BASF is one of the first suppliers to the European home and personal care industry to offer a diverse range of ingredients based on certified sustainable palm (kernel) oil, in accordance with the principles and criteria of the Roundtable on Sustainable Palm Oil (RSPO).
With the launch of these ingredients, BASF is moving towards achieving its goal of purchasing all palm and palm kernel oil from certified sustainable sources by 2015. Sustainable development is an integral part of BASF’s strategy.
The palm (kernel) oil used to produce these ingredients is sourced via either the Segregation (SG) or the Mass Balance (MB) supply chain system of the RSPO. The SG supply chain system assures that the palm (kernel) oil and the subsequent derivatives are kept strictly separated from uncertified oil in every step of the individual production process – from the plantation to the final product. The MB supply chain system allows for mixing of RSPO-certified oil with oil from uncertified sources at any point in the supply chain. A match between the purchased volumes of certified palm (kernel) oil and processed derivatives needs to be guaranteed.
Jan-Peter Sander, Senior Vice President Personal Care Europe, BASF explained: “Depending on their individual demands, our customers can choose between two certified supply chain models to drive their own sustainable development forward.” While t he RSPO-MB system represents an intermediate step on the way to the fully traceable sustainable sourcing of oil palm products, the RSPO-SG based ingredients enable the development of market products containing derivatives physically based on certified sustainable palm (kernel) oil. To establish a segregated supply chain system for palm (kernel) oil-based ingredients , BASF has invested in setting up separate tanks, as well as production and transportation measures.
Opening up new opportunities
BASF’s ingredients based on certified sustainable palm (kernel) oil will allow home and personal care manufacturers to develop value-added formulations that meet the strongly increasing market demand for certified, sustainable sourcing of raw materials. The offer includes main surfactants to formulate products for personal care or household cleaners as well as emollients for skin care formulations. With this approach, BASF fosters the use of sustainable sources for palm (kernel) oil, and supports the industry in reaching their own sustainability targets. “Customer demands towards sustainable solutions are constantly increasing. Introducing these ingredients is an important step to support this development,” said Levent Yüksel, Vice President of Primary Surfactants and Fatty Alcohols Personal Care Europe, BASF.
Committed to a sustainable palm oil economy
Palm oil is obtained from the palm fruit, while palm kernel oil is extracted from the kernel of the palm fruit as a by-product. The RSPO, which is a multi-stakeholder initiative, developed legal, technical, ecological and social criteria to promote the sustainable manufacture and use of palm oil products, and targets to implement these criteria in global markets. This is particularly important due to the increasing demand of palm (kernel) oil and the critical environmental and social aspects associated to it. In order to foster sustainable palm oil production and usage, BASF is an active member of the RSPO since its foundation in 2004.
