Single Cell Oil Market Size & Share 2023 to 2032
Market Size by Grade (Fuel grade, Feed grade, Food grade), by Micro-Organisms (Bacteria, Yeast, Microalgae, Fungal), by Raw Material (Sugarcane Mill, Agro-Industrial Waste), by Application & Global Forecast.
Report ID: GMI5435
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Published Date: February 2023
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Report Format: PDF
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Authors:
Kiran Pulidindi, Kunal Ahuja
Single Cell Oil Market Size
Single Cell Oil Market size valued at USD 60 million in 2022 and is poised to grow at over 17.5% CAGR from 2023 to 2032. The rising demand for biofuels across the globe will drive the industry growth.
Single Cell Oil Market Key Takeaways
Market Size & Growth
Key Market Drivers
Challenges
Supported by the global decarbonization efforts, the use of biofuels has increases rapidly across the transportation sector. According to the IRA, biofuels represented approximately 3.6% of the global transport energy demand, primarily for road transport in 2021. Under the Net Zero Scenario, contribution of biofuels to transport is likely to quadruple to 15% by 2030, amounting to almost one-fifth of the total fuel demand for road transport alone.
However, experts opine that biofuel production needs to increase significantly for the world to stay on track with the 2050 Net Zero Emissions Scenario. As such, many world governments are rolling out supportive policies that favor higher production and better blends. Back in August 2021, the USDA invested over USD 26 million to expand the country’s biofuel infrastructure and strengthen the availability of higher-blend renewable fuels in over 23 states.
High manufacturing costs may hamper the single cell oil market outlook
The high costs linked to the fermentative process of single cell oil adds to the production expenses, making product use a high-investment venture for entities transitioning to clean energy systems. The production of single cell oils (SCOs) is not economically competitive owing to the low productivity of several oleaginous microorganisms, making the process more expansive. In addition, solid-state fermentation process for single cell oil production also poses challenges such as difficulties in scaling up, controlling process parameters, and high costs for product recovery, which further limit growth prospects.
Single Cell Oil Market Analysis
In terms of application, the single cell oil market share from aquaculture segment is expected to witness 17% CAGR through 2032, impelled by the growing use of SCOs as feed in aquaculture due to their high nutritional content. SCOs are a potent source of protein/amino acid, omega-3, and bioactive molecules and are widely used in the diets of several farm-raised fish species, including rainbow trout and Atlantic salmon. The product’s use as fish feed helps the aquaculture sector augment its commercialization and profitability by boosting the fish growth.
The single cell oil market from sugarcane mill segment accounted for USD 50 million revenue in 2022. Sugarcanes, being low-cost carbon sources that contain high lipid concentrations, are predominantly used as raw material for single cell oil production. Sugarcane bagasse is also a potential source of biomass in terms of fermentable sugars.
Sugarcane molasses, when used as raw material for SCO production, deliver the flexibility needed to control growth as well as lipid accumulation by altering the feed flow rate of the carbon sources and also restricting nutrients inside the fermentation process. The material is also primarily used in bioprocessing to attain higher cell density and productivity of biomolecules at the time of growth.
Based on grade, the single cell oil market valuation from the food segment is anticipated to surpass USD 380 million by 2032, owing to their higher tolerance to inhibitory by-products. The demand for food grade single cell oil is also increasing due to their growing use as a source of protein/amino acid, polyunsaturated fatty acid, omega-3 and omega-6, and bioactive molecules in dietary supplements as an enriched nutrient source for humans. The composition of food grade oil is similar to animal fats and vegetable oils and is preferred over plant and animal-derived oils as their production can easily be scaled.
The Europe single cell oil market size will cross USD 300 million by 2032, on account of the growing pharma, automobile, and animal feed industries in the region. Excessive demand for livestock, solutions to rare and deadly diseases, and carbon-free transportation is promoting the use of SCO-based biodiesel, medicines, and animal feed. Subsequently, many governments are also making policy decisions that are beneficial to the market. Back in March 2022, the UK government announced its plans to increase investment in the country’s pharmaceutical sector, with a specific focus on R&D, to £20 billion (USD 24 billion) every year by 2024/25.
Single Cell Oil Market Share
Some of the leading companies involved in the single cell oil market include
Many of these companies are emphasizing product innovations to gain a competitive edge over other enterprises in the field.
Back in August 2021, DIC Lifetec Co., Ltd, a wholly-owned subsidiary of Japanese chemical firm, DIC Corporation, launched DHA ORIGINS-510. This strategic move helped the company expand its presence in the algae oil market while multiplying its revenue through product sales.
Impact of COVID-19 pandemic
The COVID-19 pandemic asserted a negative impact on single cell oil industry on account of supply chain disruptions in pharmaceutical, aquaculture, and animal feed industries. However, the resumption of business operations and significant government support is likely to present opportunities for the sector to recover. In January 2023, the U.S. Department of Energy announced an investment of over USD 118 million in 17 projects aimed at accelerating the production of sustainable biofuels for America’s manufacturing and transportation requirements.
This single cell oil market research report includes in-depth coverage of the industry with estimates & forecast in terms of revenue in USD Million from 2018 to 2032 for the following segments:
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Market, By Grade
Market, By Micro-organisms
Market, By Raw Materials
Market, By Application
The above information has been provided for the following regions and countries:
Research methodology, data sources & validation process
This report draws on a structured research process built around direct industry conversations, proprietary modelling, and rigorous cross-validation and not just desk research.
Our 6-step research process
1. Research design & analyst oversight
At GMI, our research methodology is built on a foundation of human expertise, rigorous validation, and complete transparency. Every insight, trend analysis, and forecast in our reports is developed by experienced analysts who understand the nuances of your market.
Our approach integrates extensive primary research through direct engagement with industry participants and experts, complemented by comprehensive secondary research from verified global sources. We apply quantified impact analysis to deliver dependable forecasts, while maintaining complete traceability from original data sources to final insights.
2. Primary research
Primary research forms the backbone of our methodology, contributing nearly 80% to overall insights. It involves direct engagement with industry participants to ensure accuracy and depth in analysis. Our structured interview program covers regional and global markets, with inputs from C-suite executives, directors, and subject matter experts. These interactions provide strategic, operational, and technical perspectives, enabling well-rounded insights and reliable market forecasts.
3. Data mining & market analysis
Data mining is a key part of our research process, contributing nearly 20% to the overall methodology. It involves analysing market structure, identifying industry trends, and assessing macroeconomic factors through revenue share analysis of major players. Relevant data is collected from both paid and unpaid sources to build a reliable database. This information is then integrated to support primary research and market sizing, with validation from key stakeholders such as distributors, manufacturers, and associations.
4. Market sizing
Our market sizing is built on a bottom-up approach, starting with company revenue data gathered directly through primary interviews, alongside production volume figures from manufacturers and installation or deployment statistics. These inputs are then pieced together across regional markets to arrive at a global estimate that stays grounded in actual industry activity.
5. Forecast model & key assumptions
Every forecast includes explicit documentation of:
✓ Key growth drivers and their assumed impact
✓ Restraining factors and mitigation scenarios
✓ Regulatory assumptions and policy change risk
✓ Technology adoption curve parameter
✓ Macroeconomic assumptions (GDP growth, inflation, currency)
✓ Competitive dynamics and market entry/exit expectations
6. Validation & quality assurance
The final stages involve human validation, where domain experts manually review filtered data to identify nuances and contextual errors that automated systems might miss. This expert review adds a critical layer of quality assurance, ensuring data aligns with research objectives and domain-specific standards.
Our triple-layer validation process ensures maximum data reliability:
✓ Statistical Validation
✓ Expert Validation
✓ Market Reality Check
Trust & credibility
Verified data sources
Trade publications
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Industry databases
Proprietary and third-party market databases
Regulatory filings
Government procurement records and policy documents
Academic research
University studies and specialist institution reports
Company reports
Annual reports, investor presentations, and filings
Expert interviews
C-suite, procurement leads, and technical specialists
GMI archive
13,000+ published studies across 30+ industry verticals
Trade data
Import/export volumes, HS codes, and customs records
Parameters studied & evaluated
Every data point in this report is validated through primary interviews, true bottom-up modelling, and rigorous cross-checks. Read about our research process →