BASF is one of the first suppliers to the European home and personal care (HPC) 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 the 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.
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 the 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.