The Whole is Greater than the Sum of its Parts
We believe in the philosophy that "the whole is greater than the sum of its parts". The sustainability challenges facing the broader palm industry can only be addressed through collaborations from a broad spectrum of sectors, across geophysical landscapes to work on practical solutions.
We adopt a respectful and collaborative approach to engaging our suppliers, working towards sustainability compliance and uplifting of the marketplace to international acceptance.
Engagement consideration factors
Firstly, we will conduct a desktop analysis of the risk profile of suppliers based on vital information such as GPS coordinates. If the supplier has a risk exposure to deforestation, peat clearance, and burning activity, we will start engaging.
The production volume supplied to our refineries also indicates our possible leverage. We have a stronger leverage on suppliers from whom we procure significant volumes. The amount of leverage is assessed based on calculations of procurement volumes against supplier's mill capacity.
The location of operations in our priority regencies also determines our engagement. Our priority regency is chosen based on factors including spatial attributes such as landscape characteristics i.e. the existence of high-value ecology and biodiversity, and non-spatial attributes such as procurement volumes.
Lastly, we will look at public domain grievances and issues.
The process of engagement can be customised or flexibly applied depending on the dynamics of each supplier.
The Aceh-Leuser Ecosystem has been a subject of immense public interest.
The province of Riau is one of our top supplying provinces and is a priority province for the implementation of our sustainability commitments.
South Sumatra province accounts for one of the highest number of supplier mills in our supply base.