Market Dynamics
Turkey edible oil industry has been witnessing accelerated growth over the past few years. According to a survey conducted by the Turkish Statistical Institute, the consumption of edible oil in Turkey has increased by 6% between 2014 and 2017, reaching 4.3 million tons in 2017. With the increase in the population, and the rising health consciousness among people, the demand for edible oil in Turkey is expected to continue to increase in the years ahead. The major sources of consumption of edible oil in the Turkey are vegetable cooking oil, butter, margarine and other oils. Among all the edible oil sources, vegetable oil dominates the market, accounting for more than half of the country’s total edible oil demand. Over the forecast period (2018-2032), the demand for vegetable oil is expected to increase slightly, reaching around 70% of the total edible oil requirement. On the supply side, major edible oil producing countries in the Middle East, including Turkey, Iran, Iraq and Syria, have experienced substantial growth in the production. This has been attributed to the recent technological advancements in agro-processing, and government subsidies on edible oil crop production.
The production of edible oil in these countries has witnessed an increase of 10% over the past two years. Also, the number of dedicated edible oil processing plants has also significantly increased over the period. On the export side, the export of edible oil from Turkey has increased substantially in recent years due to the attractive prices compared to some of the other suppliers in the European, Asian and North American markets. This has given Turkey an edge in the international market. Overall, the growth of Turkey's edible oil market is expected to remain positive over the forecast period of 2018-2032, due to rising population, health consciousness, increased production and export. The government initiatives to boost the production and export of edible oil should also help in expanding the market further in the years ahead.
