We are pleased to announce that Asian Agri (AA) and Apical have become TFT members, committing to no deforestation and no development on peatland in their palm oil supply chains. Their commitments include protection based on High Carbon Stock (HCS) and High Conservation Value (HCV) assessments, and respecting the rights of communities, workers and smallholder farmers in their supply chains.
Apical is one of Indonesia’s largest palm oil exporters, with extensive operations including three refineries in Indonesia. AA, Apical’s affiliate and largest supplier, produces a million tonnes of palm oil a year, with a palm oil plantation area of around 160,000 hectares, in which 60,000 hectares belong to scheme smallholders. On it own, it manages 27 palm oil plantations and 20 palm oil mills.
As major players in the palm oil industry, AA and Apical have together set clear objectives to build traceable and responsible supply chains. They have now embarked on an ambitious implementation plan in partnership with TFT, beginning with mapping their supply chains. This will be followed by engagement with suppliers and, where necessary, field assessments and face to face discussion with mill and plantation suppliers to help them achieve compliance with their Sustainability Policy. TFT’s role includes training of AA and Apical teams to prepare them with the skills to ensure compliance throughout their supply base.
Further supply chain transparency will come in the form of an online dashboard, which will be used to communicate with stakeholders about how both members are progressing in implementing their Sustainability Policy.