Bangladesh is deficit in oils and fats since pre-liberation period and was dependent on imported oils and fats since then. Traditionally, mustard oil in virgin form was the most consumed edible oil since ancient time and still mustard seed is the major oil seed crop produced in the country. Later soyabean oil was introduced in early ’60s and was the dominating oil till 2002. Palm oil was introduced in early ’70s after liberation to meet the growing demand. As there was no facility for refining of crude palm oil in Bangladesh, only refined palm olein, which is locally known as palm oil, was used to be imported which continued till early ’90s. During this period, refined olein generally, was being imported mainly from Singapore by private importers and was sold directly in the market. On the other hand, refined olein received from international aid agencies used to be distributed through govt. rationing system. Because of its quality as well as price competitiveness compared to other cooking oils, it earned consumer’s confidence quickly as good cooking oil. But in mid ’80s, because of anti-palm oil campaign and prevailing market situation, negative perception about palm oil developed among the consumers of the country and import vis-à-vis consumption of palm oil started to decline.

 
A picture of a mustard seed field

However, import of palm oil in crude form started to arrive again during early ’90s, when local edible oil industries acquired the technical knowledge of palm oil refining and being equipped with most modern machineries, these industries started to produce world class refined palm olein, which received a good response from the market. With the introduction of double-fractionated palm olein in the later part of ’90s, which is locally known as super olein, the acceptance of palm olein in the country rapidly increased and in the year 2003, palm olein managed to occupy the leading position among major 3-edible oils, namely refined soyabean oil, refined olein and rape/mustard oil, consumed in the country which is still continuing. As on today, dozens of palm oil refining plants equipped with latest “Programmable Logic Controlled” equipments having refining capacity ranging from 300-1000 tonnes per day each, are in operation in the country and producing world class refined olein and super olein. Refineries are situated in and around Dhaka and Chittagong city.

In Bangladesh, apart from consumption of palm olein and super olein as cooking oil, annually about 300,000 tonnes of refined olein is being consumed by the local food processing industries namely, vanaspati, biscuit, bread and bakery products, fried snack food such as potato chips, chanachur & dal bhaza (fried pulses), instant noodles, condensed milk, ice cream, sweet meats etc. Among these industries, vanaspati/shortening industry is the major consumer of refined olein, which consumes on an average about 150,000 tonnes annually to produce trans fat free vanaspati. It is worthy to mention here that the intake of trans-fatty acid has been identified as one of the major causes of heart disease.   

Chittagong is the only sea port of the country being used for import of crude palm oil/olein along with other crude edible oils. There are 4 bulk tanking facilities with combined storage capacity of about 250,000 tonnes, situated within custom bonded area of Chittagong port, where crude palm oil/olein imported in bulk are being stored along with other crude edible oils.