ALBA, Italy -- Italian confectionery firm Ferrero, the maker of Nutella, is defending its use of palm oil, an ingredient that some food companies are now boycotting amid claims from a U.K. study that says the ingredient may cause cancer.
The company launched an advertising campaign, including a TV commercial in Italy, to assure consumers Nutella is safe for consumption.
In May, the European Food Safety Authority (EFSA) said that palm oil produces a higher potential carcinogenic contaminant than other vegetable oils when refined at temperatures higher than 200 degrees Celsius (about 390 degrees Fahrenheit).
Authorities didn’t recommend against eating it, but they said further evaluation and research would be needed to determine the level of risk.
Alba, Italy-based Ferrero is pushing back against those claims, publicly arguing that a change in the ingredients would compromise the integrity of its chocolate and hazelnut spread.
"Making Nutella without palm oil would produce an inferior substitute for the real product, it would be a step backward," Vincenzo Tapella, purchasing manager for Ferrero, told Reuters. The company says palm oil helps stabilize the spread, keeps it creamy and enhances its shelf life.
But others have reported there's also a major financial element at play.
According to Reuters, an attempt to swap out palm oil for a similar ingredient could have steep economic implications. Palm oil is one of the least expensive vegetable oils at around $800 a ton, while sunflower oil is around $845 and grapeseed oil is $920. While other comapnies have used these oils as palm-oil substitutes, Ferrero said that sunflower oil would change the spread’s character.
Reuters calculated that Ferrero uses approximately 185,000 tons of palm oil a year. A replacement could drive up costs an estimated $8 million to $22 million annually, according to Reuters.
Italy’s biggest supermarket chain, Coop, has boycotted palm oil in all of its branded products after the EFSA study was released.
Coop labeled the move a “precaution,” but Italy’s largest baker, Barilla, soon followed and eliminated palm oil from its products, too.
Responding to a Fox News article, David Elvy, a representative for the Ferrero company, said, "The health and safety of consumers is an absolute and first priority for Ferrero and we confirm that Ferrero products are safe."
He said EFSA has analyzed the presence of contaminants in a large number of products and oils, stating that the presence of contaminants depends on the oils and fats used, as well as the processes they are subjected to.
"It is for this reason that Ferrero carefully selects quality raw materials and applies specific industrial processes that limit their presence to minimum levels, fully in line with advice from the EFSA," Elvy said. "In addition, we constantly monitor such factors and guarantee the food safety of our products to the consumer."
Ferrero also issued a statement describing the steps it says it takes to lessen any potential risks from processed palm oil.
"When palm oil ... is refined correctly, it contains a lower level of contaminants than other vegetable oils that have been treated at excessive temperatures," the statement read. "This case applies to the palm oil used by Ferrero, who for years has been able to significantly reduce the levels of contaminants in its palm oil compared to conventional palm oils available on the market, similar to the levels found in other vegetable oils that have been processed properly, in line with EFSA's parameters. This is due to careful harvesting, from the squeezing in the quickest possible time to the processes and manufacturing at the lowest possible temperatures."
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