India’s Industry Leaders Support Sustainable Palm Oil

26 Mar 2012

The Roundtable on Sustainable Palm Oil (RSPO), a multi--stakeholder organization that aims to develop and implement global standards for sustainable palm oil, reaffirmed that keeping in line with the overall sustainable development goals for 2015, Indian majors and RSPO members have demonstrated affirmative inclination and measures forward.

26 Mar 2012 --- The Roundtable   on   Sustainable   Palm   Oil   (RSPO),   a   multi--stakeholder organization that aims to develop and implement global standards for sustainable palm oil, reaffirmed that keeping in line with the overall sustainable    development goals for 2015, Indian majors and RSPO members have demonstrated affirmative inclination and measures forward.

HUL (Hindustan Unilever) is the one of the main player in the Indian market so far to procure certificates from   GreenPalm’s   Book   &   Claim   system,   aligned   with   its   overall   vision   of   Unilever,   a   long   term committed member of the RSPO.

Commenting on this, Nitin Paranjpe, CEO and Managing Director, HUL, said, “There is a clear linkage between deforestation and climate change, therefore companies can play an important role by adopting sustainable practices.    We are committed to work with like--minded companies and NGO’s to influence the sourcing of CSPO into India.

The NGO’s play an important role by engaging with the companies that source Palm Oil and thereby securing   commitment.     We   need   to   raise   the   level   of   consciousness   regarding   the   direct   link   of unsustainable palm oil practices and deforestation. I am happy that RSPO is creating awareness about certified and sustainable palm oil through media. There is also an urgent need to create more forums to bring   Indian   refiners   and   traders   together   to   discuss   how   we   can   actively   promote   the   import   of sustainably produced palm oil into India.”

Further   to   discussions   with   stakeholders   in   India,   Cherie   Tan,   Procurement   Operations   Director, Sustainable Sourcing, Renewables and small holder development, Unilever, said, “By 2015, Unilever will buy 100% certified sustainable palm oil. At present, Unilever started buying RSPO segregated Palm oil in Europe.

63% of the palm oil we use in Unilever is covered by Green Palm Certificates. At present we have enough GreenPalm Certificates to cover all our businesses in Europe, Australia, New Zealand, North America, Latin America, Indonesia, Malaysia, India and China. In 2012, we will source palm oil only from RSPO members.

Further, RSPO revealed that the Indian players are also planning to review their procurement policies in line with the global trends and forecast for palm oil imports. Key palm oil buyers in the market, Godrej Industries Limited, VVF and Kamani, all members of the RSPO, have therefore shared their intent to support certified sustainable palm oil in the near future.

Darrel Webber, Secretary General RSPO adds: “India is an influential and significant new economy for sustainable   palm   across   the   world.   When   India   does   adopt   strategic   policies   towards   Certified Sustainable Palm Oil, it will set a benchmark around the world from a global reputational perspective as it   clearly   demonstrates   the   nation’s   commitment   and   contribution   towards   international   sustainable endeavors. The RSPO is committed to continuing the momentum of engagement and collaboration with the government of India and directly with the industry. Our outreach and advocacy efforts India are one of   our   strategic   pillars   for 2012 to accelerate   the   uptake   of   CSPO.   Whilst   Book   &   Claim   is   the predominant   method   of   supporting   production   of   CSPO,   there   has   also   been   a   steady   growth   in   the physical trade of CSPO using the Segregated and Mass Balance supply chain mechanisms, which has grown from zero in 2008 to 33% over the total CSPO traded.

Commenting on this initiative Mr. Nadir Godrej-- Managing Director, Godrej Industries said, “We all are global citizens and are together responsible to save the environment. At Godrej Industries we plan to buy green   palm   certificates   and   Godrej   Agrovet   is   also   studying   the   procedures   for   certifying   domestic production of Palm Oil.”

WWF--India has been playing a large part in pushing policy for sustainable palm oil at one level and promoting   the   RSPO   principles   amongst   key   industry   players   here   in   India,   at   the   other.   WWF--India, reiterates that as deliberation over palm oil and its role in deforestation and greenhouse gas emissions increases, so do calls for the oil to be made more sustainably. India is the largest consumer and importer of palm oil in the world today with more than 90% of palm oil is being used as cooking oil in the country, and the rest is used in the processed food and items like soaps, chocolate, ice--cream, cosmetics and cleaning   agent,   etc.   Being   the   largest   source   of   edible   oil   globally,   palm   oil   today   features   high   on environment related agendas across the globe. With the changing consumption patterns, large import sizes and the environmental repercussions (deforestations, clearing through fires, land use, etc), the need for sustainability in Indian industry is key.

Mr. Ravi Singh, Secretary General and CEO of WWF--India said, “We are pleased that Godrej Industries has announced that they are will be buying GreenPalm certificates in the near future. We believe that this   is   a   positive   first   step   that   will   encourage   other   key   players   in   the   industry   to   move   towards sustainable palm oil procurement.”