Sustainability certification for Cargill’s oil palm plantation in Indonesia marks important milestone in commitment to sustainable and responsible palm oil production.
March 2009 - Cargill’s palm plantation, PT Hindoli in Sumatra, Indonesia, in February received certification from the Roundtable on Sustainable Palm Oil (RSPO). It is the first of Cargill’s oil palm plantations to be certified, and one of the first plantations in Indonesia to complete the rigorous procedures required for certification. “Receiving our RSPO certification is a landmark achievement in our continuous effort to have all Cargill-invested oil palm plantations RSPO certified,” said Richard Tan, chief executive officer of CTP Holdings, which is Cargill’s oil palm joint venture company.
The RSPO aims to promote the growth and use of sustainable oil palm products through credible global standards and engagement of stakeholders that include all parts of the supply chain. The criteria to define sustainable palm oil includes the plantation’s operational chain, environmental and biodiversity impact, as well as social effects. Examples include:
- Restrictions on plantation infringement into virgin forests
- How fertilizers and pesticides are mixed and applied
- Protecting the rights of employees to organize a union
RSPO certification is achieved through a rigorous examination process in which all operations, processes and practices of a palm plantation are thoroughly evaluated. It requires a substantial resources commitment. “We are continuing through this year to work towards certification for all our palm plantations, and we hope to receive all RSPO certifications as quickly as possible,” said Tan. The palm plantations Cargill owns and operates are in Indonesia. The company also owns and operates 12 palm oil refineries across the world.
Sustainable supply chains
Achieving RSPO certification for our own plantations is part of Cargill’s overall commitment to sustainable and responsible palm oil production. We already have in place policies and projects, in partnership withnon-governmental organizations, to help conserve high conservation value forests, preserve deep peat land and protect biodiversity and endangered species like orangutans.
“We look forward to implementing sustainable supply chain solutions together with our customers,” said Stan Ryan, managing director of Cargill Refined Oils Europe. “Achieving RSPO certification for Cargill-invested oil palm plantations will increase the supply of sustainable palm oil to serve our customers and is part of following through on our commitment to sustainability and social responsibility.”