White Oil Industry – Introduction:
The global specialty oil industry is witnessing remarkable growth, with an estimated market value of USD 129.90 billion in 2023, projected to reach USD 154.0 billion by 2028 at a CAGR of 3.5%. The Indian specialty oil market is estimated to be USD 7.33 billion in 2023 and reach USD 9.30 billion by 2028, at a CAGR of 4.9%. Within this dynamic landscape, white oil, a refined and versatile derivative of crude oil, emerges as a key player, driving the market’s fastest growth.
Understanding White Oil:
White oil, synonymous with mineral oil, is a colorless and odorless liquid derived through a meticulous refining process. With its high purity level, white oil finds applications across diverse industries, including consumer goods, pharmaceuticals, automotive, manufacturing, and power generation.
Read Also: Multibagger Penny Stocks for 2025
White Oil Market Dynamics
The specialty oil market is set to create a substantial incremental opportunity of approximately USD 24 billion over the next five years. The surge is fueled by heightened consumption of specialty oils in various end-use sectors, such as consumer products, pharmaceuticals, and food processing.
White Oil’s Leading Role:
Within the specialty oil market, white oil stands out as the fastest-growing product type globally. Its demand is propelled by the increasing usage of personal care products, pharmaceuticals, and the food processing sector. The market value of white oil is projected to grow from USD 3.58 billion in 2023 to USD 5.23 billion by 2028, showcasing a robust CAGR of 8.1%.
White Oil Industry – Key Players in the Market
The global white oil market operates within an oligopolistic structure, with the top 10 players, including Calumet Specialty Products Partners, HollyFrontier, ExxonMobil, Shell, Chevron Corporation, and Total Energies, accounting for 40-45% of the market. Strategic acquisitions and collaborations are a common theme among market participants aiming to expand their market presence.
Quality Standards and Market Shift:
The global lubricant market is transforming due to increasing regulations on emissions and quality standards. In particular, the white oil market, especially in pharmaceuticals, food, and consumer applications, is highly regulated. Manufacturers are shifting from Group I to Group II and III grades to meet global standards.
Read Also: Top 10 AC Brands in India
White Oil Industry – Indian Perspective:
In India, the white oil market is estimated at 782 KT in 2023, with a projected growth to 1,236 KT by 2028 at a CAGR of 9.6%. Valued at USD 0.473 billion in 2023, the market is expected to reach USD 0.759 billion by 2028, driven by an improving standard of living and a rising demand for cosmetics. Key Indian players dominate the market, including Gandhar Oil, Raj Petro, Apar Industries, and Savita Oil.
Applications Across Industries:
White mineral oil is widely used in cosmetics, pharmaceuticals, food processing, and plastics industries due to its high safety standards. It plays a crucial role in the manufacture of various products, such as creams, lotions, pharmaceutical formulations, and food lubricants.
Global Reach of Indian Manufacturers:
Indian white oil manufacturers, including Gandhar Oil, Raj Petro, Apar Industries, and Savita Oil, export their products globally. Key importing countries include APAC, Europe, MEA, and America—the export destinations span from Indonesia and Italy to Kenya and Canada.
Read Also: CDSL vs NSDL – Decoding India’s Two Depositories
White Oil Industry – Competitive Landscape:
The Indian white oil market is dominated by a select number of key players, including Gandhar Oil, Raj Petro, Apar Industries, and Savita Oil, collectively holding 70-75% of the domestic market. These companies exhibit a high level of integration across the value chain, emphasizing product development and research.
Conclusion:
As the global specialty oil market evolves, white oil takes center stage with its exceptional growth trajectory. From stringent quality standards to expanding global reach, white oil proves to be a pivotal force shaping the industry’s landscape.
