Oleochemicals industry braces for more supply from Indonesia and Malaysia

摘要

Global output of palm oil is continuously increasing, mainly from Indonesia and Malaysia, with 2014 production expected to reach 65 M tonnes. Crude palm oil (CPO) is projected to account for 58-59 M tonnes. Oils and fats mainly go to the food sector, but CPO and palm kernel oil (PKO) are also significantly applied in the production of oleochemicals and are starting to be used in generating biodiesel. In many parts of the world (except the European Union and North America where beef tallow dominates), palm stearin from cheap palm oil is the preferred feedstock for C16-C18 fatty acids.