Powdered Fats Market Worth $3.43 Billion By 2032 CAGR 4.4%

Powdered Fats Market Size Worth $3.43 Billion By 2032 | CAGR: 4.4%

The global powdered fats market size is expected to reach USD 3.43 billion by 2032, according to a new study by Polaris Market Research. The report “Powdered Fats Market Share, Size, Trends, Industry Analysis Report, By Source, By Processing Technology (Spray Drying, Drum Drying, Freeze Drying, Others), By Application, By Region, And Segment Forecasts, 2024 - 2032” gives a detailed insight into current market dynamics and provides analysis on future market growth.

The expansion of this market is driven by the increasing adoption of low-carb diets among health-conscious consumers and the consequent demand for fats sourced from unique origins like palm, coconut, and sunflower. In low-carb, high-fat diets, individuals frequently turn to powdered fats to incorporate healthy fats into their meals or beverages. A prominent source of powdered fats in these diets is Medium-Chain Triglycerides (MCT) oil powder.

The growing focus on health and nutrition has led consumers to actively seek products that align with their specific dietary preferences and lifestyles. The increasing demand for keto-friendly products has significantly influenced the market for powdered fats, particularly those rich in omega 3, 6, and 9 fatty acids. Simultaneously, the market for vegan products is experiencing rapid expansion as more consumers adopt plant-based diets for ethical, health, and environmental reasons.

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Strategic shift is aimed at meeting the escalating demand for vegan and healthier sources of powdered fats. The inclusion of omega 3, 6, and 9 fatty acids in powdered fats aligns with the health-conscious preferences of consumers, especially those following ketogenic diets, contributing to the overall growth and diversification of the powdered fats market. Additionally, the expansion of the vegan product segment reflects a broader shift in consumer preferences towards sustainable and plant-based options, prompting companies to innovate and offer a more diverse and health-oriented range of powdered fats.

Advancements in manufacturing technologies have facilitated the adoption of encapsulation techniques in the production of powdered fats. This innovation plays a crucial role in limiting the oxidation of fat powders, consequently extending their shelf life. As outlined in a 2023 article titled 'Edible oil to powder technologies: Concepts and advances' on ScienceDirect, the benefits of micro-encapsulated & nano-emulsion-based fats derived from the edible oil are emphasized for their ability to retard the oxidation process. Research indicates that nano-encapsulated powder effectively preserves the quality of oil during storage, exerting a significant impact on maintaining its overall quality.

Powdered Fats Market Report Highlights

  • Beverage segment will grow at the rapid pace, owing to the growing use of powdered fats in ready to drink beverages
  • Palm kernel segment held the largest revenue share, as it is traditionally used in snacks and confectionery industry
  • Asia pacific dominated the market, owing to presence of huge consumers in the region, and rapidly evolving food processing industry
  • The key market players include Aarkay Food Products, Castle Dairy, Hill Natural Extract, Insta Foods, and Kerry Group

Polaris Market Research has segmented the powdered fats market report based on source, processing technology, application and region:

Powdered Fats, Source Outlook (Revenue - USD Billion, 2019 - 2032)

  • Palm & Palm Kernel
  • Coconut
  • Milk
  • Sunflower
  • Canola
  • Corn
  • Others

Powdered Fats, Processing Technology Outlook (Revenue - USD Billion, 2019 - 2032)

  • Spray Drying
  • Drum Drying
  • Freeze Drying
  • Others

Powdered Fats, Application Outlook (Revenue - USD Billion, 2019 - 2032)

  • Dairy & Non-dairy Products
  • Bakery & Confectionery
  • Frozen Desserts
  • Baby Food & Infant Formula
  • Supplements & Nutritional Products
  • Beverages
  • Seasonings & Flavorings
  • Sauces, Dressings, & Condiments
  • Others

Powdered Fats, Regional Outlook (Revenue - USD Billion, 2019 - 2032)

  • North America
  • U.S.
  • Canada
  • Europe
  • Germany
  • UK
  • France
  • Italy
  • Spain
  • Russia
  • Netherlands
  • Asia Pacific
  • China
  • India
  • Japan
  • South Korea
  • Indonesia
  • Malaysia
  • Latin America
  • Argentina
  • Brazil
  • Mexico
  • Middle East & Africa
  • UAE
  • Saudi Arabia
  • Israel
  • South Africa

Powdered Fats Market Report Scope

Report Attributes


Market size value in 2024

USD 2.43 billion

Revenue forecast in 2032

USD 3.43 billion


4.4% from 2024 – 2032

Base year


Historical data

2019 – 2022

Forecast period

2024 – 2032

Quantitative units

Revenue in USD billion and CAGR from 2024 to 2032

Segments covered

By Source, By Processing Technology, By Application, By Region

Regional scope

North America, Europe, Asia Pacific, Latin America; Middle East & Africa


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