The Business Times

Sustainability: new ball game for palm oil firms

But higher bar set by Wilmar, Golden Agri won't have big immediate impact: analysts

Published Sun, Apr 27, 2014 · 10:00 PM

[SINGAPORE] The palm oil industry has reached a tipping point.

In the last five months, two palm oil giants who together trade about half the global supply - Wilmar International and Golden Agri Resources - have declared that their sustainability policies would apply not just to their own plantations, but also to those of their suppliers.

About half of all fresh fruit bunches bought by Wilmar come from third parties, while the amount for upstream palm oil player Golden Agri is much lower, at 7 per cent.

The two palm oil groups' resolve to set a new sustainability standard in the industry has prompted others like First Resources to look into doing the same.

"Although our third-party purchases are small, we will be reviewing our procurement policies with the aim of incorporating our sustainability values into our supply ch…

BT is now on Telegram!

For daily updates on weekdays and specially selected content for the weekend. Subscribe to

Energy & Commodities


Get the latest coverage and full access to all BT premium content.


Browse corporate subscription here