Question 1

What is the difference between IV 56 and IV 60 palm olein?

Accepted Answer

Iodine value (IV) is the key grading parameter for palm olein. IV 56 (standard olein) has a melting point of approximately 18–22°C and is suitable for tropical and warm-climate markets where it remains liquid at ambient temperatures. IV 60 (super or high olein) has a melting point of approximately 12–16°C and is required for temperate market applications (European bottled oil, food service in northern Europe, East Asian markets) where IV 56 would cloud or turn semi-solid at lower room temperatures. IV 60 requires an additional fractionation step and costs slightly more than IV 56. For European import, IV 60 is the standard commercial grade.

Question 2

How is RBD palm olein priced and what are the key price drivers?

Accepted Answer

RBD palm olein is priced primarily by reference to the CPO (crude palm oil) futures price on Bursa Malaysia Derivatives (BMD) — the global benchmark. RBD olein is typically priced as a premium over CPO (the refining margin plus fractionation premium, typically USD 50–150/MT over CPO depending on market conditions). Additional pricing factors: export levies and taxes (Indonesia's progressive levy significantly affects Indonesian supply cost); freight differentials (FOB Dumai, FOB Port Klang, CIF Rotterdam, CIF Hamburg each reflect different logistics costs); RSPO premium (Mass Balance typically adds USD 5–20/MT; Segregated USD 20–50/MT); and currency (USD is the standard trading currency). The most reliable way to get current pricing is to request RFQ from multiple verified suppliers on Towobo.

Question 3

What certifications are available for RBD palm olein?

Accepted Answer

The main certifications applicable to RBD palm olein: RSPO (Roundtable on Sustainable Palm Oil) — Mass Balance, Segregated, or Identity Preserved tiers; ISPO (Indonesian Sustainable Palm Oil, mandatory for Indonesian producers); MSPO (Malaysian Sustainable Palm Oil, mandatory for Malaysian producers); ISCC (International Sustainability and Carbon Certification, used for biodiesel/bio-based product supply chains); and EUDR due diligence documentation (not a certification but a legal compliance requirement for EU market access). For halal markets: most RBD palm olein from certified Muslim-majority country facilities (Indonesia, Malaysia) carries LPPOM MUI (Indonesia) or JAKIM (Malaysia) Halal certification. Request the specific certificate numbers and verify via the relevant body's online portal.

Question 4

What are typical minimum order quantities for RBD palm olein?

Accepted Answer

RBD palm olein minimum orders from Indonesian and Malaysian refineries and large traders typically start at one 20ft ISO flexitank (approximately 20,000–22,000 kg, approximately 23,000 litres). A standard shipment is one or more full 20ft containers. For drum orders (200L steel or HDPE), regional distributors supply from 1 FCL of drums (~100 × 200L = ~20,000 litres) down to partial pallet quantities. Large-volume buyers (food manufacturers, edible oil distributors) typically contract 500–5,000 MT per shipment directly with refineries on monthly or quarterly supply agreements. For trial or sample orders, many Indonesian and Malaysian exporters supply 1–5 MT in drums or IBC totes.

Question 5

What is the difference between palm olein and palm oil?

Accepted Answer

Palm oil (crude or RBD) is the full unfractionated oil extracted from the palm fruit mesocarp — it is semi-solid at room temperature in temperate climates, with a melting point of approximately 33–39°C, due to its roughly equal balance of saturated (palmitic, stearic) and unsaturated (oleic, linoleic) fatty acids. Palm olein is the liquid fraction obtained by fractionating RBD palm oil — it has a lower melting point (IV 56: ~18–22°C; IV 60: ~12–16°C) because the higher-melting stearin fraction has been removed. Palm stearin is the solid fraction removed during fractionation, used in margarine, shortenings, and oleochemicals. For cooking, frying, and bottled oil applications, palm olein is the traded product — not whole palm oil.

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What is RBD palm olein?