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Supporting LRT Bukit Bandi in its Sustainability Journey
sustainability
June 17, 2018

Supplier engagement is part of Bunge Loders Croklaan’s sustainability journey to transform the palm oil sector. We encourage suppliers to aim for NDPE compliance so they adhere to the commitments from our Sustainable Palm Oil Sourcing Policy. We are dedicated to supporting suppliers who aim for higher sustainability standards, which we do through co-funding and capacity building activities. 

This particular initiative of supporting LRT Bukit Bandi, a Malaysian mid-scale producer of palm oil in the State of Terengganu, is a collective effort with Cargill which commenced in December 2017 and is planned to finish end of 2018.

LRT Bukit Bandi is highly committed to sustainability and has shown itself to be interested in pursuing MSPO and RSPO certifications. According to the supplier, these certifications will add value to the palm oil producer’s goal of generating an increasingly sustainable product. To establish requirements for pursuing MSPO and RSPO certifications, a scoping study was performed. This study is followed by completion of a High Conservation Value (HCV) assessment (biodiversity study) and a Social Impact Assessment (SIA). The HCV assessment was conducted in June 2018 by the local consultant PT Hijau Daun, the SIA will be carried out coming November. Both assessments are funded by Bunge Loders Croklaan and Cargill.

Compliance with our sustainability policy by our third-party suppliers is a work in progress that requires socialization and capacity building. Achieving certification (MSPO and RSPO) is an excellent step that raises the sustainability standard and enables our suppliers to reevaluate their practices and manage any gaps.