Riau is the largest provincial contributor to national palm oil production and the fifth largest contributor to Indonesia’s gross domestic product (GDP). It is one of our top supplier provinces. We estimate that our supplier mills make up 70–80% of the total mills in the province, forming 20% of our total CPO procurement.
Riau province is also a long-established palm oil production area, with significant numbers of independent smallholder producers who need counseling and assistance with various agricultural challenges.
Historically, deforestation in the landscape has been severe. It has been estimated that illegal oil palm plantations have taken over at least 40% of the Tesso Nilo National Park. The province is also home to protected areas such as the Giam Siak Kecil Biosphere Reserve and Zamrud National Park, which would benefit from enhanced, long-term protection.
Read our diagnostic report for Riau here.
Following our Landscape Strategy for Aceh published in 2020, we have applied the lessons learned to guide our next steps.
Building on this progress, Musim Mas expanded its landscape approach in September 2024 to include Aceh, Riau, North Sumatra, South Sumatra, Central Kalimantan, and West Kalimantan under Musim Mas’ Priority Landscapes Strategy 2024
The landscape strategy comprises three objectives: Engagement, Assurance, and Monitoring and Response. This will fulfill a key component of the Group’s updated NDPE Roadmap to 2025, which commits to developing landscape strategies for all the Group’s remaining key sourcing regions.
Firstly, the Engagement objective entails outreach to independent smallholders and mills to convey NDPE requirements and the possible consequences of non-compliance.
The Assurance objective has components to ensure that the mills supplying crude palm oil and palm kernels to Musim Mas are NDPE compliant.
Finally, the Monitoring and Response objective contains proactive elements to detect and verify deforestation at the landscape or jurisdictional level.
