World’s largest palm oil grower forced to restore over 1,000ha of rainforest | Greenpeace Southeast Asia

World’s largest palm oil grower forced to restore over 1,000ha of rainforest

Press release - August 30, 2017
Jakarta- Under strong pressure from its customers and civil society, Malaysian palm oil company FELDA Global Ventures (FGV) has promised to restore over 1,000 hectares of the peat forest in West Kalimantan, Indonesia. [1] This is the first time that a palm oil company has been forced to restore rainforest and peatland in order to remain a supplier to the global market.

FGV is a subsidiary of FELDA, the world’s largest palm oil grower. Despite adopting a sustainability policy in August 2016, FGV continued clearing forest and developing peatlands into May 2017. [2]

Bagus Kusuma, forest campaigner with Greenpeace Southeast Asia, said:

 “Corporate ‘no deforestation’ policies are finally starting to bite. This is the first time a palm oil company has been forced by its customers to restore the forest it cleared. It sends a serious warning that other destructive palm oil companies should heed: deforestation has consequences.”

“Making commitments is the easy part. FELDA must now draw up and implement a time-bound action plan to deliver on today’s promises. Companies should wait for credible proof that restoration is underway before resuming purchases. FELDA must also speed up its efforts to address the exploitation of workers in its Malaysian plantations and recertify its palm oil mills with the Roundtable on Sustainable Palm Oil (RSPO).”

Forest clearance and peatland development is widely acknowledged as a root cause of forest fires in Indonesia. West Kalimantan, where FGV operates, was one of the most affected areas during the 2015 fires crisis and is once again under a state of emergency following serious outbreaks of fire. [3]

Notes to Editors:

[1] FELDA statement from Acting Group President: http://www.feldaglobal.com/wp-content/uploads/2017/08/Letter-To-Business-Partners.pdf

[2] Report by Chain Reaction Research and Aidenvironment into ongoing forest and peatland development in FGV’s concession in West Kalimantan: https://chainreactionresearch.com/2017/05/10/the-chain-felda-global-ventures-allegedly-defying-government-of-indonesia-peatland-laws-company-disagrees/

Report by Greenpeace into ongoing forest and peatland development in FGV’s concessions

http://www.greenpeace.org/seasia/Global/seasia/2017/20170726_GP_PalmAlert_Felda.pdf

[3] See, for instance, Straits Times: Indonesia on high alert before peak of dry season

http://www.straitstimes.com/asia/se-asia/indonesia-on-high-alert-before-peak-of-dry-season


Contact:
Bagus Kusuma, Forest Campaigner Greenpeace Southeast Asia, tel: +62, email

Sol Gosetti, Media Coordinator for Greenpeace Indonesia Forest Campaign, tel: +447807352020, email

 

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