Avocado Oil Market

Avocado Oil Market Outlook (2025 to 2035)

The avocado oil market is valued at USD 652.7 million in 2025. As per Fact.MR analysis, it will grow at a CAGR of 5.5% and reach USD 1,119 million by 2035.

In 2024, the industry was on the rise with tremendous momentum driven by cross-industry growth and supply chain innovation. Demand rose significantly in North America and Europe as functional oils with culinary applications and health benefits started gaining mass popularity.

Leading food companies reimagined snacks, dressings, and sauces featuring avocado oil, leveraging its oxidative stability and high monounsaturated fat levels. At the same time, cosmetic formulators have incorporated it into clean-label moisturizers and serums, taking advantage of its emollient and natural antioxidant benefits.

Notably, some of the top players have also pledged to invest in regenerative avocado farming in Mexico and Kenya to meet the growing demand to counter carbon footprint and loss of biodiversity.

2025 onwards, the global industry for avocado oil is expected to grow at a CAGR of 5.5%, driven by sustained consumer demand for healthy heart fats, anti-inflammatory diets, and natural personal care. The food and beverage industry will continue to be the largest.

Still, the fastest growth will be in wellness and nutraceutical uses, where avocado oil is under investigation for uses in lipid metabolism and skin barrier repair. Stakeholders are repositioning avocado oil as a lifestyle brand, transforming it from being a health food niche brand to being one of the foundational pillars of the preventive wellness economy.

Key Metrics :

Metric	Value
Industry Size (2025E)	USD 652.7 million
Industry Value (2035F)	USD 1,119 million
CAGR (2025 to 2035)	5.5%

Fact.MR Survey Results on Avocado Oil Industry Dynamics Based on Stakeholder Perspectives

A recent Q4 2024 survey of 500 stakeholders was conducted by Fact.MR from the U.S., Western Europe, Japan, and South Korea provides valuable insights on the avocado oil industry. Each of the respondents, split equally between manufacturers, distributors, and end-users, showed diverse viewpoints and regional agendas representing the evolving face of the avocado oil industry.

Throughout all geographies, product sustainability and quality were the consistent priorities. In the United States, stakeholders strongly favored organic, cold-pressed avocado oil (68%) due to increasing demand for natural, health-focused ingredients in food and cosmetics. Sustainability efforts, including green sourcing and environmentally responsible manufacturing practices, are growing, with 74% of U.S. stakeholders citing these as critical to future growth.

Organic certifications and traceability received a high level of support in Western Europe. An estimated 82% of the European stakeholders would opt for traceable sourcing that guarantees environmentally sustainable agriculture. With growing health consciousness and regulatory pressures regarding transparency in products, this region is seeing premium avocado oil products being in higher demand, especially from the cosmetics and wellness sectors.

Stakeholders in Japan are mostly interested in product innovation and cost-effective solutions. Japan's industry has shown a rising trend toward smaller packaging sizes, appealing to single households and urban residents. However, only 32% of the Japanese respondents have begun embracing more premium, organic, or cold-pressed avocado oil because of higher costs. South Korea, however, is observing a rising trend towards beauty products with avocado oil, with high demand for affordable, multi-functional oils.

The survey also shows that, despite regional differences in priorities, price volatility is a common concern in all regions. Over 79% of stakeholders cited increased production costs and logistics problems as key growth impediments, with distribution inefficiencies further exacerbating these problems. U.S. and European stakeholders are, however, more accepting of higher prices for premium-quality oils, while Asian stakeholders are more price-sensitive, indicating a preference for cost-effective solutions.

Government Regulations :

Country	Impact of Policies and Regulations
United States	Government regulation targets FDA labeling and USDA Organic Certification of avocado oil. It is mandatory to comply with rigorous food safety standards. California Prop 65 regulations affect the labeling of products carrying specific chemicals .
India	The Food Safety and Standards Authority of India (FSSAI) requires rigorous quality checks on food oils, including avocado oil, to guarantee safe consumption. Organic certification regulations are dynamic .
China	The General Administration of Quality Supervision, Inspection, and Quarantine (AQSIQ) regulates imported oils. Firms have to adhere to Chinese organic certification standards (China Organic Product Certification) .
United Kingdom	The UK complies with EU organic standards, necessitating EU organic certification for organic-labeled avocado oil. Post-Brexit, the UK still complies with these standards, providing traceability and authenticity of the product .
Germany	Germany, as an EU member, has organic certifications mandated for it under the EU Organic Regulation. Organic certifications, such as import control and quality inspection of food oils, also exist .
South Korea	The Korea Food and Drug Administration (KFDA) has strict food safety controls, such as traceability and source ingredients of food oils. Organic certification also exists for health claims. .
Japan	Japan follows strict labeling rules established by Japan's Food Sanitation Law. Avocado oil must meet JAS (Japanese Agricultural Standard) for organic labeling .
France	France follows EU standards for organic certification and INCO labeling regulations for food. Avocado oil producers must adhere to EU food safety and traceability legislation for domestic oils as well as imported oils. .
Italy	Italy adheres to EU organic certification and labeling procedures under the EU Organic Regulation. Organic producers of avocado oil must conform to National Organic Program (NOP) standards .
Australia-New Zealand	Australia adheres to FSANZ (Food Standards Australia New Zealand) legislation for food safety. Avocado oil producers must obtain organic certification to market their products as organic. The quality assurance standards are stringent. .

Industry Analysis

The industry for avocado oil is anticipated to grow consistently until 2035, driven by increasing global demand for clean-label, nutrient-enriched foods and cosmetics. Growing consumer interest in organic, cold-pressed oil is stimulating business actors to invest in quality improvements and eco-friendly practices. Brands emphasizing health benefits and certified producers are best positioned to capitalize on this trend, while price-sensitive or non-compliant businesses risk losing market share.

Top Strategic Imperatives, Risk Assessment, and Watchlist for Stakeholders

To attain long-term growth, avocado oil industry business owners must concentrate on vertical integration and sustainable sourcing. Building traceable supply chains, especially with ethical avocado production in Africa and Latin America, is now a strategic imperative.

With more regulatory scrutiny globally, especially for organic labeling and food safety certification, meeting regional compliance protocols, such as the USDA Organic, EU Organic, and JAS standards, will become essential.

Furthermore, expanding processing capacity to include cold-pressed, extra virgin, and cosmetic-grade types will allow businesses to create diversified revenue streams and cement leadership in premium health and beauty categories.

However, stakeholders are getting increasingly vulnerable to the uncertainty of climate, particularly in regions where avocados are grown, and this could influence the quality of returns and prices. Moreover, international pressure toward water-hungry farming practices and greenhouse gases is also pushing producers toward greener farming techniques. Further, organic raw material and labor cost inflation-especially in Europe and the U.S., where it is pricier to comply-is a margin risk.

Stakeholders should also monitor rapidly evolving consumer taste for ethical and transparent labeling and anticipate possible tightening of regulations on eco-claims. First movers into green tech, traceability digitization, and compliance automation will likely lead the next round of industry transformation.

For the Boardroom

To stay ahead, businesses need to integrate sustainability and compliance with certification into the fabric of their branding and sourcing approaches. Board-level agendas should now turn to future-proofing supply chains through investment in regenerative agriculture collaborations, blockchain-driven traceability, and localized processing hubs in growth areas such as Southeast Asia and Latin America.

The increasing need for organic, lightly processed avocado oil in food and cosmetic uses necessitates urgent conformity with region-specific standards like USDA Organic, EU Organic, and JAS. Firms that do not respond to increasing environmental pressures, particularly on water usage and emissions in the production of avocados, will suffer brand loss and trade barriers.

This intelligence recasts the road map toward a strategy of premiumization based on transparency, environmental accountability, and technological innovation, shifting compliance from a cost factor to a competitive advantage.

Segment-Wise Analysis

By Product

Extra-virgin oil will be the top-revenue-yielding product segment because consumers are increasingly demanding minimally processed, nutrient-dense oils with enhanced flavor profiles. Fact.MR analysis says this segment will rise at a CAGR of nearly 6% between 2025 and 2035. Increased awareness of cold-pressing and natural processing practices is converting to high-growth demand for high-grade oils in both personal care and food businesses.

Extra-virgin varieties are distinguished by their premium quality and unique brand identity, allowing them to command higher prices in both consumer and direct-to-consumer markets. As a result, producers focused on quality, transparency, and sustainability are poised to gain a competitive edge. With consumers increasingly prioritizing cleaner, more ethical products, these producers are strategically positioned to cultivate a loyal and discerning customer base.

By Application

During the period between 2025 and 2035, cosmetics and personal care are likely to be the most profitable application segment due to the surging demand for plant-based skin care products, clean beauty trends, and the rising dislike of artificial chemicals. With both specialty organic players and multinational beauty firms expanding their portfolios, this category is likely to post a CAGR of 6.5%.

The retail segment is expected to grow steadily due to the increasing consumer demand for accessible, high-quality natural products. As more consumers shift towards wellness-focused lifestyles, they are seeking products with clean, simple ingredients, driving the popularity of avocado oil in retail. Additionally, the rise of online shopping and increased availability of avocado oil across various retail platforms has further expanded its reach and appeal.

By Sales Channel

Online stores will be the fastest-growing sales channel during 2025-2035, driven by rising digital penetration, influencer industry, and growing trust in e-commerce sites for health and wellness products. This platform is expected to show a significant development at a CAGR of 7%, higher that the overall growth rate of the industry.

Consumer behavior toward convenience, bulk buying, and subscription wellness products is transforming premium oil sales worldwide. Direct-to-consumer platforms also allow brands to take margins and offer education-driven value propositions. Modern Trade also plays a pivotal role, as supermarkets and hypermarkets continue to dominate, providing steady, large-scale growth in this sector.

By Source

From 2025 to 2035, Hass avocados will dominate the premium oil market due to their consistent oil production, high fatty acid content, and superior organoleptic qualities, making them ideal for both food and cosmetic applications. This segment is expected to grow at a 5.5% CAGR. As demand for clean-label, sustainable ingredients rises, Hass avocado oil will continue to meet consumer preferences for health-conscious, eco-friendly options.

Hass has become the new standard in premium processing, praised for its exceptional flavor profile, extended shelf life, and widespread industry recognition. Furthermore, global avocado production is increasingly driven by Hass plantations, ensuring reliable supply chains and consistent quality, further solidifying its market leadership.

Country-Wise Analysis

United States

Fact.MR anticipates that the industry in the U.S. will record a CAGR of 5.2% between the forecast period of 2025 and 2035. U.S. consumer tastes are moving firmly toward minimally processed, plant-based oils, underpinning demand in both retail and foodservice channels. Widespread embrace of clean-label eating habits has supported shelf space for premium cold-pressed oils in supermarkets and specialty stores.

This is also being fueled by an explosion of organic certification registrations, where producers are shifting to align with USDA Organic and Non-GMO standards to stay in the industry. Large health food chains and e-commerce players are also building private-label offerings of premium-formulation products. Innovation is emerging in flavored oil infusions for gourmet culinary use and wellness cooking.

India

The sales in India is projected to grow at a CAGR of 5.9% from 2025 to 2035. Urban health trends and a growing middle class are driving higher demand for functional oils in urban areas. Although India historically depended on local edible oils, younger populations are increasingly demanding foreign alternatives that lower cholesterol levels.

Health-focused consumers are adding premium oils to ayurvedic diets, smoothies, and baby food. Domestic FMCG players are introducing blended variants aimed at heart health and digestive care. With FSSAI's stringent food labeling regulations set to be enforced, domestic players are installing new production lines for export and clean-label specifications.

China

China's changing dietary pattern is creating opportunities for premium edible oil substitutes, especially in Tier I towns where Western diets are gaining popularity. Government campaigns promoting the lowering of saturated fats are indirectly contributing to imports of monounsaturated-rich goods. The sector in China to expand at a steady CAGR of 5.4% during the forecast period.

Global brands are taking advantage of China's fast-developing cross-border online shopping platforms to target health-conscious customers. The domestic beauty and skincare industry is also seeing more usage of naturally sourced oils in facial serums and moisturizers, particularly among Gen Z. Tight import rules by AQSIQ are encouraging overseas vendors to collaborate with Chinese companies to facilitate regulatory compliance and quicker industry entry.

United Kingdom

The mature wellness economy in the UK is fueling strong demand for clean-label oils in the health retail and mass supermarkets. With post-Brexit regulatory divergence in progress, businesses are operating a dual-certification model to satisfy both local and EU organic accreditation. UK’s sales is projected to record a CAGR of 5.1% over the forecast period until 2035.

Culinary use is still the primary application, but consumers are increasingly opting for home care and DIY skincare products. British consumers are especially sensitive to sustainable packaging breakthroughs, triggering a clamor of eco-friendly rebranding among local retailers. Organic food stores and health specialty shops are growing high-margin businesses to accommodate gluten-free and vegan lifestyles.

Germany

Germany's strong tradition in organic culture still dictates demand for health food, apothecary, and natural cosmetics outlets. The category enjoys broad consumer knowledge of cold-pressing processes and unprocessed nutritional value.

Compliance with EU organic and pesticide-free regulations has driven product distinction, especially for imported oils. Regional producers are focusing on fair trade sourcing and carbon-neutral supply chains as industry distinctions.

In the meantime, German drugmakers are starting to investigate therapeutic-grade applications, especially in dermaceutical creams and gut-health supplements. The industry in German is estimated to grow at a CAGR of 5.6% throughout the assessment period.

South Korea

The Fact.MR study suggests that the industry in South Korea will achieve a CAGR of 5.3% during the forecast period. South Korea's exploding beauty economy is a primary growth driver, as local beauty brands have added nutrient-rich oils to serums, cleansing balms, and hair care lines. The K-wellness movement is also influencing food habits, emphasizing the importance of functional ingredients in meal preparation.

Online-first beauty retailers are propelling web demand for anti-inflammatory and moisturizing oils. Food R&D centers supported by the government are also facilitating the inclusion of healthier oils in hospital and school meal programs. Small enterprises in the country's export mode are accessing ASEAN industries by repackaging value-added versions as multifunctional wellness essentials.

Japan

The revenue of the avocado oil industry in Japan will grow at a CAGR of 5.0% from 2025 to 2035. The country's aging population and high interest in preventive health drive demand in both the food and supplement industries. Purity and limited processing are of high value in local consumers' eyes, resulting in naturally sourced oils with clinical support being particularly sought after.

Functional oil incorporation in bentos, hospital meals, and elderly nutrition programs is on the rise. With price sensitivity, the industry is gaining traction for small, high-value sizes, particularly those with JAS organic certification backing. Pharmacies and wellness centers are major points of distribution, typically bundling high-end oils with nutraceuticals and fermented foods.

France

France's rich culinary heritage and high-end beauty industry combined help drive uptake for gourmet and cosmetic-grade oil products. Traceability, eco-certification, and fair sourcing are non-negotiable requirements among French consumers, particularly among urban and younger customers. The industry in France is expected to grow with a CAGR of 5.4% during the forecast period.

Artisan manufacturers are picking up industry share by emphasizing terroir, cold extraction, and fair labor sourcing. In cosmetics, there is significant growth in clean beauty brands with botanical bases as substitutes for synthetic emollients. Retail development is focused on organic cooperatives and wellness boutiques, and DTC brands are gaining ground through sustainability storytelling.

Italy

Italy’s sales will have a CAGR of 5.5% over the 2025 to 2035 forecast period. The country's food culture is converging with wellness trends, driving demand for premium oils with dual culinary and therapeutic functions. Local producers are innovating by combining imported oil with Mediterranean herbs and infusions for artisanal culinary use.

Herbal medicine practitioners are also showing increasing interest in utilizing nutrient-dense oils in salves and topical remedies. Farm-to-table movements are particularly prevalent, promoting traceable, short supply chains. Australian consumers also show affinity for traditional bottling looks and glass packaging, the two being equated with high quality and genuineness.

Australia–New Zealand

This region's strong organic retail culture and focus on ethical sourcing are making it a fertile ground for clean-label imports. Local start-ups and native producers are testing sustainable extraction methods, meeting demand from naturopaths and whole-food chefs. Moreover, regulatory certainty from FSANZ has facilitated product claims and labeling, particularly for health food chains and the online wellness industry.

The industry is also gaining momentum in eco-tourism destinations, where well-being-oriented hospitality establishments are presenting gourmet oils in food and spa therapy. The landscape of avocado oil in Australian-New Zealand is projected to grow at 5.7% CAGR over the forecast period according to Fact.MR.

Competitive Landscape of the Avocado Oil Industry

The avocado oil industry is fairly concentrated, with a mix of local players and international majors fighting for industry space. Though big players dominate the production and distribution, local regional brands and organic players are increasingly competing, particularly in health-focused and developing industries.

Premium brands are emphasizing product quality, sustainability, and supply chain transparency to gain ground. Organic certification, cold-press extraction processing, and extension of products into foodservice and cosmetics categories are significant competition strategies. Price positioning, new packaging, and direct-to-consumer sales continue to be substantial industry-influencing factors.

Sesajal S.A. de C.V. expanded in Europe throughout 2024 with the introduction of an innovative line of organic, cold-pressed avocado oil to address the premium food and cosmetics industries. Chosen Foods LLC expanded retail collaborations in Asia with the introduction of flavored lines of avocado oil to address local cuisine popularity. La Tourangelle, Inc., pursued sustainable production through direct connections with Mexican avocado growers to ensure traceability and equitable manufacturing.

Bella Vado, Inc. expanded its e-commerce operations by offering North American health-conscious consumers a subscription service for avocado oil delivery. Grupo Industrial Batellero entered into a joint venture with a European distributor to make supply chains simpler and shorter lead times accessible to bulk purchasers.

Industry Share Analysis

Sesajal S.A. de C.V. (20-25% industry share) will remain a leading player in the world industry for avocado oil in 2025, depending on its solid Mexican supply network, premium-quality cold-pressed offerings, and increasing retail distribution in North America and Europe. The company's focus on organic and non-GMO certifications builds further on its leadership in quality food and cosmetics applications.

Chosen Foods LLC (15-20%) will maintain its upscale position with a sharp emphasis on health-conscious consumers, capitalizing on its flavored avocado oil brands and strategic partnerships with big-box retailers like Costco and Whole Foods. Its entry into Asian industries, specifically China and Japan, will further solidify its growth trajectory.

La Tourangelle, Inc. (10-15%) will strengthen its share of artisanal and responsibly made avocado oil, aimed at gourmet chefs and organic consumers. The company's direct sourcing from Latin American farmers and sustainable packaging will gain more appeal with environmentally conscious customers.

Bella Vado, Inc. (8-12%) will address the direct-to-consumer channel, capitalizing on its subscription service and North America e-commerce growth. It's cold-pressed, small-batch avocado oil targets the health-focused consumer who expects freshness and traceability.

Grupo Industrial Batellero (7-10%) will expand its bulk supply business, supplying food manufacturers and cosmetic firms with low-cost, purified avocado oil. Its joint ventures with European distributors will add logistics and competitive pricing to industrial industries.

Olivado Ltd. (5-8%), however, will still maintain a presence in the organic and private-label industries, selling low-cost but quality avocado oil to supermarkets and health food stores, particularly in Australia and Europe. Its aggressive pricing strategy offers steady demand in the mid-range industry.

Other Key Players

• Spectrum Organics Products, LLC (Hain Celestial Group, Inc.)
• Cibaria International
• Crofts Ltd
• Tron Hermanos, S.A. de C.V.
• Aconcagua Oil & Extract SA
• The Village Press
• Westfalia Fruit (Pty) Ltd
• CalPure Foods, Inc.
• Avocado Health Limited
• Mevi Avocados, Inc.
• Madana Inc.
• Proteco Gold Pty Ltd.
• Olivado USA
• Now Foods
• Avoolio Inc.
• BetterBody Foods
• Kevala International LLC
• Bio Planète
• Ava Jane’s Kitchen
• Westfalia Fruit Group

Segmentation:

• By Product :

  • Extra-virgin Oil
  • Virgin Oil
  • Pure Oil
  • Blends Oil

• By Application :

  • Retail
  • Cosmetics and Personal Care
  • Medicinal
  • Other Applications

• By Sales Channel :

  • Specialty Stores
  • Modern Trade
  • Drug Stores
  • Online Stores
  • Other Sales Channels

• By Source :

  • Hass
  • Fuertes
  • Other Sources

• By Region :

  • North America
  • Latin America
  • Europe
  • APAC
  • MEA