in today's competitive market.

Don't miss the opportunity to elevate your business intelligence and strengthen your strategic planning. Secure your organisation's future success by acquiring one of our Expert Market Research reports today.

*We at Expert Market Research always strive to provide you with the latest information. The numbers in the article are only indicative and may be different from the actual report.