Press release - November 14, 2014
JAKARTA. Greenpeace recognizes the new IOI Loders Croklaan Sustainable Palm Oil Policy as another sign of the shift that is happening within the industry, but regards the announcement as a missed opportunity for the IOI Group to join the ranks of the most progressive companies.
While palm oil processor IOI Loders Croklaan has committed to No Deforestation and to going beyond RSPO standards by protecting High Carbon Stock forests, unfortunately, Croklaan's parent company IOI Group has not extended the commitment to cover oil palm plantations under its control and in its supply chain.
The policy applies to all IOI Loders Croklaan processing operations, its subsidiaries, joint ventures and companies in which it has management control, along with all its suppliers of palm oil. However, it does not cover oil palm plantations operated by the parent company, its joint ventures, or independent suppliers of fresh fruit bunches to be processed by the IOI Group.
Up till June this year there have been reports of the IOI Group clearing forested peat lands for oil palm plantations. Recently the IOI Group, though its membership of the Sustainable Palm Oil Manifesto, announced a temporary halt of all clearance of potential HCS areas in its own plantations, but that commitment does not extend to their third party suppliers. In addition, the group has not clarified how potential HCS is defined and how the policy will be implemented.
“Although IOI holds the power to speed up the transition to responsible palm oil, the group has missed an opportunity to step forward and commit to a more comprehensive policy across its supply chain. The IOI Group has invested in a number of joint ventures and shareholdings in palm oil producers, for example a 31.4 percent stake in Bumitama Agri ltd, which has Indonesian plantings spanning almost twice the area of Singapore. IOI’s sustainability commitment must cover such investments and operations. IOI needs to step up and follow the example set by other companies in the industry like Wilmar and Cargill that have made more ambitious commitments,” said Annisa Rahmawati of Greenpeace SEA’s Indonesia office.
“It is time for the IOI Group to commit to, and implement a No Deforestation policy at the group level. The IOI Group must heed the public demand for deforestation-free palm oil products in their shopping baskets.”
Media Contacts
Annisa Rahmawati, Forests Campaigner, Greenpeace Southeast Asia, Indonesia. +62 811-1097-527 
Igor O’Neill, International Media, Greenpeace Indonesia Forests Campaign. +62 811 1923 721 