Philippine Oleochemical Manufacturers Association (POMA)
Introduction
Oleochemicals and surfactants are important ingredients for soaps and detergents and other growing specialty downstream applications. The chemical industry recognizes a trend towards using organic and renewable materials as alternative to petrochemical feedstocks.
Coconut oil typically makes up 90% of all oleochemicals. The subsector provides the coconut industry a dependable and value-added market- making it less dependent on direct exports of crude coconut oil.
History
The subsector started sometime in 1968 upon the establishment of the first oleochemical plant in the Philippines: Pilipinas Kao, a joint venture between Kao Corp.of Japan and the Philippine National Bank of Lucena. It’s capacity started with 5,000 tons per year. It was then bought and operated by Colgate-Palmolive Philippines in 1985. Several changes in ownership over the years saw Senbel Fine Chemicals operate the plant in 1997. Since then, ownership has transferred to JNJ Oleochemicals in 2010.
In 1977, Pilipinas Kao, Inc (PKI). was established as a joint venture entity between Kao Corporation of Japan and Aboitiz Company of the Philippines. The construction of the plant started in 1978 at a 25.3 hectare lot in Jasaan, Misamis Oriental. Glycerine refining began commercial operations in 1980 and the Tertiary Amine plant went into full operation by 1990. In 1998, Kao Corporation, Japan acquired 100% ownership of Pilipinas Kao from Aboitiz & Co. In April of 2001, Pilipinas Kao was granted PEZA status in it’s location at the Jasaan Misamis Oriental Ecozone. The company then expanded and started commercial operation of its High Purity Coco Fatty Alcohol Plant in 2007—from 40,000 to 100,000 tons annually.
Chemrez Technologies Inc. started their methyl ester and coco amide plant in 1982 with a capacity of 8,000 tons per year. This facility was expanded to 60,000 tons in 2006, then to 90,000 tons in 2010. Chemrez focuses on product development and value adding for a number of industries. Coconut methyl ester has been the main ingredient of many products that now make up the company’s product portfolio. Products include coco amides, green solvents, additives, and natural surfactants.
United Coconut Chemicals, Inc. (Cocochem- part of the CIIF group of companies) started commercial production in 1986 with an annual capacity of 55,000 tons for fatty acids, 36,000 tons fatty alcohols, 7,200 tons soap noodles and 12,000 tons glycerine. It is situated in Cocochem Agro-Industrial Park (CAIP), a special economic zone with a land area of 42 hectares that operates its own jetty.
Sakamoto Orient Chemicals Corp. (SOCC) is a wholly owned company of Sakamoto Yakuhin Kogyo Co., Ltd., one of Japan’s leading manufacturer of natural glycerin. Established in the Philippines in 1988, SOCC has been in the forefront of providing pharmaceutical, cosmetics and food manufacturing companies with high quality chemicals, particularly Refined Glycerin, Diglycerin, and Refined Polyglycerin.Its Plant is situated in Bauan, Batangas within Cocochem Agro-Industrial Park (CAIP).
Primo Oleochemicals, Inc. started with the capacity of 50,000 metric tons for combined fatty acids and fatty alcohols, plus 5,500 tons of glycerin in 1994. Primo Oleochemicals was later sold to Pan Century Surfactants, Inc.
Members of this subsector is represented by the Philippine Oleochemical Manufacturers Association (POMA). POMA is also a member of the ASEAN Oleochemical Manufacturers Group (AOMG). The regional association enlists its members in joint projects such as sustainable feedstock production; tariff harmonization and Registration, Evaluation, Authorisation and Restriction of Chemicals (REACh).
Milestones
A milestone in the Philippine Oleochemical Industry is Executive Order 259, an act to rationalize the soap and detergent industry to promote and expand the use of Coco Fatty Alcohol Sulfates (CFAS) in the manufacturing of detergents. This took effect from 1988 until its gradual phase down in 2001.
Another milestone was the implementation of The Biofuels Act of 2006. The law mandated the blending of Coco-Biodiesel (coco methyl ester) in the country’s diesel supply. This was seen as a step to lessen the Philippines’ dependence on imported fuel. The Philippines was the first country in Asia to pass a Biofuels law. Other countries eventually followed.
