Palm Oil In Brief
Why do we use it?
Palm oil is one of the most widely consumed vegetable oils on the planet and is used in about half of packaged products that are found on the shelves of your local supermarket.
At Ferrero, palm oil plays an important role in achieving a balance between the different elements of our products. For example, palm oil is solid at room temperature which means that products like our Kinder Surprise, Ferrero Rocher or Nutella have the perfect consistency. Unlike other vegetable oils (rapeseed, sunflower or soya bean) it doesn’t have to go through a hydrogenation process to become solid – which creates unhealthy “trans fats” – and because it’s odourless and tasteless, it doesn’t interfere with the flavour of the other ingredients. Scientific evidence also supports the fact that palm oil is better than animal fat alternatives, trans fats and partially hydrogenated vegetable oil when it comes to its effect on LDL cholesterol levels and therefore risk of coronary heart disease.
Where do we get it from?
We source palm oil from Malaysia (mainly peninsula), Papua New Guinea and Brazil. Our main suppliers of palm oil are ISF, NBPO, AAK and Agropalma.
How do we address quality and sustainability?
We are aware of the issues surrounding the production of palm oil and that, for some people, palm oil conjures up a negative impression. Concerns about its sustainability and the impact of its cultivation on local communities in Asia and Africa have rightly been raised in campaigns by a number of high profile NGOs.
Ferrero has always been committed to sourcing the best ingredients in the most responsible way possible and this includes palm oil. Since 2005, we have been an active member of the Roundtable on Sustainable Palm Oil (RSPO), a not for profit organisation that monitors and promotes sustainable palm oil practices. By the end of 2014 we achieved our target of using 100% RSPO certified sustainable segregated palm oil, the highest recognised standard and we did it almost one year earlier than originally planned.
Our commitment in this area doesn’t just end with certification. In November 2013 we established our own Palm Oil Charter which strengthened our efforts in addressing deforestation and promoting environmental conversation.
WWF recently scored Ferrero 9 out of 9 in the latest edition of their Palm Oil Buyers Scorecard and singled us out for praise: “Ferrero’s impressive efforts show that it’s possible for even large users of palm oil to get their sourcing on a more sustainable footing. Other companies now need to follow their example… it’s a credit to them that they have put in the effort to shift their sourcing to segregated supplies.”
As part of Greenpeace International’s ‘The Tiger Challenge’ campaign, Ferrero was highlighted as being ‘forest-friendly’. Notably, they stated that “Ferrero has one of the most progressive No Deforestation Policies in the sector”.