Responsible Sourcing

Building Climate Resilient Supply Chains

Palm oil is one of the world's most widely used commodities, and its global demand is projected to grow with the world's rising population.

With this growing demand comes a genuine concern that palm oil production is driving deforestation, and as the leading producer of sustainable palm oil, we share this concern too. We believe that traceability is the next frontier in halting deforestation: tracking supply back to its source will make it possible to identify where problems exist. To ensure that accurate information is available, producers and traders of palm oil need to establish a chain of traceability that is able to map our palm oil from source to supply.

Our Responsible Agriculture and Human Rights Charters outline our firm commitments to No Deforestation, No Peat and No Exploitation (NDPE). We strive to ensure our operations adhere to standards that meet or exceed these commitments and focus on supporting other industry actors to do the same.

To meet these commitments, we must ensure that every actor in our supply chain is committed to the same standards. SDP expects all suppliers of fresh fruit bunches (FFB), crude palm oil (CPO), and its derivatives to abide by our Responsible Sourcing Guidelines (RSG). The RSG translates our NDPE commitments into business relationships. It enables us to engage with suppliers and obtain their commitment that all supplied products come from legally compliant, environmentally sustainable, and socially responsible sources.

Visit Sime Darby Oil's Supply Change Management to see our global sourcing footprint, as well as progress to resolve grievances within our supply chain.

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