Report Overview

The Global Block Margarine Market size is expected to be worth around USD 1.96 Billion by 2032 from USD 1.3 Billion in 2022, growing at a CAGR of 4.7% during the forecast period from 2022 to 2032.

Margarine is a substitute for butter which is used in spreading baking and cooking purposes in various food industries. It contains vegetable oils, which are obtained from sunflower or soya bean, and trans fats. It is a non-dairy-based spread that is used in the food industry. It can also be used as a substitute for butter. The margarine is also a water-in-fat emulsion consisting of refined vegetable oils and water. It is also available in several fat concentrations. Margarine is used in food products such as donuts, pastries, cookies, etc. Margarine is most used as a cream in pastries when softened. The block margarine and butter are also similar in hardness. It is packaged in paper wrappers.

Global Block Margarine Market Scope:

Type Analysis

The block margarine market is divided on the basis of type into soft and hard block margarine. Globally, soft-block margarine is the dominant market. The soft one or the spreadable margarine is made of liquid oils, and little hydrogenated oils are used. It can be used as a spreader in various food products like cakes and pizza. The hard block margarine is used for frying, baking, and spreading. These are sold as blocks like butter, whereas the soft block margarine is sold in tubs.

Nature Analysis

The block margarine market is divided by its nature as organic and conventional. The organic segment has dominant in the market. Because the demand for organic products for health-conscious consumers and fitness trainers is increasing the market of organic block margarine. Many players are now moving towards organic block margarine products due to more demand for organic block margarine than in the conventional market.

Distributional Channel Analysis

The global block margarine market is segmented based on distribution channels into online and offline platforms. The offline segment will be dominant in the year 2022. The growth in demand for several margarine products made of vegetable oils in supermarkets is driving the development of the block margarine market. The major driving factor is the easy availability of several block margarine-based products in hypermarkets and supermarkets. The rising demand for ready-to-eat products and the growth of inclination towards online channels to buy the products are driving the development of the global block margarine market. It is due to the growth of adopting lactose-intolerant products on online media and technological advancements. Moreover, the online segment is anticipated to be the fastest-growing segment, with a CAGR of about 5.2% over the forecast period of 2023-2032.

Application Analysis

The block margarine market is divided based on various application as bakeries, spreads, confectionaries, households, toppings, and other applications. In bakeries, the block margarine is used in making bread dough, biscuits, croissants, and many more. In confectionaries, margarine is used to prepare pastry, cake, cream, etc. The block margarine is also used as a topping in food products like cakes, pizza, and other products.

Key Market Segments:

By Type

• Soft
• Hard

By Nature

• Organic
• Conventional

By Distributional Channel

• Online
• Offline
• Super/Hypermarkets
• Specialty Stores

By Application

• Bakery
• Confectionaries
• Spreads
• Households
• Other applications

Market Dynamics:

Drivers

The block margarine is healthier than butter as it doesn’t cause high cardiovascular diseases. Margarine has various applications in food industries in the areas of confectionery, bakery, etc., which increases the demand for margarine in the global market. Block margarine can add available flavors and ingredients to various food products, which is one of the major driving factors of the block margarine global market. The trend of low-fat products is increasing the demand for block margarine products worldwide.

Challenges

The rise in cardiovascular diseases due to the consumption of trans fats is hampering the market growth.

According to World Health Organization, trans fat intake leads to increased deaths every year due to cardiovascular disease. Industrially-developed trans fats are contained in hardened vegetable fats like ghee and margarine, baked foods, fried foods, and snacks. WHO is now planning to eliminate the industrially-produced trans-fatty acids from food products worldwide by carrying out the six strategies of REPLACE package helping to eliminate trans-fat.

Regional Analysis

North America held the most significant block margarine market share in 2022. The market in North America is estimated to contribute 35.6% revenue share in 2022 during the forecast period. Asia Pacific will show the fastest growth in the block margarine market. China and India are the fastest-growing countries in the Asia Pacific which have the potential in growing the market of block margarine and is anticipated to grow in the forecast period. It is due to the growth of block margaric acids in the US. Additionally, the increase in demand for dairy-free food products is further driving the demand for block margarine. Moreover, North America is expected to offer a lucrative growth opportunity to marketers owing to the growth of R&D activities to develop block margarine for several applications.

Key Regions and Countries covered in the report:

• North America
  • The US
  • Canada
  • Mexico
• Europe
  • Germany
  • The UK
  • France
  • Italy
  • Russia
  • Spain
  • Rest of Europe
• APAC
  • China
  • Japan
  • South Korea
  • India
  • Rest of Asia-Pacific
• South America
  • Brazil
  • Argentina
  • Rest of South America
• MEA
  • GCC
  • South Africa
  • Israel
  • Rest of MEA

Market Share & Key Players Analysis:

Some of the major market participants of the market include Unilever, ConAgra, Dairy Crest, and Zydus Cadila. The market’s major players have a large geographical footprint and a wide product range to meet the needs of many foodservice operators, retailers, and industrial customers.

Recent Developments

In November 2020, the food company JBS S.A. acquired the margarine assets from the agribusiness company, Bunge Alimentos SA. The company paid $170.64 million for the assets, which include 3 plants in Brazil and also the brands like Delícia, Gradina, and Primor.

In July 2020, Flora launched vegan block margarine to make consumers enjoy a delicious taste. The product is made of rapeseed, sunflower, and palm oil. It is also available in salted and unsalted variants. The company aims to make dairy-free margarine to make them suitable for vegans.

Market Key Players:

• Unilever
• ConAgra
• Dairy Crest
• Zydus Cadila
• Yidiz Holding
• JBS S.A
• Flora
• Wilmar-International
• Fuji Oil
• Goodman Fielder
• Other Key Players