FAQs

There are currently a total of 30 producers of essential and vegetable oils (including indigenous, but not limited to) in South Africa, of which 17 are exporting. Essential and vegetable oils are also produced in other SADC countries and in other parts of the world such as Brazil, China, India and Russia. It is not a get-rich-quick scheme and there are very few, if any, millionaires in the industry.

There is no catch but it is a typical agricultural commodity with challenges similar to any other crop.

In terms of South African legislation on the framework and regulations pertaining to bioprospecting, biotrading and access & benefit-sharing a bioprospecting or biotrade permit is required for indigenous species.

The industry is not all that well known and the markets are not yet developed to the extent that clear market projections can be given. It could be seen as too new, unknown and not traditional. Global demand for almost all essential oils continue to increase year on year while production declines, providing opportunities for entrepreneurs.

Several training courses are offered, but an industry-wide needs-analysis should be undertaken. SAEOPA provides or facilitates training across the whole value chain, and tailor-made courses can be developed for different clients.

Safety training courses are available through health and safety training service providers, and on-site training can be arranged. When selecting a training service provider, it is important to ensure that the training courses are accredited by the AgriSETA or similar body. SAEOPA can make recommendations on reputable training institutions.

Product profiles, comprising technical data sheets and safety data sheets, can be obtained from SAEOPA, it being one of the Association’s value-adding support services.

Some courier services are conversant with essential oils’ particular requirements. SAEOPA compiled a list of such companies, based on recommendations from oil producers, which is available to members.

The members’ section on SAEOPA’s website contain a number of funding institutions and programmes with their contact particulars.

SAEOPA conducts feasibility studies and drafts business plans upon request. While other consultants offer this service too, few have SAEOPA’s in-depth knowledge and experience of the natural ingredients industry.

SAEOPA can provide a generic business plan and concomitant budget, but it is advisable to rather have a customized one done for each and every project due to the number of variables that can and will influence the financial figures and projections.

Optimal crop selection should be based on factors such as climatological conditions, soil type, availability of water and future market demand, and it would therefore be imprudent to attempt to provide a broad answer to such a broad question. Once again, a customised feasibility study, business plan, budget and implementation plan should be developed for each and every farming initiative.

It depends to a large degree on one’s choice of crop and the project location, as a different environment may result in plant losses. It is highly recommended that plants should only be purchased from reputable nurseries specialising in essential oils. SAEOPA can make recommendations, based on feedback received from its members.

There are engineers that build units in different sizes at very reasonable prices. It can be delivered in all areas and also exported to foreign countries. Established suppliers’ after sales service is reported as being excellent, a list of which is available to SAEOPA members.

Oils should be stored in cool and dark conditions and in brown glass or stainless steel containers. Vegetable oils can be stored in food-grade plastic drums out of direct light and in cool temperatures.

It obviously will differ according to specie, irrigation and cultivation and harvesting methods, but the global tendency is to plant it as dense as possible. For example, for rose geranium,  40-50 000 plants per ha proved optimal. Production guides, which include information on this subject, can be obtained from SAEOPA

SAEOPA’s production guides contain recommendations for each specie’s fertilising and irrigation requirements. It is good practice to do a soil test at an accredited soil-testing laboratory. A list of accredited soil-testing laboratories in South Africa can be obtained from SAEOPA.

While this obviously differs from specie to specie, the state and offset of flowering usually indicate the best time to harvest to secure the best quality oil. Geranium, for instance, can be harvested three to four harvests per year in certain areas, while others would only allow two to three times harvest per year.

The answer will mostly be dictated by the crop and geographical area. Geranium is best harvested by hand and secateurs, while a bush cutter works best for rosemary. Lemon grass, lavender and lippia are harvested by sickles although mechanical harvesting is done increasingly by harvesters in respect of all crops. SAEOPA offers general and specialised  training on good harvesting practices (GHP).

Most producers have their own distillation unit and/or seed presses. There are also producers who process raw material for other farmers, as it is a rather expensive capital investment to procure one’s own. A list of such processors is available to members of  SAEOPA.

Most universities can test the oils in their biochemistry/chemistry departments at a reasonable fee, but several private laboratories have established excellent reputations through specialisation. The delivery time for the test results should be determined beforehand. The ideal is to get a reliable and independent laboratory with a quick turnaround time. A list of laboratories can be obtained from SAEOPA.

The best is to compare the gas chromatograph (GC) analysis with known standards available from main buyers or from SAEOPA.

HACCP stands for Hazard Analysis and Critical Control Points. This is a preventative food safety system in which every step in the manufacturing, storage and distribution of a food product is scientifically analysed for microbiological, physical and chemical hazards.

 

Good agricultural practice (GAP), good manufacturing practice (GMP) and good harvesting practice (GHP) represent specific methods and systems to provide food for consumers or further processing that is safe and wholesome. This includes conformance with set standards, quality control being a pertinent example. While there are numerous definitions of what methods and operations that constitute good practice, there are several broadly accepted schemes that producers can adhere to.

There are very few certification bodies in South Africa. The website  https://www.saoso.org/about-organic-standards contains good information on the topic.

Producers and processors can sell to local buyers in small quantities or, in the event of having larger volumes, they can sell directly to international buyers across the world. Potential buyers include companies in the fragrance, flavour and or pharmaceutical industries. Some cosmetic companies will also buy one’s oil, but most producers are adding value by including it in formulations and finished products before selling to cosmetic companies.

It depends on the product but there is a continuous shortage as the global demand consistently exceeds the supply. The natural ingredients industry is growing at 10-25% per year, supported by consumers’ increasing preference for natural and organic ingredients.

HACCP stands for Hazard Analysis and Critical Control Points. This is a preventative food safety system in which every step in the manufacturing, storage and distribution of a food product is scientifically analysed for microbiological, physical and chemical hazards.

 

Import requirements for essential and vegetable oils not only differ substantially from country to country, but also according to the market the product is destined for, e.g. fragrance, flavouring, industrial, pharmaceutical or personal care. The buyers, customer and importing country usually set the requirements. Generally, all countries require a gas chromatograph (GC) analysis for essential oils and a seed oil analysis, comprising a free fatty acid analysis, for vegetable oils.

This is very difficult and one needs to be in constant touch with market prices and trends, such as market reports from different companies to compare and position one’s products.  SAEOPA provides members with the latest commodity prices, based on various international sources.

One of the primary value-adding steps in respect of essential oils is to obtain a certificate of analysis (COA) of the product, while one would benefit by obtaining fully filtered oil profile tests for vegetable/ seed oils. Other value-adding options include refining, repackaging, deodorising and other processes can also be done before incorporating it into a finished product.

SAEOPA provides its members with information on major markets such as the European Union (EU), the USA and China as well as smaller markets. Most of the major markets require technical data sheets, safety data sheets and samples of the product.

SAEOPA can assist members with ensuring that the import requirements of such markets are met, and has established relations with organisations and companies that specialise in this regard. e.g. to ensure compliance with the EU’s Registration, Evaluation, Authorisation and Restriction of Chemicals (REACH).requirements.

While extensive information is available on the Internet, SAEOPA can assist members with information on all of the above upon request.