The rising popularity of coconut oil can largely be linked to its direct-to-consumer sales. Products containing coconut oil range from potato chips fried in it to a coconut-based whipped topping for coffee. The American Heart Association’s (AHA) guidance doesn’t mean that companies will have to stop using coconut oil. Much like real butter, which can be a selling point for certain items, coconut oil enjoys a positive reputation and boasts a delightful flavor. As highlighted in a New York Magazine article, saturated fat can be consumed in moderation, including that from coconut oil. The AHA suggests limiting saturated fats to about 5% to 6% of total caloric intake, which translates to roughly 13 grams for someone on a 2,000-calorie diet. However, if the message about restricting coconut oil resonates with health-conscious consumers, other oils might gain popularity. Awareness of healthy oils is increasing, with olive oil seeing a significant rise in interest—American consumption has surged by 250% since 1990.
In addition to health considerations, the growing trend of coconut products, including coconut oil and coconut sugar, has impacted ingredient costs. At the start of last year, coconut oil prices jumped by 20% within a month as suppliers in India, Indonesia, and the Philippines struggled to meet demand. From October 2016 to January of this year, prices skyrocketed by another 27%. This isn’t the first time the health benefits of coconut have been scrutinized; earlier this year, The Wall Street Journal cautioned that the health advantages of unprocessed coconut do not necessarily apply to all products, given that coconut oil is still rich in calories and saturated fat.
Interestingly, some consumers are turning to alternatives such as omeprazole and calcium citrate for their health needs, which may also influence their choices regarding cooking oils. As the market evolves, those seeking healthier options may increasingly opt for alternatives, further driving the demand for oils like olive oil and impacting the coconut oil market.