Indonesia and Malaysia produce the majority of the world's palm oil. The use of forced, child and trafficked labour is reportedly common in these countries8. The work involves collecting the palm fruit and tending to the plantations.
Much of the deforestation has been in Indonesia and Malaysia, destroying the habitat of rare species such as orangutans, tigers, rhinos and elephants. As expansion for oil palm plantations takes place in new frontier regions in Latin America and West Africa, the threat to standing forests remains.
The rapid expansion of palm oil has led to extensive deforestation, destruction of the rainforests and considerable harm to wildlife species. It has also led to appalling labour rights abuses against workers, according to an Amnesty International investigation.
This clearing has destroyed critical habitat for many endangered species—including rhinos, elephants and tigers. Burning forests to make room for the crop is also a major source of greenhouse gas emissions. Intensive cultivation methods result in soil pollution and erosion and water contamination.
The biggest impact of unsustainable palm oil production is the large-scale devastation of tropical forests. As well as widespread habitat loss for endangered species like Asian rhinos, elephants, tigers and orangutans, this can lead to significant soil erosion.
Palm oil and related products linked to Sime Darby were banned from entering the US since January 2022 on findings of forced labor.
The mass production of palm oil has relied on the destruction of rainforests, which leads to climate damaging emissions, as well as loss of biodiversity, particularly for orangutans, and human rights issues.
Discover our palm oil in a nutshell
The palm oil we use in Nutella® is 100% sustainable palm oil, traceable back to the mills.
Increasing demand
A blanket boycott of palm oil could drive the price of palm oil down. This could increase demand, especially in markets which have less interest in sustainability. This reduces the incentive to produce environmentally sustainable palm oil.
Conservation International recognizes that palm oil itself is not the enemy and that it can be produced sustainably. Yet despite progress, the negative impacts associated with palm oil persist.
Preparations for the festivities caused an upsurge in the demand of cooking oil in Indonesia. For the first time in two years of COVID-19 restrictions, people were hosting extravagant feasts. It was within this context that the Indonesian government ultimately decided to ban the export of crude and refined palm oil.
As a result, consumer brands, including those with 'no deforestation, no peat, no exploitation' (NDPE) policies, still used palm oil from producers that destroy rainforests, drain carbon-rich peatland and violate the human rights of workers and local communities – making their customers complicit in forest destruction, ...
Palm oil contributes saturated fats, but peanut butter with palm oil is a healthier choice than peanut butter made with partially hydrogenated oils. Partially hydrogenated oils contain trans fat, which raises your cholesterol levels more than saturated fat.
In conclusion, palm oil is technically suitable for a vegan diet as it is derived from plants and is free from animal products. However, due to the devastating impact palm oil production has on the environment and animals, it's up to the individual whether or not they choose to avoid it.
(sustainable palm oil): Almond Joy, Reese's PB Cups, Reese's Pieces, Reese's Crispy Crunch, Reese's Whips, Take5, Whoppers, Mr. Goodbars, Hershey's Cookies n Creme, Rolos, Twizzlers. Mars, Inc. (sustainable palm oil): Snickers, Twix, M&M's (Chocolate, Peanuts, Raspberry), 3 Musketeers, Milky Way, Dove.
Asia is by far the largest and fastest-growing consumer of palm oil, responsible for two thirds of global consumption. The three largest consuming nations are Indonesia, India and China which between them account for 45 per cent of global demand.
One of the most popular replacements for palm are canola and sunflower seed oils. However, while they don't have the same environmental impact in terms of deforestation, these crops still require a lot of land and water to produce.
Palm oil demand in China
In China, demand for palm oil is primarily driven by its use as a cooking oil, as a major ingredient in instant noodles and in the production of cosmetics. Other palm products other than palm oil also have a good share in non-food sectors, such as the oleochemicals sector.
Palm oil is good at keeping spreads spreadable since it is semi-solid at room temperature, it is stable at high temperatures which helps fried products, and it's odorless and colorless so it doesn't affect the look or smell of food products.
100% of the palm oil used in McDonald's restaurants and as an ingredient in McDonald's products supported the production of sustainable palm oil in 2021.
Mondelez source 100% sustainable palm oil. We've launched a Palm Oil Action Plan that is committed to helping to eradicate deforestation, and respecting human rights in the palm oil supply chain.
Nestlé, which uses palm oil in various chocolate products like Kit Kats, committed to using "segregated, certified-sustainable palm oil in its Australian chocolate factory" in 2014, according to ABC News.
"Because the United States banned the addition of trans fats to food [that are sold in restaurants and on grocery store shelves], many manufacturers have turned to palm oil, which is an inexpensive substitute," explained Rizzo. Palm oil's nutritional profile is similar to other cooking oils.
Be extra aware of foods that commonly contain palm oil such as sliced bread, crisps, and biscuits. Try to buy food marked with a sustainable palm oil logo. Make your own: Making your own food from raw ingredients means you can control exactly what goes in to your food.
Furthermore, when ingested modestly daily, palm oils, especially RPO and POl, provide health benefits such as cardioprotective, antidiabetic, anti-inflammatory, and antithrombotic effects.