Shortenings Market-Share, Size & Global Industry Analysis 2025-2032

Shortenings Market Synopsis

Shortenings Market Size Was Valued at USD 4.8 Billion in 2024 and is Projected to Reach USD 6.62 Billion by 2032, Growing at a CAGR of 4.11% from 2025-2032.

Shortening is an edible and consumable fat of animal or vegetable origin used in baking to improve the texture and workability of doughs. It enhances the taste of baked goods and gives them a crunchy and crumbly texture, preventing the interconnection of gluten fibers during mixing and making the product soft. Common commercial dairy products include butter, bacon, vegetable oils, processed milk products, and margarine. Because it is inexplicable in water, shortening effectively "shortens" the gluten layers, contributing to the soft and desirable texture of various baked goods.

Shortening, fats, and oils of animal or vegetable origin used in most doughs and batters to impart crisp and crumbly texture to baked products and to increase the plasticity, or workability, of doughs. commercial shortenings comprise butter, lard, vegetable oils, processed shortenings, and margarine. Shortenings are types of fats and oils that solidify at room temperature and are added to various food items to improve their taste and texture. They are frequently used in food processing such as baking, frying, and more. Vegetable oils like soybean, cottonseed, Peanut oil, Coconut oil, or palm oil are often used for shortening. The name “shortening” refers to the property that imparts “shortness” to the food products. Shortenings lubricate, weaken, or shorten the structure of food components providing desirable textural properties to the final product.

Because most vegetable oils are liquid at room temperature, they must go through a unique manufacturing process called hydrogenation to become solid at room temperature. This transformation gives it a butter-like texture with virtually no flavor or odor. These oils have gone under partial hydrogenation, which converts some of their liquid unsaturated lipids into solid saturated fats. This method improves the stability and preservation of the fat, which improves its suitability for use in various foods. 

Shortenings are used for most baking purposes, desirable characteristics include bland or pleasant flavor, freedom from objectionable aroma, light or clear color, a high degree of plasticity, long storage life, good shortening power, and the ability to weaken and lubricate the structure of baked products to produce tenderness. Vegetable shortenings are a popular choice for recipes involving high fat-to-flour ratios, like pie crusts. It’s preferred for its ability to coat the flour and prevent water from setting off the formulation of gluten. In essence, vegetable shortening “shortens” gluten strands by preventing them from forming in the dough.

All-purpose shortenings are designed for household use and for small companies that produce several different products and cannot afford to stock shortenings separately for each application. Solid fat content (crystallized fat) of all-purpose shortenings usually varies between 15 and 30 percent and retains these solids in the temperature range of 16 to 32 degrees Celsius or 60 to 90 degrees Fahrenheit.

Fluid or pourable shortenings can be pumped and metered, hence, they are convenient to handle during large-scale food production. The SFI profile (SFI versus temperature curve/line) of these products is very flat due to their very low solid content.

Specialty Shortening & Roll-in shortenings are specifically formulated for bakery applications, puff pastry, which is made by placing one layer of shortening on a layer of dough. This is folded and sheeted until there are hundreds of layers of dough layers.

According to Tastewise’s Shortening Trends - Consumption Analysis and Statistics 2024 report fastest growing ingredients and flavors associated with shortening showed differences for nostalgic and comforting tastes. The tea, which also grows at 35.94%, adds sophistication and variety, while the vanilla, which grows at 35.07%, remains a classic favorite, adding to the shortening's versatility in a variety of culinary applications. 

Shortenings Market Trend Analysis

Shortenings Market  Growth Drivers- Shortening's Versatility in Baking Goods, Emerging as an Essential Ingredient Across Culinary Applications

• The role of shortening in the bakery industry has greatly evolved due to its unique properties that improve the quality and shelf life of baked goods. Baking bread, a fatty product made mainly from vegetable oils, is an integral part of golden brown, raw, and robust products. Shortening’s capability to replace butter while being dairy-free pleas many consumers, including those with dietary restrictions. Unlike butter, which has a high water content that can make products moist, baking preserves the integrity of baked goods, ensuring that they remain crisp and firm for a long time. This feature makes it the favored choice for constantly high-quality baked goods in commercial kitchens.
• The versatility of shortening extends beyond traditional baking, making it an indispensable ingredient in a variety of culinary applications. It is particularly popular for its stability at room temperature, unlike liquid oils and butter, which either remain liquid or soften quickly. This stability is crucial for long baking processes, such as rolling and folding dough, where maintaining a certain fat content is essential to achieve the desired texture. Apart from the bakery Industry, shortening is also used to make sweets, pasta, batters, dessert fillings, creams, and sauces. Its capability to melt, soften, or cream makes it a versatile ingredient for both sweet and savory recipes.
• One of the important benefits of shortening is its effect on the texture and moisture of baked goods. The high-fat content of the muscle ensures that the products remain soft and fluffy, providing the desired mouthfeel that is difficult to achieve with oil alone. Shortening also helps give baked goods a golden color that enhances their visual appeal. its role in stabilizing pasta and creams through emulsification cannot be underestimated, as it ensures the texture and taste of the finished products. These features are crucial for commercial bakers and home cooks who want to produce quality baked goods. As consumers endure quality, and long-lasting baked goods, the demand for effective shortening products is likely to grow, driving market trends and innovations in the baking industry.

Shortenings Market  Opportunity- Tailored Solutions and Customizing Shortening for Bakery Industry

• In a dynamic market where bakers are constantly looking for innovative solutions to meet the changing demands of consumers, the customary shortening landscape presents an attractive market opportunity. The move away from partially hydrogenated oils has created a void that can only be filled with customized solutions that meet the specific needs of the bakery industry. This demand is driven by the need for improved functionality, ease of use, cleaner labels, and the desire to differentiate products in an increasingly competitive environment. The realization that one size does not fit all has opened the door to suppliers who can offer customized solutions using their expertise to address the unique challenges that individual bakeries face.
• Bakeries today have a wide variety of special Shortening needs, so the market for custom shortening solutions is ripe for exploration. The demand for customized formulations is obvious, from achieving perfect texture, taste, and color characteristics to meeting technical requirements such as melting temperature profiles for baking pastries or cold temperature hardness for pastry crust. Factors beyond functionality, such as price, sticker-friendliness, and durability, emphasize the complexity of the market and the need for individual approaches.
• The opportunity is to understand the complexities of fat blending and transesterification techniques and create custom solutions to meet the unique requirements of each bakery. Using a deep understanding of base oils, hard ingredients, and customer preferences, ingredient suppliers can offer a wide range of options, from palm and soy-based to new high-performance options. This diversity, combined with advances in compounding and transesterification, gives suppliers the ability to offer application-specific shortening solutions that meet the nuanced needs of the bakery industry

Shortenings Market Segment Analysis:

Shortenings Market is segmented based on Source, Product, Application and Sales Channel

By Source, Vegetables Segment Is Expected to Dominate the Market During the Forecast Period

• The vegetable segment dominates the shortening market and for several good reasons. One of the main drivers is the growing health consciousness of consumers. As awareness of the potential risks associated with consuming animal fats, especially trans fats, has increased, there has been a significant change towards plant-based alternatives.
• Plant-based dairy products offer a healthier alternative to traditional animal fats such as bacon. They come primarily from sources such as soybean, cottonseed, palm, coconut, and peanut oils, which are naturally lower in saturated fat. Advances in refining and hydrogenation technologies have made it possible to produce vegetable oils along with improved flavor profiles, melting points, consistency, and overall availability, increasing their demand to both consumers and producers.
• Vegetable sauces are multipurpose and versatile also they can be used in a variety of baking and cooking applications. Cutting vegetables turns out to be an important ingredient, whether it is a layered cake, soft cookies, stable frosting, or to prevent too much spread during baking.
• The vegetable segment will benefit from continued formulation innovation, including the development of fat-free options to address health concerns and maintain product quality and yield. Manufacturers are constantly improving their processes to produce dairy products that meet consumers' healthier choices without compromising taste or Texture.

By End User, Bakery Industry Segment Held the Largest Share

• The domination of the bakery industry in the Shortening market states the wide use of dairy products in various baked goods and sweets. Baked goods like bread and cookies, pastries, and cakes rely heavily on shortening to improve the texture, flavor, and shelf life of the products.
• One of the main reasons for the bakery's leading position is the essential role of shortening to achieve the desired characteristics of baked goods. The versatility of shortening makes it indispensable in the baking industry.  it provides the required fat content & also acts as a flavor enhancer and mouth improver. The vegetable or animal shortening acts as a key ingredient in the dough formula, contributing to the texture, tenderness, and unfolding of products such as cakes, cookies, and pastries. Its ability to disrupt gluten formation in the dough helps create a soft crumb texture and prevents baked goods from becoming hard or tough. Whether used in laminated crusty dough, to add moisture to pastry, or to provide stability to glazes and fillings, shortening plays an important role in achieving the desired organoleptic properties and structural integrity of baked goods.

Shortenings Market Regional Insights:

Asia Pacific is Expected to Dominate the Market Over the Forecast Period

• Asia Pacific (APAC) dominates the shortening market. This dominance is supported by several key factors that are driving market growth in the region. One important factor is the extraordinary which is the availability of palm oil. Around 90% of the world's oil palm trees are grown on a few islands in Malaysia and Indonesia. The richness of palm oil facilitates the production of various baked goods, including cookies, pastries, cakes, and bread, which are part of the diet of millions of people across Asia. This prepared raw material provides a solid foundation for the success of the shortening market.
• growing demand for baked goods is another major factor driving the market in Asia Pacific. As the shortening market in the region expands due to changing consumer preferences and lifestyles, the demand for sweets also increases. This increase in demand is further by the rapid urbanization of the region as more and more people move to cities.
• Moving to urban life leads to changes in eating habits and an increased tendency towards ready meals and snacks. Shortenings play a vital role in meeting this demand, as they are widely used in processed foods and baked goods, both of which have increased consumption in urban environments.

Active Key Players in the Shortenings Market

• Cargill (U.S)
• Archer Daniels Midland Company (U.S)
• Bunge Limited (U.S)
• Conagra Brands, Inc. (U.S)
• Ventura Foods, LLC (U.S)
• The J.M. Smucker Company (U.S)
• Stratas Foods LLC (U.S)
• The Hain Celestial Group, Inc. (U.S)
• AAK AB (Sweden)
• Puratos Group (Belgium)
• Kerry Group plc (Ireland)
• AarhusKarlshamn AB (AAK) (Sweden)
• Wilmar International Limited (Singapore)
• IOI Corporation Berhad (Malaysia)
• Mewah International Inc. (Singapore)
• Fuji Oil Holdings Inc. (Japan)
• International Foodstuff Company Holdings Limited (IFFCO) (United Arab Emirates)
• Golden Agri-Resources Ltd (Singapore)
• Sime Darby Berhad (Malaysia)
• Musim Mas Holdings Pte. Ltd. (Singapore)
• Lam Soon (Hong Kong)
• BRF S.A. (Brazil)
• Liberty Oil Mills Ltd. (India)
• Givaudan (Switzerland)
• Goodman Fielder Limited (Australia)
• GrainCorp Limited (Australia)
• And Other Active Players