Avocado Oil Price Trend and Forecast

Avocado Oil Regional Price Overview

Get the latest insights on price movement and trend analysis of Avocado Oil in different regions across the world (Asia, Europe, North America, Latin America, and the Middle East & Africa).

Avocado Oil Price Trend for the Second Half of 2024

In the second half of 2024, the avocado oil market experienced a rise in consumer interest. Avocado oil, known for its mild, buttery flavor, is a versatile product suitable for dressings, frying, sautéing, and baking. The increasing demand was primarily attributed to a growing preference for plant-based diets and alternatives to traditional edible oils. Additionally, many retailers and food service professionals have recently shifted away from seed oils to cater to the health-conscious market. Despite facing tough competition from olive oil, avocado oil maintained strong demand during this period due to its versatility.
 

Avocado Oil Price Chart

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The prices of avocado oil were closely tied to the cost and supply of the avocado fruit from which it is derived. During this period, avocado prices remained elevated globally due to limited supplies in the market. This increase in the cost of feedstock contributed to the upward trend in avocado oil prices, which remained strong for most of the period, with occasional fluctuations.

Analyst Insight

According to Procurement Resource, the prices of avocado oil are expected to maintain a similar trend in the upcoming months as well influenced by the rising demand and anticipated increase in oil consumption in the winter months.
 

Avocado Oil Price Trend for the First Half of 2024

In the first half of 2024, avocado oil markets saw growing consumer interest. This growth was primarily driven by the rising demand for plant-based foods, particularly among health-conscious consumers and middle-income demographics in developing nations. The health benefits of avocados, such as their rich nutrient content and health benefits, were the key drivers of demand. Avocados also gained popularity in skincare due to their anti-inflammatory and anti-aging properties.

During the said duration, avocado oil experienced a notable shift in its price trend, driven by the global olive oil shortage. Due to a 30-40% production decrease in key olive-growing regions such as Spain, Italy, and Greece, olive oil prices surged, leading to avocado oil becoming more competitively priced. Historically more expensive, avocado oil consistently closed the price gap with olive oil, with instances where it even became the cheaper alternative. This shift has contributed to avocado oil's growing popularity as a culinary staple, particularly due to its health benefits and high-quality production processes in regions like New Zealand.

Analyst Insight

According to Procurement Resource, with the current supply shortages and growing popularity, Avocado Oil prices are expected to rise further in the coming months.
 

Avocado Oil Price Trend for the Second Half of 2023

Avocado oil has a high smoke point, which makes it suitable for cooking, contributing to the production of healthier fried foods. In the cosmetics industry, avocado oil serves as a moisturizing agent in skincare products, thanks to its rich content of vitamins A, D, and E, as well as antioxidants. Additionally, it is utilized in hair care products for its nourishing properties, promoting hair strength and shine.

In the third and fourth quarters of 2023, India welcomed its first shipment of avocados from Kenya, marking a significant milestone in bilateral trade relations. This development followed an agreement between the two countries, facilitated by the Ministry of Agriculture and Farmers' Welfare and the National Plant Protection Organization. The entry of Kenyan avocados increased the market competitiveness, and as a result, the domestic producers and traders had to reduce their prices in order to sustain themselves in the challenging environment.

Kenya, on the other hand, is a major avocado producer and has witnessed rapid growth in avocado plantations, predominantly managed by small-scale farmers. The fruit's expanding global trade and rise in popularity of Kenyan produce helped the market to expand in the overseas sectors. It also benefited the traders as they enjoyed the hike in avocado and its related avocado oil prices throughout the H2 of 2023.

Analyst Insight

According to Procurement Resource, the price trend for Avocado Oil will probably be dependent on the rising reliance of import-sustained countries on overseas exports and the market dynamics of downstream industries.
 

Avocado Oil Price Trend for the First Half of 2023

Avocado oil prices closely mimic the prices of its source fruit Avocado, which is majorly grown in American countries like Mexico, Columbia, and Peru. The first half of 2023 was a good season for Avocado farmers as the harvest turned out to be much better than the last year.

Australia, too witnessed a good harvest season, almost oversupplying the market, but as the fruit kept gaining popularity for its nutritional values, exports were also on the rise. As the consumption rose and the yield also increased, Avocado oil prices also witnessed lower fluctuating price trend, especially in the American and European markets.

Analyst Insight

According to the Procurement Resource, Avocado Oil prices are expected to rise in the coming months, as the consumption and downstream demands from oil industries are on the rise, and the harvest season is getting over. Thus, amidst limited supply and higher demands, prices are expected to incline further.

Procurement Resource provides latest prices of Avocado Oil. Each price database is tied to a user-friendly graphing tool dating back to 2014, which provides a range of functionalities: configuration of price series over user defined time period; comparison of product movements across countries; customisation of price currencies and unit; extraction of price data as excel files to be used offline.