IOI's RSPO complaint resolved, but environmental and human rights abuses continue

Press release - December 3, 2016
Jakarta, 2 December 2016. Greenpeace has warned that environmental and human rights abuses are still endemic in the IOI Group’s supply chain, even though AidEnvironment’s complaint against the palm oil trader has been resolved. [1]

Greenpeace Indonesia forest campaigner Annisa Rahmawati said:

“If the IOI Group does what it is now promising, it would go some way to resolving its legacy of destruction in West Kalimantan. But it is still too early to tell whether there is light at the tunnel or just another dead end.”

AidEnvironment’s complaint related only to IOI’s concessions in West Kalimantan. The company also has a large network of plantations in Malaysia, and is a major trader of oil produced by other companies. Investigations by Indonesian, Malaysian and international civil society organisations have shown that environmental and human rights abuses are endemic in IOI’s supply chain. [2]

Over the past year, dozens of international brands stopped sourcing palm oil from IOI.

“IOI has a lot of work to do before it would comply with international brands ‘no deforestation, no peat, no exploitation’ policies. It is still in conflict with local communities, exploiting its workers and buying palm oil from producers responsible for destroying forests, draining peatland and human rights abuses. Companies should wait for evidence that IOI has really changed before resuming trade.” Annisa said. [3]

[ENDS]

Notes for editors:

[1] AidEnvironment, which lodged a complaint against the IOI Group with industry body the Roundtable on Sustainable Palm Oil (RSPO), issued a joint statement with IOI on 1 December. http://www.aidenvironment.org/wp-content/uploads/2016/12/Joint-statement-on-Ketapang-Complaint-Aidenviroment-IOI-Final-20161201.pdf

[2] An investigation by Greenpeace, published in September 2016, revealed that IOI had been sourcing its palm oil from producers known to be responsible for deforestation, peatland drainage and human rights abuses throughout Indonesia. http://www.greenpeace.org/international/Global/international/publications/forests/2016/Deadly-Trade-off-IOI-Report.pdf  

An investigation by Finnwatch, published in November 2016, found that while some improvements had been made, many workers in IOI’s Malaysian concessions were still being paid less than the minimum wage — two years after it first raised the issue with the company. http://www.finnwatch.org/images/pdf/IOI-2016_EN.pdf

A complaint by the Long Teran Kanan communities in Sarawak, East Malaysia, against IOI-Pelita, remains unresolved after six years.

 

[3] Greenpeace Indonesia has written to companies to advise buyers that any decision to resume purchasing must be conditional on the IOI Group publishing a credible NDPE policy and action plan.

Contacts:

Annisa Rahmawati, Forest Campaigner, Greenpeace Indonesia. Mobile: +62 8111097527

Igor O'Neill, International Media for Greenpeace Indonesia Forest Campaign. Email

, Mobile +62 811 1923 721

Categories