Asia Pacific Used Cooking Oil Market

Asia Pacific Used Cooking Oil Market Analysis:

Asia Pacific Used Cooking Oil Market is expected at USD xx.xx million in 2021 and is anticipated to extent an over of USD xx.xx million by the end of the assessment period. The Asia Pacific Used Cooking Oil Market is estimated to experience reasonable growth to record a CAGR of 4.53% throughout the estimate period (2022 - 2027).

Used cooking oil is also known as used vegetable oil. Used cooking oil is produced as a result of the repeated use of vegetable oils used to cook food in the commercial and household sectors. Used cooking oil can be derived from a variety of vegetable oils, including sunflower, palm, rapeseed, soybeans, and others, and is generally in a mixed composition.

Recent Developments 

Dallas/Fort worth International Airport’s environmental efforts include becoming a carbon neutral airport by 2030 and now turning used cooking oil from its F&B outlets into sustainable aviation fuel (SAF). DFW recently set the ambitious goal of reducing its carbon emissions to net zero by 2030. To achieve this, the Texas gateway looked at its waste management challenges as a sustainability and cost-reduction opportunity.

To strengthen its raw material purchasing operations in Asia, Greenergy acquired 100% of the shares of Rexon Energy, a Singapore-based exporter of used cooking oils. This is an initial investment for Greenergy to provide raw materials for its biodiesel manufacturing operations and an additional investment related to its recent acquisition of a dormant Oiltanking biodiesel manufacturing plant in Amsterdam, which is scheduled to start production in 2019.

Darling Ingredients Inc., announced today that it has acquired substantially all of the assets of Kruger Commodities, Inc., including the protein converting facilities in Hamilton, MI and Tama, IA, as well as a protein blending operation and used kitchen oil collection business in Omaha, NE to support our low carbon fuel initiative at Diamond Green Diesel. Darling Ingredients Inc. is a global developer and producer of sustainable natural ingredients from edible and inedible bionutrients, creating a wide range of ingredients and specialized solutions tailored for customers in the pharmaceutical, nutraceutical, food, feed and food industries.

PDM Group, a Doncaster-based food waste and recycling company, agreed to acquire Ashworths Products from director Robson Rhodes LLP. The acquisition includes a collection service and dedicated processing plant in Accrington, Lancashire, which is capable of recycling 1,000 tons of used oil each week into biodiesel. The company reaches an approximate turnover of 8.3 million euros and will be integrated into the renewable energy division of the PDM group.

Market Drivers and Restraints:

The increase in the use of used cooking oil as a feedstock for biodiesel production is driving the growth of the used cooking oil market. Furthermore, a wide application of used cooking oil in the production of hydrogen gas, biolubricants, greases, oil chemicals, animal feed and the like has also increased the demand for used cooking oil in industry. This, in turn, promotes market growth. However, the increase in the theft of used cooking oil and a lack of awareness about the use of used cooking oil are the factors that are expected to hamper the growth of the used cooking oil market in the coming years. However, initiatives taken by the governments of different countries, especially to convert used cooking oils into biodiesel, are expected to provide an immense opportunity for the growth of the used cooking oil market.

Market Segmentation

The segment of the Asia Pacific Used Cooking Oil is classified by source, application and region. By source, the Asia Pacific Used Cooking Oil is classified into household and food services. The household sector accounted for the largest Asia Pacific Used Cooking Oil share in 2018. This is due to the increase in the number of food and service industries and hotels around the world, which translates into increased production of cooking oil used that is collected in bulk by Suppliers. By application, the market is classified into industry usage, animal feed, and others.

Impact of COVID-19 on Asia Pacific Used Cooking Oil Market

The recent coronavirus outbreak has disrupted the global supply chain associated with used cooking oil. Nationwide lockdowns in almost all countries have led to the closure of the restaurant industry, drastically reducing the supply of UCO to UCO processors. UCO recycling has seen a sudden decline due to limited product supply and labor shortages. The impact on the catering industry reflects the impact on this market. The recovery of the restaurant industry and renewed cooking oil production are expected to contribute to the growing demand for UCO once the pandemic is under control.

Regional Analysis

The market for Asia Pacific Used Cooking Oil has been categorized on the basis of geography to offer a clear understanding of the market. The Market for Asia Pacific Used Cooking Oil has been divided into China, Taiwan, South Korea, India, Japan, Australia, and New Zealand, and the rest of the Asia-Pacific. The Asia Pacific market is expected to record the highest CAGR of 4.53% during the forecast period. The increasing use of UCO in biodiesel is expected to be one of the main drivers of market growth in the region. Additionally, various initiatives taken to collect used cooking oil from various restaurants are driving the growth of the used cooking oil market. For example, Zomato, which is a restaurant aggregator and offers a food delivery service, has taken initiatives to collect used cooking oil from various restaurants in India to convert it into biodiesel. This promotes the growth of the used cooking oil market.

Leading Company

Valley Proteins had the largest share of the Asia Pacific Used Cooking Oil Market in terms of sales revenue in 2021.

Key Players

The Asia Pacific Used Cooking Oil Market is concentrated with well-established players. Key players in the Asia Pacific Used Cooking Oil Market include Oz Oils Pty Ltd., Valley Proteins, Inc., Brocklesby Limited, GREASECYCLE, Grand Natural Inc., Waste Oil Recyclers, Olleco, Arrow Oils Ltd, Proper Oils Company Ltd, and Proper Oils Company