OFI September/October 2022

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WWW.OFIMAGAZINE.COM OILS & FATS INTERNATIONAL SEPT/OCT 2022 ▪ VOL 38 NO 7 Meeting oil and demandprotein INSECTS Going green SURFACTANTS Fat for fuel RENDERING

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Instrumentation 34 Global round-up of news OFI reports on some of the latest instrumentation developments Speciality Fats 36 Going dairy free Cocoa butter is used to give plantbased chocolate the right flavour and mouthfeel and one way to cut down on this expensive ingredient is to remove lecithin from the recipe and replace it with a phospholipid Sustainability 38 Insects to feed the world Insects are a source of protein and fat which can be utilised as food and feed OILS & FATS INTERNATIONAL IN THIS ISSUE – SEPT/OCT 2022  FEATURES NEWS & EVENTS Comment 2 Climate action News 4 EU facing most severe drought in 500 years Biofuel News 10 Renewable diesel capacity in USA rises significantly Renewable News 12 CEPSA supplies Unilever with first batch of LAB Transport News 14 Koole acquires Alkion Terminals Biotech News 16 EU proposes new rules to halve pesticide use Diary of Events 43 International events listing Statistics 44 World statistical data CONTENTS www.ofimagazine.com OFI – SEPTEMBER/OCTOBER 2022 1 Rendering 18 Fat for fuel With rendered animal fats increasingly used for biofuels, what are the implications of proposed EU changes in renewable energy targets and feedstocks? Plant & Technology 24 Global news digest The latest projects, technology and processing news around the world Surfactants 28 Going green Chemical companies are rolling out an array of bio-based surfactants as the cosmetic and personal care industries race to drop petroleum-based ingredients StockAdobePhoto: BühlerPhoto: StockAdobePhoto: StockAdobePhoto:

Decades have been wasted on climate action and the world is now paying the price.

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Climate action

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Critics say it contains too many fossil fuel giveaways, such as approval for renewable energy development on federal lands contingent on auctioning oil and gas leases.

Serena Lim serenalim@quartzltd.com

As the atmosphere warms, more moisture will be held in the air and that eventually will be rained out somewhere on the planet, according to World Grain. In the past three years, China has reported a phenomenal amount of rain resulting in serious flooding, the USA suffered a 2020-2022 drought, and portions of Canada’s Prairies experienced serious flooding between 2008-2013. If weather trends play out, Europe could eventually be impacted by excessive rain after the current drought.

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Europe is facing its worst drought in 500 years, with two-thirds of the continent under a ‘warning’ or ‘alert’, according to the European Commission (see p4). In the last eight years, the region has experienced mid-summer crop stress five times – in 2015, 20182020 and now 2022 – impacting grain, oilseed and other crop production. The battle with dryness has raised some serious worries about the long-term trend in weather.

However, anaylsis by independent research firm Rhodium Group, estimates the act will reduce US GHG emissions by 31-44% below 2005 levels by 2030. The act contains new tax credits for sustainable aviation fuel (SAF), clean transportation fuels and clean hydrogen. It also extends several existing tax credits that benefit transportation biofuels, such as renewable diesel and biodiesel, and includes funding for biofuel infrastructure development. The new dedicated SAF tax credit has raised concerns that it will shift vegetable oil and waste feedstocks to aviation, leaving less for renewable diesel (see p10).

Oils & Fats

“Is this legislation the size of what we need for the climate? No,” Anand Gopal, Energy Innovation policy executive director, says in the The Guardian newspaper. “Is it extraordinary given the politics and the Senate we have? Yes, it’s incredible. We can’t make up for the lost time of US inaction – we can see the price the world is paying for that right now – but it’s not too late. This can make a massive difference.”

And overall, the act is much smaller in scope than US President Joe Biden’s original ‘Build Back Better’ package stalled since last year. However, at least it sends an important signal of the USA’s intentions and a shift from the Trump years of climate change denial.

OCTOBERSEPTEMBER/72022

The act allocates US$369bn for climate provisions and aims to reduce greenhouse gas emissions by incentivising clean energy sources such as nuclear power, clean energy vehicles, hydrogen, and carbon capture, utilisation and storage (CCUS).

And at a time when heat waves, droughts and wildfires are wreaking havoc around the world, a step in the right direction is sorely needed.

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On 12 August, the US House of Representatives passed the largest climate spending package in US history as part of the Inflation Reduction Act.

International 2 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com VOL 38 NO

Today, more than 1,800 lawsuits have been filed against fossil fuel companies over climate liability worldwide. The lawsuits claim that the companies – much like the tobacco industry – conducted a decades-long campaign of deceit to suppress warnings from their own scientists about the impact of fossil fuels on the climate, lying about what they knew and when they knew it, writes Sharon Eubanks, the lead counsel on behalf of the USA against the tobacco industry.

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Meanwhile, APK-Inform wrote that Ukraine, the world’s largest sunflower oil producer and exporter, was likely to reduce its sunflow erseed harvest to no more than 10.7M tonnes this year compared to 16.6M last year.

IN BRIEF

This year’s grain harvest in Ukraine was forecast to drop to around 50M tonnes from last year’s record 86M tonnes, Reuters said on 23 August.

An adviser to Ukraine President Volodymyr Zel ensky told the Kyviv Post that Vadaturskyy had been deliberately targeted.

A total of 61 cargo ships carrying around 1.5M tonnes of agricultural exports have so far left Ukraine following a United Nations (UN)-brokered deal to unblock the country's sea ports, Reuters reported the Ukrainian infrastructure ministry as Ukrainiansaying.grain traders

In a separate statement reported by Reuters on 23 Au gust, the agriculture ministry said exports of key Ukrainian agricultural commodities had almost halved since Russia's invasion. Exports between 24 February and 15 August dropped to 10M tonnes from around 19.5M tonnes in the same period last year, accord ing to the ministry data.

France was also facing its “most severe” drought on record, with producers expecting to see a 50% drop in olive oil production due to the drought, Olive Oil Times wrote.

In Italy, the agriculture minister warned that a third of the country’s agricultural production was at risk of failing, with conditions in the southern regions of Puglia, Calabria and Sicily expected to result in olive oil production dropping by a third.

UKRAINE: The CEO of leading Ukrainian agribusi ness Nibulon was killed during Russian aerial bom bardment of the southern city of Mykolaiv, World Grain reported on 2 August.

could load 100-150 cargo ships per Agriculturemonth.Minister Mykola

Three Black Sea ports were reopened under the UN deal signed on 22 July, with the ministry saying these ports

France, Italy, Portugal and Spain produced 88% of the EU’s olive oil in 2021/22 and had felt the impacts of an unusually dry winter and spring followed by several extreme heatwaves, the report said.

RUSSIA: The Ministry of Agriculture will reduce the export duty on sunflower oil by 85% from 1 September, AgriCensus reported on 25 August.Theduty would be RUB8.621.3/tonne (around US$143.4/tonne), which would remain in place pend ing an update, the report said. The move followed a change to the export duty formula in July, when the government introduced a new duty in roubles fol lowing a sharp drop in the exchange rate against other currencies.

Oleksiy Vadaturskyy and his wife, Raisa, were killed when a missile struck their home on 31 July.

With an annual turnover of some US$700M, Nibulon was among the 20 largest companies in Ukraine, ex porting almost 1M tonnes/ year of grain prior to Russia’s invasion of the country on 24 February.

In Spain, the Association of Young Farmers and Ranchers (Asaja) said that sunflower yields would be 40-50% lower and, despite a 30% increase in planting area, the harvest would be around 800,000 tonnes. Spain – the world’s largest olive oil producing country – is also forecast to pro duce just 1M tonnes of olive oil in the 2022/23 crop year, the lowest total since 2013/14 and down from the five-year rolling average of 1.37M tonnes, the Olive Oil Times report said.

Nibulon's activities include grain and oilseed processing, storage and shipment.

Solsky said the country's agricultural exports could rise to 6-6.5M tonnes in October, double the volume in July.

Ukraine accounts for 16% of the world’s corn supplies and 42% of sunflower oil, according to UN data.

EU facing most severe drought in 500 years

Sunflower oil produc tion was forecast between 3.5M-5M tonnes in 2022/23, compared with an expect ed 4.97M for 2021/22. Exports were projected at 3.1M-4.69M tonnes, depend ing on production and logis tics impacted by the war.

With western and central Europe recording virtually no rainfall in the past two months, the centre warned that conditions were likely to worsen over the next three months, the 18 Au gust report said. Officials at Europe’s leading sci ence and knowledge service estimated that 47% of the 27-member EU bloc was at risk of being impacted by the drought, with farmers across four of the continent’s largest olive oil-producing countries among the most severely affected.

One of the richest busi nessmen in Ukraine, Vada turskyy founded Nibulon –one of the country’s largest agricultural companies – in 1991 and turned it into a major player in the global grain industry, World Grain wrote on 2 August.

It runs its own fleet, has a total grain storage capac ity of 2.25M tonnes and operates a network of 27 trans-shipment terminals and grain and oilseeds com plexes in the country.

Grainadded.exports from Ukraine fell following Russia’s invasion of the country on 24 February and ports blockade.

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union UGA said that corn accounted for 62% of the exports, wheat 17% and bar ley for 6%. Ukraine had also exported rapeseed, sunflow erseed, soyabean and other commodities, the 30 August report

In Portugal, rain-fed groves – which represent 30% of all its olive groves – were hardest hit by the drought and expected to see significant production declines.

Ukraine exports 1.5M tonnes of products

Ukraine exported 3.8M tonnes of corn, 1.4M tonnes of sunflowerseeds, almost 1M tonnes of sunflower oil and around 640,000 tonnes of wheat during the period, according to the data.

The EU is suffering its most severe drought in 500 years, Olive Oil Times reported the European Commission’s Joint Research Center as saying.

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As part of the investment, AAK said it would provide Green-On with oils and fats knowledge and facilities to support and further develop the company’s work.

"The continued decline of the index was driven by lower world prices of palm,

According to BASF, the gas bill for its Europe an production sites during the second quarter of 2022 has increased by around €8M (US$8.17M) compared to the same period last year.

The dramatic price increases were due to several factors including Russia’s invasion of Ukraine, the closure of Chinese ports in re sponse to outbreaks of COVID-19 outbreaks, inflation and rising natural gas prices, Olive Oil Times reported Chemanalyst as saying. The war in Ukraine had severely reduced the country’s production of ammonia and urea while the EU had also imposed retaliatory sanctions on pro ducers in Belarus and Russia.

The August index value was slightly be low its year-earlier level.

In contrast, world soyabean oil prices rebounded only moderately, mainly due to concerns over the impact of unfavourable weather conditions on US soya production.

alities of future food produc tion and with a much lower environmental impact.”

According to market research firm Cheman alyst, the average price of ammonia has risen steadily over the past few years, increasing from approximately US$215/tonne in September 2020 to US$1,200/tonne by the end of March this year. Urea prices also rose in the same peri od, although less dramatically.

BRAZIL: US renderer and renewable diesel pro ducer Darling Ingredients announced on 1 August that it had completed its US$542.6M acquisition of Brazil’s largest independent rendering company FASA Group.

German chemical giant BASF announced it would be reducing its production of ammonia for fertilisers in response to surging gas prices, AgriCensus reported on 27 July.

"International palm oil prices fell for the fifth consecutive month in August, driven by increasing export availabilities from Indone sia, mainly thanks to lower export taxes, as well as seasonally rising outputs in South east Asia. In the meantime, world sunflower oil values declined on lingering subdued

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IN

BASF cuts fertiliser production

As part of the transaction, Darling Ingredients has ac quired 14 rendering plants with a total processing capacity of 1.3M tonnes/ year, with an additional two plants under construction.

of finished fertiliser, AgriCensus wrote.

Ammonia is used to produce nitrate fertilisers such as ammonium nitrate (AN).

global import demand that coincided with the gradual resumption of shipments from Ukraine’s seaports," the FAO added.

BASF’s news follows an August statement from leading Norwegian fertiliser producer Yara International that it was further reducing pro duction at several plants, cutting output to 1.3M tonnes/year of ammonia and 1,700 tonnes/year

FAO vegetable oil price index falls further in August

sunflower and rapeseed oils, which more than offset higher soyabean oil quotations," the FAO said.

Green-On says growing fats in labs reduces arable land and water use

Darling Ingredients oper ates 250 plants in 17 coun tries and repurposes nearly 15% of the world’s meat industry waste streams into value-added products, such as renewable diesel, fertilis er and pet food. BRIEF

Against this backdrop, the European Commis sion (EC) has proposed dropping tariffs on two key ingredients used to manufacture nitrogen fertilisers in a bid to reduce production costs for farmers, Olive Oil Times reported on 25 July.

“There are today – besides palm oil – very few plantbased oils with which we can create the functionality of solid, high-melting fats which are used in, for example, plant-based meat, bakery and confectionery applications,” AAK chief technology officer Karsten Nielsen said on 15

fats are used in products such as baked foods, cheese, choc olate, ice cream, shortening and cooking oils.

The higher energy costs would be passed on to consumers and farmers could expect a sharp increase in fertiliser costs next year, he added.

Green-On chemically synthesises molecules such as fatty acids or triglycerides, using tyfromofelectricity,sustainably-sourcedaminimumamountwater,andcarbondioxidetheairorfromthird-parindustrialemissions.Thecompanysaidthisby passed traditional agricultural production, decreasing the use of fresh water, nitrogen, phosphorous and large areas of arable land.

AAK invests in lab-grown fats and oils start-up

"International quotations for rapeseed oil also dropped in August due to ample supply prospects for the 2022/23 season."

July. “This technology provides the exact part of the fat that is needed to create the function

“We are reducing production at facilities that require large volumes of natural gas, such as ammonia plants,” BASF CEO Martin Brudermüller said during a media call on 27 July following the company’s second quarter results.

Plant-based oils company AAK has invested in Swedish foodtech start-up firm Green-On, which produces lab-grown fats andTheoils.customised saturated

NEWS 6 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

The FAO Vegetable Oil Price Index averaged 163.3 points in August, down 5.5 points (3.3%) month-on-month and marking an 11-month low, the Food and Agriculture Organization of the United Nations (FAO) reported on 2 September.

The USDA expected world rapeseed output to rise to a new record level of 82.5M tonnes, up 14% compared to 2021/22, the report said.

NEWS

Indonesia’s 2022/23 palm oil production forecast remained unchanged at 46M tonnes, the report said, while the USDA had reduced its 2021/22 production estimate slightly to 45.3M tonnes due to a reduction of processed palm fruit.

In the food sector, the USDA forecast palm oil use in Indonesia would rise by 4% to 6.6M tonnes in 2022/23 from 6.4M tonnes the previous year, in line with population growth and improved economic performance.

The United States Department of Agriculture (USDA) is forecasting that Indonesia's palm oil exports in 2022/23 will reach 29.5M tonnes, an increase of 4M tonnes compared to the previous year due to expected demand recovery from major markets such as India and China.

With global consumption expected to total 79.2M tonnes – 5.1M tonnes more compared to the previous season – there would be a 3.3M tonne surplus for the first time in three years, the report said.

estimated at 16.9M tonnes, an increase of 3% compared to the previous year due to higher demand from the biodiesel industry and the food sector, according to the USDA’s 4 August Foreign Agricultural Service (FAS) Global Agricultural Information Network (GAIN) report.

Palm oil consumption in 2022/23 is

Global 2022/23 ending stocks are likely to increase significantly due to higher production to total 6.8M tonnes, 47.5% higher compared to the previous year's figure, and the largest ending stocks in three years, the USDA said.

The government’s plan to raise the biodiesel blending mandate to 40% (B40) had entered the road test phase in July and was expected to be implemented in 2025, the report said.

Global rapeseed production in 2022/23 is forecast to reach a record high globally, with Russia and Australia expected to see larger harvests, according to United States Department of Agriculture (USDA) data reported by Germany’s Union for the Promotion of Oil and Protein Plants (UFOP).

www.ofimagazine.com OFI – SEPTEMBER/OCTOBER 2022 7

For Russia and China, the USDA said it expected higher demand than previously forecast.

Indonesian palm oil exports set to rise

Russia’s rapeseed output was expected to reach a record 3.9M tonnes, mainly due to an expansion in area, UFOP said. The Australian rapeseed harvest was expected to be around 700,000 tonnes larger than previously expected due to favourable growing conditions, with 6.1M tonnes now forecast. In the EU-27, the rapeseed harvest is projected to reach around 18M tonnes.

The USDA updated its estimates for both 2021/22 and 2022/23 palm oil use in the biodiesel industry due to an expected slight increase in biodiesel production for export markets and fuel use in the transportation sector.

Indonesia’s biodiesel mandate pro-

gramme continued to be the main driver, with a 30% blending rate remaining in place, the report said.

World harvest of rapeseed to hit record high

been open to international investors since the end of 2020, AgriCensus said.

almost double the previous year’s total of US$570M.NorthAmerica had a “solid performance” as export volumes remained strong in a good demand environment.

However, total sales volume fell by 5% to 24.8M tonnes, mainly due to lower sales vol umes of tropical oils and sugar.

The company said it expected strong third-quarter results and very good earn ings in the second half of 2022.

ADM reports strong profits as grain supplies stay tight

was supported by improved sales in its Food Products and Feed and Industrial Product segment – particularly in oil seeds and grains – helped by the recovery of crushing mar gins and increased soyabean crushing volumes.

IN BRIEF

"Starting from today, Qualified Foreign Institu tional Investors and RMB Qualified Foreign Insti tutional Investors can participate in the trading of the following commodity futures and options contracts," the statements said, listing a range of agriculture futures including futures and options for No. 1 soyabean, No. 2 soyabean, soyabean meal, soyabean oil, RBD olein and iron ore on the DCE. Within these products, RBD olein had

The Dalian Commodity Exchange (DCE), Zhengzhou Commodity Exchange (ZCE) and Shanghai Futures Exchange (SHFE) all released notices of the move on their websites separately but simultaneously on Friday, AgriCensus report ed on the same day.

Global agribusiness giant Archer Daniels Midland (ADM) expects strong profits this year, with robust demand for crops world wide following Russia’s invasion of Ukraine on 24 February, Reuters reports.

“Despitesaid. an increase in production costs, the crops still have good liquidity and profitability for the Brazilian producer,” Conab president Guilherme Ribeiro was quoted by World Grain on 25 August as saying.

NEWS 8 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

Looking ahead, the compa ny said it was optimistic that its performance for the rest of the year would be “satis factory, with recent correc tions in commodity prices hopefully restoring some of the demand destroyed by high prices and improved margins in its downstream business."

“The productivity of the 2022/23 cycle should show recovery in relation to the current crop after the climatic problems regis tered in the southern states of the country and in part of Mato Grosso do Sul.

The crushing business delivered a yearon-year surge in operating profit from US$150M to US$468M.

Wilmar posts record net profits over $1bn

BRAZIL: The country's grain and oilseed crop harvest is forecast to rise in 2022/23 to 308M tonnes, with increased corn, rice and soyabean production. according to the National Supply Company (Conab)'s 24 August Agricultural Perspectives report.

first half 2022 increased by 22% to US$36.13bn from US$29.53bn in the same period last year, in line with higher commodity prices, the company said on 4 August.

AgriCensus said China was increasing efforts to improve transparency and accessibility to its domestic commodity futures markets, while also promoting its influence in the international finan cial market. However, trade sources said larger international firms and experienced traders had already been active in these markets for a while through local entities.

“Strong soyabean crush margins drove improved performance in all three regions, as meal and oil demand remained robust,” the company said.

“South American results were higher, based on stronger origination volumes and better margins driven by strong global grain demand,” the company said in its quarterly financial statement.

For soyabeans, Conab forecasts a record produc tion of 150.36M tonnes for the coming season.

The increase compared with 2021/22's estimated total of 272M tonnes, the report

Leading Asian agribusiness Wilmar International an nounced record net profits of US$1.165bn for the first half of this Revenueyear. for the Singa pore-based company in

The company’s performance

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China will expand access to key agricultural fu tures to foreign investors, three major commodi ty exchanges announced on 2 September.

Wider foreign access to China commodity markets

“Prices should remain at tractive, reflecting a growth trend of 3.54% in area for the soyabean crop, which could reach 42.4M ha,” Conab said.

Announcing its second quarter results on 26 July, ADM said its core Ag Services & Oilseeds unit had delivered “substan tially higher” year-on-year results, with an adjusted operating profit of US$1.12bn,

"With the expected improvement in productiv ity, Conab estimates that greater availability should provide exports of around 92M tonnes, an increase of 22.2% compared to the 2021/22 harvest, a record for the crop.”

The SHFE would allow overseas trading in various metal futures and options.

On the ZCE, overseas investors would be allowed to trade in rapeseed oil, white sugar, methanol and purified terephthalic acid (PTA) fu tures and options, and polyester staple fibre fu tures. However, rapeseed, rape meal and wheat would still not open to international investors.

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Lotte Confectionery would supply by-products from its food manufacturing process – mostly UCO – to Hyundai Oilbank to be used as a biodiesel feedstock.

In other news, leading US airline American Airlines said

The National Association of Truckstop Oper

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IN BRIEF

In contrast, biodiesel capacity dropped by 582M litres/year in the same period compared to the previous year, according to the EIA data published on 8 Au gust, with 72 plants producing a combined capacity of 8.5bn litres/year as of 1 January.

A new 130,000 tonnes/ year biodiesel production facility was also being built by Hyundai at its Daesan plant in Seosan, South Chungcheong.

Fuel retailers fear impact of SAF tax credit

Indonesia currently had the highest mandat ed biodiesel blend in the world at B30, Reuters said. Its biodiesel consumption is forecast to be at least 10.15bn litres this year.

ators (NATSO) and fuel marketers’ association SIGMA had called for tax equality between the biodiesel tax credit and the SAF tax credit.

The act was passed by the US Senate and House of Representatives in August and includes a SAF tax credit of US$1.25/gallon, which could rise to US$1.75/gallon depending on the fuel’s greenhouse gas reduction level. It would remain in place until 2024 and transition to a Clean Fuel Production Credit from 2025-2027.

The supply could total up to 1.8M tonnes over seven years and would be produced by up to four different approved technology pathways using a range of sustainable feed stocks, Shell said on 1 August.

Also in Brazil, state-run oil company Petrobras announced on 2 August that it had signed a deal for global agribusiness giant Bunge to supply it with refined soyabean oil for it to produce R5 diesel at its Getúlio Vargas Refinery in Paraná state. Diesel R5 is a blend of 95% mineral diesel and 5% renewable diesel.

SOUTH KOREA: Petroleum refiner Hyundai Oilbank and Lotte Confectionery have signed a deal to produce biodiesel from used cooking oil (UCO), the JoonAng Daily reported on 1 August.

Petrobras said it planned to expand its renewable diesel production to two more refin eries and to have a dedicated unit to process renewable raw materials in the future.

As of 1 January 2022, a total of 11 biorefineries in the USA were producing renewable diesel and associated biofuels –including renewable heating oil, renewable jet fuel, renewable naphtha and renewable gasoline

The fuels to be tested are diesel mixed with 40% fatty acid methyl esters (FAME), and B30D10 – diesel with 30% FAME mixed with 10% green diesel made of refined, bleached and de odorised (RBD) palm oil.

– according to the 25 August report. The facilities had a total capacity of 6.6bn litres/year, the report said, which represented a significant increase on the previous year’s figure.

Meanwhile, the bulk of US biodiesel capacity was located in PADD 2, where 37 biodiesel plants produced a combined volume of 5.4bn litres/year.

Renewable diesel capacity in USA rises significantly

IRELAND: Finnish renew able fuels producer Neste announced on 26 July that it would acquire Irish animal fats and by-products trader Walco Foods to strengthen its raw material sourcing.

The act would prohibit the use of palm oil derivatives but first-generation feedstocks such as corn-based ethanol, corn oil and soyabean oil would be eligible for use in SAF production – unlike in Europe, an AgriCensus report said.

The investment follows earlier acquisitions including animal fats and proteins trader IH Demeter, Bunge Loders Croklaan’s refinery in Rotterdam and Count Terminal in the Nether lands, US used cooking oil collector Mahoney Environ mental, and US renewable waste and residue fat and oil trader Agri Trading.

Global oil giant Shell Interna tional Petroleum has signed a supply agreement in which it will supply German airline Deutsche Lufthansa with sus tainable aviation fuel (SAF) at airports worldwide starting in 2024 for seven years.

INDONESIA: The govern ment has launched road tests for two types of palm oil-based B40 biodiesel blends to assess by the end of the year if they are viable for public use, Reuters reported on 28 July.

Most renewable diesel was produced in the Petroleum Administration for Defense Dis trict (PADD) 3, a region located along the Gulf Coast, the report said. At the start of the year, there were two facilities located in PADD 3 with a combined capacity of 4bn litres/year.

In Brazil, aerospace manufac turer Embraer has also signed a deal for Brazilian energy firm Raízen to supply it with SAF, the company said on 17 July.

US fuel retailers fear that a new tax credit for sustainable aviation fuel (SAF) in the landmark US Inflation Reduction Act will shift vegetable oil and other renewable diesel feedstocks to aviation, leaving less for renewable diesel pro ducers, Reuters reported on 8 August.

A joint venture between Royal Dutch Shell and Brazilian conglomerate Cosan, Raízen produces biofuels and bioelec tricity from sugarcane.

BIOFUEL NEWS 10 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

Airlines sign new SAF supply agreements

on 22 July that it had finalised a five-year agreement with renewable chemicals and ad vanced biofuels company Gevo for the supply of 500M gallons (1.9M litres) of SAF with first deliveries expected in 2026.

Renewable diesel production in the USA more than doubled between 2021 and 2022 while biodiesel capacity dropped, Bio diesel magazine reported from US Energy Information Agency (EIA) data.

According to its website, Cepsa Química produces LAB at its plants in Bécancour, Canada; Camaçari, Brazil; and Puente Mayorga, Spain.

IN BRIEF

brands such as Persil, Cif and Sunlight.

To read more on bio-based surfactants, go to p28

The company said its facilities in Marl and Brunsbüttel, Germany, and in Augusta, Italy, had earned ISCC-PLUS certification for the use of mass balanced bio-based and

The South-Africa headquartered firm said its German facilities were using mass balanced (MB) bio-ethylene – made from plant-based biomass and waste – along with recycled ethylene, while its Augusta

GERMANY: BASF said on 10 August that it had again reached its target of procur ing 100% of its palm kernel oil (PKO) exclusively from from Roundtable on Sustain able Palm Oil (RSPO)-certi fiedThesources.company purchased a total of 242,946 tonnes of certified sustainable PKO in 2021 and was now focusing on expanding its sustainabili ty commitment to significant intermediates based on palm oil and PKO by 2025. These included fractions, primary oleochemical derivatives, and vegetable oil esters.

farmers were trained in good agricultural and processing practices between November 2015 and October 2018, with around 1,600 farmers gaining Rainforest Alliance Sustainable Agriculture Standard certifica tion following further training.

Sasol’s performance chemicals business unit markets organic and inorganic com modity and speciality chemicals, including oleochemicals such as fatty acids and fatty alcohols.

BASFPhoto:

BASF coconut oil-based ingredients certified

The company was certified under the Rainforest Alliance Mass Balance (MB) scheme. MB is a sourcing method that allows for certified and non-certified ingredients to become mixed during the shipping and manufacturing processes. Under this system, BASF ingredients can only carry the Rainforest Alliance seal if the amount of coconut oil it uses is equivalent to the amount it has bought from Rainforest Alliance certified farms.“[This] fosters the physical flow of certified raw materials, while farmers benefit from

CEPSA supplies Unilever with first batch of LAB

facility was using MB bio-benzene, recycled benzene and bio-recycled benzene. These MB feedstocks were mixed with fossil feedstocks, with end products containing an equivalent volume of sustainable materials.

More than 4,100 coconut

The company said it used a Mass Balance approach to create its NextLab LAB, blending and co-processing tradi tional black carbon sources with those from plant-based sources, known as green carbon.These sources were tracked during the production process to ensure that an

BASF added that it had also made further progress in developing transparent supply chains with almost 96% of its global palm oil footprint – totalling 441,107 tonnes – traceable back to the oil mill level.

Global chemicals and energy firm Sasol Chemicals announced on 27 July that three of its largest manufacturing facilities in Europe had gained certification from the International Sustainability and Carbon Certification (ISCC) system.

Last year, Unilever’s home care business announced that it would replace 100% of the carbon derived from black sources in its cleaning and laundry formulations with renewable or recycled carbon as part of its Carbon Rainbow model.

German chemical firm BASF announced on 26 July that its portfolio now includes certified personal care ingre dients based on coconut oil, following certification of its production site in Cassina Rizzardi, Italy.

“This way of manufacturing surfactants is not only the most viable, short-term alter native to purely fossil-carbon derived prod ucts, but it also constitutes a vital stepping stone in the shift from petrochemical to renewable feedstocks,” the company.

The certification of coconut oil was made possible by a partnership between BASF, Cargill, Procter & Gamble and German government agency Deutsche Gesellschaft für In ternationale Zusammenarbeit, with support from the Rainfor est Alliance and the Philippine Coconut Authority.

Spanish chemicals firm Cepsa Química has supplied consumer goods giant Unilever with its first batch of renewable linear alk ylbenzene (LAB), a surfactant used to man ufacture cleaning and laundry products.

RENEWABLE NEWS 12 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

Farmers who were trained and certified had, on average, a 47% higher income than farmers who had not par ticipated in the programme, BASF said.

recycled feedstocks in the production of alcohols, ethoxylates, linear alkylbenzenes and derivatives – key building blocks in a wide range of cleaning, personal care and industrial products.

selling Rainforest Alliance Certified coconuts and copra,” BASF said.

SASOL obtains sustainability certification for three sites

BASF uses coconut oil to produce ingredients for food products, cleaning agents, cosmetics and detergents.

Unilever would use NextLab to produce linear alkylbenzene sulphonate (LAS), the world’s largest-volume synthetic surfactant and its key raw material for its household

appropriate volume of the green carbon content was in the final LAS surfactant, Cepsa said on 20 July.

The figures were published in the sixth edition of the company’s Palm Progress Report.

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and for soya, sunflower and canola lecithin.

Koole’s Nijmegen terminal located near the German border also handles vegeta ble oils and fats, oleochemicals, base oils, waxes, biodiesel and easy chemicals.

The prolonged drought threatened the autumn harvest, as the Yangtze River basin was one of China’s major grain-producing regions, contributing nearly half of the

storage capacity of 4.1Mm3

At the inland terminal of RIHO Dode waard, which Koole acquired in 2019, the company has some 20,000m3 of storage ca pacity for vegetable oils, fats and glycerine,

Low Yangtze River levels threaten crops

Brazil’s largest ag port terminal to be formed

IN BRIEF

Located in the Bay of San Marcos, San Luis, Maranhão, the Port of Itaqui’s geographical loca tion provided competitive advantages – com pared to ports in Brazil’s south and southeast – as access time to major foreign markets such as Asia, Europe and North America was reduced by up to five days, the RTRS added.

Independent vegetable oils and fats storage, processing and logistics company Koole Terminals announced on 30 July that it had acquired Dutch bulk liquid storage operator Alkion Terminals in a deal expect ed to close by the end of the year.

Its Pernis terminal in Rotterdam port has a storage capacity of 675,000m3 for vegetable oils and fats, oleochemicals, base oils, waxes, biodiesel and easy chemicals, according to Koole’s website. In Amsterdam port, it has a storage facility for oils and fats, consisting of around 100 storage tanks ranging in size from 60m3-1,400m3, as well as for oleochemicals, biodiesel and waxes.

The FAO Grain Storage Support Strategy aims to cover 4.07M tonnes or 25% of the total estimated stor age deficit of 16M tonnes in 2022/23.Temporary and fixed grain storage solutions including polyethylene grain sleeves, would be supplied, along with loading and unloading machinery, and longer-term modular stor age units, targeting small and medium-sized farms in 15 regions, the FAO said.

“This new phase for CLI… will [see it] grow from its current 4M tonnes of export shipping capacity to more than 20M tonnes,” said CLI CEO Hélcio Tokeshi.

In the UK, Koole’s Regent Road terminal at the Port of Liverpool handles vegeta ble oils and fats and chemicals, while its terminal at the Port of Avonmouth handles agricultural products, molasses, chemicals, fertilisers, and vegetable oils and fats.

Alkion operates nine terminals in France, Italy, Netherlands, Portugal and Spain, with a storage capacity of 1.2Mm3 and plans to increase capacity for biofuels and chemical products.Zaandam-headquartered Koole operates 11 terminals in Europe – in the Nether lands, Poland and the UK – and has a total

Maranhão Grain Terminal (TEGRAM) in the Port of Itaqui, one of the largest grain and oilseed terminals in Brazil.

The Port of Itaqui, together with the Ponta da Madeira and Porto da Alumar Terminal, make up the Maranhão Port Complex, the largest in Bra zil in cargo volume, according to the Roundtable on Responsible Soy (RTRS).

country’s crop output, Agri Census wrote on 15 August.

CLI is one of four companies operating the

UKRAINE: On 2 August, the Food and Agriculture Organization of the United Nations (FAO) announced a new US$40M project to tackle grain storage in Ukraine. Funded by Canada, the initiative would allow storage of an addition al 2.4M tonnes of grain between 2022-2023, along with related technical sup port and equipment.

The project follows earlier US$17M funding by the Japanese government to cover 1M tonnes of grain storage.

In Poland, Koole’s Gdynia terminal han dles molasses; soyabean, canola and palm oils; fatty acids; chemicals and fuels.

TRANSPORT NEWS 14 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

Koole acquires Alkion Terminals

On completion of the deal, MIP V would hold a 50% stake in CLI, with CLI’s current owner holding the remainder.

Itaqui port was the fifth largest port in Brazil in terms of cargo volume capacity, serving grain and soyabean markets, with the port moving some 10M tonnes of soyabeans in 2020, the RTRS said.

The remaining 20% share in EPSA would be retained by Brazilian railroad operator Rumo.

Water levels on China’s Yang tze River have hit their lowest level on record, threatening crop development during the key harvest period, AgriCensus reported the country’s Nation al Meteorological Observatory as Thesaying.water level of the Yang tze and lakes in its flood basin was 4.7m-5.7m lower than the average level of the year due to high temperatures and low rainfall, the Ministry of Water Resources (MWR) said.

The total planted area affected by the drought in Anhui, Jiangxi, Hubei, Hu

The Yangtze River basin is one of China’s main grain-producing regions

StockAdobePhoto:

Brazilian port terminal Corredor Logística e In fraestrutura (CLI) is set to acquire 80% of Brazilian bulk sugar and grain terminal Elevações Portuárias (EPSA) in Santos, following an investment by Mac quarie Infrastructure Partners V (MIP V).

According to the Ukrainian government, of the country’s total storage capacity of 75M tonnes, 14% of facilities are dam aged or destroyed, 10% are in Russian-occupied territo ries and around 30% remain filled with 22M tonnes of last year’s harvest,

nan, Chongqing and Sichuan provinces reached 644,667ha, according to a drought report published by the MWR on 11 August.

The deal would result in the largest indepen dent agriculture port terminal in Brazil, MIP V – an infrastructure fund managed by Australia’s Macquarie Asset Management, said on 18 July.

USA: German chemical giant Bayer has acquired a majority share of US pen nycress start-up company CoverCress Inc (CCI) after signing a shareholders’ agreement with Bunge and Chevron, Bayer announced.

Under the agreement, Sustainable Oils would use the technology to create target ed changes to camelina DNA and incorpo rate new traits such as high oil yield, quick

"We are excited to add CRISPR-Cas9 technology to… our camelina breeding practices,” Sustainable Oils chief scientific officer Dr Jerry Feitelson said. “Using this...

The EC’s approach to reducing the use and risk from pesticides by 50% is to set targets to which member states contribute, with three pro posed options ranging from non-legally binding targets at the EU level to legally binding at the EU and member state level.

duced in Malaysia by Sime Dar by Plantation (Sime Darby) and helped plants withstand high temperatures. 3F Oil Palm also planned to double its produc tion capacity to 150 tonnes/ hour in the next two years.

IN BRIEF

“We have entered into an agreement with a couple of players in Malaysia and Costa Rica. Under this agreement, our scientists worked with them to

A wholly-owned subsidiary of renew able fuels company Global Clean Energy, Sustainable Oils produces camelina for use as a non-food, low carbon feedstock for renewable diesel production.

Calyxt says seedless hemp offered improved yields and quality

Camelina seed company Sustainable Oils has announced a licensing agreement for CRISPR-Cas9 and related gene editing tools with crop protection and biotech seed pro ducer Corteva Agriscience and the Broad Institute of MIT and Harvard.

The Broad Institute of MIT and Harvard is a bio-medical/genomic research centre.

“The preferred scenario is to prohibit the use of all chemical pesticides in sensitive areas. As for the reduction targets, the preferred option would be to have the 50% reduction targets become legally binding at the EU level, while member states would set their own national reduction targets using established criteria,” the report said.

Leading Indian oil palm compa ny 3F Oil Palm has announced the launch of a new high-yield oil palm hybrid in the coun try, The Hindu BusinessLine reported.Imported from Malaysia and Costa Rica by 3F Oil Palm, the new three-way crossed hybrid, could reduce yield time from 36 months to 24 months, the company said in the 8 August report.The company said it planned to plant 5,000-7,500ha with the new hybrid saplings, initially to farmers in Andhra Pradesh state ahead of the 2022/23 season.

maturity, herbicide tolerance and drought tolerance, the company said on 8 August.

BIOTECH NEWS 16 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

Sustainable Oils in genome editing licensing agreement

New oil palm hybrid launched in India

As part of the partner ship, the companies said on 30 August that they would cross-license soyabean traits and develop comple mentary herbicide technol ogies to develop bespoke weed control options.

StockAdobePhoto:

Proposed by the EC on 22 June, the new regulation on the sustainable use of Plant Pro tection Products (SUR) aims to reduce pesticide use and potential risk to human health and the environment across member states, according to the 13 July Global Agricultural Information Network (GAIN) report by the Foreign Agricul tural Service (FAS).

EU proposes new rules to halve pesticide use

While the standard oil palm yield time is 36 months, 3F Oil Palm says its new hybrid can reduce this to to 24 months

Sustainable Oils said the technology would lead to shorter development time lines and lower costs compared to tradition al breeding methods.

develop the seedlings that suit our weather conditions,” 3F Oil Palm CEO and managing direc tor Sanjay Goenka was quoted as Thesaying.new releases included CALIX Q6, which was pro

Designed to encourage the reduction of pesti cides through integrated pest management and the use of alternatives to chemical pesticides, the proposals are in line with the EC’s ambitions

plant breeding innovation, we expect to further expand our… portfolio of advanced camelina varieties.”

GLOBAL: German chemical and biotech giant BASF has entered a long-term global collaboration with crop protection and biotech seed producer Corteva Agriscience to develop new soyabean weed control solutions.

CCI uses breeding and gene editing to convert field pennycress, a winter annual weed, into the CoverCress crop that fits into existing corn and soyabean rotation and can provide cover, reduce nitrogen loss and improve overall soil health.

under the European Green Deal and the Farm to Fork (F2F) strategy.

Corteva said it would combine a proprietary PPO soyabeans.developherbicideBASFoxidase)(protoporphyrinogengenelicensedfromwithitsportfoliooftoleranttraitstoanewtraitstackfor

The European Commission (EC) has proposed new rules to halve pesticide use in the European Union (EU) by 2030, the United States Depart ment of Agriculture (USDA) wrote.

Under the agreement, Bayer acquires a 65% majority share of CCI, with Bunge and Chevron retain ing a 35% share, according to the 1 August statement.

• Improved soil conservation per acre by 34%

• Improved GHG emissions efficiency per bushel by 43%

• Improved water use efficiency per bushel by 60%

U S Soy farmers are committed to advancing the United Nations Sustainable Development Goals We are leading the way by producing more while using fewer resources, implementing farming practices that reduce carbon footprint, a nd helping to preser ve forestland. Since 1980, U S Soy farmers have:

From 1982–2017, the U S increased forest land by 2 1 million hectares and reduced crop land by 21 4 million hectares But we won’t stop there. U S Soy farmers’ ongoing commitment to sustainability enables you to produce food, feed, energy and other products to suppor t a healthy society, even as we preser ve the planet for future generations

U .S. S oy h as th e lo wes t c a rbon f ootprin t w h e n comp a re d w ith s oy o f oth e r origins

• Improved land use efficiency per bushel by 48%

• Increased soy production, using roughly the same amount of land by 130%

• Improved energy use efficiency per bushel by 46%

See how we’re going fur ther for you, your customers and the planet at ussec.org/sustainability

Production and processing of grains and oilseeds – important sources of food and animal feed – had been disrupted due to the Ukraine conflict.

Bagasse • Grape marcs and wine lees

The relaxation in feeding meat and bone meal to pigs and chickens in the EU, a growing trend in vegan and vegetarian diets, rising demand for animal fat feedstocks from the biofuels industry, and the growth of the organic fertiliser market are all trends that will impact the rendering industry, the European Fat Processors and Renderers Association (EFPRA) 2022 Congress heard in May.

Husks

Used

• Category

Photo: Adobe Stock

oil (UCO)

1 and 2 animal fats RENDERING

Due to the sharp rise in oil and gas prices, there was a squeeze on mineral fertilisers made from natural gas, which presented an opportunity for organic fertilisers made from rendered products, Beerendonk added.

The move away from mineral fertilisers had already started as a result of the EU Green Deal Farm to Fork strategy, which sets a target to have at least 25% of the bloc’s agricultural land under organic farming by 2030.

u

Rendering is a global business and the COVID-19 pandemic and war in Ukraine had demonstrated the widespread impact of a disrupted global supply chain, EFPRA president Sjors Beerendonk told the 2526 May conference in Portugal.

Animal fats and meat and bone meal are the by-products of the meat and dairy industry processed by the rendering sector

Biomass fraction of wastes and residues from forestry and forest-based industries

The EU’s RED II Annex IX lists feedstocks for advanced biofuels in two parts: Part A • Algae if cultivated on land in ponds or photobioreactors • Biomass fraction of mixed municipal waste • Biowaste from private households subject to separate collection • Biomass fraction of industrial waste not fit for use in the food or feed chain

Other ligno-cellulosic material except saw logs and veneer logs Part B

• cooking

Within the EU, animal fats had increasingly been used to make biofuels since 2002. “This outlet has become the single biggest market for rendered animal fats, especially Category 1 fats

Rendered animal fats are increasingly utilised in biofuels production. With the EU proposing changes to its renewable energy targets and feedstocks, what are the implications for the rendering industry? Serena Lim

Straw • Animal manure and sewage sludge • Palm oil mill effluent and empty palm fruit bunches

Cobs cleaned of kernels of corn

18 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

Other non-food cellulosic material

EU advanced biofuels feedstocks, Annex IX

“This only emphasises the need for the optimum use of proteins and minerals,” Beerendonk said.

Tall oil pitch • Crude glycerine

Nut shells

Fat for fuel

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Category 2 materials are classed as high risk and include:

• Aquatic animals, aquatic and terrestrial invertebrates

1: EU proposed transport

She said traditional biofuels such as ethanol and fatty acid methyl ester (FAME) could only be blended up to a certain amount in petrol and diesel, respectively. Renewable diesel or hydro-treated vegetable oil (HVO) used the same feedstocks (vegetable or waste oils and fats) but had a different production process.

“However, we are not going to see high prices forever.”

• Catering waste from international transport

Vegetable oil prices had reached historic highs earlier this year due to the invasion of Ukraine restricting supplies of sunflower oil from the Black Sea region, labour shortages in Malaysia affecting palm oil supply, droughts in Canada affecting the canola harvest, and restrictions on Indonesian vegetable oil exports, which had impacted other oils including used cooking oil (UCO).

• Carcasses containing residues from authorised treatments

• Shells from shellfish with soft tissue

Low said some governments had been pulling back on their blending mandates due to high feedstock prices, such as Brazil, Argentina and some European countries, but not the major EU nations which supported biofuels, such as Germany, France and Scandinavian member states.

• Products or foods of animal origin originally meant for human consumption but withdrawn for commercial reasons, not because it is unfit to eat

• Carcasses and all body parts of animals suspected of being infected with transmissible spongiform encephalopathy (TSE)

Low said the EU was shifting away from volumetric policies (blending mandates) towards greenhouse gas (GHG) emission polices and reducing carbon emissions, such as in California and Canada.

• Manure

Because all oils and fats traded within a price band, high vegetable oil prices meant high prices for UCO and category 3 animal fats, which had been a good thing for the rendering industry, she said.

u 20 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

Animal by-products (ABPs) are animal carcasses, parts of animals or other materials which come from animals. Rendered animal fats are obtained by rendering animal remains after the initial removal of meat, hides and food grade fats. In the EU, ABPs are divided into three categories, based on the risks they pose.

• Parts of animals that are contaminated due to illegal treatments

• Unhatched poultry that has died in its shell

• Carcasses and body parts from zoo and circus animals or pets

• Carcasses of dead livestock

Category 3 materials are classed as low risk and include:

• Animal hides, skins, hooves, feathers, wool, horns, and hair that had no signs of infectious disease at death

• Hides and skins from slaughterhouses

Rohaise Low, biofuels senior economist of LMC International, UK, said biofuels were a key end use of animal fats.

Category 1 materials have the highest risk of spreading diseases such as bovine spongiform encephalopathy (BSE) and include:

• Animals rejected from abattoirs due to having infectious diseases

• Carcasses or body parts passed fit for humans to eat, at a slaughterhouse

RENDERING

“HVO plants tend to be large, with pre-treatment facilities attached – and can process lower quality animal fats and high free fatty acid (FFA) oils, so there is an opportunity to sell to them, rather than to traditional FAME plants.”

• Carcasses of wild animals suspected of being infected with a disease that humans or animals could contract

• Eggs, egg by-products, hatchery by-products and eggshells

Figure greenhouse gas saving mandate

“A newer trend which is expected to emerge strongly in the next few years is for sustainable aviation fuel (SAF),” Low added. “The aviation industry is difficult to decarbonise and, currently, the most achievable way to low emissions is to use SAF made from oils and fats via HVO technology.”

InterantionialLMCSource:

(see EU animal by-product categories, right),” Beerendonk told the conference.

• Carcasses of animals killed for disease control purposes

• Processed animal proteins (PAP)

• Domestic catering waste

Animal fats and UCO for biofuels

Global biodiesel demand had also risen strongly over recent years thanks to increasing mandates and the opening of new renewable diesel capacity.

• Specified risk material (body parts that pose a particular disease risk, eg cows’ spinal cords)

u

• Digestive tract content

• Carcasses of animals used in experiments

EU animal by-product categories 1, 2 & 3

“The focus is on lower carbon fuels and waste [feedstocks].”

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Proposed changes to RED II

listed in Part A must be supplied at a minimum of 0.2% of transport energy in 2022, 1% in 2025, and at least 3.5% by 2030. Biofuels produced from feedstocks listed in Part B (used cooking oil and category 1 and 2 animal fats) will be capped at 1.7% in 2030. Both Part A and B feedstocks can be double-counted (ie, they can be counted twice when measuring progress towards the renewable energy targets).

• Sectors not capped or under specific sub targets are renewable electricity and biofuels made from non crops and non Annex IX feedstocks, including category 3 animal fats. The

• A change in the transport target to a GHG reduction target, reaching a 13% reduction by 2030.

sub target for advanced biofuels 22 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com u RENDERING Figure 5: Destination of edible and Category 3 fat (2021) EFPRADobbelaere,DirkSource:Source:DirkDobbelaere,EFPRAFigure 3: EU category 1, 2 & 3 biodiesel EFPRADobbelaere,DirkSource: EFPRADobbelaere,DirkSource:Figure 2: Use of EU Category 1 and 2 products Figure 4: Production of Category 3 fat Total: 2.4M tonnes

RED II will also phase out palm oil as a feedstock by 2030. Low said proposed changes to RED II included:

Within the 14% transport sector target, food-based biofuels are capped at 7%. For advanced biofuels, RED II introduces two different targets for feedstocks –listed as Part A and B in Annex IX (see ‘EU advanced biofuels feedstocks, Annex IX, p18 Feedstocks)

• Double-counting and multiples are removed in almost all circumstances with the exception of the aviation and maritime sectors, where advanced alternative fuels can be counted 1.2 times to provide a small incentive.

The EU’s revised Renewable Energy Directive (RED II) adopted for the 20212030 period sets an overall binding renewable energy target of at least 32% by 2030, with a 14% target for the transport sector.

biodiesel industry in 2021, of which Category 3 took an increasing share (see Figure 3, previous page)

• Increasing the limit of FAME blending in diesel to 10% from 7%.

“Category 3 animal fats are left in a similar position as today – they have no benefit over crop-based biofuels in terms of emissions/double-counting but they are outside the established waste and crop caps and can therefore be used to supply the ‘other’ portion of the mandate.”

The largest share (just over 800,000 tonnes) of edible and Category 3 fats went to the biodiesel sector in 2021 (see Figure 5, previous page).

“The key points for animal fat are that category 1 and 2 animals fats are considered to have zero emissions up to the process of their collection.

Total production of Category 3 fats was 2.4M tonnes in 2021, which included multi-species animal fats, bone fats, poultry fats, pig skin fats, pig fats, tallow and lard (see Figure 4, previous page).

EFPRA secretary general Dirk Dobbelaere told the conference that the processing of animal by-products in the EU had remained stable in 2021.

will rise to 2.2% by 2030 (a physical target).

www.ofimagazine.com OFI – SEPTEMBER/OCTOBER 2022 23 natural bleach_mini_ofi.indd 1 07/06/2019 16:54

Low explained the implications of the proposals. Assuming an average GHG saving of 80% for waste-based/advanced biofuels and RFNBO, and 60% for crop based biofuels, the limits and targets would result in GHG savings of 9.4% by 2030.This would require a growing volume of ‘other’ renewable fuels (by 3.6% in 2030.) (see Figure 1, p20). The ‘other’ proportion would also rise due to many countries setting the crop-based biofuel limit below the 7% maximum.

A medium markets for food and feed grade fats was the pet food sector, which took 15% less food and feed grade fats in 2021 compared with the previous year.

• A hard cap of 1.7% on biofuels made from widely-used wastes including animal fat-based biodiesel.

The biofuel industry had hoped that Annex IX might include Category 3 animal fats but Low said this was unlikely.

Just under 1M tonnes of Category 1 and 2 rendered products were combusted in 2021, while 542,000 tonnes was used in the biodiesel industry (see Figure 2, previous page)

RENDERING

A total of 1.36M tonnes of Category 1, 2 and 3 products was used in the

Dobbelaere said large markets for food and feed grade fats were the

“Category 3 animal fats are not expected to be approved as a waste due to concerns over land use and market distortion, and strong lobbying from the oleochemical sector [which can use it as a feedstock]”.

feed, oleochemical and biodiesel sectors. Biodiesel use increased and was the biggest market (up 5% to a 34% market share in 2021). Oleochemistry use fell by 13% and feed use fell by 1%.

Small markets for food and feed grade fats were the food, aquaculture and fur industries. Food use increased by 2%, aquaculture fell by 49% and fur by 38%. ●

• The sub target for renewable fuels of non biological origin (RFNBO) rising to 2.6% by 2030.

Serena Lim is the editor of OFI

• A plan to establish better administration – a database to trace liquid and gaseous renewable fuels. In addition, a comprehensive system of guarantees of origin to avoid doublecounting so energy use is accounted to the sector where it is consumed.

EU rendering industry

Avocado wax, which was removed from the oil during

production capacity by 2035,” said Serdar Kemaloğlu, assistant general manager for technical affairs at Tüpraş.

winterisation, was being used in the manufacture of biofuels and burners to generate energy instead of being sent to landfill.

“We have set out to become carbon neutral by 2050... A large portion of our investments will be allocated to new energy sources such as SAF, green hydrogen and zero-carbon electricity… We aim to process 400,000 tonnes of bio-feedstock by 2030 and triple our SAF

And spent bleaching earth resulting from the bleaching process to remove colour from the oil, was also being recycled, Westfalia Fruit said. The solid waste was composted and excess oil from the spent bleaching earth could be extracted as wax and made into a biofuel.

Tüpraş operates four petroleum oil refineries in Turkey with a total processing capacity of 30M tonnes/year.

In total, the projects were helping to reduce landfill waste by 70 tonnes/year, the company said.

IN BRIEF

24 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

FruitWestfaliaPhoto:

“In addition to recycling soap stock, this project is supporting homeless people living in shelters, enabling these communities to generate additional income from selling the soap and learn important business skills,” said Petrus van Eeden, oil operations manager at Westfalia Fruits.

Westfalia introduces social projects at avocado oil site

PLAN T, EQUIPMENT & TECHNOLOGY 2 OFI – MONTH 2018 www.ofimagazine.com

CANADA: agricultural,Globalenergy and industrial products company Ceres Global Ag Corp is postponing its US$350M canola crushing project at Northgate, Saskatchewan.

Westfalia Fruit operates various avocado estates located on different continents. In southern Africa, farms are situated in the Limpopo and KwaZuluNatal provinces, and in Mozambique. The company also has farming assets in North America and Latin America, and in Portugal.

Developed in conjunction with Italy’s Eni SpA, the Honeywell UOP Ecofining process converts plant-based oils, animal fats and other waste feedstocks into renewable diesel and SAF.

Ceres said it planned to explore the possibility of a future canola crushing project but added that there was no guarantee such a project would go ahead or would be the same as the Northgate one.

8,300 barrels/day (bpd) of waste feeds/ feedstocks into renewable diesel, sustainable aviation fuel (SAF) and other products, Honeywell said.

Turkish refining company Tüpraş is set to build a new renewable diesel plant using Honeywell technology at its refinery in Izmir, Honeywell announced.

First announced in May, the facility was meant to have the capacity to process 1.1M tonnes of canola and refine more than 500,000 tonnes/year of canola oil, for both food and feed.

Once operational, the new plant was expected to convert approximately

Oils & InternationalFats reports on some of the latest projects, technology and process news and arounddevelopmentstheworld

Local social enterprise PEN, was making washing powder and soap from the plant’s soap stock waste.

Global round-up of projects

Using Honeywell’s UOP Ecofining technology, the new plant will produce biofuels from feedstocks such as used cooking oil (UCO) and waste animal fat, according to the 7 July statement.

Tüpraş to build new renewable diesel unit in Izmir

Multinational avocado supplier Westfalia Fruit has introduced three environmental and social projects at its processing plant in South Africa’s Kwa Zulu Natal province in a bid to boost sustainability and help localThecommunities.plantrefines avocado oil, which is used in a range of applications from food to cosmetics.Westfalia Fruit said on 28 June that it had been developing ways to reduce and recycle the three separate types of waste generated in its oil refining operation –soap stock, spent bleaching earth and avocado wax.

The decision was due to a range of factors, including inflationary pressures resulting in higher costs than initially projected and shifting macroeconomic conditions, Ceres said on 24 June.

Cargill, which first announced plans to build the facility in April, said it expected the project to be completed by 2024.

The 1M tonne/year facility would support the growing global demand for canola products and would be Cargill’s second canola processing facility in Saskatchewan and third in Western Canada, it said.

The start-up of production in Kenya follows earlier agreements made by Eni in several countries including Angola, Benin, Congo, Ivory Coast, Kazakhstan, Mozambique and Rwanda.

The plant would extract vegetable oil from castor, cottonseed and croton extract vegetable oil and would also produce feed and bio-fertilisers from oilseed meal for use in livestock and food production. In addition, the centre would be used as

It would produce around 272,155 tonnes/year of refined vegetable oil to support the production of approximately 283M litres/year of renewable diesel.

PLANT, EQUIPMENT & TECHNOLOGY www.ofimagazine.com OFI – MARCH/APRIL 2022 25

In partnership with ISCC as part of the Horizon 2020 project, Eni Kenya said it was also taking steps to obtain low

Once operational, the plant was expected to have the capacity to process 150,000 bushels/day of soyabeans, the company said. The vegetable oil produced at the plant would be supplied exclusively to MPC as a feedstock for renewable diesel.

ADM and Marathon to build renewable diesel plant in USA

Cargill breaks ground on Regina canola plant

The first phase of the project in Kenya included the construction of a second agri-hub to reach a total capacity of 30,000 tonnes/year of vegetable oil in 2023, as well as the development of associated agricultural supply chains, the company said.

Leading US refiner Marathon Petroleum Corp (MPC) announced on 2 June that it was partnering with global agribusiness giant ADM to build a US$350M renewable diesel plant in North Dakota.

The Green Bison soyabean processing facility in Spiritwood was expected to be operational in time for next year’s harvest.

ILUC (low risk of direct and indirect land use change) certification in the next few months.

Cargill Canada’s operations include the processing of beef, poultry and oilseed, and the manufacture of livestock feed.

Eni Kenya’s supply chain and all agrifeedstocks would be certified under the International Sustainability and Carbon Certification (ISCC-EU) sustainability scheme, one of the main voluntary standards recognised by the European Commission for biofuel certification. The company’s castor and croton had also gained ISCC-EU certification for biofuel use.

The collection and processing facility in Makueni had started producing vegetable oil for bio-refineries with an expected output of 2,500 tonnes this year and 15,000 tonnes in 2023, Eni said on 18 July.

Eni completes oilseed processing plant in Kenya

Italian oil and gas company Eni has completed the construction of an oilseeds processing plant in Kenya.

Leading agribusiness firm Cargill broke ground on 19 July to mark the start of construction of its new US$350M canola processing plant in Regina, Saskatchewan, Canada.

a training and technical support hub for farmers, the company said.

The hub of EOL’s cooking oil production, the Erith site

IN BRIEF

The production process at the Rotterdam facility is based on Neste’s proprietary NEXBTL technology, which converts renewable waste and residue raw materials like used cooking oil (UCO) and animal fat waste into renewable fuels.

delivery of front-end engineering and design at the plant last year.

Work on the new 62M bushels/year facility in Pemiscot County is set to begin early next year, with production due to begin in 2026.

The renovation involved the installation of bottling lines for cooking oils and an upgrade to the oil tank farm, EOL said.

Technip Energies offers a range of services to the biofuels sector, including biodiesel and bio-jet production technologies as well as ethanol first- and second-generation processes and plants.

drink group Princes Ltd and global agribusiness giant Archer Daniels Midland (ADM) and is a leading producer of branded and own brand packaged oils for the retail sector.

PLAN T, EQUIPMENT & TECHNOLOGY 26 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

Founded in Belgium in 1946, Desmet is a supplier of plant and equipment for the oilseeds & grains industry and the oils & derivatives sector. Last year, the company had a turnover of approximately €300M (US$307M).TheDesmet Ballestra Group is controlled by Financière DSBG, a holding company based in Paris, France.

“This award relies on our long-term collaboration, illustrated by the… delivery of two… renewable products refineries in

supplies over 100M litres/year and bottles the Crisp‘n’Dry, Flora and Mazola Corn Oil brands. The site is integrated with ADM’s nearby refinery complex and also packs corn, rapeseed and sunflower oils for customer own brands.

Cargill has had a presence in Missouri since 1936 and operates in 11 locations in the state.

Edible Oils Ltd completes Erith site renovation in UK

Leading UK supplier of packaged oils Edible Oils Limited (EOL) announced the completion of its US$29.4M Erith site renovation in London on 14 June.

EOL’s renovation of its Erith site in the UK has increased its production capacity by 50%

Global agribusiness giant Cargill is set to build a new soyabean processing plant in Missouri, USA, the company announced.

WORLD: Swedish fluid handling, centrifugal and heat transfer company Alfa Laval announced on 2 August that it had completed its acquisition of edible oil and biofuel processing specialist Desmet, part of the Desmet Ballestra Group.

ADM to build soyabean complex in Missouri

LtdOilsEdiblePhoto:

As well as increasing overall production capacity at the plant by around 50%, the project had enabled EOL to produce five litre bottles on site for the first time, the company said.

The contract covered engineering, procurement services and construction management and would increase Neste’s overall renewable product capacity by 1.3M tonnes/year, Technip Energies said on 21 July. It followed Technip Energies’

“The investment has significantly boosted our production capabilities and capacity, and we have been able to lightweight certain bottles, which will eliminate around 90 tonnes of plastic every year,” EOL managing director Mark Church said.

Technip Energies awarded Neste expansion project

Last year, Cargill announced a series of projects across North America including significant improvements to its soyabean crush facility in Sidney, Ohio, and plans for a new canola processing facility in Regina, Saskatchewan.

Technip Energies has been awarded a contract by Finnish renewable fuels producer Neste for the expansion of its refinery in Rotterdam.

The deal would strengthen Alfa Laval’s position in the renewable energy sector and complement its edible oils portfolio, the company added.“Itwill add know-how and expertise to accelerate future innovations within food, feed and biofuels –and strengthen our ability to support the transformation towards renewable fuels,” Alfa Laval president and CEO Tom Erixon said on 31 March when first announcing the acquisition.

The new location would help Cargill increase capacity across its North American oilseeds network, the company said.

“Access to both river and rail will provide more flexibility and market access for farmers.”

EOL is a 50/50 joint venture between leading UK food and

Rotterdam and Singapore and the ongoing expansion project of Neste’s renewable products refinery in Singapore,” said Bhaskar Patel, senior vice president of sustainable fuels, chemicals and circularity at Technip Energies.

Engineering and technology company

Desmet would operate as a stand-alone entity within Alfa Laval’s Food & Water Division, while the operational units and brands of Rosedowns and Stolz are also included in the transaction, Alfa Laval said.

“Cargill’s new facility, with its location on the Mississippi river, will operate year-round and provide farmers [with an] opportunity to take advantage of increased domestic demand versus relying solely on seasonal exports,” Cargill agricultural supply chain North America regional commercial lead Tim Coppage said on 17 May.

Global oil giant Shell International Petroleum plans to build a sustainable aviation fuel (SAF) and renewable diesel production facility at its currently closed Convent refinery in Louisiana, USA, according to documents filed with local authorities reported by The Advocate.

Convent to convert ethanol into low-carbon SAF and renewable diesel, according to LED records reported by The Advocate

LDC said its site was the country’s largest facility integrating soyabean processing, biodiesel production, and glycerine and lecithin refining operations, as well as a food-grade packaging line and canola oil distribution terminal.

According to an 8 August World Grain report, the site had the capacity to crush 175,000 bushels/day of soyabeans.

Shell to convert Convent site to produce SAF and HVO

PLANT, EQUIPMENT & TECHNOLOGY www.ofimagazine.com OFI – SEPTEMBER/OCTOBER 2022 27

Photo: Adobe Stock

LDC said the new plant had clarification, drying and degumming technology.

Lecithin is used in a range of food applications

Lecithin is used as an emulsifier, dispersing agent, antioxidant and flavour enhancer in a range of food applications.

LDC opens soya liquid lecithin plant in Indiana

Shell shut down the plant – which produced conventional petroleum products and refinery grade sulphur – in November

Shell expected construction to begin in February 2025 and to be completed by March 2028, the report said.

Shell was planning to use a “third-party proprietary alcohol-to-jet technology” at

“This development is part of LDC’s

• UNIQUE COMBINATION OF EXTRUDERS AND SCREW PRESSES • MECHANICAL OIL EXTRACTION WITH MULTIPLE STAGE PRESSING • EFFICIENT SOYBEAN PROCESSING WITH RECUPERATION SYSTEM • THING GLOBALLY, ACT LOCALLY • GMO FREE PROCESSING • ORGANIC PROCESSING www.farmet.eu FARMET - YOUR PARTNER IN THE FIELD OF OILSEEDS & OIL PROCESSING; FEED EXTRUSION WITH THE FOCUS ON SOYBEAN HEXANE FREE OIL & FEED TECHNOLOGIESPROCESSING R-664, T.T.C. Industrial Area, Thane-Belapur Road, Rabale, MIDC, Navi Mumbai - 400701, India Tel : +91-91-3692 1232/39 | E-mail : sales@sharplexfilters.com | Website : www.sharplex.com AN ISO 9001:2015 COMPANY sharplex_quarter page.indd 1 25/10/2021 10:37

2020. In February, the company announced plans to convert the Convent site into an alternative fuels complex without giving further details. However, on 22 August, the company had filed requests with the Louisiana Economic Development for two state tax breaks, giving an indication of its plans for the site, the report said.

Global agribusiness giant Louis Dreyfus Company (LDC) announced on 3 August the opening of a new soyabean liquid lecithin plant at its existing site in Claypool, Indiana, USA.

The facility would source sugarcane ethanol as a primary feedstock while also having the capacity to convert corn ethanol into low-carbon fuels.

plans to diversify revenue streams through value-added products – in this case, by expanding our presence in the ingredients value chain and diversifying our food and feed solutions portfolio,” said Gordon Russell, US head of grains & oilseeds at LDC. “Lecithin is a natural extension of our existing operations in Claypool, where we have also increased our edible oils and refined glycerine production capabilities.”

greenGoing

to glycolipids produced by certain microorganisms. The water-soluble head in a biosurfactant is a sugar group, and the oil-soluble tail is a long, mostly saturated hydrocarbon chain.

The hydrocarbon tail of sophorolipids, for example, can either flop around loosely and terminate in a carboxylic acid or loop around and attach to the sugar head, creating a lactone ring. The lactone form is less foamy, explains Lawrence Clarke, technical sales manager at UK glycolipid company

SURFACTANTS

Thoseaway.goals

Surfactants are a prime target ingredient for making products more natural. These molecules play a central role in all types of personal care products, providing the grime-and-grease-removing power of face and body washes and holding disparate chemical phases together in lotions and makeup. Many surfactants also help moisturise and smooth skin and hair.

Personal care is going green at a breakneck pace. While most industries, including the chemical industry, are targeting net-zero greenhouse gas emissions by 2050, the consumer product brands that make soap, shampoo, lotions and cosmetics are setting their sustainability goals at 2030, just eight years

StockAdobePhoto:

But what are their options for that stuff, and which are the best for the planet?

As they seek to replace synthetic surfactants with greener, low-carbonfootprint alternatives, consumer product makers have three main categories to choose from: microbial biosurfactants, inherently bio-based surfactants, and biobased versions of conventional surfactants.

The two most commercially advanced biosurfactants are rhamnolipids and sophorolipids, which feature rhamnose and sophorose, respectively, in their sugar heads. Within each of those families, structural variations can alter the surfactant’s properties.

BiosurfactantsHoliferm.are not new; references in chemical literature date back to the 1950s. But they are newly available to the commercial market. A few home and personal cleansers, such as Booni Doon’s powdered facial cleanser, already feature biosurfactants.Thestrongest indicator of the interest in biosurfactants is the pace of dealmaking. In April, Holiferm signed a deal in which

“It is a good time to be selling new ingredients,” says Neil Burns, a surfactant consultant and CEO of the personal care

Big household names such as Procter & Gamble, Unilever and L’Oréal have very publicly committed to ambitious goals regarding sustainability, he says.

Microbial biosurfactants

“Given the scale of the commitments and given today’s slate of readily available raw materials and ingredients, they can’t get there from here. They need new stuff.”

The term ‘biosurfactant’ refers

“What we are seeing is that natural components are becoming a bigger driver of consumer behaviour within the beauty and personal care category,” says Andrew McDougall, director of beauty and personal care for market research firm Mintel.

As the cosmetic and personal care industry races to drop petroleum-based ingredients, chemical companies are rolling out a dizzying array of bio-based surfactants Craig Bettenhausen

28 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

ingredient maker P2 Science.

Chemically speaking, surfactants are molecules that have both hydrophilic and hydrophobic sections. Soap has a carboxylic acid head attracted to water and a long hydrocarbon tail attracted to oil. Many other natural, synthetic and semi-synthetic molecules can do the same tricks with different combinations of polar and fatty molecular motifs.

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are also broader than just carbon dioxide emissions. When people buy personal care products, brand owners say, they are also looking for biodegradability, low environmental impact and supply chains that are sustainable and ethical. Bio-based is the keyword that consumers want to see on a product to know it meets those standards.

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Although not as popular as SLES and related ethoxylated ingredients, APGs are already widespread in personal care.

Henkel is working with BASF to offer bio-based personal care products in Europe using the massbalance approach.

Nader Mahmoud, vice president of North American personal care business management at BASF, says the firm “intends to lead on biosurfactants.” The Holiferm collaboration targets process development and manufacturing, with a focus on rhamnolipids and mannosylerythritol lipids (MELs), an emerging category of glycolipid surfactants.

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the chemical company Sasol will buy most of the sophorolipids produced at a plant Holiferm plans to open in 2023 in the UK.

Isabel Almiro do Vale, Dow’s global marketing and strategy director for personal care, says the scale-up and distribution incorporated into the deal will “democratise access to sophorolipids.”

SLES is usually made by reacting fatty alcohols derived from palm oil with ethylene oxide (EO) and sulphur trioxide. Those steps consume a lot of energy because they take place at elevated temperatures and pressures. And although the palm oil is bio-based, it is fraught with sustainability concerns of its own.

Biosurfactant fermentation expert Sophie Roelants says a cradle-to-grave environmental analysis reveals that this first generation of biosurfactants is only marginally better than other types of surfactants. “The main reason is that you are dependent on agriculture to produce your feedstocks, and agriculture is really bad for the environment.”

30 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com SURFACTANTS

Marcelo Lu, BASF’s senior vice president for care chemicals in North America, says BASF is working with some global brands to reformulate products around APGs and other inherently bio-based surfactants. “We’re talking about major volumes,” he says. “In a way, we were a bit ahead of

HenkelPhoto:

APGs are not a sure thing for personal care products, however, because they cost more and are not as foamy. According to sales representatives from Colonial Chemical, APGs cost two-and-a half to three times as much as SLES. Foaming does not actually improve personal care cleansers’ effectiveness by much, but people view bubbles as a sign of efficacy.

Holiferm uses a strain of yeast isolated from honey that consumes sugar and sunflower oil to make the target surfactant. Clarke says the firm’s semicontinuous process, which extracts sophorolipids throughout weeks-long fermentation runs, sets it apart from those that use batch production methods.

Inherently bio-based

According to Clarke, a life-cycle analysis commissioned by Holiferm concluded that replacing one tonne of a typical ethoxylated surfactant with one tonne of sophorolipids would reduce greenhouse gas (GHG) emissions by 1.5 tonne of CO2. Biosurfactants are also more potent by some measures than SLES, making it possible to use less in a final formulation.

Beyond being bio-based, biosurfactants have a lower carbon footprint than conventional surfactants such as sodium lauryl ether sulfate (SLES), a common ingredient in personal care products, according to Dan Derr, a bioprocessing expert who helped develop the rhamnolipid technology that speciality chemical firm Stepan acquired in 2020. That CO2 advantage comes mostly from the mild conditions of fermentation, carried out at ambient temperature and pressure.

Earlier this year, surfactant fermentation specialist Locus Performance Ingredients signed a similar agreement to supply Dow with sophorolipids for the home and personal care markets.

Roelants estimates that 80% of the net carbon emissions from biosurfactants happen while growing the feedstock. Seeing an opportunity, she recently co-founded the company Amphi-Star to commercialise biosurfactants made from industrial and food waste. The firm, a spin-off from Ghent University and the non-profit Bio Base Europe Pilot Plant, is looking for partners to help it scale up and improve process efficiency.

The activity by chemical majors like Evonik and Dow has brought biosurfactants to the cusp of the personal care mainstream, according to Burns. “Those companies have lent the field a bit of commercial credibility,” he says, and they “bring some scale that I think ultimately will help bring costs down.”

Thebrands.most

According to Louis Snyders, Sasol’s global director of fabric, home care, and institutional and industrial cleaning, the deal brings products that complement Sasol’s existing portfolio of surfactants, and is a step in transforming that portfolio from its petrochemical heritage to a sustainable future.

BASF, a Sasol competitor, also has a deal with Holiferm and a controlling interest in Japanese sophorolipid maker Allied Carbon Solutions.

And in January, Evonik Industries announced plans to build a rhamnolipid plant in Slovakia at a “three-digit-millionEuro” cost. Unilever is already on board as a customer.

“Fermentation becomes a really interesting process versus synthetic chemistry just because of the energy consumption,” Almiro do Vale says. But because the feedstocks for biosurfactants today are sugars and oils, agricultural practices have a huge impact on sustainability.

popular class in this category is alkyl polyglucosides (APGs). Chemically similar to microbial glycolipids, APGs are made by combining glucose or other sugars with fatty alcohols derived from plant oils. The reaction is driven by inorganic catalysts or enzymes. Like biosurfactants, APGs are milder and generally have a lower carbon footprint than conventional surfactants.

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Other biobased surfactants – made by chemically modifying and combining molecules extracted from plants – have been available for years but are now enjoying increased interest from personal care

Even with help from suppliers, reformulation to accommodate new ingredients is no small matter. It is expensive and risky for a brand owner to change a product line that already works. To avoid reformulation, some major chemical companies are bringing out bio-based versions of conventional surfactants. Especially in personal care, many workhorse surfactants, such as SLES, are already partially bio-based. Roughly half the carbons in an ethoxylated, vegetable oil–based surfactant have biomass origins.

However, Schwalje says secondgeneration ethanol made from waste or sustainably grown cellulose, where the fermentation and distillation equipment uses carbon capture, can be massively carbon negative.BothCroda and Clariant are using firstgeneration ethanol, for now at least. Croda makes its Eco products from corn-based ethanol at a US$170M purpose-built plant in Delaware that has a capacity of roughly 30,000 tonnes/year. The plant is powered by methane captured from a nearby landfill site, reducing the carbon footprint of the ingredients produced there, it says.

As of January, Sasol began offering mass-balance surfactants and other chemicals to its customers in Europe by buying ethylene made with enough renewable carbon to meet its mass balance orders from customers. Operating that way offers nimbleness and scalability that new ingredients and segregated facilities do not, Snyders says. Sasol makes a wide range of chemicals from the same handful of building blocks, so changing which products get credited with the renewable carbon is just a matter of book-keeping.

Other major chemical firms active in surfactants are meeting the demand for renewable carbon content through an accounting approach known as mass balance. As with the ethanol-based ethoxylates, the surfactants made through this method are chemically identical to what is already on the market. But the mass-balance approach introduces the biomass further upstream. It is blended with fossil-carbon feedstocks like naphtha or natural gas as those substances are fed into the crackers that make ethylene and other building-block chemicals.

Sasol started with thousands of tonnes of mass-balance SLES and plans to quickly expand to tens of thousands, Snyders

SURFACTANTS

Both Croda and Clariant say the production lines for their bio-based ethoxylated surfactants are fully segregated from those of their conventional counterparts, and they offer customers carbon isotope data to prove that no petroleum carbon is mixed in. Fossil carbon does not contain the heavy carbon isotope 14C, whereas bio-based carbon does, so the amount of 14C in a sample can indicate where its carbons came from.

BASF has APG plants in Asia, Europe and the USA and is looking to expand capacity, according to Lu. Other suppliers – such as Solvay, Dow and Colonial – also offer APGs at commercial scale.

Conventional but bio-based

Mass-balance accounting methods vary, but the basic idea is that an operator gets credits for each bio-based carbon atom fed into its cracker. It can assign those credits to a portion of the plant’s output containing the same number of carbon atoms. Customers that want to buy from the bio-based portion pay the market rate for the conventional chemical plus a supplement for the biomass or renewable carbon. For example, if a company makes 100kg of a surfactant using a raw material with 10% renewable content, it can claim that 10kg of the surfactant is 100% renewable under the mass-balance concept.

32 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

Carbon emissions

Clariant’s sugarcane- and corn-based plant is in Uttarakhand, India, part of a joint venture with India Glycols. Fabio Caravieri, head of global marketing for Clariant’s industrial and consumer specialities division, says the firm has “double-digit kilotonnes” of its Vita products available. “It’s not something where we are doing an investment today that in two to three years will be available to the market. It’s now,” he says.

environmental advocates. A lot of the talk around sustainability in the chemical industry today is about carbon emissions and the CO2 benefits of bio-based EO are not cut and Accordingdried.toalife-cycle analysis published by Clariant, making a kilogramme of EO from fossil fuels emits the equivalent of 1.5kg of CO2. Making that same kilogramme from ethanol emits slightly less – 1.4kg of CO2. But the biomass that is fermented into ethanol absorbs 2kg of CO2 from the air as it grows, Clariant says. So from corn or sugarcane to EO, the process is carbon negative to the tune of 0.6kg of CO2 per kilogramme of EO.

Just using bio-based EO is not going to make a shampoo or body wash carbon

The mass-balance way

Although consumers value bio-based credentials, being plant-derived is not as central a goal as it once was for

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Two chemical makers, Croda International and Clariant, have made a change allowing them to get to 100% bio-based: they are deriving their EO from plants instead of fossil resources. Croda launched its Eco range of surfactants in 2018, and Clariant’s Vita-branded surfactants and polyethylene glycols came out in February.

For delivering low-CO2, bio-based surfactants at the scale needed to support the green ambitions of global brands, “APGs are the closest,” Lu says.

negative, Caravieri acknowledges, but it does offer an improvement. Clariant says that because of the specific feedstock and equipment at the plant in India, a consumer product maker can claim a carbon footprint reduction of up to 2kg of CO2 for every 1kg of surfactant.

The chemistry used by both was developed primarily by New Jersey–based engineering firm Scientific Design. The process starts by dehydrating plant-derived ethanol into ethylene. The subsequent steps of oxidising ethylene to EO and then creating ethoxylated surfactants are the same as in the synthetic route, although Scientific Design offers systems that integrate all three steps.

David Schwalje, head of emerging market development for fuel and chemical engineering firm Axens, says the provenance of the ethanol feedstock makes all the difference when it comes to measuring the carbon intensity of the resulting products. EO made from conventionally-grown corn or sugarcane alcohol – often called first-generation ethanol – is not reliably better from an emission standpoint than EO made from petroleum, he says.

And Clariant is in a position to do more. The firm operates one of the world’s only second-generation ethanol plants, a 50,000 tonnes/year facility in Romania that started making ethanol from straw in 2021. That cellulosic ethanol could become a feedstock for Vita products in the future, Caravieri says, if such a combination looks profitable once the firm has more experience with both products.

But that number does not count the GHG emissions associated with growing the biomass. And in the case of corn and sugarcane, those emissions can be substantial when you factor in fertiliser production, truck and tractor fuel, and other emission sources.

our time,” Lu adds, noting that BASF has produced APGs for decades. “But because of regulatory forces and the focus on bio-based content, you see a lot of brands now paying more attention.”

However, the biomass supply chain needs work before that is even feasible. For example, Sasol has capacity for around 400,000 tonnes/year of EO in Lake Charles, Louisiana. Snyders says it is impossible right now to supply a whole facility of that size with biomass feedstocks suitable for use in petrochemical equipment.

Buyers like Henkel are taking an allof-the-above approach to meeting that demand, even as they look down the road for better approaches. “Folks are looking for sustainability,” Burns says, “and want to try and access it from any and all areas they can.”

Sasol is not the only company offering mass balance. At the end of March, BASF and consumer products firm Henkel signed a supply deal in which 110,000 tonnes/ year of the ingredients BASF makes for Henkel in Europe will be made with renewable feedstocks on a mass balance basis. The firms say the move will lighten the carbon footprint of Henkel brands, including Persil, Pril and Fa, by 200,000 tonnes over the four years of the contract.

like glycolipids, expanded use of speciality ingredients like APGs, and new biobased versions of the ingredients they are used to. But the choices involve a complex balance of sustainability, efficacy, availability and cost. Caravieri says eco-conscious consumers are willing to tolerate a 25–40% price premium before they are turned off.

The chemistry behind bio-based surfactants has been known for years. The shift toward them is happening now, Roelants says, because consumers are more conscious of what they are using to clean their faces and shampoo their hair. In ever-increasing numbers, they want bio-based, sustainable products.

“We are a company producing big volumes,” Grgic says. “We decided that biomass balance is the approach where we can replace fossil carbon on a big scale in the fastest way. Other technologies, like CO2 capture and biosurfactants – they will follow in the coming years.”

even if the mass balance book-keeping is legitimate, the carbons in the final product are a mix of plant-based and fossil-sourced, and that is not what many shoppers want, Mintel’s McDougall says.

Grgic says the 110,000 tonnes from BASF is a big chunk of Henkel’s overall annual ingredient volume for consumer brands in Europe, and surfactants are the biggest portion of the deal. Adding massbalance purchases in other parts of the world will be next.

SURFACTANTS www.ofimagazine.com OFI – SEPTEMBER/OCTOBER 2022 33 TM KEEP CEREALSYOURFRESH & CRISP FOR LONGER WITH ANTIOXIDANTSRANGENEAOXOFNATURAL Synthite Industries Pvt. Ltd | Corporate House, Synthite Valley | Kolenchery, Kerala, 682 311, India +914842889000 neaox@synthite.com www.neaox.com | www.synthite.com SOLUTIONSCUSTOM OUR NEAOX PRODUCTS HAVE A WIDE RANGE OF APPLICATIONS INCLUDING FRYING OILS, SNACKS, MEAT PRODUCTS, PET FOOD, SEASONINGS, MARINADES, CEREALS, COSMETICS AND MORE From the house of Synthite, World’s largest manufacturer of value added spices INDIA | USA | EUROPE | CHINA | SRILANKA | BRAZIL | UAE NATURAL AND EFFECTIVE EFFICACY SOLUTIONS COST IN USE ANTIOXIDANTS synthite industries_half page.indd 1 13/09/2022 09:43

Ivo Grgic, Henkel’s global purchasing category manager for surfactants, acknowledges the concerns, but he says mass balance is the fastest next step the firm can take to make its products more sustainable. “We clearly decided we want to deliver a contribution today, now. That does not mean that we are going to close the door on new technologies in the next years. But we need to start.”

Craig Bettenhausen is a Chemical & Engineering News (C&EN) staff reporter. Reprinted from C&EN, copyright © 2022 by the American Chemical Society. This article was first published on 1 May 2022 in Vol 100, Issue 15. Reprinted by permission of the copyright owner

says, though Russia’s invasion of Ukraine has slowed the timeline. He says massbalance offerings are a first step and one Sasol can take now. Long-term, the hope is to create feedstock-segregated offerings by converting entire units to recycled and biomass-carbon sources.

Consumer product brands looking to go bio-based have options: new ingredients

Despite the logistical advantages of mass balance, the approach does not convince all end users. Mass balance certification do not mean much to the lay consumer. And

Global round-up of news

INSTRUMENTATION

Oils & Fats International reports on some of the latest instrumentation and testing news and developments around the world

Algae feedstock crash targeted in research study

A team of Spanish researchers has identified a key genetic trait of the olive tree and developed a way to manipulate it to influence aroma, Olive Oil Times reported on 22 June.

PixabayJulie-Kolibrie,Photo:

“The efforts of our work to develop early diagnostic markers of a pond crash, specifically VOC biomarkers, has great potential to increase the yield of algae-derived compounds, with the target of reducing prices of manufacturing biofuel and bioproduct production precursors,” Kirsten Reese, the paper’s co-first author alongside Carolyn Fisher, said.

“Plants produce and emit a huge diversity of volatile organic compounds, which are released from different tissues such as leaves, fruits, flowers and roots,” the researchers wrote.

“Theexplained.mainuse of this knowledge would be in olive breeding programmes to develop molecular markers for the markerassisted selection of new olive cultivars that produce oils with an improved aroma,” he added.

Researchers manipulate gene for olive oil aroma

The discovery could allow for the production of olive oils with specific or pre-determined aromas, according to researchers from the Spanish National Research Council (SNRC)’s Fat Institute.

“We have verified in previous studies

The study confirmed the team’s theory about the functioning of the 13-HPL gene and enzyme and their involvement in the synthesis of the main compounds responsible for the aroma of virgin olive oil, Sanz

“This is essentially the origin of the aroma of virgin olive oil. The aroma is only produced when the integrity of the olive fruit is destroyed in the milling stage of the virgin olive oil extraction process.”

The crushing of olive leaves and olive fruits results in the same profile of volatile compounds

To determine the functionality of the 13-HPL gene and enzyme, the researchers grew two sets of olive trees, one in which the gene was silenced and the other in which it was amplified to its highest possible level. The researchers found that silencing the gene not only resulted in a large decrease in C6 volatiles… it also caused less plant growth, Sanz said.

The 13-HPL gene had been investigated for decades as it played a pivotal role in the synthesis of the main volatile compounds that make up the aroma of virgin olive oils, the report said. However, it was only about a decade ago that the researchers were able to isolate and characterise the 13-HPL gene from the olive tree, as well as demonstrate the functionality of the protein it encodes – the 13-HPL enzyme, said Carlos Sanz, the leader of the biochemistry and plant food technology research group at the SNRC Fat Institute

Research teams from the Sandia National Laboratories (SNL) and Lawrence Livermore National Laboratories (LLNL) have developed a method to prevent algae crop collapse, the US Department of Energy (DOE)’s Bioenergy Technologies Office (BETO) reports.Algae’s fast growth rate, dense culture and genetic diversity made it suitable for multiple applications, BETO said in the 29 March report. However, algae ponds had the potential to “crash” or be overtaken by pests.

The study, reported in Metabolites journal, showed that algae eaten by grazers put out different chemical signals compared with algae that were frozen and thawed. However, there were some common chemical signals.

The group identified and reported on the specific volatile organic compounds (VOCs) emitted by the algae, which could be used as chemical signatures to detect and diagnose early signs of stress in algal cultures with the aim of delivering targeted treatments prior to a catastrophic pond crash.

that the profile of volatile compounds obtained after crushing the olive leaf is basically the same as that obtained after crushing the olive fruit,” Sanz said. In both instances, it was the damage to the tissue that triggered the functioning of the lipoxygenase pathway and synthesis of volatile compounds.

34 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

In their research, SNL and LLNL used the Microchloropsis gaditana algae strain and subjected it to either grazing by a rotifer or a series of freeze/thaw cycles.

Once released, volatile compounds reach olfactory receptors and create aroma.

The 13-HPL enzyme is part of the biochemical pathway in plants that functions in different plant organs.

4455, is a phospholipid,” Gómez says. “AMP was created specifically for chocolate with the aim of replacing lecithin because lecithin is known to impart off-flavours and unwanted colours.

“In addition to replacing lecithin for these reasons, AMP also reduces viscosity, and the good thing about this is that you don’t need to add that extra 2% or 3% of cocoa butter, which was only added in the first place to reduce the viscosity.

“Using AMP 4455 as a replacement for lecithin can prevent manufacturers from over-using a huge amount of cocoa butter every year, and therefore there’s a big cost saving there.”

“The next challenge is with the nonfat milk solids (milk powder), and this is important because the milk powder contains the lactose and the protein,” Sørensen says. “When you take this out, you must replace it with something else.

The plant-based food movement is continuing its upwards trajectory and dairy-free chocolate is no exception. Consumers want their favourite chocolate treats available as a plant-based option, but they expect the same quality in both flavour and mouthfeel.

As a result, the market for plant-based chocolate is an expanding one and the sector is now recording 24% annual growth globally, with Western Europe accounting for more than half (53%) of new chocolate product launches. This is followed by North America (21%) and Latin America with (8%).

“Removing milk fat to create a plantbased alternative is not easy,” he explains. “Removing the fat creates a harder product and you also lose the sensation of eating milk chocolate. Also, you can’t just add any kind of fat because it has to be compatible with cocoa butter.”

Removing lecithin

“Our system, called Palsgaard AMP

Danish emulsifier and stabiliser company Palsgaard is now offering a product to help manufacturers eliminate a substantial amount of this cocoa butter from their plant-based recipe, thereby saving costs.

The company claims its product is twice as efficient as lecithin, so it can also deliver cost-savings to manufacturers of regular chocolate.

Orlando RamÍrez Gómez, confectionery application specialist at Palsgaard Mexico, says the way to eliminate this additional cocoa butter is to remove lecithin from the recipe and replace it with ammonium phosphatide (AMP), which is based on sunflower oil.

Making dairy-free chocolate is not an easy task and producers may face several challenges, according to Palsgaard’s senior application specialist for confectionery, Lasse Kolding Sørensen.

However, many dairy-free chocolate recipes contain a large volume of cocoa butter, which producers add to create the desired flavour and texture. The costs of production have therefore been historically high.

meltdown. This will also preserve the bloom stability, which can occur in milk chocolate.

“Often the ingredients which are used to replace this can impart a floury or sandy mouthfeel, but we have discovered a rice compound, which is a mixture of rice sugar and rice starch.

Incorporating 2% or 3% of additional cocoa butter into a recipe has historically allowed producers to create a nondairy chocolate bar that best resembles traditional chocolate, but at a high cost.

Going dairy free

High-quality lecithin may deliver cocoa

Dairy-free challenges

“It provides a very good substitution for milk, and it doesn’t result in those grainy textures.”

Cocoa butter is traditionally used to give plant-based chocolate the right flavour and mouthfeel. One way to cut down on this costly ingredient is to remove lecithin from the recipe and replace it with a phospholipid, which also works with traditional chocolate Palsgaard A/S

36 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com SPECIALITY FATS

This problem can be solved by replacing the milk fat with a milk fat replacer to create the creamy milk-chocolate-like

The alternative does not compromise on taste or mouthfeel, according to Palsgaard.Theproduct is also a highly functional alternative to lecithin because it is more than double the strength of lecithin, Gómez says. “This means that the additional 2% to 3% of cocoa butter is no longer required and yet the flow properties of the chocolate are not affected.”Gómez notes that this option is not only suitable for manufacturers of plant-based chocolate but also works well in traditional chocolate as a replacement for lecithin.

“By replacing 0.4% of lecithin with 0.4%

“This plant-based recipe has been tested with different plantbased milks, such as rice milk, almond milk and soya milk,” RamÍrez Gómez, confectionery application specialist at Palsgaard Mexico, says. “It offers good stability, good solubility, no sedimentation and a good mouthfeel and flavour, especially when using almond or soyaFormilk.”this recipe, Palsgaard AMP 4455 was used as the primary emulsifier in place of lecithin, and Palsgaard PGPR 4190 played a role as the co-emulsifier.

“It might seem like a headache to change an existing recipe, but we can help make the transition seamless and straightforward.”Palsgaardalso has the co-emulsifier Palsgaard PGPR 4190, which will ensure unwanted air bubbles can escape and that the chocolate will fill the mould efficiently to perfectly create the desired shape.

“Using Palsgaard AMP 4455 in place of lecithin means less cocoa butter is required, and this will keep costs down to a reasonable level,” Sørensen says. “Co-emulsifier PGPR 4190 helps ensure the air bubbles can escape and that the chocolate will fill the mould efficiently to create the perfectly desired shape.”

of Palsgaard AMP 4455, it is possible to avoid over-using the cocoa butter,” Sørensen“Palsgaard’sexplains.calculations show that for every tonne of lecithin used, this translates into the over-use of as much

as five tonnes of cocoa butter. All this unnecessary over-use can now be avoided by switching to our product.” ●

This article was supplied by Danish emulsifier and stabiliser company, Palsgaard A/S

Developing plant-based recipes

free

www.ofimagazine.com OFI – SEPTEMBER/OCTOBER 2022 37

Getting more out of cocoa beans means companies can produce larger volumes of chocolate. And with environmental concerns growing in importance for both manufacturers and consumers, using less cocoa butter makes a lot of sense.

StockAdobePhoto:

butter savings of up to 4% but changing to Palsgaard AMP 4455 will always deliver an additional 2%, which, for a mediumsized manufacturer producing 10,000 tonnes/year, translates to savings of €700,000, according to Gómez.

Plant-based moulded rice chocolate bar

Another benefit of switching to Palsgaard AMP 4455 is that it can help manufacturers from a sustainability perspective, the company says.

SPECIALITY FATS

The first recipe is a plant-based moulded chocolate, which can be adapted to suit different recipes.

Rice-based chocolate tablets for plant-based hot drinks

The recipe, which uses both Palsgaard AMP 4455 and PGPR 4190, is made using sweet rice flour, which provides a moderate sweetness, a light colour and it preserves a pleasant mouthfeel, without a sandy or powdery sensation.

This recipe was created by Palsgaard for the Latin American market, where a chocolate tablet for creating hot drinks is a popular concept.

Benefits

Producers face several challenges when it comes to making dairy-free chocolate, according to Palsgaard’s senior application specialist for confectionery, Lasse Kolding Sørensen (pictured below). The company’s application specialists have tried and tested Palsgaard’s phospholipid and co-emulsifier ingredients in several ways and created two recipe suggestions to help manufacturers understand the potential of these products.

It offers energy savings during production and – unlike lecithin-based recipes – it offers protection against rising raw ingredient prices.

www.ofimagazine.com OFI – SEPTEMBER/OCTOBER 2022 39 the numberindustry’s1choice over 37 years COVERING OIL CROPS & ANIMAL FATS sign up today to receive the free OFI weekly newsletter WWW OFIMAGAZINE COM The OFI Weekly Newsletters are packed full of the latest industr y news and developments Sign up today to receive your free week ly update at: Follow us on Twitter @oilsandfatsint Join our LinkedIn group Oils & Fats International OFI Sept-Oct 2022 p39-balaguer-house_ad.indd 39 14/09/2022 00:33

BühlerPhoto:

Bühler says that four plant-based proteins are needed on average to make one animal-based protein and insects are a sustainable and new source of protein and fat – for feed and food – which do not require fertile land.

Speaking at the 18th Euro Fed Lipid Congress in October 2021, Geert Verheyen from Belgium’s Thomas More University of Applied Sciences said that insects are the most diverse group of

Insect production

Insect production is more sustainable compared with rearing animals, requiring a limited amount of land and water (see Figure 1 below) and less feeding substrate,

Growing enough protein to rear animals for meat will have a considerable impact on the environment, particularly as 85% of the world’s arable land is already in use, according to Swiss technology and equipment supplier Bühler.

Insects can play a key role in meeting food and feed demand as the world’s population grows and land, water and resources become increasingly scarce, according to the International Platform of Insects for Food and Feed (IPIFF).

• Offer a high feed conversion rate as they are very efficient at turning agricultural by-products or bio-waste into oil and protein ingredients.

Insects to feed the world

“By recycling nutrients from organic waste and bringing them back into the

u

BuhlerSource:

resulting in less CO2 emissions.

The black soldier fly has a very fast growth cycle, needing 14-22 days to grow from the egg to larvae stage, and a further 7-12 days to the pupae stage

SUSTAINABILITY 38 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

Figure 1: Land and water use for insect, protein and meat production

• Have a high protein content and beneficial nutrients such as fats, minerals and vitamins, with protein concentration levels in insect feed varying between 55% and 75%.

Insects are a source of protein and fat which can be utilised as food and feed to meet the demands of a growing world population. However, the industry faces challenges such as consumer acceptance and legislation Serena Lim

local food value chain, insect production contributes to a circular economy,” says Bühler (see Figure 2, following page).

• Are already a natural component of the diets of animals such as carnivorous fish, poultry and pigs.

“Meat consumption and demand is forecast to increase by 72% between 2000 and 2030, while 60M tonnes of protein are projected to be missing by 2030 in order to meet the expected demand.”

As a food, insects are rich in protein and oil and contain essential amino acids, vitamins and minerals, according to the IPIFF. As animal feed, insects:

“The global population is expected to reach 9bn by 2050 and the Food and Agriculture Organization (FAO) estimates that the world needs to increase its food production by 70% by that time,” the EU non-profit organisation says.

Rearing facilities make up the largest part of an insect plant with the aim of efficiently growing young larvae to their ideal harvesting weight in the shortest possible time. Rearing units contain stacked crates that are automatically filled, harvested and cleaned, with accurate and consistent dosing of feedstock.

The processing lines are separated into two key areas – pre-processing to sieve and wash live larvae from the rearing residue before pureeing. A puree processing line pasteurises and defats the puree, and purifies the protein-rich fraction through evaporation.

The final processing step is to transform rearing residues into high-quality fertiliser or soil amendments for application in agriculture and horticultural. The wet residue can be transformed into dried fertiliser pellets or processed to inactivate potential live larvae and sold directly to nearby farmers, fertiliser production companies or biogas plants.

There are about one million species of insects but most of the focus on insects for food and feed has focused on the black soldier fly (Hermetia illucens) and mealworm (Tenebrio molitor, Alphitobius diaperinus).

u

mealworm

With mealworm, there is a range of different processing technologies depending on the desired food application. As a first step, live larvae are carefully separated from the rearing residue and there is then a well-defined cooking step to ensure safe end products.

Finally, the larvae are turned into shelf-stable food ingredients, either still recognisable as whole insects in frozen or dried form, or as insect flour. The food ingredients can be processed further into finished products using technologies such as extrusion for products like pasta, breakfast cereals, meat analogues, cookies, wafers and biscuits.

SUSTAINABILITY

The optimal feed mix consistency is achieved by using fibre-rich residues to adjust the free water content.

“The objective is to transform the different organic residues in a timely manner into safe, palatable and nourishing feed for insects.”

BühlerSource:

Figure 3: Rearing and processing of black soldier

Wet and dry organic residues are stored in silos before they are mixed into a proper feedstock. If required, additional treatments such as grinding and/or heat treatment can be applied.

Proper feedstock preparation is the first order of business for any successful insect plant, according to Bühler.

“They are widespread across the world, living in areas ranging from deserts, to cold climates, to oceans.”

(see Figure 3, above).

40 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

“While BSF larvae consume their feed in slurry form, MW grow optimally in a more dryThesubstrate.”insectfacility should be built as close as possible to where the organic residues accumulate to minimise transport costs.

Insect Black soldier fly Mealworm Capacity MediumLargeMediumPilot Wet feedstock intake 5-25 tonnes/day 50-150 tonnes/day 200-500 tonnes/day 5-25 tonnes/day Wet larvae processing 0.5-1 tonnes/day 2-3 tonnes/day 4-7 tonnes/day 0.5-1 tonnes/day Figure 4: Plant capacities

soldier fly

fly

animals on the planet.

Figure 2: Insects contribute to a circular economy BühlerSource:

Feedstock examples include agricultural residues such as fruit and vegetable leftovers; consumer and supermarket discards such as old bread and kitchen waste; and industrial by-products such as distillers’ grains, brewer’s spent grains and yeast, fruit vegetable and potato cutoffs, fruit or sugar beet pulp, vinasee and molasses, dairy or tofu industry residues, corn slurry, wine remains, rice and wheat bran, reject grains, and oil cakes/pomace.

BühlerSource:for black and

In its Insect Technology Brochure, Bühler says that mealworm (MW) is easy to handle and has a pleasant, nutty taste, while the black soldier fly (BSF) can be reared on a wide range of organic side streams and has a very fast growth cycle

However, local regulations should also be taken into account as they can limit feedstock options (see ‘EU insect rearing, feed and food rules’, p42).

With BSF larvae, the aim is to gently defat the larvae to achieve protein meals and lipids via a wet processing route.

“In Western society, there is great reluctance to eat insects although more people are willing to eat processed products such as burgers,” according to Daylan Tzompa-Sosa of Ghent University’s Food Structure and Function (FSF) Research Group.

There is a large variation in their fatty acid profile, depending on the species (see Figure 5, right). The nutrient composition of insects also depends on their life cycle stage and factors such as gender. The nutrient composition of insects can also be affected by the diet they are fed.

or regular consumption if the first taste experience is not good, Tzompa-Sosa said. “It’s important to avoid a first bad impression as consumers won’t try it again.”

“They’re also compatible with a diverse variety of food products including salty snacks, sweets and meat analogues.”

Food applications

Given the issue of consumer acceptance, it is likely that insect oils will play a far greater role in the animal feed industry, the Forum for the Future report says.

“Insect meals and oils have been successfully trialled on aquaculture, poultry and swine. In the EU, these ingredients are now authorised for such use, as well as for pet food.”

BSF raised on fish waste substrates showed increased omega-3 DHA and EPA levels, for example, the congress heard.

They can be eaten whole in frozen or dried form, or processed into flour or food ingredients to be used in products such as pasta, cereals, meat analogues, cookies and biscuits.

Nutritional composition

Heinrich Katz, CEO of German insect protein production firm Hermetia Baruth, and executive board member of the IPIFF, says insect meal is the best replacement product for fish meal.

Reduced visibility of the insects, such as using insect as an ingredient rather than eating insects directly, is also helpful.

In a trial where BSF larvae fat supplied by Dutch insect ingredient supplier Protix partially replaced butter in bakery products, it was found that there was no change in consumer preferences, sensorial perception or in the physical properties of products when there was a partial substitution of butter at up to 50% substitution in waffles and 25% substitution in cookies and cakes, the Euro Fed Lipid conference heard.

In Africa, 500 insect species are eaten, including caterpillars, termites and insects gathered from bushes and farmland, which are consumed, sold at local markets or exported to cities.

The nutritional composition of insects varies depending on their species but generally comprises around 49-60% protein, 20-30% fat/oil and 5-12% fibre, the Euro Fed Lipid Congress heard.

Recent research has evaluated the use of insect oils as a complement to butter in waffles or as a butter analogue, referred to as ‘insect margarine’, the Forum for the Future report says. However, the major barrier to insect-derived foods reaching more mainstream appeal in the food industry is consumer acceptance.

Another study looked at the partial and total substitution of vegetable oil with yellow mealworm (YMW) insect oil in food products. It found that 100% substitution

Insect oils can be used to complement or replace vegetable oils and animal fats in myriad applications, according to the Forum for the Future report.

In countries where insects are not recognised as food, curiosity, health and sustainability concerns drive the first sampling. But these reasons are not enough to lead to a second purchase

Insect oils perform similarly to vegetable oils in terms of their texture, flavour and fatty acid profile, according to the ‘Breaking Down Fats and Oils’ report, published in July 2021 by sustainability NGO Forum for the Future.

There are 1,900 recorded edible insect species, mostly in Africa, Asia, Latin America and Oceania, she told the Euro Fed Lipid conference.

with deodorised YMW oil supplied by French insect ingredient supplier Ynsect could be achieved in crackers without a fall in consumer preference with consumers liking a vegetable oildeodorised YMW oil blend the most.

Feed applications

www.ofimagazine.com OFI – SEPTEMBER/OCTOBER 2022 41 u SUSTAINABILITY Point 68 offers a luxury face oil containing extracts of black soldier fly larvae -0.5-1.5-2.5-2011.52-2.5 -2 -0.5 0 1 1.5 2(18.3%)2Comp Comp 1 (48%) Fatty acid composition insect oils vs animal and vegetable fats and oils Cocoa butter Palm Mutton tallow Butter Lard Beef tallow Fish Zophobas Yellow meal worm Lesser mealworm Cricket Cockroach Colza Linseed Rapeseed Sesame seed Sunflower seed Pumpkin seed Corn Cottonseed Rape low erucic Soybean Quinoa Olive LC_SFA SFA UFA MUFA PUFA omega_6 SC_SFA MC_SFA VLC_SFA omega_3 Linear (Cricket) Linear (Cricket) Linear (Soybean) Linear (VLC_SFA)SFA MUFA LC SFA PUFAω-6 UFA VLC SFA Vegetableoils Insectoils Animalfats Vegetablefats applications.ingredientsPotential&From:Fogliano, Physiology Tech. Figure 5: Fatty acid composition of insect oils vs animal and vegetable oils and fats 68PointSource:Source:Tzompa-Sosa,DA&Fogliano,2017,InsectPhysiology&Ecology

Several companies have focused on the potential of insect oils for substitution in cosmetic and personal care applications.

Insects as feed

The company had used mink oil as a side stream of the mink fur industry but wanted to explore other sources of oil due to ethical and sustainability concerns.

Non-food applications

SUSTAINABILITY

Insects and their derived products – excluding live insects – intended for use in animal feed are also considered ‘animal by-products’ and fall under EU animal byproducts legislation.

EU insect rearing, feed and food rules

US company SIBU, in partnership with insect industry professional Josh Galt, offers a luxury face oil containing extracts of BSF larvae, as well as sea buckthorn, argan and sunflower oils.

The Belgian cosmetics firm Mylène has also looked at oils extracted from BSF, locusts, house crickets and mealworm to evaluate their use in hand cream formulations, Verheyen said.

42 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com

According to SIBU, BSF larvae oil is particularly high in lauric acid, the medium chain fatty acid also found in coconut oil.

brochureregulatoryIPIFFSource:

In 2017, the EU authorised the use of insect proteins for aquafeed. In April 2021, EU member states voted to approve the use of insect processed animal proteins (PAPs) in poultry and pig feed, with the rule coming into force on 7 September 2021.

In the EU so far, only dry whole or powdered yellow mealworm (produced by SAS EAP Group Agronutris) and frozen, dried and powder forms of migratory locusts (produced by Fair Insects BV) have been authorised for human consumption, which received EC authorisation on 1 June 2021 and 12 November 2021, respectively.

Serena Lim is the editor of OFI

Katz says fish meal is an ecological and economical critical resource due to overfishing and rising prices, and insect meal is a proven alternative to fish meal.

Insects as food

Insect-derived proteins are now allowed for use in pig, poultry and aqua feed and pet food (such as for dogs, cats, birds or reptiles) and fur animals, such as mink.

Their conclusions were that cricket and locust oil had a favourable fatty acid profile for use in skin creams but rearing them was less convenient and refining processes needed to be improved to reduce factors such as free fatty acids (FFAs), colour and odour.

Conclusion

While insects have been hailed as efficient bio-converters of waste, EU regulations limit the waste-streams they can be fed. If insects are reared for food or feed, they are classified as farmed animals. This means they can only be fed with materials of vegetal origin, with some exceptions (such as milk, eggs and their products, honey and rendered fat or blood products from non-ruminant animals), according to the IPIFF.

Most insect producers in the EU rely on agri-food by-products or co-products, such as wheat bran or fruit and vegetable peels, or former foodstuffs originally intended for human consumption to feed their insects, the IPIFF says.

In addition, the EFSA is currently assessing nine other novel food insect applications.

Insects offer a unique opportunity to address the challenges of protein supply and organic waste disposal, Bühler says.

“It takes 30M tonnes of fish to produce 6M tonnes of fish meal,” he told the European Fat Processors and Renderers Association Congress in May. “And you need 3kg of fish meal for 1kg of salmon.”

“Roughly one-third of food intended for human consumption is lost or wasted every year. This accounts for some 1.3bn tonnes of food that never reaches our tables. This is not only a loss of valuable nutrtional resources but also a challenge in terms of disposal. In many regions, landfill or incineration are the prevalent solutions for dealing with food waste.

Third country producers intending to export insects or their derived products – as food or feed – into the EU must also comply with similar or equivalent EU rules.

Edible insects and insect-containing foods are considered ‘novel’ foods under the EU’s revised novel foods legislation, which came into effect on 1 January 2018.

Before a product can be sold in the EU, it requires pre-market authorisation, which involves a company submitting an application to the European Commission (EC), a safety evaluation of by the European Food Safety Authority (EFSA) and a favourable vote by EU member states.

Authorisations are based on individual company applications and are product specific. This means that if one company receives approval for a specific insect product, another company must still apply for approval for the same product.

BSF fat is also a potential feedstock for surfactants as its fatty acid profile is similar to coconut and palm kernel (PKO) oils, with a high lauric acid content, Verheyen told the Euro Fed Lipid conference.

Insects as farmed animals

On 10 February 2022, the EC also authorised frozen, dried and powder forms of house cricket as a snack or food ingredient (produced by Fair Insects) and Fair Insects’ yellow mealworm.

u

“Insects close the loop on organic waste as they recycle nutrients that are otherwise lost and bring them back into the food value chain. Today, this sustainable solution is not only feasible –it can be realised on a large scale and in an economical way.”

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Berlin Symposium on Structured Lipid Phases

7-9 November 2023

Hilton Astana Hotel, Nur-Sultan, Kazakhstan www.gmskz.com/#1

American Renderers Association Annual Convention

26-28 September 2022

National Seminar on Palm Oil Milling, Refining, Environment and Quality 2022 Royale Chulan Hotel, Kuala Lumpur, Malaysia

North American Renderers Association Annual Convention Ritz Carlton, Naples, Florida, USA https://nara.org/about-us/events

17th GERLI Lipidomics Meeting – Lipids: from Membrane Dynamics to Signalling Saint-Jean-Cap-Ferrat, France gerli-17th-lipidomics-meeting/www.gerli.com/congres/welcome-to-

Eurasian Agricom

20-21 October 2022

13-15 December 2022

European Sustainable Palm Oil Dialogue The Netherlands palm-oil-dialogue-spod-20-october-2022save-the-date-european-sustainable-www.rspo.org/news-and-events/events/

23-28 October 2022

EVENTS www.ofimagazine.com OFI – SEPTEMBER/OCTOBER 2022 43 For a full events list, visit: www.ofimagazine.com

12-14 June 2023

2-4 November 2022

pdfuploads/2022/07/PIPOC2023-7062023.https://mosta.org.my/wp-content/

Australian Renderers Association (ARA) 16th Symposium Brisbane, Queensland, Australia www.arasymposium.com.au

1-3 March 2023

FOIC 2023, Fats & Oil International Conference & Exhibition Grand Hyatt Hotel, Mumbai, India https://otaiwz-foic2023.org/index.php#

6-8 March 2023

International Palm Oil Congress & Exhibition (PIPOC) 2023 Kuala Lumpur, Malaysia

emPOC2022 Sabah, Malaysia https://em.pocmalaysia.com/

6-9 November 2022

17-20 September 2023

Insect Lipids: From Science to Industry Magdeburg, Germany frontend/index.cfm?l=11302&sp_id=2https://veranstaltungen.gdch.de/tms/

18th Indonesian Palm Oil Conference Westin Resort Nusa Dua, Bali, Indonesia https://gapki.id/

20 October 2022

AOCS Annual Meeting & Expo 2023 Denver, Colorado, USA https://annualmeeting.aocs.org/

Euro Fed Lipid Congress & Expo Poznań, Poland https://eurofedlipid.org/

Ritz Laguna Niguel, California, USA

30 November-1 December 2022

Palmex Indonesia 2022 Medan, Indonesia http://palmoilexpo.com

Fuels of the Future 2023 Berlin, Germany https://www.fuels-of-the-future.com/en

RSPO Annual Roundtable Conference on Sustainable Palm Oil (RT2022) Kuala MalaysiaLumpur lumpur-28-november--1-december-2022events/save-the-date-rt2022-in-kuala-https://rspo.org/news-and-events/

Global palm oil prices €/tonne

Bothperiod.prices

In light of the food vs fuel debate amid the Rus sia-Ukraine war, there has been an increase in US con sumption of tallow and grease for biodiesel production. According to market sources, US imports of both fats have reached record high levels in 2022, while US exports have seen a sharp reduction.

Mintec

Tallow and grease

Tel: +44 (0)1628 851313 E-mail: Website:sales@mintecglobal.comwww.mintecglobal.com

reached a record high in June 2022 and while the US white grease price has since declined from its record high of US$1,786/tonne, the US tallow price has stayed stable since June.

Palm oil

Mintec provides independent insight and data to help companies make informed commercial decisions.

Mintec

Global palm oil production, consumption & ending stocks (million tonnes) Mintec

However, the MBP has since declined from the elevated levels reached in first-half 2022 following Indonesia’s decision to end its three-week palm oil export ban on 23 May, due to a domestic supply glut. Many buyers have since turned to palm oil because of its relative cheapness compared to alternative vegetable oils.

STATISTICS 44 OFI – SEPTEMBER/OCTOBER 2022 www.ofimagazine.com Mar 22 Apr 22 May 22 June 22 July 22 Aug 22 Soyabean 1,922.7 1,868.3 1,859.2 1,695.9 1,501.8 1,535.9 Crude palm 1,669.6 1,578.6 1,623.8 1,440.5 1,096.7 1,118.9 Palm olein 1,605.4 1,445.6 1,515.3 1,406.0 1,009.4 1,023.8 Coconut 2,180.4 2,008.8 1,698.3 1,645.5 1,462.9 1,367.3 Rapeseed 2,057.6 2,120.9 1,909.0 1,746.8 1,702.4 1,488.3 Sunflower 2,351.0 2,136.0 2,096.8 1,774.9 1,509.1 1,499.8 Palm kernel 2,320.0 1,977.3 1,724.8 1,474.1 1,249.1 1,255.7 Average 2,015.0 1,875.0 1,755.0 1,598.0 1,362.0 1,327.0 Index 478.0 444.0 421.0 379.0 323.0 314.0 Prices of selected oils (US$/tonne)

STATISTICAL NEWS

The average US tallow price remained flat m-o-m at US$1,830/tonne but was up by 17.7% y-o-y in August 2022.

Consequently, the USA has become the world’s largest importer of tallow and grease due to rapidly growing do mestic demand for both feedstocks for biodiesel production.

The average US white grease price was also flat m-o-m but was up by 21.1% y-o-y at US$1,653/tonne in the same

The Mintec Benchmark Prices (MBP) for EU palm oil climbed by 13.9% month-on-month (m-o-m) and by 5.9% year-on-year (y-o-y) to €1,114/tonne on 9 September 2022. Despite high stock levels in Indonesia and Malaysia (the world’s top two palm oil producers and exporters), the m-o-m price rise was attributable to increased demand from top palm oil importers China and India.

According to the US Department of Agriculture (USDA), global palm oil production is expected to rise by 4.1% y-o-y to 79.2M tonnes in the 2022/23 marketing year. However, the Malaysian Palm Oil Association (MPOA) has reported that thousands of tonnes of fruits are being left to rot due to sustained labour shortages in plantations across the country. And despite COVID-19 related restric tion of migrant workers being lifted in February 2022, it has been reported to Mintec that the arrival of workers is happening at a much slower pace than anticipated. This could result in global production falling lower than estimated by the USDA, due to supply shortfalls from Malaysia.

US tallow and grease prices US$/tonne

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