Sesame Oil Manufacturing Business. Extraction of Sesame Seed Oil. Emerging Investment Opportunities in Edible Oil Industry

Sesame oil is a vegetable oil, with the colour ranging from a pale yellow to amber colored oil derived from the seeds of sesame plant. Sesame oil is produced using cold-press methods or normal oil-refining methods. The major application of this oil is found in cooking, the oil is also used in salad dressings, cosmetics and in other health and wellness products. Although the use of this oil in the other industries such as cosmetics has not been significantly high but the consumption of sesame oil for its nutrient has picked up as the trends in healthy living rises.

Sesame oil is also use in certain cosmetic products as well, many hair care and skin care products such as hair serums, hair oil, lotions and conditioners use sesame oil as an active ingredient. It is often severed in the premium cosmetics category where the demand for this product is increasing at much higher levels. This demand is further expected to increase backed by the rise to a nutricosmetics segment in cosmetics industry.

Market Outlook

Sesame Oil is one of the oldest edible oils in the world. It is extracted from the seeds of one of the oldest cultivated plant, namely sesame. The sesame oil is very popular amongst the Southern regions in India, along with countries in Asia, USA, etc. The global Sesame Seed Oil market was million US$ in 2018 and is expected to million US$ by the end of 2025, growing at a CAGR of between 2019 and 2025.

The country is facing a paradigm shift in the consumption of sesame oil because of its increasing use in different cuisines, ayurveda, various massage oils, etc. Sesame Oil is one of the oldest edible oils in the world. It is extracted from the seeds of one of the oldest cultivated plant, namely sesame. The sesame oil is very popular amongst the Southern regions in India, along with countries in Asia, USA, etc.

Due to its nutritional value, people often pick sesame seed oil rather than any other oil for consumption and application. The power packed seed oil is good for overall health, but should only be consumed after consulting a doctor, it is good for skin and hair too. As the seed oil has so many benefits it is in a subtle way taking over the market with the increase in its production. This means that the more demand in the market for sesame oil, the more production will be required. This is also an insight for sesame seeds exporters in India who supply these seeds to different countries in the seed and oil form.

The global Sesame oil market is segmented on the basis of its application, product type, distribution channel, and region. Based on its application, the global sesame oil market is segmented into three main segments; food, cosmetics and dietary supplement. Sesame oil has wide applications as a cosmetic, it is mostly used as nourishing, hair conditioning oil and as skin tonner. In culinary, sesame oil is used as a base for seasoning various dishes in the European cuisine. The use of this oil for cooking purpose is large but the use in cosmetics and dietary supplements is building up and the market is expected to grow at a relatively higher rate during the forecast period.

The product type segment of sesame oil includes; brown sesame oil, pale yellow sesame oil and golden sesame oil. The pale yellow oil is often derived by cold pressing method and is produced directly from raw whereas the darker variants are derived from roasted/toasted sesame seeds.

Highest growth is anticipated to come from the pharmaceutical segment among the major applications of the sesame seed oil market. The sesame oil market growth in this application is expected to increase at a CAGR of 6.6%. Increasing use of sesame oil as an injectable active pharmaceutical ingredient is expected to open new opportunities for the growth of the market in the near future.

Consumption of sesame oil has gained an uptick, owing to its utilization in various products along with food. A major factor sustaining growth of the sesame oil market across the globe, is use of sesame oil in different cuisines, beauty products, Ayurveda, and various massage oils. Adoption of sesame oil is comparatively higher than other essential oils, as it has been the oldest edible oil consumed by humans.

On the back of its nutritional value, consumers are opting the sesame seed oil, and the power packed sesame seed oil is beneficial for the overall human health, provided its consumption post-consulting a doctor. Sesame oil is also well known for its benefits regarding health of hair and skin. Owing to its aforementioned benefits, production of sesame oil has been witnessing a hike over the past few years, which in turn will impact growth of the sesame oil market in the upcoming years.

Increasing demand for sesame seed globally, rising health awareness among individuals, and changing consumer preference towards healthy and nutritious food are major factors expected to drive growth of the global market over the forecast period. In addition, increasing preference towards sesame oil amongst variety of cooking oil and innovation in storage and transportation are other factors expected to further fuel growth of the target market. Furthermore, increasing use of sesame oil in various applications such as in cooking, beauty products, ayurveda products, and various massage oils are also expected to support growth of this market in the near future.

Moreover, increasing adoption of sesame oil in various cosmetics products, owing to the increasing consciousness and awareness among individuals regarding benefits of oil in skin and hair product are expected to propel growth of the global market over the forecast period.

Some of the key players participating in the global sesame oil market includes; Kadoya Sesame Mills Inc., La Tourangelle, Inc., Archer Daniels Midland Company, Pansari Group,  V.V.V & Sons Edible Oils Limited.

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