BASF and INOCAS partner on sustainable macaúba oil production

BASF and INOCAS S.A. have announced a strategic partnership to develop and scale up the production of Macaúba Kernel Oil (MKO) and Macaúba Pulp Oil (MPO) in Brazil. The collaboration, formalised through a long-term agreement, marks a significant step in expanding BASF’s renewable-based portfolio and promoting sustainable agricultural practices.

Macaúba, a native Brazilian tree, thrives in semi-arid conditions and degraded soils, making it a promising resource for regenerative agriculture. INOCAS has pioneered innovative agroforestry systems since 2015, integrating Macaúba cultivation with livestock and crop farming. By 2030, the company aims to restore 50,000 hectares of degraded pastureland through partnerships with smallholder farmers, enhancing biodiversity and soil quality while providing sustainable livelihoods.

Under the agreement, BASF will receive kernel oil for its Personal and Home Care portfolio in Brazil and Europe starting in 2025. Pulp oil, expected to be commercially available by 2027, will be used as an alternative feedstock for bio-naphtha production, which can be converted into polymers, solvents, detergents, lubricants, synthetic fibers, fuels and other products. Regular Macaúba pulp oil offtake for use as an alternative feedstock to substitute fossil resources will start in 2027. 

Mary Kurian, president of Care Chemicals at BASF, stated: “As a leading supplier of ingredients for personal and home care, our Care Chemicals division is committed to securing and diversifying its supply of sustainable raw materials.”

Johannes Zimpel, CEO of INOCAS, added: “After our ten-year development path, the strategic partnership with BASF will allow us now to scale up our activities rapidly, generating significant positive social, environmental and climate impacts, by increasing the productivity of degraded farmlands, expanding habitat for native fauna and contributing to climate change mitigation.”

This collaboration underscores BASF’s commitment to sustainability by offering renewable products with lower environmental impact while fostering socio-economic growth in Brazil.