BASF India’s Dahej site certified for the production of sustainable oil palm products

Dahej now among 20 BASF sites worldwide certified according to the RSPO supply chain standard. Good progress has been made in the changeover to certified sustainable palm oil products.

India CSR News Network

DAHEJ: Two more BASF Group’s (BASF) production plants have received the Supply Chain Certificate of the Roundtable on Sustainable Palm Oil (RSPO), as announced on the occasion of the RSPO’s fifth annual European Roundtable in London.

The certification of the two plants i.e. Dahej (Gujarat, India) and Gebze (Turkey), helps further strengthen BASF’s operations network for certified palm products. At 20 locations around the world, now including Dahej, BASF manufactures certified ingredients for the cosmetic, detergent and cleaning agent industries, from products derived from sustainable palm oil sources.

Present in South Asia and other key regions

“Sustainability is becoming increasingly important in South Asia. BASF is committed to providing local customers with sustainable palm products. With our site in Dahej, India, now certified according to the RSPO supply chain standard, we are able to offer the optimal conditions required for customers to change over to certified ingredients and therefore jointly transform the market towards sustainable products along the entire value chain,” said Rahul Tilve, Vice President Operations, Care Chemicals, Asia Pacific.

Comprehensive RSPO-certified product portfolio for personal care

BASF is one of the largest global manufacturers of ingredients for cosmetic products, detergents and cleaning agents as well as food performance ingredients. For the manufacture of these products, mainly palm kernel oil and its derivatives and to a lesser extent palm oil, are used.

Certification according to the RSPO Mass Balance Module allows the mixing of certified sustainable oil palm products with non-certified products. The Mass Balance supply chain administratively monitors the trade of RSPO certified palm oil and its derivatives throughout the entire supply chain, as a driver for mainstream trade in sustainable palm oil.

In the past year, BASF globally has doubled its sales of products based on certified palm kernel oil. BASF processed a total of 508,000 tons of palm-based raw materials in 2016. BASF is thus one of the largest processors of palm products worldwide.

Standard sustainable palm oil products are the ultimate goal

Each year, 71 million tons of palm products are manufactured globally. Currently, around ten percent of this is palm kernel oil. This represents approximately seven million tons of palm kernel oil, of which only about 1.3 million tons are currently RSPO-certified. For many years, BASF has been advocating to make sustainable oil palm products the industry standard in the cosmetics, detergents and cleaning agent industries.

BASF has been a member of the Roundtable on Sustainable Palm Oil (RSPO) since 2004 and also joined the High Carbon Stock Steering Group in 2016 to promote the industry activities for forest conservation.

Sustainable manufacture of palm oil is possible

With good process made in 2016 in the changeover to certified ingredients for the cosmetics industry, the sustainable manufacture of palm oil is possible. A reliable certification system and the best possible transparency are the key factors in protecting forests with a high carbon content.

In April 2017, BASF published the Palm Progress Report during a second dialog event with palm experts in London, to describe the market developments and its progress in implementing BASF’s palm oil commitments. As a partner of the RSPO Europe Roundtable this year, BASF is continuing this dialog.