South African Oils and Fats Market: State of the Industry and Some Implications on Palm Oil
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by Kamal Azmi Kamarudin
The oils and fats industry in South Africa can be considered as an already matured industry with a small room for capacity expansion and product diversification. Most of the companies produce cooking oils, soaps, margarines, shortening, creamers, mayonnaise etc. Branding is very important to ensure success for a product, besides market segmentation. The food frying sector and food services industry are the key areas for further expansion of palm oil market in South Africa. Joint promotional programmes with local players has been successful in converting sunflower oil users to use palm olein. Although a number of food establishments have used palm olein, these promotional activities should be continued to convince those who have yet to change to accept palm olein.
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