Palm – increasing demand for sustainable palm oil 18 ” Globally, palm oil is the most produced and consumed vegetable oil, accounting for 30 percent of the world’s vegetable oil production. Soya bean oil, at 23 percent, holds second place. The oil palm has the highest yield of all oil crops – six to ten times more than other oil seed crops. However, palm oil production has raised serious concerns relating to deforestation and the elimination of endangered animals, to name two. As a consequence, WWF in 2003 initiated the Roundtable on Sustainable Palm Oil (RSPO) along with AAK, Golden Hope Plantations, Migros, Malaysian Palm Oil Association, Sainsbury’s and Unilever. The organization has now worked for more than a decade to promote the growth and use of sustainable palm oil worldwide. One recognized system We continue to be very engaged in the RSPO, and its Board. AAK recognizes the RSPO certification as the only established and stable systematic organization and standard for sustainable palm oil. RSPO is not perfect. However, it is important to have one well established recognized system rather than a series of individual systems and organizations, which add complexity and might prevent progress towards a fully sustainable palm oil supply chain. RSPO progress Due to the position as an intermediary in the palm oil supply chain, AAK is fully dependent on the availability of supply of physical, segregated sustainable palm oil and, to some extent, on demand from customers. Customer requirements drive the kind of palm oil delivered by AAK. In preparation for future demand, AAK production plants processing palm oil have obtained RSPO Supply Chain Certification and are capable of producing sustainable palm oil as required. AAK is committed to increasing the volume of RSPO certified raw material that it purchases, with the ultimate objective to achieve RSPO certification of all palm oil purchased. Driven by demand, 29 percent of AAK palm oil products in 2015 were RSPO certified. Mindful of the current level of supply and demand which varies significantly between markets, AAK has revised its time bound plan to only sourcing RSPO certified crude palm oil by 2018 and RSPO certified palm oil, palm kernel oil and derivatives by 2020.
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