The demand for non-food uses of palm oil in Saudi Arabia has experienced notable fluctuations over the past decade. From 2014 to 2023, we observe peaks and troughs, highlighting variability in consumption. Specifically, from a decrease in 2015, a significant 30.3% increase occurred in 2016, and the market stabilized somewhat by 2019 with a gradual increase noted at 6.76%. Notably, there were no changes from 2020 to 2022, and a slight increase of 1.27% in 2023 saw the volume standing at 80.0 Thousand Metric Tons. Over the last five years, the compound annual growth rate (CAGR) was 1.57%.
Future projections indicate a steady but marginal increase with forecasted volumes reaching 81.0 Thousand Metric Tons by 2028, reflecting a modest CAGR of 0.25%. While the market shows stability, the slight forecasted growth points to an area of slow but consistent demand.
Future trends to watch for include:
- Technological advancements in non-food applications of palm oil.
- Policy changes impacting the import and use of palm oil derivatives.
- Shifts in industrial demand due to evolving environmental and sustainability standards.
Monitoring these factors will be crucial in assessing the long-term growth and strategic opportunities in this sector.
