Nestlé Resumes Palm Oil Purchases from SMART

19 Sep 2011 --- SMART then implemented innovative processes and supply chain controls to ensure that the delivered oil is fully traceable from the supplying plantations, through processing and transportation to the Nestlé factory in Indonesia.

Sep 19 2011 --- PT SMART Tbk (SMART) has announced that Nestlé has placed an order to resume palm oil purchases from the company. SMART views this order as an acknowledgement of its on-going sustainability commitments and efforts to find solutions to continuously produce palm oil in a sustainable, environmentally and socially responsible manner.

In May 2010, Nestlé, together with international NGO, The Forest Trust (TFT) announced Responsible Sourcing Guidelines  (RSGs), a set of critical requirements to guide the Nestlé procurement process and to ensure compliance with the Nestlé Supplier Code. In late 2010 SMART's parent company Golden Agri-Resources (GAR) developed a joint action plan with TFT to help GAR ensure that its subsidiaries could meet the Nestlé RSG requirements. To ensure that oil delivered to Nestlé meets the RSG requirements, the plantations supplying Nestlé were subject to TFT assessments. SMART then implemented innovative processes and supply chain controls to ensure that the delivered oil is fully traceable from the supplying plantations, through processing and transportation to the Nestlé factory in Indonesia. This full traceability across the supply chain has been further audited by Nestlé-appointed international agency, TÜV Rheinland Group.

Mr Daud Dharsono, President Director of SMART said: We welcome Nestle's decision which is an acknowledgement of our  sustainability efforts. This represents an important milestone in our journey toward the continuous production of sustainable palm oil. Sustainability is an on-going journey and we are committed to managing the environment responsibly and empowering communities. We believe that our achievement of full traceability with this order is another significant milestone.

GAR has also been working with TFT on the implementation of a Forest Conservation Policy (FCP) which aims to ensure that GAR has no deforestation footprint and also seeks to achieve long-term sustainable growth for GAR and the palm oil industry. The FCP focuses on there being no development on High Carbon Stock (HCS) forests, where a provisional definition of exceeding 35 tonnes of carbon per hectare will be used as HCS  forest definition; no development on High Conservation Value (HCV) forest areas; no development on peat lands; to have free, prior and informed consent from indigenous and local communities and compliance with all relevant laws and National Interpretation of Roundtable on Sustainable Palm Oil (RSPO) Principles and Criteria.

Added Mr Dharsono: "We believe the FCP is a strong platform where all stakeholders can collaborate to find solutions for sustainable palm oil. We would like to thank TFT, Greenpeace and all other stakeholders for their positive contributions and collaboration to implement the FCP initiative."

In addition to the FCP and as part of a holistic approach to sustainability, GAR is developing a Yield Improvement Policy to improve its productivity. The company is also developing a Social and Community Engagement Policy to guide its approach to conflict resolution. GAR is collaborating with TFT and is in constructive dialogue with a number of other civil society organisations to ensure that it develops robust policies which represent best practice.

Related Articles

Business News

Nestlé Boosted By Q1 Figures, Full Year Outlook Secure

17 Apr 2015 --- Nestlé, the world’s largest food company, has reported 4.4% organic growth in the first quarter of 2015 and confirmed that it is on target to achieve full year goals. The company, which owns brands such as Nescafé, Nesquik and KitKat, is aiming for organic growth of around 5%, and started the year positively with sales of CHF 20.9bn ($21.7bn).

Food Ingredients News

GoodMills Innovation: Masa Flours Hold Potential in Tortilla Chips

15 Apr 2015 --- At this year’s SNACKEX in Istanbul, GoodMills Innovation will introduce its snacking solutions, which are marketed under the SNACKMAXX brand. Masa flours offer excellent processing properties for the production of tortilla chips and taco shells, while individual pre-mixes are ideal for coated and extruded snacks.

Food Ingredients News

Indulgent Foaming Creamers For Coffee Launched

14 Apr 2015 --- FrieslandCampina Kievit has announced the launch of its innovative new foaming creamers range, created for the instant beverage segment. Inspired by the ultimate luxury out-of-home coffee experience, FrieslandCampina Kievit developed a range of foaming creamers that can recreate the same indulgent moment in the comfort and convenience of home. The new range consists of two products: Vana-Cappa 23W and 26W addressing the need for variety and a premium experience of luxury and pleasure.

Business News

Cargill Hazleton Meat Plant Spurns Garbage Trucks; Becomes Company's First Verified Landfill-Free Facility

14 Apr 2015 --- Garbage trucks no longer stop at the Cargill meat processing facility in Hazleton, Pa., because the 225,000-square-foot plant that sits on a 40-acre site, employs 600 people and produces more than 10 million pounds of beef, pork and ground meat products monthly, sends nothing to landfills.

Food Ingredients News

Permeate Takes Off in Global Food and Beverage Industry

13 Apr 2015 --- Global food and beverage new product launches containing permeate are sharply increasing around the world, reaching a record high in 2014, according to an analysis of data from the Innova Market Insights database. The number of tracked new permeate product launches around the world grew at a compound annual growth rate of 64% from 2010 to 2014, increasing significantly from 11% annual growth from 2005 to 2009.

More Articles