In Chemical Refining, Vegetable Oil is treated with caustic lye for separation of free fatty acids from oil. This is a conventional process that can be applied to all oils. A byproduct of alkali refining is soap-stock, which is used for manufacture of low quality washing soap. Alternately, the soap-stock can be treated with acid to recover fatty acids. The waste-water from refinery requires extensive treatment. This can be avoided by alternate Physical Refining process.