The UK journey to CSPO
Looking back 2008 first plantation certified The first 1000 tonnes arrived in the UK
In the same week
Slow progress 2009/2010 Businesses were talking CSPO supply building GreenPalm and physical Lack of knowledge Ignore it will go away Lack of supply chain certified players
The Push Four major refineries but key three palm suppliers Ingredients Manufactures All at different CSPO starting points But all with a commitment to RSPO CSPO
6 The Supply Chain Crude/RBD CSPO/Standard Global Ingredients UK Refiner EU Refiner Oil Blend Bakery Fats Oil Blend Bakery Fats Functional Ingredients/Processing Aids Emulsifiers Blends Coating Processing Aids Functional ingredients Ingredients Manufacturer
The Pull 2015 - interesting date Focus for all UK retailers and their supply base Key Brands DEFRA Industry Bodies Is this a consumer issue?
The Consumer Role When choosing a Product 1. Price 91% 2. Promotions 68% 3. Quality or performance 63% 4. Taste or smell 53% 5. Healthy Option 49% 6. Use by or sell date 47% 7. Familiarity 46% 8. Brand 35% 9. Ease of use 20% 10. Ethical or eco friendly 19% Source IGD
The Consumer Role 87% Expect food and grocery companies to be constantly checking that suppliers are providing healthy products and acting responsibly towards the environment 61% Believe they should just get on with it without telling them Source IGD
The Importance of the Retailers 71% of the market controlled by the Big four 54% of the grocery market Own label/private label 20% USA 44% Germany 35% France 29% Netherlands 30% of all products sold in 15 European Countries are controlled by retailers
The Barriers Have they changed since 2008?
Fractionation But this is what makes Oil Palm such a versatile product
Palm Kernel Supply Chain RSPO CSPO Palm Kernel Crusher
Derivative A derivative is derived from another. Developed from oil palm to create another substance it is not a fraction. BUT THE LIST SEEMS ENDLESS...
COMMON PALM OIL-BASED DERIVATIVES AND OLEOCHEMICALS Alcohol Ether Sulfates Alcohol Ethoxylates Alcohol Sulfates Alkylpolyglycoside (APG) Alppha-linolenic Acid Ascorbic Acid Butyl Alcohol Capric Acid Capric Alcohol Capric-caprylic Acid Blend Caproic Acid Capryl Alcohol Capryllic Acid Cetyl Alcohol Cetyltrimethylammonium Chloride Caprylic/Capric Triglyceride Citric Acid Cocamide MEA Cocamide DEA Cocamidopropyl Betaine Diacylglycerols (DAG) Distilled Monoglycerides Elaidic Acid Elaidyl Alcohol Elaidolinoleyl Alcohol Epichlorohydrin 2-Ethyl Hexanol Fatty Isethionates (SCI) Glutamic Acid Glycerine Esters Glycerols Heptadecyl Alcohol Isopropyl Myristate Isopropyl Palmitate Isostearyl Alcohol Lactic Acid Lauric Acid Lauryl Alcohol o Laurylamine Oxide Laureth-7 Linoelaidic Acid Linolic Acid α-linolenic Acid Linoleyl Alcohol Methyl Alcohol Mono and Diglycerides Monoacylglycerols )MAG) Myristic Acid Myristic Acid Salts Myristoleic Acid Myristyl Alcohol N-butanol Octyl Alcohol Oleic Acid Oleyl Alcohol Palmitate Palmitic Acid Palmitoleic Acid Palmitoleyl Alcohol Pelargonic Alcohol Pentadecyl Alcohol Propylene Glycol Propylene Glycol Esters Quaternary Ammonium Salts Ricinoleyl Alcohol Sapienic Acid Sodium Lauryl Sulfate Sodium Laureth Sulfate Sodium Palmitate Sodium Palm Kernalate Sodium Stearate Steareth-2 Stearamidopropyldimethylamin Stearic Acid Stearyl Alcohol Structured Triglycerides (TAG) Sugar Esters Sulfated or Ethoxylated Alcohols Tridecyl Alcohol Undecyl Alcohol Vaccenic Acid
The supply chain to product Oil Palm PK/ Other Emulsifier Other
You buy palm ingredients which may be from different sources and use different supply chain methods Palm Oil SG IV 15 MB Could be palm based Ingredients: Wheat Flour, Water, Yeast, Salt, Palm Oil, Soya Flour, Emulsifiers (E481, E471, E472e), Preservative Calcium Propionate (Added To Inhibit Mould Growth), Flour Treatment (Agents Ascorbic Acid (Vitamin C), (E920)
Today The barriers still remain But it is the last % points December 2014 New EU labelling Membership and Certification Supply Chain gaps Nothing new
Work to be done BRC 87% sustainable palm oil 66% of which is physical Foodservice It is not a consumer issue and if it is more expensive then we are not interested in sustainable palm
The UK is a success story Level CSPO today? 80%? The focus most continue Thank you