Palsgaard predicts uptick in demand for sustainably produced products in Middle East, Africa, South Asia

25 Oct 2019 --- Demand for sustainably produced food products will increase in the MEASA region (the Middle East, Africa and South Asia), according to Danish emulsifier specialist Palsgaard. As markets grow in the region, so too will concerns over climate change, according to the company, thus propelling the demand for sustainable solutions.

“Consumers will increasingly evaluate brands on their ethical credentials and choose products made by companies who demonstrate real concern for the environment. Manufacturers who are able to anticipate and meet this demand will gain a competitive edge,” says Cai Christensen, Director Sales – MEA at Palsgaard.

Earlier this year, Palsgaard announced that it had reached its goal of completely carbon-neutral production, reducing its net carbon emissions from 12,029 metric tons in 2010 to zero in 2018. It is the world’s only commercial source of fully sustainable emulsifiers based on RSPO SG-certified palm oil and produced in CO2-neutral factories.

Visible corporate social responsibility (CSR) achievements are increasingly important to companies operating across industries. A 2018 Innova Market Insights survey found that 64 percent of US and UK consumers expect companies to invest in sustainability. The survey found that consumers’ environmental concerns outweigh social and ethical ones when considering the brands that they buy. This market dynamic has inspired product development, with 57 percent average annual growth reported in food and beverage launches with an ethical/environmental claim (Global, 2013-2017).

All of Palsgaard’s emulsifier and stabilizer solutions are now produced in CO2-neutral factories. Now, six global production sites are now all CO2-neutral, mainly through a shift in energy sources, and the company now plans to ramp up production to double its current capacity. In an exclusive interview, Palsgaard CEO Jakob Thøisen speaks to FoodIngredientsFirst about the company’s achievements as well as his forecasts for the emulsifier market as a whole.

Product applications
Palsgaard aims to help industry in “making the most of the ability to mix oil and water.” The company’s specialized emulsifiers (and emulsifier/stabilizer systems) are designed to assist bakery, confectionery, condiments, dairy, ice cream, margarine and meat producers in improving the quality and extend the shelf-life of their products. 

Just as importantly, the company outlines the aim to create better-for-you products with improved taste, mouthfeel and texture while using less resources.

In addition to its food emulsifiers, Palsgaard supplies the polymers industry with a series of plant-based polymer additives, which are particularly suited for preventing fogging and dust on plastic packaging. 

Palsgaard is owned by the Schou Foundation operates in 16 countries. Its turnover in 2018 was US$211 million with products sold to more than 120 countries.

Palsgaard will showcase its range of sustainably produced emulsifiers at Gulfood Manufacturing, held on October 29 to 31 in Dubai. Products on show will include powdered whipping-active cake emulsifiers for bakery, as well as plant-based emulsifiers for dairy, confectionery, margarine and condiments. 

By Benjamin Ferrer