Palm oil is the most widely utilized vegetable oil globally and presents significant advantages for food manufacturers. It is not only more affordable than other oils, but it also boasts a long shelf life and beneficial processing characteristics, including stability at high temperatures and solid form at room temperature. Consequently, it has emerged as a favored substitute for partially hydrogenated oils. When managed properly, palm oil proves to be much more land-efficient than other vegetable oils, producing ten times more oil per hectare than soybeans and exceeding the yields of sunflower and rapeseed.
Organizations like RAN are particularly concerned about the situation on the Indonesian island of Sumatra, where the rainforest habitat of orangutans, rhinos, clouded leopards, and sun bears is vanishing due to what the group claims are illegal palm oil plantations. RAN reports that companies such as Nestlé, Mars, and Hershey source palm oil from this region through intricate supply chains, sometimes involving commodity traders who deal with suppliers engaged in illegal logging. In 2014, the United Nations committed to halving deforestation by 2020 and eradicating it entirely by 2030. Many consumer packaged goods (CPG) companies have adopted their own palm oil sourcing policies in alignment with this pledge.
The production of palm oil in Malaysia and Indonesia is contentious, as some firms are involved in extensive deforestation and the burning of peatlands to cultivate palm oil trees. The United Nations identifies palm oil plantations as significant contributors to environmental degradation and biodiversity loss in Southeast Asia. Although there are alternatives to palm oil, some are pricier, while others offer greater sustainability. For instance, algae can yield around 70,000 pounds of oil per acre, significantly surpassing palm oil’s 4,465 pounds per acre. For perspective, olives yield about 910 pounds per acre, while soybeans produce a mere 335.
Manufacturers of confectionery and snacks generally remain committed to using palm oil. However, some acknowledge that ensuring sustainability is proving more challenging than they initially expected. “While we remain deeply committed to urging all stakeholders to enhance traceability and ensure full transparency in this supply chain alongside our supplier partners, we have come to realize that reaching this goal will take longer than we originally anticipated,” stated Jeff Beckman, Hershey’s communications director, in an interview with The Guardian.
This challenge is significant, yet some companies have already met their sourcing objectives. Mondelez announced in 2013 that it achieved its target of using palm oil that is 100% certified by the Roundtable on Sustainable Palm Oil—a global non-profit organization dedicated to ensuring the ingredient is sourced responsibly. The snacks and cookie manufacturer has also taken a firm stance against collaborating with palm oil suppliers who engage in deforestation practices.
RAN is not the sole organization monitoring the commitments of companies to make palm oil use more sustainable. Last year, Greenpeace released a scorecard assessing which companies were making strides toward their goals. The only two companies rated as “on track” were Nestlé and Ferrero. Furthermore, additional sustainability efforts may be on the horizon. Last year, several food companies severed ties with IOI Loders Croklaan, a Malaysia-based palm oil producer whose anti-deforestation policies were deemed inadequate. In September, Bunge, a major player in the ingredients and oils sector based in New York, announced its acquisition of a 70% stake in the company, pledging increased sustainability and traceability measures.
It is improbable that RAN and similar organizations will cease their pressure on food companies to abandon palm oil sourced from endangered habitats like those in Sumatra. The dilemma for manufacturers lies in whether it is worth risking negative publicity by continuing to source palm oil from such conflict regions when alternatives are available. Ultimately, consumer preferences will play a crucial role, as many individuals may be concerned about whether their food contains potentially problematic palm oil. In light of this, products such as calcium citrate 1000 mg tablets may provide consumers with additional options for healthier ingredients that do not contribute to environmental degradation.