You might be surprised to learn that an ingredient in your morning toast, your shampoo, and even the fuel in some vehicles all comes from the same source. The answer lies in the versatile and often-debated vegetable oil. But what is Crude Palm Oil used for, exactly? This raw, unrefined oil is the starting point for a vast array of products that permeate our daily lives, often in ways we don’t even realize.

While you won’t find the “crude” version on supermarket shelves, understanding its journey from a tropical fruit to a finished product is key to grasping its global importance. This guide explores the extensive applications of crude palm oil, its processing, and the critical discussions surrounding its production.

What Exactly Is Crude Palm Oil?

Crude palm oil (CPO) is the unrefined oil extracted directly from the fleshy mesocarp of the oil palm fruit (*Elaeis guineensis*). Unlike the clear, refined palm oil you might picture, CPO has a distinct reddish-orange hue. This color comes from its high concentration of beta-carotene, the same antioxidant that gives carrots and sweet potatoes their vibrant color.

The extraction process involves sterilizing the Oil Palm Fruit Bunch, separating the fruit, and then pressing it to release the oil. This initial product is the crude palm oil, rich in fatty acids, vitamins, and antioxidants. It serves as the primary raw material that undergoes further refining and fractionation to become the many different ingredients used across industries.

7 Surprising Uses for Crude Palm Oil in 2025

The unique chemical composition of crude palm oil makes it incredibly versatile. Its derivatives are stable at high temperatures, have a smooth texture, and are resistant to oxidation, making them invaluable for countless applications.

1. The Foundation of the Food Industry

The single largest use of crude palm oil is for human consumption, but only after it has been refined, bleached, and deodorized (RBD). This process removes the color and strong taste, resulting in the neutral cooking oil many are familiar with. Palm oil’s high melting point and stability make it perfect for creating spreads like margarine and shortening.

You’ll find derivatives of it in everything from ice cream and chocolate to baked goods like cookies and bread, where it provides texture and extends shelf life. Its efficiency as a crop has made it a cornerstone of the global food supply chain. For more on its food uses, the World Wildlife Fund (WWF) provides extensive information on the industry.

2. A Key Component in Biofuel and Energy

A growing application for crude palm oil is in the production of biodiesel. Through a process called transesterification, the oil is converted into a fatty acid methyl ester (FAME), which can be used as a renewable fuel source. Many countries, particularly in Southeast Asia and Europe, blend palm biodiesel with conventional diesel to meet renewable energy targets. Beyond biodiesel, other parts of the palm, like the Palm Kernel Shell, are also used as a biomass fuel source in power plants, showcasing the full energy potential of the crop.

This use is a subject of intense debate, weighing the benefits of reduced fossil fuel dependency against the environmental impact of palm cultivation. The conversion of crude palm oil into energy remains a significant, though controversial, part of its global demand.

3. The Lather in Soaps and Detergents

Have you ever wondered what gives bar soap its solid form and rich lather? For centuries, the answer has been fats and oils, and palm oil is a dominant player. The saponification of crude palm oil derivatives creates the sodium salts of fatty acids, which are the fundamental components of soap.

Its effectiveness and low cost have made it a go-to ingredient for both personal hygiene soap bars and powerful industrial detergents. It helps to lift away dirt and oil, making it a functional workhorse in the cleaning products industry.

4. Enhancing Cosmetics and Personal Care

The cosmetics counter is another place where crude palm oil derivatives are ubiquitous. While you won’t see “palm oil” listed, you will find ingredients like Glycerin, Stearic Acid, and Palmitoyl a-plenty. These ingredients act as emulsifiers (to mix oil and water), emollients (to soften skin), and surfactants (for cleansing).

From the lipstick that needs to hold its shape to the lotion that moisturizes your skin, the properties derived from crude palm oil are essential for product performance and texture. Organizations like the EWG Skin Deep database can help identify these derivatives in your favorite products.

5. Powering Animal Feed

The benefits of the oil palm fruit extend beyond the oil itself. After the crude palm oil is extracted, the Palm Kernel inside is processed to create Palm Kernel Oil. The main byproduct of this crushing is Palm Kernel Expeller, a protein-rich mash.

This material is a valuable component in animal feed for livestock, particularly cattle. It provides an affordable source of energy and fiber, ensuring that the entire fruit is utilized and contributing to the agricultural sector in another important way. The Food and Agriculture Organization (FAO) has documented its use as a feed supplement.

6. A Source for Pharmaceuticals and Vitamins

Unrefined crude palm oil is one of the richest natural sources of Vitamin E tocotrienols and carotenoids. These powerful antioxidants have garnered interest from the pharmaceutical and nutraceutical industries. Tocotrienols are a potent form of Vitamin E being studied for their potential neuroprotective and cardiovascular benefits.

Because of this, red palm oil (a less processed version of CPO) is often sold as a dietary supplement. Its high carotene content also makes it a natural food colorant. If you’re interested in vitamins, you can read more about the benefits of Vitamin E here.

7. Lubricating the Industrial World

Beyond consumer goods, crude palm oil also plays a role in heavy industry. Its derivatives are used to produce lubricants and greases for machinery. It is also used in the steel industry, where it serves as a lubricating agent during the hot rolling of steel plates.

Other industrial applications include its use in manufacturing candles, as a processing aid in the plastics industry, and even in producing printing inks. This demonstrates the truly far-reaching impact of this single raw material.

The Sustainability Question of Crude Palm Oil

No discussion about what crude palm oil is used for is complete without addressing the sustainability challenges associated with its cultivation. The high demand has led to rapid expansion of oil palm plantations, often at the expense of tropical rainforests, which threatens biodiversity and contributes to greenhouse gas emissions.

In response, initiatives like the Roundtable on Sustainable Palm Oil (RSPO) were established to create a global standard for sustainable palm oil production. Certified Sustainable Palm Oil (CSPO) aims to ensure that the oil is produced without causing deforestation or harming wildlife and communities. As consumers, supporting companies that use CSPO is a powerful way to drive positive change in the industry.

Conclusion: A Versatile but Complex Oil

From food and fuel to cosmetics and chemicals, the uses of crude palm oil are incredibly diverse and integral to the modern economy. Its journey from a raw, reddish oil to a refined, invisible ingredient in thousands of products showcases its remarkable versatility.

While its production poses significant environmental challenges, the solution is not a simple boycott but a shift towards transparent and sustainable practices. Understanding the widespread applications of crude palm oil empowers us to make more informed choices and advocate for an industry that supports both people and the planet.

Your Palm Product Needs

Makmur Amanah Sejahtera provides high-quality palm products such as Palm Kernel Expeller, Palm Kernel Shell, Crude Palm Oil, Palm Kernel Oil, etc. Kindly contact us at WhatsApp +6282140002198 or email us at admin@makmuramanah.co.id.