“No Palm Oil” Labels a Marketing Gimmick, Not a Health Fact: IFBA

Bengaluru, July 08, 2025: The Ind Food and Beverage Association (IFBA) has raised concerns over the increasing use of “No Palm Oil” labels on consumer products, calling them a misleading marketing gimmick. Despite being consumed in India since the 19th century, palm oil continues to be misunderstood due to selective branding tactics that exploit health-related fears. Palm oil remains one of the most affordable, versatile, and accessible edible oils widely used by leading global brands for its long shelf life and nutritional stability.

In today’s digital era, food choices are often driven by social media trends rather than scientific evidence. IFBA cautions consumers against taking health advice from influencers who amplify half-truths without nutritional expertise. Labels like “Palm Oil Free” overshadow credible dietary guidance and have become a marketing tool, especially in the FMCG sector, to tap into consumer fears. With India consuming 26 million tonnes of edible oil annually, including 9 million tonnes of palm oil, this trend has fuelled misconceptions and raised questions about whether excluding palm oil is genuinely beneficial or simply a tactic with unintended socio-economic consequences.

Deepak Jolly, Chairperson of the IFBA, referencing the Ministry of Health’s dietary guidelines, said, “Palm oil has a recognised role in a healthy and balanced diet. Despite this, labels such as ‘No Palm Oil’ mislead consumers by prioritising marketing over science. These narratives distract the importance of overall nutritional balance and can undermine India’s efforts toward self-reliance, ultimately harming all stakeholders — from farmers and producers to consumers and the national economy.”

Shilpa Agrawal, Director, Scientific and Regulatory Affairs, IFBA, added, “The Dietary Guidelines for Indians – 2024 of the ICMR-National Institute of Nutrition clearly acknowledge the role of tocotrienols in palm oil in lowering cholesterol and supporting heart health. It recommends a rotation of edible oils, including palm oil, for a balanced fatty acid profile. This is science, not speculation.”

Palm oil has a well-rounded fatty acid profile with zero trans fats. It is rich in natural antioxidants and vitamin E compounds, offering multiple health benefits, from neuroprotection against Alzheimer’s to supporting cardiovascular health and even exhibiting anti-cancer properties. It is also a natural source of vitamin A precursors, helping to prevent vitamin A deficiency.

Contrary to popular belief, countries worldwide are now promoting sustainable palm oil production. The Government of India has taken several steps to enhance domestic edible oil output, including the launch of the National Mission on Edible Oils – Oil Palm (NMEO-OP) in 2021 with an outlay of INR 11,040 crore to boost oil palm cultivation. Together with the National Mission on Edible Oils – Oilseeds (NMEO-Oilseeds), NMEO-OP aims to achieve domestic production of 25.45 million tonnes of edible oils by 2030-31, meeting approximately 72% of the projected national demand. The broader National Mission on Edible Oils seeks to expand oilseed cultivation sustainably by promoting high-yielding seed varieties, converting fallow land into productive fields, and encouraging intercropping practices.

Globally, palm oil production is a major economic driver, particularly in Malaysia and Indonesia, where it has generated substantial employment and improved farmer livelihoods. Similar benefits are now emerging in India, especially in Telangana, where farmers have reportedly seen a 50% price surge, with rates reaching INR 21,000 per tonne. The crop is attracting a wide range of cultivators, from NRIs and retired officials to large landowners, drawn by its high profitability: up to INR 1 lakh per acre in just four years, nearly three times what paddy yields. Under the Telangana State Oil Palm Mission, part of the NMEO-OP, the state set a target to scale up cultivation to 20 lakh acres by 2024-25. To support this transition, the government offered subsidies of up to INR 36,000 per acre over the first three years. As investments grow, it is crucial to promote accurate, science-based information to dispel misconceptions that could undermine both public health and economic development.