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.

To contact our editorial team please email us at editorial@cnsmedia.com

Related Articles

Business News

Weekly Digest: Symrise obtains sustainability recognition, Nestlé invests in Chilean pet food facility

27 Apr 2018 --- This week in business, Symrise successfully obtained the FSC Chain of Custody (CoC) certification for ingredients derived from forest products and the European Dairy Association (EDA) has welcomed the conclusion of a political agreement on trade between the EU and Mexico. Plans for a new Dairygold facility are underway, in Cork, Ireland, which will significantly increase production capacity of Jarlsberg cheese up to 20,000 tons annually. Meanwhile, Nestlé UK and Ireland have taken the wrapping off a £3 million (US$4.1 million) upgrade to its head office site in York and Nestlé has also inaugurated a US$120 million pet food factory in Teno, Chile.

Packaging & Technology News

Plastic in a circular economy: Major players form UK Plastics Pact

26 Apr 2018 --- The UK Plastics Pact plans to eradicate single-use plastic from the supply chain and has been signed by more than 40 major players in the food and non-food industry. Leading UK retailers, Tesco, Sainsbury's, Morrisons and Waitrose are among the businesses supporting the pledge.

Food Ingredients News

TOP BV develops sugar reduction solutions that maintain taste

26 Apr 2018 --- TOP BV is a service provider specialized in Practical Food Innovation and due to increasing pressure from social organizations and changing consumer behavior, food producers are trying to reduce the sugar content in their products. Often sugars have a function and TOP BV from Wageningen, in the Netherlands, is now offering several solutions to enable the reduction of sugar.

Food Ingredients News

Chocolate snacking: Almonds thrive amid premium, plant-based and texture trends

25 Apr 2018 --- Indulgence has long been known as a key driver for chocolate NPD, but nowadays consumers are looking for a healthier chocolate experience. According to Innova Market Insights, 11 percent of global chocolate products have an indulgent and premium positioning in 2017 and globally, 23 percent of all chocolate launches tracked in 2017 carry a texture claim. Social eating occasions are driving the trend for sharing bags and easy to share formats across the confectionery, bakery and snacking segments.

Packaging & Technology News

Plastic recycling: Canary Wharf launches UK’s first deposit return machine

24 Apr 2018 --- East London commercial district, Canary Wharf, has unveiled the first UK on-site Deposit Return Scheme machine as part of its “breaking the plastic habit” strategy. The move coincides with the UK Government’s strategy to tackle plastic waste by introducing a European-style nation-wide Deposit Return Scheme on all plastic, glass and metal drink containers.

More Articles