Is Palm Oil Really Banned in Ukraine? What the New Law Actually Entails

Stepan Pavlovich, how do you respond to the news about the palm oil ban?

— This debate on banning palm oil resurfaces about every five years. Various legislative bodies push this agenda. However, in reality, what’s banned are hydrogenated fats, which are a source of trans fats. Scientific evidence has shown that trans fats are harmful, and we recognize this. This law has been in effect in Ukraine, as we already have national sanitary regulations that limit trans fats to 2 grams per 100 grams of product. The law in question was discussed back in 2021, but it was only passed recently.

There is no ban on palm oil in Ukraine. The new law restricts trans fats, a practice already followed globally. In Ukraine, these limitations of 2 grams of trans fats per 100 grams of product are already enforced, especially since our confectionery products are exported to the European Union, which has stringent requirements. Ukraine produces significant quantities of sunflower, rapeseed, and soybean oils, and hydrogenation is a common global practice to alter their consistency. However, many producers have already switched to interesterification and partial hydrogenation. So when you read about the ban on hydrogenated fats in dairy or baby food, it’s normal, but it needs to be labeled correctly.

Does the content of the law differ from how it’s portrayed in the media as a palm oil ban?

— Absolutely, the news misrepresents the facts. If you read the actual law, you’ll see that it doesn’t explicitly ban palm oil. The law regulates trans fats. The media coverage doesn’t align with the actual laws in Ukraine, such as:

• “On Milk and Dairy Products”;
• “On Baby Food”;
• N5148 “On Amendments to Certain Laws of Ukraine to Improve the Quality of Food Products for Children.”

I’ve been working in this field for over 20 years, and the most important change is product labeling. Once the law takes effect, product labels will specify content. For example, if a spread contains 25% butter and other vegetable oils, it will be labeled accordingly. The term “hydrogenated” won’t be used.

The law mentions both trans fat limits and a ban on using vegetable oils in dairy products. Does this include all vegetable oils or just palm oil?

— It applies to all vegetable oils, not just palm oil. If a product is labeled as butter or cheese, which are traditionally made from milk, then it must contain only dairy fats. Kazakhstan, Russia, and Belarus have similar laws. Non-dairy products are allowed but must be labeled correctly. Producers are required to state the use of “vegetable oils” without specifying which ones.

In Ukraine, it’s prohibited to use non-dairy fats and proteins in traditional dairy products. Baby food cannot contain palm stearin, hydrogenated oils and fats, cottonseed oil, or sesame oil. Trans fats in consumer products are limited to 2 grams per 100 grams of fat. Once again, there is no ban on palm oil in Ukraine.

Could the import of palm oil increase following the ban on trans fats, similar to what has been seen in other countries?

— A rise in palm oil imports after banning trans fats is expected because palm oil is needed to meet production needs. However, given the current wartime conditions in Ukraine, production has decreased, so I don’t foresee any significant increase before the new year. Furthermore, the logistics issues are challenging, as palm oil is now imported through Rotterdam, Kazakhstan, Turkish ports, and others, which increases costs. Currently, Ukraine imports around 100,000 tons of tropical oils annually, much less than countries like India, China, and the EU.

Is it possible that Ukraine will stop using palm oil in the future?

— Palm oil production globally is around 80 million tons, with 50 million tons sold annually. This makes it one of the most widely consumed oils. It’s unrealistic for Ukraine to stop using palm oil. However, its price has increased by $400 per ton, which means that demand may decrease. Countries will naturally shift towards using cheaper oils like soybean, rapeseed, and sunflower oils.

Banning palm oil would be counterproductive given today’s technologies. Palm oil is crucial for reducing trans fats due to its solid consistency at room temperature, which makes it invaluable in food production worldwide.

How essential is palm oil in global food production?

— Vegetable oils generally do not contain trans fats, but trans fats are created during hydrogenation, which turns liquid oils into semi-solid or soft fats. Even tropical oils like palm oil have different consistencies at lower temperatures. Palm oil is important because it helps reduce trans fats due to its solid consistency.

To reassure everyone: there is no ban on palm oil in Ukraine, nor will there be. Ukraine is not an outdated country; we’ve been using palm oil for over 30 years. It’s an essential raw material in the food industry, particularly for confectionery and bakery products.