Ten growers in Malaysia, Indonesia and Papua New Guinea were responsible for almost 35,000 hectares (ha) of deforestation in 2018, according to analysis by Chain Reaction Research (CRR). This total represents around 47 percent of the 74,000 ha of deforestation that can be attributed to palm oil companies in 2018 in Malaysia, Indonesia (Kalimantan, Sumatra, …
Since the palm oil sector is capital intensive and needs long-term financing, palm oil companies depend on bank loans. By investing in banks that provide loans to the palm oil industry, investors may indirectly face deforestation-related risks. These risks are magnified when a bank’s exposure to palm oil companies with sustainability risks is relatively high …
Large palm oil refiners have adopted sourcing policies that require their suppliers to refrain from clearing forests, using peatland or exploiting people. A November 2017 analysis by Chain Reaction Research showed that 74 percent of Indonesian and Malaysian refining capacity is covered by such No Deforestation, No Peat, No Exploitation (NDPE) policies. This report looks …
New satellite images show deforestation occurred just days after adoption of more stringent RSPO requirements. On Thursday November 15, RSPO’s General Assembly adopted its new Principles and Criteria (P&C) in Kota Kinabalu. The new P&C are being promoted by the RSPO as the membership’s commitment to halt palm oil driven deforestation. As confirmed during the …
The Roundtable on Sustainable Palm Oil (RSPO) has sanctioned Jakarta-based PT PP London Sumatra Indonesia Tbk (Lonsom), a subsidiary of Indofood Agri Resources (IndoAgri), for labour rights violations by revoking its sustainability certificate for selling palm oil and calling for audits at four of the company’s sites. This action comes a little over two years …
Ten growers in Malaysia, Indonesia and Papua New Guinea have been responsible for almost 16,000 ha of deforestation in the first nine months of 2018, according to an analysis by Chain Reaction Research (CRR) based on new data using satellite images from Aidenvironment. Most of the companies on the list of the top deforesters have …
Foresthints.news reports that, on August 25-26, the Indonesian Environment and Forestry Ministry sealed four of the five palm oil concessions owned by GAMA Plantation in West Kalimantan’s Kubu Raya regency — PT SUM, PT PLD, PT AAN, and PT RJP. Foresthints says that law enforcement acted due to continuing peat fires on these concessions. This sealing …
On August 21, 2018, Malaysia-based Sime Darby Plantation Berhad (SDP) signed a Memorandum of Understanding (MOU) with China’s COFCO Group Co. Ltd. to cooperate on palm oil projects. Both sides plan to work together to conduct research on sustainable palm oil, and SDP is seeking to further penetrate the growing Chinese market. SDP and COFCO …
A letter sent from investors to the Roundtable on Sustainable Palm Oil (RSPO), dated August 1, 2018, highlights growing demand in the investment and financial communities for the palm oil sector to alter its habits and strengthen its sustainability practices. The letter came from 90 institutional investors, which manage some USD 6.7 trillion of assets, …
Despite a stop work order, TH Plantations deforested 127 hectares (ha) of peat forest between March 17 and July 25, 2018 (see maps below). Figure 1: 127 ha deforestation of peat and peat forests at PT Persada Kencana Prima from March to July 2018. Source: Aidenvironment. TH Plantations had placed a stop work order at …
