How we work with Asian Agri and Apical on Palm Oil
Apical and Asian Agri (AA) became TFT members in June 2015 and we worked together for the subsequent 18 months on a work plan that began with improvements to internal procedures with possible environmental and social impact, and focussed on their FFB (fresh fruit bunch) and CPO (crude palm oil) sourcing operations.
The work then moved to mapping out supply chains, with full traceability to mill achieved and a series of targeted site visits to suppliers and to an Asian Agri mill conducted, following the ART plan process for Apical’s Sari Dumai Sejati (SDS) refinery in Riau. Other elements of our work together included: establishing a grievance mechanism and visits to the ground to verify a number of cases together; creating a sustainability dashboard – which has now been taken in-house by Apical – and conducting a series of training workshops with SDS suppliers.
In 2017, we commenced a second work plan with Apical as we continue to roll out ART at SDS and begin the same process at their Marunda refinery. The emphasis in this work plan is shifting to delivering tangible transformation on the ground and to that end, Apical have committed to trialling TFT’s new Support For Transformation (SFT) model for guiding suppliers through the change journey required to meet with Apical’s Sustainability Policy. Apical have also committed to collaborate with other TFT members in the APT (Areal Prioritas Transformasi) programme, which is initially focussed on the sensitive Leuser Ecosystem landscape and will begin in the Tamiang and Singkil regions of Aceh, before progressing to Eastern Riau.
Sustainability Progress Dashboard
The dashboard has been established to share all relevant information on the implementation of Apical’s sustainability policies. This includes an explanation of the goals set and how Apical are seeking to achieve them
More about this member
Apical is one of Indonesia’s largest palm oil exporters, with extensive operations including sourcing, refining, kernel crushing, biodiesel production, distribution and trading. More details about Apical’s business and their commitments to sustainability are available on their website. Asian Agri is one of the key suppliers to Apical Group. More information about Asian Agri is available here.