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Biotechnology: Palm Oil-Free Fat Through CO2 Recycling
calendar19-06-2026 | linkFraunhofer | Share This Post:

Greenhouse Gases Yield a Palm Oil Alternative

18/6/2026 (Fraunhofer) - Palm oil is the most widely used vegetable oil in the world. The consequences for the environment and climate are catastrophic. A research team has now succeeded in producing a high-quality substitute – from industrial emissions that harm the climate.

Palm oil is industry’s favorite oil: it has a long shelf life, is heat-resistant, has a neutral flavor and is easy to work with. And: It’s inexpensive. At least as long as the environmental and social costs are ignored – from rainforest clearing to climate damage.

In collaboration with partners, research scientists from the Fraunhofer Institute for Interfacial Engineering and Biotechnology IGB in Straubing have now succeeded in producing a high-quality substitute for palm oil. Their raw material: ethanol produced from industrial exhaust gases. Project lead Vanessa Wegat at Fraunhofer IGB is especially proud of this accomplishment: “That makes us twice as sustainable.”

CORecycling: Recycling: How Exhaust Gases Are Turned Into Valuable Raw Materials

The carbon dioxide, carbon monoxide and methane that are harmful to the climate are captured directly at the plant by Fraunhofer IGB collaboration partner LanzaTech and are fed to bacteria that metabolize them into ethanol. “These gases are essentially sugar for them,” says Wegat. It’s a completely normal fermentation process, just like we know from processes like brewing beer.” The only difference is that here, gases are converted into ethanol instead of the starch contained in the grain.

Special strains of yeast that occur naturally on Camembert and other cheeses then consume the alcohol and convert it into a fat that is similar to palm oil. “We have to take a bit of care with that,” says Wegat with a smile. “If the yeast is given too much ethanol, its response is similar to ours if we’ve had too much. It becomes toxic above a certain level.” The process is started by stirring the yeast in a bioreactor together with a nutrient medium and with a supply of oxygen and heat. “We can control the composition of the fat blend by adjusting the process parameters, such as the amount of oxygen or the types of salts and vitamins we feed in,” Wegat explains. She and her team have now applied for a patent for the process in collaboration with their industry partner, the Swiss Mibelle Group.

Palm oil-free cosmetics containing unsaturated fatty acids

The fat has many applications, with properties similar to and even higher quality than palm oil. “We have adapted the process to produce a large fraction of unsaturated fatty acids,” says Wegat. These are especially advantageous for cosmetic products but also for food, because they are healthier.” Unsaturated fatty acids in creams protect and strengthen the skin barrier. They also ensure that the active ingredients are better absorbed by the skin. 

The Mibelle Group, which has long been working on sustainable alternatives for its raw materials, plans to start using the palm oil substitute as soon as possible. They have already produced and tested the first promising creams and lotions containing the new fat in their laboratories.

A Sustainable Alternative to Palm Oil Imports

To reduce costs in the production process, Wegat and her team intend to use additional components from the biomass produced during fermentation in the bioreactor. “Not only does it include high-quality fatty acids but also proteins with an excellent amino acid profile. These are sure to be interesting for the cosmetics and food industries,” says Wegat. The research scientists are currently working on the most environmentally friendly and effective possible method for extracting all the valuable components and to scale up production. Many products that have been based on palm oil could therefore not only become significantly more sustainable but also more independent of supply chains and raw material suppliers. 

https://www.fraunhofer.de/en/research/articles-2026/greenhouse-gases-yield-a-palm-oil-alternative.html