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GreenPalm makes headway in trading certified sustainable palm oil

The Roundtable on Sustainable Palm Oil (RSPO) may finally be winning the battle within the paper and pulp industry to obtain less harmful methods of producing palm oil.

  • 18 January 2011
  • Simione Talanoa

The Roundtable on Sustainable Palm Oil (RSPO) may finally be winning the battle within the paper and pulp industry to obtain less harmful methods of producing palm oil.

The RSPO has announced that sales of certified sustainable palm oil (CSPO) increased to 1.3 million tonnes in 2010, compared with 400,000 tonnes in 2009.

Sustainable palm oil will increase in the coming years due to the decisions of countries, such as Norway, to source only CSPO by 2015.

Norway is not alone in its pledge, with support from brands such as Unilever, Walmart and Cadbury's.

GreenPalm - a certified trading programme promoting CSPO – aided by the RSPO is helping to increase sales of CSPO by rewarding producers for using responsible methods.

Palm Oil producers, who have been approved by The Roundtable for using responsible methods of extracting palm oil, earn one GreenPalm certificate for every tonne of CSPO.

Producers sell their certificates on http://www.greenpalm.org to retailers around the world. The certificates enable businesses to give practical support to CSPO production while using their existing supply chain. For the retailers to buy CSPO, they must be audited by the RSPO.

The Brazilian government has also taken action and is in the process of expanding production of CSPO on non-forest land in the Amazon Basin. This could be critical in influencing more sustainable palm oil practices in Indonesia and Malaysia – the largest producers of palm oil. Palm oil producers have a well documented lack of concern for deforestation and its impact upon surrounding wildlife.

Palm oil production has increased dramatically in recent years, generating income in developing countries. However, many of the palm oil plantations in these countries are consuming vast areas of rainforests which in turn increases GHG emissions, and destroys the habitat of endangered species such as Orangutan's.

In some areas social conflict has also been spurred by the inappropriate locations of palm oil plantations.

Environmentalists hope that with growing awareness of CSPO among producers, and the attractive nature of GreenPalm, palm oil production in Indonesia and Malaysia will follow the lead of sustainable producers.

GreenPalm General Manager, Bob Norman, said in an interview: "GreenPalm is the next-best option for companies that cannot yet buy or use certified sustainable palm oil, as it allows them to start supporting sustainability at its source.

"The result is that more palm oil producers have seen the benefits of using sustainable production methods – such as not planting on primary rain forest land or areas with a high conservation value. It takes time, effort and money for them to become audited and certified by RSPO so if they can see a clear commercial advantage then it makes the process both worthwhile and affordable."

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Author: Charity Knight | Climate Action

Image: pixelthing | flickr