Palm Oil & Mid-Fraction Market Analysis of Key Findings, and New Market Opportunities Explored by 2022-2032

 

Palm Oil & mid-fraction is a preferred derivative over other palm oil co-products due to its functionality to yield higher shelf-life stability in the end-use products. It is generally fractionated to separate its content (mainly containing stearin and olein) through fractionation. When these phases are given a double-fractionation treatment, it gives to rise to palm mid-fraction. Palm oil & mid fraction is rich in content such as tocopherol and carotene and is used mainly in the production of edible fats and butter substitutes. Palm-oil manufactured for industrial processes are used in various forms of derivatives.

Along with shelf life stability, the Palm oil & mid fraction also yields a good texture and volume in the bakery fat applications. The major processing of palm mid-fraction takes place mainly in South East Asian countries- Malaysia and Indonesia, from where it is exported to the rest of regions.

Palm mid-fraction happens to be a primer in the production of cocoa butter equivalents (CBE). Also, palm-mid fraction is a healthier alternative to hydrogenated soft oils used in bakery and confectionery, which further encourages market growth in the backdrop of rising health conscious trends amongst consumers.

Demand for packaged bakery products fuelling Palm oil & mid fraction market growth

As bakery and on-the-go products are a favorite amongst the younger generations, their demand has grown considerably in the past decade. These products which are the major end-use applications for the Palm oil & mid fraction are indirectly driving the growth of the palm mid-fraction market.

Also, manufacturers are facing challenges to developed bakery products which parade combined qualities of shelf life stability as well as good texture and taste in bakery products. The demand for palm mid-fraction is spurred through developing regions such as Nigeria, whose economy is significantly dependent on the production and export of edible fats and oils.

Barriers in the palm mid-fraction market are apparent in the supply chain. The palm mid-fraction demanded in developed countries should be certified for its high quality and sustainability and these expectations are not met across all participants in the supply chain of palm mid-fraction, due to the very fact that in developing regions like Malaysia, production and transport of palm mid-fraction comes at a cost, which the processors are often not ready to pay.

Certifications mainly concern the RSPO (Roundtable on Sustainable Palm Oil) and greenhouse gas emission reductions. RSPO traders and manufacturers of palm mid-fraction are a significant constituency in the palm mid-fraction market, representing about 48% of global palm oil trade.

Global Palm Mid-Fraction market: Key Market Participants

Examples of some of the market participants in the global palm mid-fraction market identified across the value chain are Mewah Group, Intercontinental Specialty Fats Sdn. Bhd., Felda Iffco Sdn Bhd and Pavlos N. Pettas S.A. amongst others.

Palm oil & mid fraction Market: Key Takeaways

In 2015, the company Archer Daniel Midland, which is an agriculture-based ingredient provider began to offer its palm oil in RSPO certified format. The company will provide its palm oil which is traceable and meets RSPO Mass Balance standards.

Opportunities for Palm Mid-Fraction Market Participants:

On the supply side, several opportunities exist for the Indonesian SMEs (Small & Medium-sized Enterprises) to capitalize in the European market, as also the RSPO constituency is coming up special plans to bring Indonesian SMEs under its wing. With their palm mid-fraction meeting quality and sustainability standards, Indonesian palm mid-fraction manufacturers have ample opportunities to tap into the European market potential.

Met by promising demand from the bakery and confectionery industry in Europe and North America for palm mid-fraction, healthy support from government and regulatory bodies is further likely to create a win-win scenario in the palm mid-fraction market for the Indonesian manufacturers.

Global Palm oil & mid fraction: Segmentation:

The palm mid-fraction market is segmented on the basis of grade and end use.

On the basis of grade, the palm mid-fraction market is segmented into-

  • Soft Palm Mid-Fraction
  • Hard Palm Mid-Fraction

On the basis of end use, the palm mid-fraction is segmented into-

  • Food Industry
  • Confectionery
  • Bakery
  • Edible Oils & Fats
  • Others
  • Surfactants & Detergents
  • Personal Care & Cosmetics
  • Others

Main Report Link: https://www.futuremarketinsights.com/reports/palm-mid-fraction-market

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