Palm oil
Policy & commitments

We are committed to sourcing and processing traceable and certified sustainable palm oil. We believe that palm oil and palm kernel oil must be produced in a manner that is legally compliant and traceable, that protects forests and biodiversity, reduces greenhouse gas (GHG) emissions and has a positive social impact and respects the rights of indigenous peoples, workers and local communities.

NDPE

We deliver palm oil that is produced in accordance with “No Deforestation, No Peat and No Exploitation” (NDPE) practices:

  • No Deforestation: refers to no deforestation when developing land, identifying and protecting High Conservation Value (HCV) areas and High Carbon Stock (HCS) areas, a no-burning policy and the reduction of greenhouse gas emissions (GHG).
  • No Peat: refers to no new developments on peatland and encourages the use of Best Management Practices on existing plantations on peat. Where possible, peat restoration is also implemented.
  • No Exploitation: refers to no exploiting of workers, local communities or small-scale growers in the production of palm oil.
Certification

Each year we certify or verify the sustainability of greater volumes of our palm. By Q1 of 2020, 94% of our palm oil volumes were sourced from suppliers with robust NDPE commitments, meaning a commitment to no deforestation, no peatland development, and no exploitation of any kind. These are our palm certification standards.

Transparency and traceability dashboard

We are committed to building a sustainable supply chain and we report our progress in quarterly updates on this online dashboard. Use the toggle at the top of this dashboard to present palm or palm kernel information.

Palm Oil
Palm Kernel

2020 Quarter 1, Updated on July 15
Third party verification from Control Union

Traceability on global & regional level *
Certified volumes sourced (market driven) *
Verification *

Since the end of 2017 we have actively monitored Peninsula and Sabah in Malaysia using satellites.

  • On a bi-weekly basis we check an area of 27 Million hectares for land use change by analyzing near real time satellite images.
  • Using our powerful GIS platform combining forest and peat maps with the latest Sentinel-2 images, we are actionable on alerts and we follow up with suppliers and stakeholders if necessary.

You can find more details on the way we expand the monitored area here.

Transparency

We commit to transparency in every action we take and every report we provide. You can find our way of calculating the figures shown in this dashboard in this protocol.

1543
Supplying Mills
57
Direct Sourcing
1486
Indirect Sourcing

* Numbers from January - March 2020, scores calculated on data availability at cut off time.
** From sources with NDPE commitment equal or stronger to set minimum requirements.
*** Monitored by Satelligence via optical and radar satellites. Reporting of Land Use Change alerts on bi-weekly basis.

Refinery scores and mill lists

Each of our refineries listed below contains a list of mills that supply to the refinery. You can find the following information:

  • Universal Mill reference number
  • Mill name
  • Location coordinates
  • Parent company
  • Directly or indirectly sourced
  • Palm oil (PO) or palm kernel oil (PKO) sourced
  • Segregated (SG)

Bunge Loders Croklaan publishes quarterly mill lists. Suspended mills are marked with its grievance status as per our grievance list at the time of publishing. We are engaging with our trading partners to ensure that these are no longer in our supply chain. Mill lists for previous quarters are available upon request.

Disclaimer: Bunge Loders Croklaan has put great efforts in gathering the data presented in this list of mills. To the best of our knowledge, the information contained in this list is accurate and reliable as of the date of publication; however, we do not assume any liability whatsoever for the accuracy and completeness of this information. Therefore no rights can be derived from this list. If you have questions about specific information in this list, please contact your sales manager. We will answer to the best of our abilities.

Supplier engagement

We believe that close engagement with our suppliers is key as our sustainability goals cannot be achieved in isolation and require the collaboration of all stakeholders. Suppliers, in particular, are our focus to transforming the industry and making sure palm oil is produced sustainably. By actively engaging with our suppliers we can support them in improving their standards and practices and deliver a positive impact.

Supplier due diligence process

All suppliers (direct supply) are required to have complied with Bunge’s Sustainable Palm Oil Policy from February 2018 and to be transparent about their operations. Prior to receiving deliveries of palm oil products originating from potential new suppliers, we will implement the following due diligence measures:

  • Provide the potential supplier with a copy of Bunge’s Sustainable Palm Oil Policy and advise them of the  requirements for (third party) suppliers.
  • Conduct a group-level risk review, to determine if the company’s operations have the potential to involve non-compliance with our policy. This will include a review of the potential supplier’s feedback on Bunge’s policy commitments and our request for relevant permits, legal licenses and concession maps (in shapefile format and where legally possible) for the potential supplier’s entire operations, as well as environmental impact assessments and HCS and HCV studies.
  • Undertake a gap analysis to identify what material is missing, inadequate or unclear, and request additional material from the potential supplier
  • Fact-check claims by seeking publicly available information including information lodged with government agencies, satellite mapping information (e.g. through Global Forest Watch), RSPO complaints and information available online. Where potential new suppliers have undertaken plantation development that is incompatible with this policy after February 2017, appropriate conservation / restoration / compensation measures and an implementation plan will need to be agreed prior to  entering into contracts to receive oil originating from that supplier. Where evaluation has been delegated to trading partners (indirect supply), we will request our trading partners to observe similar due diligence measures and provide its findings prior to shipping oil from potential new suppliers to Bunge Loders Croklaan or its subsidiaries.


Once all elements are completed and our in-house questionnaire is completed online (ArcGIS), the supplier is marked for approval. 

 

Impact on the ground

sustainability
Collaborating with WWF Malaysia
sustainability
Peatland rehabilitation and conservation program update
sustainability
Labor Transformation Program: delivering on our commitment to protect labor rights and welfare in our palm oil supply chains
sustainability
Program ILHAM update: ongoing training and a subsidized bio-fertilizer program for our palm oil smallholders
sustainability
Peatland rehabilitation and conservation program with the indigenous community in Southeast Pahang
sustainability
Bunge Loders Croklaan joins the Sustainable Palm Oil Choice group in Europe
sustainability
ILHAM smallholder program update: Best Management Practices workshop
sustainability
High Conservation Value driving change in Malaysia
sustainability
ILHAM smallholder program update
sustainability
Increasing transparency through adoption of a Universal Mill List
Storymap
This storymap visualizes and explains every step of Bunge Loders Croklaan’s journey towards a 100% NDPE-compliant palm-oil supply chain.
Grievances
Grievance Procedure

Bunge and Bunge Loders Croklaan are committed to an open and transparent approach to resolve outstanding grievances with the involvement of affected stakeholders. Bunge has established a Grievance Procedure for all internal and external stakeholders who identify issues or incidents in the Bunge supply chain that are not in line with the principles stated in the Bunge Sustainable Palm Oil Sourcing Policy.

Submit Grievance

Grievances can be submitted through the following channels:

Online: via this link

Make a call: to +1-866-921-6714 or to +1-888-691-077

Grievance list
Partnerships and industry networks

We believe that a multi-stakeholder approach is the right way forward to transform the palm oil sector. We will continue working with various stakeholders including our suppliers, customers, non-governmental organizations (NGOs), governments and independent verification bodies to implement our policy.