Cargill’s Sustainable Palm Oil Policy
Building a transparent, traceable and sustainable palm oil supply chain.
Cargill is committed to producing and sourcing palm oil in an economical, environmentally sustainable and socially responsible manner. We are working toward a transparent, traceable and sustainable palm supply chain.
Why palm sustainability?
Uses: Millions of people rely on palm oil to feed their families and support their livelihoods, including more than 3 million smallholder farmers around the world. It is consumed in more than 130 countries worldwide – both as food and in non-food applications ranging from cosmetics to biofuels.
Growing demand: Demand for edible oils is growing by 4% annually and will continue to increase along with the world’s population. As the highest-yielding oilseed crop producing 3.2 million tons of oils per hectare, palm is well suited to meet growing demand because it uses less land per ton of oil produced than any other vegetable oil. Consumers increasingly want assurance that palm oil used in the products they buy is being produced responsibly.
Palm oil is the highest yielding edible oil in the world
Source: U.S. Department of Agriculture (global data; includes 2019 projections)
Practices that result in deforestation, negative impacts on biodiversity, cultivation without consideration for the rights of indigenous communities, poor working conditions or violation of workers’ rights are unsustainable and unacceptable. We believe that forests and farming can co-exist, and we’re firmly committed to eliminating deforestation from our supply chains. We promote responsible production that benefits farmers and surrounding communities. Cargill’s Policy on Sustainable Palm Oil, Forest Policy and Human Rights Commitment govern our actions.
Cargill’s commitment to producing and sourcing palm oil in an economical, environmentally sustainable and socially responsible manner is embodied in the philosophy of “No Deforestation, No Peat and No Exploitation.” We are taking action to increase transparency, improve engagement with stakeholders, verify progress and help transform the industry.
Globally, Cargill operates 17 refineries, 12 mills and five palm plantations. Our own plantations work with nearly 22,000 smallholder farmers (who have plantations of 2 hectares each). More than 95% of our palm oil volume comes from third parties (about 1,700 mills). Cargill sources palm oil from more than 10 countries and delivers it to hundreds of customers worldwide. Our suppliers are subject to Cargill’s Policy on Sustainable Palm Oil and our Supplier Code of Conduct.