The Edible Oils Industry
Discover how Switzerland shapes the edible oils industry. From manufacturing versatile oils like sunflower, rapeseed, and olive to embracing sustainable production methods. In this article, we explore the benefits, uses, and global trends that make edible oils essential in modern kitchens, industries, and general consumption. Last but not least, we introduce you to Swiss Oils, a trusted partner and Torg-verified supplier dedicated to excellence and innovation.
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Quick Walkthrough of the Oil Industry
Swiss oil sector
Think of edible oils’ world-known producers. Does Switzerland go through your mind? While they are not a global leader in edible oil production, they are recognized for their focus on high-quality and sustainably-produced oils. Switzerland produces around 78,000 metric tons of edible oils annually, placing it 88th globally. Just to put it into perspective, an average bathtub can fit around 150 liters of water. It means, that yearly, Switzerland fills up approximately 520,000 of those bathtubs!
However, this amount is still not enough to satisfy the demand. That’s also why Switzerland relies on imports for a significant portion of its edible oil consumption. The country has recently transitioned away from palm oil in favour of alternatives like sunflower and rapeseed oil, reflecting a global trend toward more sustainable oil sources. Here also comes Torg’s verified supplier and one of the market leaders: Swiss Oils.
“Swiss Oils is an international market leader in the edible oils industry. As well as an exclusive partner in exceptional manufacturing solutions, the company offers a wide range of high-quality edible oils and customized individual solutions. With a commitment to excellence and innovation, SWISS OILS AG is dedicated to providing its customers with the best possible products and services. Trust us to deliver the finest quality oils for your everyday needs.” - that’s the company’s spirit in a nutshell and insight shared by Vladislav Fatun, one of the Swiss Oils and MB iHaus EU representatives.
Swiss Oils specialises in crude and refined sunflower oil, rapeseed oil, and virgin and extra virgin olive oil production. Quite a range, isn’t it? On top of that, they also take full responsibility for every stage from the manufacturing process to the end product. As Vladislav shared with us, Swiss Oil guarantees the highest quality of products and services through careful development and customized solutions.
The journey behind the production process
The word “sustainable” has become a part of our daily dictionaries. What does it really mean in the context of edible oil production? Here are some of the factors that are taken into consideration while assessing whether the oil can, or cannot, be labeled as sustainable:
Efficient water usage
One of the methods is soil moisture monitoring, for which farmers use special sensors to provide real-time data on soil water content. Thanks to that, farmers optimize irrigation schedules and water only when necessary.
Reduced greenhouse gas emissions
An example of such practice is cover cropping. This method requires planting additional crops outside the primary growing season to protect soil and increase organic matter, reducing carbon dioxide emissions.
Traceability
In other words, ensuring full transparency of the supply chain, from farm to final product.
Certification.
Companies that have proven their sustainable efforts usually obtain certifications, such as ISCC (EU/Plus) or other organic certifications.
Energy efficiency
Usage of energy-efficient processing methods, such as cold-pressing for oil extraction when possible.
Biodiversity preservation
Avoiding monoculture.
By-product utilization
Be creative and use all parts of the plant, including extracting proteins and other valuable compounds.
Fair labor practices.
Let’s not forget about the social aspect of this industry. Fair wages and safe working conditions are a must for farmers and all other workers. You can read more about the labor standards in the supply chain and member companies in the Fair Labor Code.
Efficient extraction methods
There is a whole science behind different oil extraction methods. Here’s a comprehensive guide, covering topics such as mechanical extraction, chemical extraction, microwave-assisted extraction, and more.
Cost-effective Packaging Solutions
Lightweight Packaging One effective approach is to reduce the weight of packaging materials. For instance, PET bottles for edible oils have seen significant weight reductions. In 2000, a 5-liter PET bottle weighed around 130 grams, but now it can be as light as 95 grams - a 27% reduction.
Integrating packaging materials with production lines can significantly reduce costs. This approach eliminates secondary contamination risks during transportation and allows for more efficient production processes.
Packaging choices in the edible oils industry directly influence both profit margins and product quality. Even though going for sustainable options may seem more expensive, in the long run this choice can provide long-term savings and market advantages. In terms of product quality, plastic packaging dominates due to its ability to maintain oil quality and freshness. Moreover, eco-friendly materials can maintain product integrity while appealing to environmentally conscious consumers. Not to mention the health benefits: microplastics have become a significant concern in the edible oils industry. Recent studies have detected the widespread presence of microplastics in various vegetable oils, including olive oil, sunflower oil, and palm oil. Sustainable packaging can significantly reduce microplastic pollution. Therefore, innovation plays a crucial role in developing sustainable packaging solutions for the edible oils industry, addressing both environmental concerns and consumer demands. By focusing on innovation in sustainable packaging, the edible oils industry can meet consumer expectations, reduce environmental impact, and stay ahead in a competitive market.
Of course, if you want to know more about the topic, there are plenty of other methods and approaches, differing across countries, plants, production processes, etc. It’s important to be up-to-date with all the innovations, both for the sake of the environment as well as meeting customer needs. Can you do both at the same time? It’s definitely a big challenge for a lot of suppliers nowadays. As Vladislav from Swiss Oils shared with us, the main challenges are:
“Clear market analysis, accurate forecasting, and diversification of production processes today are the keys to the most effective transactions between our company and clients.”
Solution? For Swills Oils it’s effective project management at the initial stage of production processes, as it allows them to be relatively flexible and adapt according to the customer's needs. The company delivers the highest level of care and attention to its customers by continuously improving the automation, security, and efficiency of its processes.
Energy prices, particularly crude oil prices, have a significant influence on edible oil pricing through multiple channels.
One of the direct impacting factors is higher energy prices. That includes increased fuel costs for transportation and machinery used in cultivation and harvesting, higher costs for energy-intensive processes like extraction and refining, and elevated expenses for packaging and distribution. These increased costs are often passed on to consumers, leading to higher edible oil prices
The growing demand for biofuels has significantly impacted the supply and pricing of edible oils, particularly palm and soybean oil. The International Energy Agency projects a 56% increase in demand for vegetable oil, waste, and residue oils and fats for biofuel production from 2022 to 2027, raising the share of vegetable oil production directed to biofuels from 17% to 23%. This surge in demand is putting pressure on edible oil supplies, potentially leading to price increases and supply constraints.
The edible oils industry faces significant challenges and transformations in the coming years. The global market is projected to reach USD 268.9 billion by 2027, growing at a CAGR of 4.8% from 2022 to 2027. However, this growth is accompanied by challenges such as shrinkflation, although its prevalence has decreased since 2015-2016. Consumer awareness of health benefits is driving demand for premium oils like olive and avocado, while sustainability concerns are influencing production methods. The industry must also navigate geopolitical uncertainties, fluctuating raw material prices, and the increasing popularity of plant-based alternatives. Food fraud remains a significant concern, estimated to cost the global food industry between $10-40 billion annually. Technological advancements in agriculture, extraction methods, and packaging are expected to shape the industry's future. Adapting to these trends while maintaining affordability and quality will be crucial for edible oil producers in the coming years. One of the ways to adapt, is to focus on the aforementioned sustainable packaging methods. As the edible oils industry faces economic pressures, including shrinkflation, innovative packaging solutions are emerging to maintain product quality and quantity without significantly increasing costs
Product authenticity concerns in the edible oils industry are widespread and significant. Food fraud in this sector is estimated to cost the global food industry up to $40 billion annually. Common fraudulent practices include blending expensive oils with cheaper substitutes, incorrect labeling, and adding unauthorized additives. The prevalence of fraud is alarming, with up to 85% of loose edible oil sold in India across states found to be adulterated. Premium products are particularly vulnerable, with reports suggesting that up to 80% of Italian extra virgin olive oil on the market may be fraudulent. These adulterations pose serious health risks to consumers, including liver damage, cardiac issues, and even cancer. Economic consequences are severe, threatening the livelihoods of honest companies. Detection efforts involve advanced analytical techniques such as gas chromatography and high-performance liquid chromatography. Despite the severity of the issue, regulatory bodies face challenges in addressing food fraud, with current incidents not receiving significant attention from governing bodies. Addressing these concerns requires a collaborative effort from producers, regulators, and consumers to ensure transparency, quality, and safety throughout the supply chain.
Efficient water usage
One of the methods is soil moisture monitoring, for which farmers use special sensors to provide real-time data on soil water content. Thanks to that, farmers optimize irrigation schedules and water only when necessary.
Reduced greenhouse gas emissions
An example of such practice is cover cropping. This method requires planting additional crops outside the primary growing season to protect soil and increase organic matter, reducing carbon dioxide emissions.
Traceability
In other words, ensuring full transparency of the supply chain, from farm to final product.
Certification.
Companies that have proven their sustainable efforts usually obtain certifications, such as ISCC (EU/Plus) or other organic certifications.
Energy efficiency
Usage of energy-efficient processing methods, such as cold-pressing for oil extraction when possible.
Biodiversity preservation
Avoiding monoculture.
By-product utilization
Be creative and use all parts of the plant, including extracting proteins and other valuable compounds.
Fair labor practices.
Let’s not forget about the social aspect of this industry. Fair wages and safe working conditions are a must for farmers and all other workers. You can read more about the labor standards in the supply chain and member companies in the Fair Labor Code.
Efficient extraction methods
There is a whole science behind different oil extraction methods. Here’s a comprehensive guide, covering topics such as mechanical extraction, chemical extraction, microwave-assisted extraction, and more.
Cost-effective Packaging Solutions
Lightweight Packaging One effective approach is to reduce the weight of packaging materials. For instance, PET bottles for edible oils have seen significant weight reductions. In 2000, a 5-liter PET bottle weighed around 130 grams, but now it can be as light as 95 grams - a 27% reduction.
Integrating packaging materials with production lines can significantly reduce costs. This approach eliminates secondary contamination risks during transportation and allows for more efficient production processes.
Packaging choices in the edible oils industry directly influence both profit margins and product quality. Even though going for sustainable options may seem more expensive, in the long run this choice can provide long-term savings and market advantages. In terms of product quality, plastic packaging dominates due to its ability to maintain oil quality and freshness. Moreover, eco-friendly materials can maintain product integrity while appealing to environmentally conscious consumers. Not to mention the health benefits: microplastics have become a significant concern in the edible oils industry. Recent studies have detected the widespread presence of microplastics in various vegetable oils, including olive oil, sunflower oil, and palm oil. Sustainable packaging can significantly reduce microplastic pollution. Therefore, innovation plays a crucial role in developing sustainable packaging solutions for the edible oils industry, addressing both environmental concerns and consumer demands. By focusing on innovation in sustainable packaging, the edible oils industry can meet consumer expectations, reduce environmental impact, and stay ahead in a competitive market.
Of course, if you want to know more about the topic, there are plenty of other methods and approaches, differing across countries, plants, production processes, etc. It’s important to be up-to-date with all the innovations, both for the sake of the environment as well as meeting customer needs. Can you do both at the same time? It’s definitely a big challenge for a lot of suppliers nowadays. As Vladislav from Swiss Oils shared with us, the main challenges are:
“Clear market analysis, accurate forecasting, and diversification of production processes today are the keys to the most effective transactions between our company and clients.”
Solution? For Swills Oils it’s effective project management at the initial stage of production processes, as it allows them to be relatively flexible and adapt according to the customer's needs. The company delivers the highest level of care and attention to its customers by continuously improving the automation, security, and efficiency of its processes.
Pricing Dynamics
Energy prices, particularly crude oil prices, have a significant influence on edible oil pricing through multiple channels.
One of the direct impacting factors is higher energy prices. That includes increased fuel costs for transportation and machinery used in cultivation and harvesting, higher costs for energy-intensive processes like extraction and refining, and elevated expenses for packaging and distribution. These increased costs are often passed on to consumers, leading to higher edible oil prices
The growing demand for biofuels has significantly impacted the supply and pricing of edible oils, particularly palm and soybean oil. The International Energy Agency projects a 56% increase in demand for vegetable oil, waste, and residue oils and fats for biofuel production from 2022 to 2027, raising the share of vegetable oil production directed to biofuels from 17% to 23%. This surge in demand is putting pressure on edible oil supplies, potentially leading to price increases and supply constraints.
Supply Chain Challenges: Future Predictions
The edible oils industry faces significant challenges and transformations in the coming years. The global market is projected to reach USD 268.9 billion by 2027, growing at a CAGR of 4.8% from 2022 to 2027. However, this growth is accompanied by challenges such as shrinkflation, although its prevalence has decreased since 2015-2016. Consumer awareness of health benefits is driving demand for premium oils like olive and avocado, while sustainability concerns are influencing production methods. The industry must also navigate geopolitical uncertainties, fluctuating raw material prices, and the increasing popularity of plant-based alternatives. Food fraud remains a significant concern, estimated to cost the global food industry between $10-40 billion annually. Technological advancements in agriculture, extraction methods, and packaging are expected to shape the industry's future. Adapting to these trends while maintaining affordability and quality will be crucial for edible oil producers in the coming years. One of the ways to adapt, is to focus on the aforementioned sustainable packaging methods. As the edible oils industry faces economic pressures, including shrinkflation, innovative packaging solutions are emerging to maintain product quality and quantity without significantly increasing costs
Product Authenticity Concerns
Product authenticity concerns in the edible oils industry are widespread and significant. Food fraud in this sector is estimated to cost the global food industry up to $40 billion annually. Common fraudulent practices include blending expensive oils with cheaper substitutes, incorrect labeling, and adding unauthorized additives. The prevalence of fraud is alarming, with up to 85% of loose edible oil sold in India across states found to be adulterated. Premium products are particularly vulnerable, with reports suggesting that up to 80% of Italian extra virgin olive oil on the market may be fraudulent. These adulterations pose serious health risks to consumers, including liver damage, cardiac issues, and even cancer. Economic consequences are severe, threatening the livelihoods of honest companies. Detection efforts involve advanced analytical techniques such as gas chromatography and high-performance liquid chromatography. Despite the severity of the issue, regulatory bodies face challenges in addressing food fraud, with current incidents not receiving significant attention from governing bodies. Addressing these concerns requires a collaborative effort from producers, regulators, and consumers to ensure transparency, quality, and safety throughout the supply chain.
Edible Oils: Smoke Points, Nutrition, and Everyday Uses
Here we describe the differences between rapeseed oil, sunflower oil, and olive oil. We will take into consideration:
Rapeseed Oil
Nutritional Value & Benefits
The rapeseed oil is rich in omega-3 fatty acids, particularly alpha-linolenic acid (ALA), which support heart health. It's also high in monounsaturated fats, vitamin E, and low in saturated fats. It contains approximately 120 calories per tablespoon (15 ml).
Everyday Uses: It’s great for cooking, frying, baking, and as a salad dressing. Often used in margarine and processed foods.
Smoke Point: Around 204°C, making it suitable for high-heat cooking.
Myth: One of the myths is that rapeseed oil is too refined or processed to be healthy. In reality, cold-pressed versions of rapeseed oil can be very healthy, especially for heart health due to its omega-3 content.
Sunflower oil
Nutritional value & Benefits
High in vitamin E, an antioxidant that supports skin health and immune function. Sunflower contains polyunsaturated fats, particularly omega-6 fatty acids, which can help reduce inflammation but need to be balanced with omega-3s in the diet. It also contains approximately 120 calories per tablespoon (15 ml).
Everyday Uses
Commonly used for frying, sautéing, and in salad dressings. It is a go-to oil for deep frying due to its mild flavor.
Smoke Point: Around 227°C, making it ideal for high-heat cooking like frying.
Myth
Some myths suggest sunflower oil is harmful due to its omega-6 content. While omega-6 is essential, an imbalance with omega-3s can cause issues, but this can be managed with a well-rounded diet.
Olive oil
Nutritional value & Benefits
Olive oil is rich in monounsaturated fats, which are heart-healthy, and contains antioxidants like polyphenols, which help reduce inflammation and fight oxidative stress. Extra virgin olive oil (EVOO) retains the most antioxidants and beneficial compounds. Something you may predict at this point: the approximate amount of calories we ingest with 15ml spoon of olive oil is 120 calories!
Everyday Uses
Olive oil is best for low to medium-heat cooking, drizzling on salads, and for dipping bread. It's also popular in Mediterranean diets for its versatility in both savory and sweet dishes.
Smoke Point
Extra virgin olive oil has a smoke point of around 190-210°C, while refined olive oil can go higher.
Myth
Some people mistakenly believe olive oil cannot be used for cooking due to its lower smoke point. In reality, it is suitable for medium-heat cooking and offers health benefits even when heated.
Avocado oil has emerged as a rising star in the edible oils market, experiencing significant growth and consumer interest in recent years. This trend is driven by several factors:
Health benefits
- Nutritional value and benefits, because you can then optimize your consumption.
- Everyday uses, because you can then optimize the benefits of your consumption.
- Smoke points, because why not, and because you can never be too careful.
- Myths, because there are plenty.
Rapeseed Oil
Nutritional Value & Benefits
The rapeseed oil is rich in omega-3 fatty acids, particularly alpha-linolenic acid (ALA), which support heart health. It's also high in monounsaturated fats, vitamin E, and low in saturated fats. It contains approximately 120 calories per tablespoon (15 ml).
Everyday Uses: It’s great for cooking, frying, baking, and as a salad dressing. Often used in margarine and processed foods.
Smoke Point: Around 204°C, making it suitable for high-heat cooking.
Myth: One of the myths is that rapeseed oil is too refined or processed to be healthy. In reality, cold-pressed versions of rapeseed oil can be very healthy, especially for heart health due to its omega-3 content.
Sunflower oil
Nutritional value & Benefits
High in vitamin E, an antioxidant that supports skin health and immune function. Sunflower contains polyunsaturated fats, particularly omega-6 fatty acids, which can help reduce inflammation but need to be balanced with omega-3s in the diet. It also contains approximately 120 calories per tablespoon (15 ml).
Everyday Uses
Commonly used for frying, sautéing, and in salad dressings. It is a go-to oil for deep frying due to its mild flavor.
Smoke Point: Around 227°C, making it ideal for high-heat cooking like frying.
Myth
Some myths suggest sunflower oil is harmful due to its omega-6 content. While omega-6 is essential, an imbalance with omega-3s can cause issues, but this can be managed with a well-rounded diet.
Olive oil
Nutritional value & Benefits
Olive oil is rich in monounsaturated fats, which are heart-healthy, and contains antioxidants like polyphenols, which help reduce inflammation and fight oxidative stress. Extra virgin olive oil (EVOO) retains the most antioxidants and beneficial compounds. Something you may predict at this point: the approximate amount of calories we ingest with 15ml spoon of olive oil is 120 calories!
Everyday Uses
Olive oil is best for low to medium-heat cooking, drizzling on salads, and for dipping bread. It's also popular in Mediterranean diets for its versatility in both savory and sweet dishes.
Smoke Point
Extra virgin olive oil has a smoke point of around 190-210°C, while refined olive oil can go higher.
Myth
Some people mistakenly believe olive oil cannot be used for cooking due to its lower smoke point. In reality, it is suitable for medium-heat cooking and offers health benefits even when heated.
The Uprising Star: Avocado Oil
Avocado oil has emerged as a rising star in the edible oils market, experiencing significant growth and consumer interest in recent years. This trend is driven by several factors:
Health benefits
- Avocado oil is rich in monounsaturated fats, vitamin E, and antioxidants, making it an attractive option for health-conscious consumers15. Its nutrient profile positions it as a healthier alternative to traditional cooking oils, appealing to those seeking to improve their diet.
- The avocado oil market has shown impressive growth. Global market value was estimated at USD 665.9 million in 2024 Projected to reach USD 981.7 million by 2031.
- Avocado oil's mild, buttery flavor and high smoke point make it suitable for various cooking applications, including dressings, frying, sautéing, and baking. This versatility has contributed to its popularity among both home cooks and professional chefs.
- The increasing adoption of plant-based diets and growing demand for natural, organic products have fueled avocado oil's popularity. Consumers are increasingly seeking clean-label, minimally processed oils free from additives and chemicals.
Edible Oils: Wrap Up
Effective production methods are critical. Different methods have significant impacts on both the environment and product quality. As Swiss Oils’ representative Vladislav points out, "Clear market analysis, accurate forecasting, and diversification are key to meeting the demands of both the environment and consumers." For Swiss Oils, effective project management from the start of the production process is essential for flexibility and meeting client needs. The company remains committed to continuously improving its processes, automation, and efficiency to ensure sustainable and top-quality oils. About oils:
These oils are all healthy when used in moderation, with specific advantages based on their nutrient profiles and cooking properties. If you wish to know more about oil and types of oils, we invite you to go to our oil category page.
- Rapeseed oil is excellent for heart health due to its omega-3 content and is versatile in cooking.
- Sunflower oil is popular for high-heat cooking but should be balanced with omega-3s in the diet.
- Olive oil, especially extra virgin, is a cornerstone of healthy eating and ideal for medium-heat cooking.
- Avocado oil is a raising star among oils, with seed oils remaining dominant in the market due to their cost-effectiveness.
These oils are all healthy when used in moderation, with specific advantages based on their nutrient profiles and cooking properties. If you wish to know more about oil and types of oils, we invite you to go to our oil category page.