Raw materials
A large proportion of the vegetable oils such as coconut, palm and palm kernel oil is coming from tropical countries. More temperate climates allow the harvesting and subsequent production of soybean, rape and sunflower oils. Wood or tall oil is another source of vegetable oils. It is a by-product from the paper pulp industry. Animal fat is obtained from the meat industry, beef tallow being the most abundantly available fat. The Fishing industry is the source for fish oils. The raw materials are available annually in sufficient quantities. The agricultural production of the oil seed crops delivers every year a new harvest and are therefore trully renewable. The food industry is the key driver in the oils and fats market arena. The oleochemical industry often use by-products or waste products from the food industry that are not suitable for human consumption but can be used to good purpose in the oleochemical industry. Oleochemistry is trying to create fresh impetus by cultivating new and improved plants with higher or more specific oil content. A glance at the map shows the worldwide sources of raw materials for the oleochemicals industry. Soy beans from North and South America and the Far East; beef tallow from the great meat producing areas of North America, Australia and New Zealand and Europe; sunflower oil from Argentina, the Mediterranean countries and Asia; fish oils from Scandinavia, Japan and the US Pacific coast; palm, palm kernel and coconut oils from tropical countries of the Pacific rim; rape seed oil from Canada and Europe.
ConsumptionThe total world production of oils and fats in 1997 amounted to 100 million M tons, of which 80 M tons of vegetable and 20 M tons of animal origin. More than 80% (81.2 M tons) of the total oils and fats are used for human nutrition. Half of the remaining part is used in the animal feed industry. The chemical industry consumes only 14 % of the total oil and fat production. More specific, worldwide consumption of basic oleochemicals (fatty acids, fatty alcohols, and glycerine) is estimated to be 3,5 million tons. More than one third of this is produced in Western Europe. Basic oleochemicals are only an intermediate step in the total oleochemicals industry a provider of jobs for over 10,000 people in Western Europe alone.
GrowthHistorically, annual growth has been in line with the main economic indicators. Higher growth is anticipated in a world that is becoming more ecologically responsible. |
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