The Clorox Company became a TFT member in 2016. It primarily uses palm derivatives in its products, as well as a small amount of palm oil and palm kernel oil. It is committed to working to increasing transparency within the derivatives supply chain, and communicating their values of responsible sourcing upstream to the palm oil and palm kernel oil sources. Clorox aims to eliminate deforestation and exploitation from their palm oil supply chain by the end of 2020.
For the first year of Clorox membership, TFT and Clorox are focused on mapping Clorox’s palm derivatives supply to the first importer, and further upstream where possible.
“First importer” is TFT’s term for a company that purchases palm-based products from within countries of palm production (e.g. Indonesia or Malaysia), and imports the products into countries downstream in the supply chain for use by manufacturers or brands. These first importers are usually traders and/or refiners, and there are only a relative handful of companies that play this role. As such, they represent an important leverage point in the supply chain, and can provide downstream customers a significant amount of information about the source of the palm product supply.
Given the complexity of the derivatives supply chain, the first importer is an important milestone on the way to mapping to the mill or plantation level. Once Clorox has visibility into the first importers in its supply chain, they will be able to better understand not only the sources of their palm derivatives, but the policies and practices of key players who can influence how the palm is produced. TFT will help Clorox to understand these companies’ palm sourcing commitments and whether or not they are robust enough to provide Clorox assurance that their supply is actively moving towards more responsible practices.