Supporting Smallholders

Smallholders are important stakeholders in our supply chain. We understand that smallholders face numerous challenges in their production processes, including access to cost-efficient materials and technological advancements to improve yields, especially in view of extreme climate pressure. We recognise that without addressing the concerns of smallholders, we simply cannot claim a fully sustainable and responsible supply chain.

In sourcing for external fresh fruit bunches (FFB) from smallholders, we are guided by our Responsible Sourcing Policy that strictly adheres to the No Deforestation No Peat No Exploitation (NDPE) standards. However, if a smallholder does breach the NDPE, it is not our policy to suspend them. Working with smallholders needs a different approach that is guided by dedicated programmes to help build their capacity. We work actively in partnership with governments of countries we operate in to lift smallholders to a certifiable standard of sustainability, so they can continue to earn a living without causing harm to the environment.

We currently work with smallholders in our supply chains across Papua New Guinea, Thailand, Indonesia and Malaysia. We take a localised approach to meet the needs of communities in each of the geographical landscapes we operate in.

 



Performance of Smallholders Supplying to SDP Mills in 2019
 
  Malaysia Indonesia Papua New Guinea &Solomon Islands (PNG&SI) Overall
Total number of smallholders 20,578 27,441 17,324 65,343
Number of direct smallholders 33 27,441 17,324 44,798
Number of indirect smallholders (via traders) 20,545 - - 20,545
Number of RSPO certified smallholders - 13,811 17,324 31,135
Percentage of RSPO certified smallholders 0% 50% 100% 70%


Our Smallholder Stories

Malaysia     Indonesia     Png & Solomon islands     THAIland

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