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September 2022

19 September 2022

RAN report titled “Carbon Bomb Scandals: Big Brands Driving Climate Disaster for Palm Oil” highlights a case of palm oil plantation controlled by Mr. Mahmudin.

He is alleged for operating a farm located in Desa Ie Meudama inside the Rawa Singkil Wildlife Reserve.

The report alleged that the FFB’s from Mr. Mahmudin’s farm were delivered to PT Global Sawit Semesta (PT GSS) through a palm oil broker called CV Natama Prima.

Based on the information within the report, we conducted an initial spatial analysis which then used as a baseline to engage with PT GSS.
October 2022

03 October 2022

The following are the summary of our engagement with PT GSS:

  1. CV Natama Prima is a supplier of PT GSS.
  2. CV Natama Prima sourced from farms owned by Mr. Mahmudin. These farms are located at different location from the coordinate stated in RAN report.
  3. PT GSS verified the locations physically on site, and overlaid the GPS locations with Forest Function Map. The analysis showed that the area is located in non-forest estate (Area Penggunaan Lain; APL) and outside of Rawa Singkil National Reserve.
  4. PT GSS decided to stop sourcing from Mr. Mahmudin per October 2022.

Based on the above information, we will monitor the implementation of PT GSS’ commitment and its communication to the respective suppliers.

November 2022 02 – 04 November 2022
Musim Mas team conducted a site visit. The summary of the site visit is as follows:

1. FFB Traceability SOP
The findings are as follows:
• PT GSS has adequate SOP but further improvements on the implementation are still needed.
• One of the improvements required is to ensure that the FFB supplier implements a traceability system, especially for their new suppliers.

2. FFB agent verification
• CV Natama Prima (NP) has record of their FFB suppliers with some information on geolocation and legality
• NP has issued a letter confirming that they have stopped sourcing FFB from Mr. Mahmudin.

3. The notice/ affirmation letter on the supply of illegal FFB
• PT GSS has issued and distributed the updated notice/affirmation letter prohibiting the supply from Mrs. Nasti and Mr. Mahmudin to all of the FFB suppliers.
• Socialization to the suppliers will be completed on December 2022

Conclusion and recommendation
An action plan has been prepared for PT GSS and CV Natama Prima including further improvement for TTP data and socialization of the updated notice/ affirmation letter on the supply of illegal FFB.

Taking into account the actions taken by PT GSS, including stopped sourcing from the reported farms and committed to follow the identified improvement plan for the implementation of NDPE commitment, we consider the case resolved.