Korindo Group – Tunas Sawa Erma, Berkat Cipta Abadi and Dongin Prabhawa – popup

Date Progress
March – May 2016 We have engaged extensively with Korindo Group since the first quarter of 2016 through its trader.

We informed Korindo, via its trader about the hotspots found in Korindo’s concessions which occurred in 2015. We had a dialogue with Korindo about our NDPE policy and sought Korindo’s views on sustainability.

June – August 2016 We had a meeting with Korindo’s Director to understand the context of the fire incidents, the preventive action, its plans and a commitment to stop development in Papua. We encouraged Korindo to develop a comprehensive NDPE Policy and communicate its commitment publicly. While preparing the policy and undergoing consultation with the stakeholders, Korindo should stop work.

We adopted “controlled purchase” as part of our process of engagement.

09 August 2016:

Korindo announced a moratorium on development for Tunas Sawa Erma (a subsidiary company of Korindo) on 1 August 2016. It will implement the moratorium in three concessions – Tunas Sawa Erma A, Tunas Sawa Erma B and Tunas Sawa Erma E for a three-month period.

September 2016 Mighty Earth’s report titled “Burning Paradise – The Oil Palm Practices of Korindo in Papua and North Maluku” found that Korindo practiced:
  • Deforestation: The company cleared the tropical lowland forest and made little effort to identify and preserve conservation areas within its concession;
  • Evidence of use of fire for land clearance;
  • Disregarded local community rights to provide or withhold FPIC for new development
September – December 2016 We followed up with Korindo on its milestones and action plan, upon the announcement of the moratorium of Tunas Sawa Erma. We also discussed the process of extending the sustainability commitment to the other subsidiaries in the group.

November 2016:

Korindo published their Sustainability Policy in October 2016. It extended the moratorium to Tunas Sawa Erma, Berkat Cipta Abadi, Dongin Prabhawa on 10 November 2016, Papua Agro Lestari and Gelora Mandiri Membangun on 1 December 2016.

December 2016:

Korindo published the summary of HCV and HCS assessments for all six concessions.

Our last purchase date was in end 2016.

February 2017 We sought verification from Korindo on the recent report from stakeholders, who indicated that Korindo did not follow its moratorium on new land development for all its Palm Oil operations. We will continue to engage, encourage, monitor, and follow up on the discussion with Korindo to assess progress towards the implementation of its sustainability policy.

We have no business relationship with Korindo. Nonetheless, we will continue our dialogue with Korindo to assess for any follow-up and progress on the implementation of Korindo’s sustainability policy.

May 2017 According to the non-profit group, Mighty, Korindo is officially being investigated by the Forestry Stewardship Council.
April 2018 We met up with a management personnel from Korindo to discuss the possible ways forward to implement sustainable practices on the ground.

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