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Smaranda Grajdieru

ID: 2695
Added: 2002-05-28 14:25
Modified: 2010-02-01 17:26
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Essential Oils: An Importer Turns Exporter
Document(s) 1 of 18 Next

Introduction
Impact
Prerequisites
Potential users
Future outlook
Related projects
Contact
Resources 

Introduction 

Bolivia once spent CAD $800,000 a year importing essential oils (fragrant oils derivedfrom plants or fruits) to make soaps, detergents, deodorants, perfumes, and other household goods. Today the country produces enough oils for domestic use and for export to the United States, France, Japan, and Brazil. 

This turnabout has helped diversify the agricultural sector in Bolivia and generated employment for more than 200 families in the Province of Cochabamba, one of the country's poorest regions. The development of the essential oils industry is also contributing to efforts bythe Bolivian government and international agencies to find alternative sources of income to growing coca, whose leaves are used to make cocaine. 

In 1987, with funding from IDRC, scientists with Programa Agroquimico (now Centro de Técnologia Agroindustrial-CTA) at the Universidad Mayor de San Simon (UMSS) in Cochabamba teamed up with Canadian researchers from the University of Quebec at Chicoutimi. Together, they perfected steam-extraction methods for collecting oil from the foliage of eucalyptus trees, lemon grass, and mint, and developed the expertise for purifying the crude oils to meet international standards. Beginning in 1991, a second phase of the project focussed on diversifying the industry by exploring the potential for producing novel oils, including some made from indigenous plants. While it is more difficult to develop markets for these new oils, producers tend to have a monopoly once a market is established. 

Oil extraction using steam is a comparatively simple and inexpensive process that is readily adaptable to rural areas. The primary steam-extraction techniques can be learned in a matter of weeks and do not involve sophisticated industrial technologies. The Bolivian effort is just the first of a network of essential oils projects IDRC is helping to establish in Latin America and Africa. 

Impact 

  • Expanding sites - To date, 12 rural extraction units have been installed in Cochabamba — nine for eucalyptus leaves, two for lemon grass, and one for mint. Their success has spurred other people to independently purchase and install extraction units, spreading the benefits of this project to other villages.
  • Cooperatives earning more - Since 1988, 11 essential oil cooperatives established in the Cochabamba region of Bolivia have earned a combined average of US $50,000 a year from sales to Programa Agroquimico at UMSS. The oils are refined and either exported or sold domestically for use in detergents, soaps, ointments, and other domestic products.
  • Providing employment - In a region where the average annual income has traditionally been US $500, the cooperatives have provided alternate employment and additional cash income for more than 200 families since 1988. In 1995, 21 communities were involved in harvesting leaves for oil.
  • Social benefits - Profits from the sale of essential oils has improved community life. In the village of Pairumani, money earned by a women's cooperative has been used to build a store, health centre, and an oven to bake bread for both local consumption and sale.
  • Economic benefits - Commercialization of nativeplant species for oil is underway, providing peasants with a higher value-added product. In 1995, extracting oil from the seeds of one native plant in the El Chapare region of Cochabamba earned 30 families US $1,500 for less than a week's work. (At $50 per family,that is more than most families in the region earn in a month.)
  • Environmental benefits - Producing eucalyptus oils can also help prevent erosion and environmental damage by encouraging the maintenance of natural tree cover. The process involves cutting only the tree branches, which regenerate quickly.

Prerequisites 

Availability of oil-bearing renewable resources, such as eucalyptus trees, lemon grass, and mint, and suitable conditions for growing them, or access to indigenous plants suitable for producing essential oils. Each distillation unit includes a 1.5 cubic metre to 5 cubic-metre extractor, a steam boiler, a condenser, and a separator. Constructed from local materials, the units cost CAD $3,000 to $10,000 depending on size. 

Potential users 

Rural or small-town communities with available supplies of oil-bearing plants or trees. 

Future outlook 

In early 1997, the project was expanded. The aim is to evaluate the aromatic and insecticidal properties of about 60 native plants with the potential to yield commercial products (essential oils or extracts). Samples will be sent to potential test markets for these new products. This phase is part of a program co-financed by IDRC, the Inter-American Development Bank, the European Community, and ORSTOM (a French institute for cooperative development research). 

Related projects 

Four IDRC-funded projects on essential oils are also underway in the African countries of Benin, Ghana, Togo, Morocco, Rwanda, and Guinea, although they are less advanced than the Bolivian project. The goal is to develop local expertise for extracting oils from a variety of plants, including thyme, verbena, mint, basil, artemisia, and geranium. Local and regional market studies have indicated there is majorcommercial potential for these natural products, which are expected to create employment and improve incomes for the poorest people in these countries. 

These projects are now part of the network "Valorizing vegetable raw material (Africa)", which was created in 1994. To ensure the projects achieve their goals, researchers involved in the network are examining common problems such as natural resource management, market development, and community involvement. 

Contact

Dr. Pierre Zaya, P.Eng., Senior Scientist
International Development Research Centre (IDRC)
PO Box 8500,
Ottawa, Ontario,CANADA  K1G 3H9 
Tel: (613) 236-6163, ext. 2538 
Fax: (613) 567-7749 
E-mail: Pzaya@idrc.ca 

Ing. Eduardo Zambrana 
Centro de Técnologia Agroindustrial-CTA (Agro-industrial Technology Centre) 
Universidad Mayor de San Simon 
Casilla de Correo 992 
Cochabamba, BOLIVIA  
Tel: (591-42) 32548 
Fax: (591-42) 33648 
E-mail (Programa Agroquimico): pagq@comteco.entelnet.bo

Dr. GuyCollin 
LASEVE 
Université du Québec à Chicoutimi 
555 boulevard de l'Université 
Chicoutimi, Quebec, CANADA G7H 2B1 
Tel: (418) 545-5011, ext. 2332 
Fax: (418) 545-5012
E-mail: Guy_Collin@uqac.uquebec.ca 

Valorisation des matière végétales (Valorizing vegetable raw material)
Francois Gasengayire, Network Co-ordinator 
IDRC, LiaisonHouse
State House Ave. 
P.O. Box 62084 
Nairobi, KENYA 
Tel: (254-2) 713 160 
Fax: (254-2) 711 063 
E-mail: fgaseng1@idrc.ca 

Resources 

LASEVE, Laboratoire d'analyse et de séparation des essence végétales, Université du Québec à Chicoutimi; e-mail: laseve@uqac.uquebec.ca   






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