Danielle Morley, European Director of Outreach and Engagement Palm - - PowerPoint PPT Presentation

Danielle Morley, European Director of Outreach and Engagement

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Palm Oil has been responsible for an economic miracle. 4.5 Million people in Malaysia and Indonesia earn their living from palm oil production Increasing palm oil demand has led to loss of tropical forest. Deforestation & degradation contributes 11% of annual global carbon emissions*

*UNDP, UNEP, WRI, World Bank – interim report 2013-14

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Conversion of tropical forests leads to loss of biodiversity, ecosystem services and habitats for orang-utans, tigers and other endangered animals The health and safety of workers and their families Impacts on local communities, particularly disputes over land rights.

• Thanks to EU food labelling

laws, consumers are now more aware of the presence of palm oil in their food products

• NGO activism has further raised

awareness about the deforestation linked to conventional palm oil

• Financial institutions such as the

Norwegian Sovereign Wealth Fund have divested from companies linked with deforestation

WHY SUSTAINABILITY?

WHY SUSTAINABILITY?

Consumers are demanding that their products are produced ethically, failure to do so can cost businesses money – Companies from fast food brands to personal care products have come under fire to ditch conventional palm oil

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WHY SUSTAINABILITY?

Triple bottom line

• Economic

development

• Social

impacts

• Consumers
• Halting

deforestation

• Protecting

Biodiversity

• Conserving

watersheds

• Increased

yield

• Sustainable

profits

• Securing a

supply chain

Mission and Vision

RSPO will transform the markets to make sustainable palm oil the norm.

Develop credible global standards for sustainable palm

• il

Create a system of assurance for the entire supply chain Engage and commit all stakeholders in the supply chain Monitor & evaluate the impact of certification and market uptake

Vision Mission

Certification

• Palm oil mills are certified according to

RSPO’s P&C

• For a mill to be certified it must show

that all its supply (from owned or independent sources) has been certified

• To be certified, a mill must also show a

plan to have all of its smallholders certified within 3 years

• Oil mills and their supply base hire an

RSPO-approved certification body to set up audits testing their compliance with the RSPO Principles & Criteria

Costs of certification vary and are agreed between the member and the certification body Smallholders can have their costs reimbursed through the Smallholder Support Fund (RSSF), in 2014 the budget for this fund was USD$1.4MM

Cost of Certification

Supply Chain Models

• Identity Preserved (IP)

Sustainable palm oil kept apart and is traceable to the mill and its supply base.

• Segregated (SG)

Mixing of sustainable palm oil batches is allowed

• Mass Balance (MB)

Mixing of sustainable and conventional palm oil is allowed if it is monitored administratively

• Book & Claim (B&C)

GreenPalm certificates sold by mills directly to end-users

that signals the use of RSPO-certified sustainable palm oil:

Trademark

A global trademark

RSPO continuously improving

• 100% in Europe by 2020
• 50% in Indonesia and Malaysia,

30% in India and 10% in China.

Regional Targets

• RSPO+
• Licensed HCV assessors
• Traceability

Credibility and Sustainability

• Strengthening Complaints
• Concession maps & satellites
• ACOP suspensions

Transparency and Accountability

How is RSPO facilitating change?

RSPO+

• Voluntary addendum to RSPO P&C
• Enhanced standards on:
• Deforestation
• Peat-land Development
• Labour rights, land rights,
• Indigenous People’s Rights

100% Certified Sustainable Palm Oil in Europe by 2020

Europe has the ability to achieve 100% CSPO & create new supply chain model Home of many global manufacturers and retailers with CSPO commitments Increased public awareness, industry demand and accessibility of supplies 100% CSPO Europe will incentivize producers and influence other markets

Key data: RSPO members: 28 Total palm oil imported 266,100 t (2014)

Poland: Priority market

Outlook:

• Rapidly raising consumer awareness due to new food labelling

rules;

• The sector with the greatest interest in sustainable palm oil is

the oleochemical sector, although the food sector is the largest user of palm oil

• A dedicated conference on palm oil was held in Poland in

November 2014 to further sensibiliser the market to the issues

• f palm and palm kernel oil, with the support of the United

Nations Global Compact

• Sustainability issues are the main concern noted with palm oil

and palm kernel oil

• Limited awareness of RSPO and CSPO among supply chain

members and media.

Supporting development of Polish market for CSPO

Stakeholder analysis Market analysis Information and helpdesk for technical questions Support local members to overcome technical and logistical barriers Events for supply chain businesses to promote collaboration Communications and media outreach to key influencers Learning from others.

Annual RSPO European Roundtable - June

Palm Oil Debate