Oreos maker targeted over use of palm oil
The maker of Oreo biscuits has become the latest target by Greenpeace in its campaign to stop the destruction of rainforests for palm oil.
The environmental group accused palm oil suppliers to snack giant Mondelez International, which makes the famous black and white cookie as well as Cadbury chocolate bars, of deforestation and destroying orangutan habitats in Indonesia. In response, Illinois-based Mondelez told Bloomberg that it is actively working with suppliers to ensure palm oil is fully traceable and does not lead to deforestation, and is excluding 12 companies from its supply chain as a result of breaches.
Concerns over palm oil’s environmental and social impact have led to increased scrutiny, with farmers accused of illegally using slash-andburn methods to clear land for plantations, destroying rainforests and animal habitats as well as exacerbating water and air pollution.
That’s resulted in governments and producers struggling to improve the perception and marketability of the tropical oil, and has prompted the creation of a sustainability roundtable that monitors the industry. Almost 25,000 hectares of orang-utan habitat and 70,000ha of rainforest was destroyed between 2015 and 2017 in Indonesia, according to Greenpeace’s analysis of deforestation by 25 palm oil producers that were cross-referenced with supply chain information published by Mondelez and other brands, it said.
Mondelez, which says it accounts for about 0.5 per cent of global palm consumption, is committed to “eradicating deforestation” in its palm oil supply and will continue to exclude suppliers that do not meet its principles, it said. Meanwhile, British supermarket chain Iceland this month hit the headlines after an advert it planned to air was blocked from TV for being politically motivated.
The ad highlighted the devastating environmental impact of palm oil production and announced that Iceland was committing to phasing out the oil in all its own-brand products by the end of the year. Around 200 branded items which include the oil will remain.
Earlier this year Richard Walker, Iceland’s managing director, told the Daily Telegraph of his time spent in Borneo, where he witnessed “horizon-to-horizon monoculture” of palm trees, which had replaced native rainforest. His quest to ban the product, at a significant financial cost to the supermarket, is partly inspired from his view that “I do not believe that such a thing as sustainable palm oil exists”. Iceland being named and shamed by the Rainforest Foundation UK may also have played a role.
Palm oil continues to be an attractive ingredient for manufacturers.
It is a highly saturated vegetable oil found in the fruit of oil palms, which are native to West Africa, where it has been used for centuries in food, medicine and manufacturing. After European empires colonised the continent, the valuable commodity was transported around the tropics.
It is a highly calorific source of fat, which has made it a staple in many parts. However, acids found in the oil may increase risk of cardiovascular disease.
Because palm oil has a high melting point and is semi-solid at room temperature, it is very versatile, and far cheaper than animal fats offering the same benefits, making it attractive to manufacturers.
Oil palm trees are highly productive, more so than many alternatives, such as rapeseed oil, hence the low cost. According to the WWF, “palm oil supplies 35 per cent of the world’s vegetable oil demand on just 10 per cent of the land [used for vegetable oil production]”.