The maker of Nutella says the hazelnut spread would never be as good without palm oil, reports Reuters. The Italian company, Ferrero, defended the oil after a European Food Safety Authority report suggested that it is potentially carcinogenic when heated above 390 degrees Fahrenheit. The oil is regularly heated to high temperatures in industry manufacturing to remove its red color and odor.
The EFSA report came last May amid other concerns about the spread of palm oil plantations, which are responsible for massive deforestation in and human displacement in developing countries.
But Ferrero says Nutella depends on palm oil to spread easily and last on shelves. The oil is also cheap: “Any move away from palm oil would also have economic implications as it is the cheapest vegetable oil, costing around $800 a ton, compared with $845 for sunflower oil and $920 for rapeseed oil, another possible substitute,” says Reuters.
Ferrero claims it keeps its palm oil below the 390-degree point. The company has launched an advertising campaign to defend its palm-oil honor, after Nutella sales in Italy dropped 3 percent in the last year.