Palm oil Light and Dark of a Controversial oil

By J. Jacob of Sorcery Soaps

Palm oil: Light and Dark of a Soap Making Controversy

Using palm oil in your handmade soap has both positive and negatives, as most things have. However, a more measured approach might be necessary.

 

The positive aspect is palm oil has an ideal balance with the triglyceride structure. Palm oil is 50% saturated fats (mostly palmitic acid), 40% monounsaturated (oleic), and 10% of polyunsaturated creates a harder bar without it being brittle. This also offers a quicker curing time, although most of us will do what we can to limit the 4-8 week rule of thumb cure time, so even a week less is better when deadlines loom. 

 

Palm oil produces a creamy lather, not the explosive bubbles of coconut oil, but a conditioning foam that rinses clean without stripping skin, ideal for sensitive types or high-humidity climates. The cost of palm oil is less then coconut, olive and soybean oil. It is the most cultivated oil in the world and availability is abundant. As soap maker these are all the things you would want in an oil. While palm oil is a soap maker's dream ingredient, its production raises ethical dilemmas here's the full picture.

The Dark Side of Palm Oil Harvesting

The cultivation of palm oil has a dark side. The dark side if far more than just sensationalized idea of deforestation. 

 

Approaching this idea one must consider their own backyard. Had an outside source claimed the US could not "deforest" there would be far less corn, soybeans and wheat. That hits a home when eating chips, vegetarian produces and bread, not to mention cookies and a host of other ways we consume these crops. 

 

Here is a list I was able to gather on the known negative impacts of palm oil framing.

• Massive Deforestation
• Biodiversity Loss and Habitat Destruction
• Soil Degradation and Erosion
• Greenhouse Gas Emissions and Climate Change
• Air Pollution and Haze Crises
• Ecosystem Service Disruption
• Land Grabs and Indigenous Displacement
• Labor Exploitation and Human Rights Abuses
• Corruption

The seed of all this bad stuff in my opinion is corruption.

“No man who is corrupt, no man who condones corruption in others, can possibly do his duty by the community.”

~ Theodore Roosevelt~

Corruption in the palm oil industry is not different than any product of demand, often involves bribery and manipulation of legal processes, undermining governance and environmental protections. Recent cases underscore this pervasive issue. In Indonesia, the Supreme Court in September 2025 overturned acquittals and convicted major firms like Wilmar Group, Permata Hijau Group, and Musim Mas Group of corruption tied to bribery for illegal export permits during a 2022 crude palm oil shortage. Thus resulting in the seizure and return of approximately Rp 13.2 trillion (about $825 million) to the state funds. President Prabowo Subianto noted could have supported public infrastructure like schools instead of enriching corrupt actors.

In Malaysia, similar scandals have emerged, such as the 2024 overturning of a graft conviction against the former chairman of the state palm oil agency Felda. Ongoing references to corruption at Felda Global Ventures (FGV), one of the world's largest palm oil companies, involving mismanagement and bribery that have eroded trust in regulatory oversight. These practices not only facilitate unchecked expansion but have directly contributed to significant issues such as massive deforestation, often through manipulated land concessions, human rights violations including forced labor and indigenous land grabs, and the exploitation of local communities in countries like Indonesia and Malaysia, where corrupt networks prioritize profits over sustainable stewardship and equitable development.

These are all subjects that an PHD student could write a thesis on. In my opinion corruption is the worst of them all. Being a good caretaker of the land and people has not been the priority of the palm oil industry. Profits are the priority. Without groups like Roundtable on Sustainable Palm Oil (RSPO) attempting to squelch the bad practice of the palm oil industry, we could only expect more of the same.

Despite these horrors, sustainable practices offer hope.

The Lighter Side of Palm Oil

Palm oil cultivation, when practiced sustainably, unlocks remarkable advantages as a high-yield cash crop that bolsters both livelihoods and ecosystems. By prioritizing good stewardship of the land through thoughtful planning and ethical labor practices, nearly all the ecological, social, and labor issues that have plagued the industry over the past two decades could be prevented or greatly minimized. This approach not only mitigates harm but yields trans-formative results, paving the way for a more resilient future. Here are key pathways to sustainability

• High Land Efficiency
• Intercropping for Soil Health and Income Diversification
• Carbon Sequestration Potential
• Biodiversity Gains via Diversification
• Poverty Alleviation
• Food Security through Intercropping
• High Returns as a Cash Crop
• Cost Efficiency and Productivity
• Rural Economic Development

We can see compelling evidence of this in Latin America, where diverse production models are setting a global standard for sustainability. From beekeeping integrations in Peru and Colombia that enhance pollination and income, to eco-friendly agroforestry in Honduras and Mexico that preserves soil and water resources, smallholder groups are pioneering strategies to boost farm resilience, foster biodiversity, and diversify revenue, all while yielding thousands of tonnes of palm oil annually. Guatemala, as the region's first major producer of certified sustainable palm oil, exemplifies how national commitments, like recent advancements in RSPO interpretations across Mexico, Colombia, and Guatemala, are driving deforestation-free practices and community empowerment. These successes prove this regulation is working in Latin America, offering a blueprint for the industry worldwide.

As one of the largest consumers, North America plays a pivotal role: over 85% of its palm oil imports are now RSPO certified, signaling growing market pressure for ethical sourcing that could accelerate reforms elsewhere. Good farming is key. 

Ongoing Challenges

Groups like the RSPO ( Roundtable on Sustainable Palm Oil) are leading the way to reforms in the palm oil industry. They still have a long way to go in their reform efforts. RSPO has to create checks and balances to prevent corruption. The problems they will have going forward is that they were late to the game. An industry that was profitable and loosely established, doing business as they saw fit will balk against regulations. This seems like a logical conclusion, however, once an industry grows it has a lot more cooks in the kitchen.

You can compare it to the Asian Mafia. Mafia and cartel type organizations seem to be the front runners on high value illegal trade and emerging or undeveloped commodities throughout history. Alcohol, drugs, weapons and labor have been major mafia and cartel playing fields. Now legitimate business such as olive oil, avocados and palm oil have been infiltrated by mafia groups.

Even with government and police crackdown, corruption is rampant in Indonesia. From an article from The Next Century Foundation the palm oil mafia are the “Palm oil billionaires and Palm oil corporations. They do not want to follow any rules but their own.” Getting the biggest players in the palm oil industry to play by new rules will be a difficult problem to solve. If the large palm oil buyers only select RSPO certified palm oil, this could push the non-conforming producers to change the way they do business. However with consumers like China, India and Indonesia who don't care how the palm oil is cultivated, changing how the palm oil industry works will be an uphill battle.

Palm oil embodies the tension between practicality and responsibility. It's unmatched ability for bar hardness, lather and affordability make it a star in the soap making world. Palm oil is abundant in body care products and food. 

The shadows of changing forests into usable land, biodiversity loss, and human exploitation call for scrutiny. Sustainable models as seen in Latin America are hopeful for innovative smallholder farms that prove high yields and ethical stewardship can co-exist.

The question is, can we be better stewards?

These sustainable models are showing that boosting soil health, empowering communities, and still offering this usable oil to the world.

Organizations like RSPO are pivotal in driving reforms, though persistent challenges like corruption, enforcement loopholes, and indifferent markets in China and India remind us that change is gradual. The RSPO is not perfect however the vision for sustainable palm oil cultivation and intercropping is a model that is working. 

Can we have these organizations without overt corruption?

As consumers and creators, our choices matter. By prioritizing RSPO certified palm oil, now comprising over 85% of North American imports, we can support a shift toward accountability. For soap makers like us, this means crafting products that nourish skin with minimal harm to the planet. If you use your wallet wisely and purchase only RSPO certified palm oil and advocate for stronger global standards, things will change in time. After all, true sorcery in soap lies not just in the alchemy of oils, but in weaving ethics into every bar.

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Bibliography

Misunderstood magic

Deforestation link

Biodiversity loss link

Soil Degradation and Erosion link

Climate change and air pollution link, link

Ecosystem disruption link

Land grabs link

Labor exploitation link

Corruption link, link, link, link

High Land Efficiency link, link

Intercropping for Soil Health and Income Diversification link, link

Carbon Sequestration Potential link, link

Biodiversity Gains via Diversification link, link

Poverty Alleviation link, link

Food Security through Intercropping link, link

High Returns as a Cash Crop link

Cost Efficiency and Productivity link, link

Rural Economic Development link, link

 

Our previous article on Castor oil