Chemicals Industry Today

High Acid Palm Oil Market to Cross 5.85 (USD Billion) by 2032

The growing demand for biodiesel and biofuels is a major driver of the global high acid palm oil market. High acid palm oil is a cost-effective and sustainable feedstock for the production of biodiesel and biofuels.
Published 17 June 2025

High Acid Palm Oil (HAPO) is a byproduct derived during the processing of crude palm oil, characterized by a Free Fatty Acid (FFA) content typically above 5%. While unsuitable for direct consumption due to its high acidity, HAPO is an important raw material used in several industries such as biofuels, animal feed, oleochemicals, and soap manufacturing. As demand grows for alternative feedstocks, sustainable fuels, and cost-effective industrial inputs, the High Acid Palm Oil Market is gaining momentum.

Market Overview

The High Acid Palm Oil Market Size was estimated at 4.42 (USD Billion) in 2023. The High Acid Palm Oil Industry is expected to grow from 4.56(USD Billion) in 2024 to 5.85 (USD Billion) by 2032. The High Acid Palm Oil Market CAGR (growth rate) is expected to be around 3.17% during the forecast period (2024 - 2032).

Key Applications of HAPO

1. Biodiesel and Biofuel Industry

HAPO is increasingly used as a feedstock in biodiesel production, particularly in developing countries with government policies supporting alternative energy sources. Its high FFA content is suitable for esterification and transesterification processes.

2. Soap and Detergent Manufacturing

The fatty acid content of HAPO makes it a cost-effective material for soap manufacturing, especially for laundry soaps and industrial detergents.

3. Animal Feed Industry

HAPO is used as a fat and energy source in livestock and poultry feed, offering an affordable alternative to traditional fats and oils.

4. Oleochemicals and Industrial Lubricants

It serves as a base for fatty acid distillation, glycerin, and other oleochemical derivatives used in industrial applications.

Get Free Sample Copy of Report @ https://www.wiseguyreports.com/sample-request?id=563681 

Market Drivers

1. Rising Demand for Biodiesel

The push for renewable energy and sustainable transportation fuels is increasing the demand for low-cost, non-food feedstocks like HAPO in biodiesel production.

2. Cost Efficiency

Compared to refined palm oil, HAPO is cheaper, making it attractive to small and medium-sized manufacturers in the soap and chemical sectors.

3. Industrial Applications

Expanding use in oleochemicals, such as lubricants, emulsifiers, and surfactants, is creating new revenue streams for HAPO suppliers.

4. Waste Utilization and Sustainability

Increased focus on sustainable production encourages palm oil mills and processors to monetize byproducts like HAPO, reducing waste and improving environmental impact.

Key Companies in the High Acid Palm Oil Market Include:

  • Adani Wilmar Ltd
  • Archer Daniels Midland Company
  • Cargill, Incorporated.
  • First Resources Limited
  • PT Astra Agro Lestari Tbk.
  • Golden AgriResources Ltd.
  • Sime Darby Plantation Berhad
  • Wilmar International Limited
  • Olam International Limited
  • Musim Mas Holdings Pte. Ltd.
  • Agrocorp International Pte. Ltd.
  • Louis Dreyfus Company B.V.
  • Bunge Limited
  • Godrej Agrovet Limited

Buy Now @ https://www.wiseguyreports.com/checkout?currency=one_user-USD&report_id=563681 

Challenges in the HAPO Market

1. Quality and Consistency

HAPO’s quality varies depending on processing conditions and storage, which can affect its suitability for certain industrial processes.

2. Environmental Regulations

Regulations around palm oil production and deforestation can affect HAPO availability and supply chain operations, particularly in Southeast Asia.

3. Limited Consumer Awareness

Although industrial demand is rising, limited awareness of HAPO’s value in some emerging markets restricts broader adoption.

Regional Market Insights

1. Asia-Pacific

  • Dominates the market, especially Indonesia and Malaysia, the world’s top palm oil producers.
  • Growing biofuel mandates and industrial demand fuel HAPO consumption.

2. Europe

  • Driven by biodiesel blending mandates and environmental sustainability goals.
  • Imports HAPO as a waste-derived fuel feedstock.

3. North America

  • Interest growing in renewable fuels and sustainable inputs.
  • Regulatory frameworks are promoting the use of non-edible oil feedstocks.

4. Latin America and Africa

  • Increasing palm oil production in Colombia, Nigeria, and Ghana is paving the way for local HAPO markets.

Recent Trends

1. Waste Valorization

Palm oil mills are integrating zero-waste systems that convert palm oil byproducts, including HAPO, into value-added products.

2. Green Certifications

Rising demand for RSPO (Roundtable on Sustainable Palm Oil)-certified products is influencing sourcing and trade of HAPO.

3. Technological Upgrades

Advancements in acid oil processing and purification are improving HAPO quality, expanding its usability across industries.

Future Outlook

The High Acid Palm Oil Market is expected to grow steadily in the coming years, supported by:

  • Stricter sustainability goals
  • Government policies on renewable energy
  • Increased use in industrial and feed applications

With the push toward circular economy models and sustainable industrial practices, HAPO is positioned to become a critical byproduct with high commercial value across various sectors.

The High Acid Palm Oil Market is evolving from a waste management challenge into a promising opportunity for multiple industries. Its role in supporting green energy, cost-effective manufacturing, and sustainable agriculture places HAPO at the intersection of economic and environmental benefits.

Browse Related Reports:

Powder Coating Resin Market | Japan | German | French | Korean | China | Spanish

Plastic Welding Rod Market | Japan | German | French | Korean | China | Spanish

Pet Elastic Weft Yarn Market | Japan | German | French | Korean | China | Spanish

Pazopanib Api Market | Japan | German | French | Korean | China | Spanish

Polyethylene Bellows Market | Japan | German | French | Korean | China | Spanish

Browse Regional Related Report:

高酸性パーム油市場 | Markt für Palmöl mit hohem Säuregehalt | Marché de l'huile de palme à haute teneur en acide | 고산성 팜유 시장 | 高酸棕榈油市场 | Mercado de aceite de palma de alta acidez

Other Industry News

Ready to start publishing

Sign Up today!