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Report Overview

2024

Base Year

2018-2024

Historical Year

2025-2034

Forecast Year

India Coconut Oil Market Size

The India coconut oil market is expected to grow at a CAGR of 7.50% in the forecast period of 2025-2034.

India Coconut Oil Market Report Summary Description Value
Base Year USD Million 2023
Historical Period USD Million 2018-2024
Forecast Period USD Million 2025-2034
Market Size 2024 USD Million XX
Market Size 2034 USD Million XX
CAGR 2018-2024 Percentage XX%
CAGR 2025-2034 Percentage 7.50%
CAGR 2025-2034 - Market by Source Organic 9.5%
CAGR 2025-2034 - Market by Application Food and Beverage 8.6%
Market Share by Country 2023 Organic XX%

India Coconut Oil Market Growth

Coconut oil has anti-inflammatory, anti-fungal, and anti-microbial properties, due to which it is used as a preventive healthcare measure. It is extensively used in major industries like cosmetics and personal care as well as food and beverages, among others, which is expected to support the India coconut oil demand growth.

India Coconut Oil Market

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The health benefits associated with the use of coconut oil is surging its use in cooking. The high smoke point and antioxidant properties of coconut favour its use in frying, baking, and sautéing activities. As coconut oil is enriched with diverse flavours, it is extensively utilised in the cooking of traditional cuisines in the country. Moreover, the growing vegan population in the country is leading to a surge in the incorporation of coconut oil as a substitute for butter, contributing to the India coconut oil market expansion.

With the rising demand for healthy bakery and confectionery products, coconut oil is extensively used to boost the nutritional profile in the bakery industry. In addition, the high content of saturated fatty acids and the resistance to oxidative rancidity make coconut oil ideal for use in infant formulas, which is expected to increase the India coconut oil industry revenue.

Industry Outlook

Coconut Oil Import and Export Trends in India and Growing Indian Cosmetics Industry

There is a strong and growing demand for Indian coconut oil in several key markets, however, fluctuations in import values across different years indicate the influence of various market dynamics, such as economic conditions, trade policies, and supply chain factors. The consistent demand from the UAE, Saudi Arabia, and the United States highlights these countries as significant markets for Indian coconut oil, while emerging markets like Tanzania represent opportunities for further expansion. The overall trend underscores India's position as a key exporter of coconut oil, with ongoing potential for growth in both established and new markets.

As per India Brand Equity Foundation, the Indian cosmetics industry is anticipated to expand to US$ 20 billion by 2025, with a Compound Annual Growth Rate (CAGR) of 25%. The growing cosmetics market in India is expected to drive coconut oil demand. In comparison, the global cosmetics industry is growing at a CAGR of 4.3% and is expected to reach US$ 450 billion by 2025.

Coconut Oil Industry Statistics in India

According to the International Trade Centre (ITC) Trade Map data, India's import data for coconut oil and its fractions, whether or not refined but not chemically modified, reveals notable trends over the years from 2019 to 2023. The total import value from global markets has fluctuated significantly. In 2019, India imported coconut oil worth USD 2,315 thousand, which saw a sharp decline to USD 411 thousand in 2020. The year 2021 experienced a minimal increase with imports valued at USD 31 thousand, followed by a more substantial rise in 2022, reaching USD 118 thousand. By 2023, the import value further increased to USD 162 thousand.

In 2019, India exported coconut oil worth USD 19,330 thousand, which increased significantly to USD 29,277 thousand in 2020. The upward trend continued in 2021 with exports reaching USD 43,713 thousand. However, there was a slight dip in 2023 to USD 38,512 thousand. This fluctuation suggests varying global demand and potential shifts in international market conditions affecting Indian exports.

According to the India coconut oil industry analysis, the United Arab Emirates (UAE) has consistently been a major importer of Indian coconut oil. In 2019, the UAE imported USD 9,489 thousand worth of coconut oil, which increased to USD 10,009 thousand in 2020. The upward trend continued in 2021 with imports worth USD 11,224 thousand, peaking at USD 14,046 thousand in 2022, before slightly decreasing to USD 12,057 thousand in 2023. Saudi Arabia also saw a steady increase in imports from USD 1,591 thousand in 2019 to USD 4,479 thousand in 2022, before declining to USD 4,165 thousand in 2023.

The United States emerged as a significant market, with imports rising from USD 419 thousand in 2019 to USD 5,042 thousand in 2021. However, imports dropped to USD 2,655 thousand in 2023. Qatar demonstrated steady growth, increasing from USD 1,246 thousand in 2019 to USD 2,549 thousand in 2023. Other notable importers include Tanzania, which saw a remarkable increase from USD 48 thousand in 2019 to USD 1,669 thousand in 2021, and maintaining high import levels at USD 1,470 thousand in 2022 and USD 2,113 thousand in 2023.

What Factors are Driving the Growth of the India Coconut Oil Market?

  • The country is the largest producer of coconuts in the world, ensuring a steady and abundant supply of raw materials for coconut oil production in India.
  • Long-standing tradition and expertise in coconut oil extraction and processing.
  • Growing awareness of the health benefits of coconut oil, including its anti-inflammatory, anti-microbial, and antioxidant properties.
  • Wide range of uses of coconut oil in culinary, medicinal, cosmetic, and industrial applications.
  • Financial assistance and initiatives from the government to enhance coconut cultivation and processing, such as subsidies and development programs, will likely positively influence the India coconut oil demand forecast.

What Challenges are Impacting the India Coconut Oil Market Share?

  • Vulnerability to price fluctuations due to varying supply and demand dynamics.
  • Inconsistent quality of coconut oil due to differences in processing techniques and raw material quality across different regions can negatively impact the India coconut oil market revenue.
  • Lack of awareness among consumers in some regions about the benefits and uses of coconut oil compared to other edible oils.
  • Heavy reliance on favorable weather conditions for coconut cultivation.
2023 Market Share by Source
Organic XX%
Conventional 74.8%

Key Forces Shaping the India Coconut Oil Market Trends

  • Increasing consumer awareness and preference for natural and organic products, driving demand for virgin coconut oil and other high-quality coconut oil products.
  • Expanding international markets for coconut oil, presenting opportunities for export growth and revenue diversification.
  • Innovation in product formulations and packaging to cater to diverse consumer needs and preferences, such as flavoured oils, fortified oils, and convenience packaging, is expected to positively impact the India coconut oil market dynamics and trends.

India Coconut Oil Market by Segment

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India Coconut Oil Industry Segmentations

CAGR 2025-2034 - Market by Source
Organic 9.5%
Conventional XX%

The major sources of coconut oil are:

  • Organic
  • Conventional

The market can be broadly categorised on the basis of its types into:

  • Virgin
  • Extra-Virgin
  • Refined
  • Others
CAGR 2025-2034 - Market by Application
Food and Beverage 8.6%
Pharmaceuticals 8.1%
Cosmetics XX%
Industrial XX%
Others XX%

By application, the market is divided into:

  • Cosmetics
  • Pharmaceuticals
  • Industrial
  • Others

Based on distribution channel, the market is classified into:

  • Supermarket and Hypermarket
  • Convenience Store
  • Online
  • Others

The EMR report looks into the regional markets of coconut oil in India like North India, East and Central India, South India, and West India.

India Coconut Oil Market Analysis by Type

As the prevalence of various health-related issues in India is significantly surging, virgin coconut oil is increasingly preferred in cooking owing to the high content of minerals and vitamin E. The increasing production of virgin coconut oil in India owing to its versatile uses is augmenting the India coconut oil market development.

With the rising demand for virgin coconut oil in North American and European regions, its export is increasing. Moreover, the rising availability of diverse and cost-effective virgin coconut oil is boosting its sales and coconut oil consumption in India.

The market benefits from the robust growth of the cosmetics and personal care industry in India. As coconut oil contains essential minerals and oils, it is incorporated as a moisturising agent in cosmetics and skincare products, thereby fuelling demand growth. Furthermore, the growing trend of do-it-yourself skincare, popularised during the COVID-19 pandemic, is increasing the use of coconut oil in personal care.

India Coconut Oil Market Report and Forecast

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Competitive Landscape

The report presents a detailed analysis of the key players in the India coconut oil market, looking into their market shares and latest developments like mergers and acquisitions. Some of the leading coconut oil producers in India are:

  • Cocoguru Coconut Industries Private Limited
  • Sri Sellandiamman Oil Mill
  • Marico Limited
  • Patanjali Ayurved Limited
  • Forest Essentials
  • Kama Ayurveda Pvt. Ltd.
  • Mahavir Coconut Industries
  • Dabur Ltd
  • Organic India Private Limited
  • Kayal Agro Foods
  • Shalimar Chemical Works Private Ltd
  • Old Goa Oils and Foods Private Limited
  • JSP FOODS
  • Others

India Coconut Oil Market Key Players and Their Strategic Initiatives

  • Marico Limited
    • Continuously invests in brand-building activities to maintain the market dominance of Parachute and other coconut oil brands.
    • Focuses on sustainable sourcing of coconuts and promotes environmentally friendly practices within its supply chain.
  • Dabur India Limited
    • The India coconut oil market value is increasing due to the growing focus on Ayurveda and its integration with modern products. Dabur leverages its heritage and reputation in Ayurveda to promote its coconut oil products as natural and beneficial for health.
    • Introduces new product formulations that combine coconut oil with other Ayurvedic ingredients to cater to health-conscious consumers.
    • Focuses on expanding its distribution network to rural and semi-urban areas to increase market penetration.
  • Patanjali Ayurved
    • Offers high-quality coconut oil products at competitive prices to attract cost-conscious consumers.
    • Utilizes an extensive distribution network, including its own retail outlets and third-party stores, to ensure wide availability.
    • Emphasizes the natural and Ayurvedic benefits of its coconut oil products through aggressive marketing and advertising campaigns.
  • Kerafed
    • Supports local coconut farmers by ensuring fair prices and providing technical assistance for improved yields.
    • Markets its coconut oil as pure and authentic, derived directly from farmers in Kerala.
    • The India coconut oil market benefits from the introduction of supportive government policies to boost coconut cultivation. Kerafed leverages government support and initiatives to enhance production capabilities and expand market reach.
  • Cargill India
    • Utilizes advanced supply chain management practices to ensure the efficient production and distribution of coconut oil.
    • Invests in research and development to introduce new and innovative coconut oil products tailored to Indian consumers.
    • Focuses on sustainable sourcing and ethical practices to meet the growing demand for responsible and eco-friendly products. 

Competitive Factors in the India Coconut Oil Market Landscape

  • Brands that offer high-quality, pure, and unadulterated coconut oil can command a premium price.
  • Obtaining certifications like organic, non-GMO, and fair trade to enhance credibility and improved brand image is expected to increase the India coconut oil market opportunities.
  • Well-known and trusted brands have a competitive advantage due to established customer loyalty and brand recognition.
  • While some consumers are willing to pay a premium for quality, a significant portion of the market is price-sensitive and looks for the best value.
  • A robust distribution network ensures that products are available in supermarkets, local grocery stores, and online platforms.
  • Strategic partnerships with distributors and retailers can enhance market reach.
  • Investing in advanced processing technologies can improve the quality and shelf life of coconut oil, which will likely increase the coconut oil market share in India.
  • Innovating with new product variants, such as fortified oils, and ready-to-use cooking oils, can attract diverse consumer segments.
  • User-friendly and attractive packaging can influence consumer buying decisions and enhance product appeal.
  • Effective marketing strategies, including advertising, social media campaigns, and influencer partnerships, can increase brand visibility.
  • Highlighting the health benefits of coconut oil in marketing messages.

Key Highlights of the Report

REPORT FEATURES DETAILS
Base Year 2023
Historical Period 2018-2024
Forecast Period 2025-2034
Scope of the Report

Historical and Forecast Trends, Industry Drivers and Constraints, Historical and Forecast Market Analysis by Segment:

  • Source
  • Type
  • Application
  • Distribution Channel
  • Region
Breakup by Source
  • Organic
  • Conventional
Breakup by Type
  • Virgin
  • Extra Virgin
  • Refined
  • Others
Breakup by Application
  • Food and Beverage
  • Cosmetics
  • Pharmaceuticals
  • Industrial
  • Others
Breakup by Distribution Channel
  • Supermarket and Hypermarket
  • Convenience Store
  • Online
  • Others
Breakup by Region
  • North India
  • East and Central India
  • West India
  • South India
Market Dynamics
  • SWOT Analysis
  • Porter's Five Forces Analysis
  • Key Indicators for Demand
  • Key Indicators for Price
Trade Data Analysis
  • Major Exporting Countries
    • By Value
    • By Volume
  • Major Importing Countries
    • By Value
    • By Volume
Competitive Landscape
  • Market Structure
  • Company Profiles
    • Company Overview
    • Product Portfolio
    • Demographic Reach and Achievements
    • Certifications
Companies Covered
  • Cocoguru Coconut Industries Private Limited
  • Sri Sellandiamman Oil Mill
  • Marico Limited
  • Patanjali Ayurved Limited
  • Forest Essentials
  • Kama Ayurveda Pvt. Ltd.
  • Mahavir Coconut Industries
  • Dabur Ltd
  • Organic India Private Limited
  • Kayal Agro Foods
  • Shalimar Chemical Works Private Ltd
  • Old Goa Oils and Foods Private Limited
  • JSP FOODS
  • Others

India Coconut Oil Market Report Snapshots

India Coconut Oil Market Size

India Coconut Oil Market Growth

India Coconut Oil Companies

*While we strive to always give you current and accurate information, the numbers depicted on the website are indicative and may differ from the actual numbers in the main report. At Expert Market Research, we aim to bring you the latest insights and trends in the market. Using our analyses and forecasts, stakeholders can understand the market dynamics, navigate challenges, and capitalize on opportunities to make data-driven strategic decisions.*

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Key Questions Answered in the Report

The India coconut oil market is projected to grow at a CAGR of 7.50% between 2025 and 2034.

The market is being aided by the rising use of coconut oil in cooking, the growing vegan population, and the increasing demand for coconut oil in the bakery industry.

Key trends aiding the market expansion are the growth of the cosmetics and personal care industry, the growing trend of do-it-yourself skincare, and the increasing production of virgin coconut oil.

The key Indian markets are North India, East and Central India, South India, and West India.

The various sources of coconut oil are organic and conventional.

The major types of coconut oil are virgin, extra-virgin, and refined, among others.

The various applications of coconut oil are food and beverage, cosmetics, pharmaceuticals, and industrial, among others.

The significant distribution channels in the market are supermarket and hypermarket, convenience store, and online, among others.

The major players in the market are Cocoguru Coconut Industries Private Limited, Sri Sellandiamman Oil Mill, Marico Limited, Patanjali Ayurved Limited, Forest Essentials, Kama Ayurveda Pvt. Ltd., Mahavir Coconut Industries, Dabur Ltd, Organic India Private Limited, Kayal Agro Foods, Shalimar Chemical Works Private Ltd, Old Goa Oils and Foods Private Limited, and JSP FOODS, among others.

Vulnerability to price fluctuations, inconsistency in product quality, and reliance on favorable weather conditions for coconut cultivation are the key challenges in the industry.

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