Policy on Sustainable Palm Oil

Policy summary

Cargill’s ambition to produce and source palm oil in an ethical, environmentally sustainable and socially responsible manner is embodied in our responsible production requirements that aim to deliver palm oil that is produced in accordance with No Deforestation, No Peat and No Exploitation (NDPE) practices. Cargill commits to a more transparent, traceable and sustainable palm oil supply chain that:

• Protects high conservation value (HCV) areas, high carbon stock (HCS) forests and peatlands regardless of depth
• Respects and upholds the rights of workers, indigenous peoples and local communities 
• Enables smallholders to become successful businesspeople, improving their livelihoods through responsible production, maximizing yields and improving quality
• Upholds high standards of transparency through reporting of traceability, time-bound implementation plans, resolving grievances and achieving third-party verified policy compliance

We will collaborate and seek the support of suppliers, customers, governments, non-governmental organizations and other stakeholders to implement this policy.

Measuring our progress

Cargill’s Palm Sustainability Performance articulates and prioritizes the actions we are taking to build a more transparent, traceable and sustainable palm oil supply chain. We measure and regularly report our progress.

Broader commitments

Responsible land use and the protection of individual and community rights are key challenges affecting the palm oil industry. In addition to addressing these topics in our Policy on Sustainable Palm Oil, which details specifically how we address deforestation in our palm oil supply chain, Cargill’s broader Policy on Forests and Human Rights Policy also govern our actions. These documents articulate Cargill’s ambition to eliminate deforestation and protect human rights in our supply chains. Our Supplier Code of Conduct is another key element of our palm oil policy. For more information about our work to encourage responsible labor and human rights in our palm supply chain, see the Engagement section.

Governance

Sustainability management is integrated into the functioning and management structure of Cargill and is overseen by the Executive Team led by the Chairman and Chief Executive Officer. The Executive Team provides strategic direction that ensures our actions are aligned with our purpose — to nourish the world in a safe, responsible and sustainable way.

To ensure sustainability efforts are operationalized across the organization, the Corporate Sustainability Hub was established in 2019 to share learnings and best practices across diverse supply chains and with the broader industry to drive sector-wide transformation.

Our Grievance Panel is made up of business leaders and sustainability leads whose responsibility is to review our commercial relationship with noncompliant suppliers, make recommendations and determine next steps for the company.

The implementation of our NDPE policy is led by the Sustainability Leads, country managers and operations teams.

Our operations teams are located in key sourcing regions (Malaysia, Indonesia and Latin America) to provide ongoing support and ensure supplier compliance with our NDPE policy.