Sustainable palm oil FAQ
In what products does Fazer use palm oil?
At Fazer, palm oil is used in fats and margarines to produce some coffee breads, biscuits, and confectionery fillings.
Why does Fazer use palm oil?
Palm oil has very good technological properties, and that’s why it’s quite commonly used in the food industry. To create the right solid texture as required in Fazer’s products like coffee breads, biscuits, and confectionery fillings, we use palm oil. Palm oil is used in several fat blends as the solid part as otherwise fat blends would be too soft or liquid.
Fat blend = A mixture of various fat components (e.g., margarines and filling fats).
Is there a way to replace palm oil? Does Fazer have plans to replace palm oil?
Fazer is constantly putting R&D efforts to develop sustainable and healthy food products. In the future, Fazer will investigate ways to increase the use of fats, oils and other ingredients with better environmental footprint and nutritional quality than palm oil.
At Fazer, we see that using palm oil is the best option in some of our products. We always support sustainable palm oil production by purchasing the RSPO-certified palm oil when using palm oil.
Palm oil has very good technological properties. The production process of margarines has been modified during the past years to avoid trans fats. This shift has led to an increase in the use of palm oil as it is naturally solid fat. As palm oil is the highest-yielding vegetable oil crop, replacing it with other vegetable oil would mean that we would need much more land to cultivate other tropical oil crops such as coconut or shea.
At Fazer, we evaluate the use of different oils and fats regularly, considering both nutritional and technological aspects. Here few examples where we have modified the recipes:
We replaced the palm oil used for deep-frying doughnuts with rapeseed oil in 2012.
In several yeast doughs, palm oil has already been replaced with rapeseed oil years ago.
Some biscuits are baked without palm oil, such as Jyväshyvä oatmeal snack biscuits.
What is Fazer doing to ensure sustainable palm oil purchasing?
Fazer has been a member of the global RSPO (Roundtable on sustainable palm oil) organisation since 2004.
Fazer uses RSOP certified sustainable palm oil.
Fazer uses only segregated palm oil in nearly all of its products in the Nordic and Baltic countries meaning that certified palm oil is kept separate from non-certified palm oil throughout the value chain.
Fazer submits an annual report to RSPO on progress. You can read more here.
What is RSPO?
Roundtable on sustainable palm oil is a not-for-profit international membership organisation working to improve global palm oil production and use sustainability.
What do you mean by increased traceability?
Fazer aims for increased traceability by complying with the supply chain option hierarchy that has been set in the commitment:
- Segregated supply chain system
- Mass balance supply chain system if segregated palm oil is not available, taking availability, quality and market conditions into account.
- Book & Claim / Smallholder or GreenPalm certificates in the markets and products where segregated palm oil is not available.
Our ambition is to use only Segregated palm oil by 2024.
Could Fazer purchase only segregated palm oil?
Today, the challenge is that not all fat and oil suppliers can provide palm oil as segregated in all geographical areas where Fazer operates. This means our operations in Russia, where there is insufficient availability for segregated palm oil. We first aim for mass balanced, sustainable palm oil in Russia. We use the Book & Claim method with increased support to smallholders during the transition period.
What was the conclusion from the previous palm oil commitment period 2014-2020?
Fazer did not reach the target set for 2020 of all palm oil being segregated, as our operations in Russia still use the Book and Claim supply chain model. We use nearly 100% Segregated palm oil in the Nordic and Baltic countries. In 2020, we increased our support to smallholder farmers by purchasing 50% of the Book and Claim-credits as smallholder credits. With such support, smallholders can increase their yields, better enter international markets, improve their livelihoods, and reduce the risk of land conversion.