PALMOILMAGAZINE, BANDA ACEH — The Sustainable Trade Initiative (IDH), together with major industry players including Apical, Mars Wrigley, Mondelēz International, Musim Mas Group, Nestlé, PepsiCo, Permata Group, Sinar Mas Agribusiness and Food, and Unilever, has officially launched a voluntary initiative to accelerate sustainable palm oil production in Aceh.
The launch took place during the International Seminar “Growing and Safeguarding the Palm Oil Economy: Beyond the Supply Chain” held in Banda Aceh on August 12–13, 2025. The initiative, established in the form of a Working Group, aims to promote deforestation-free palm oil production while strengthening smallholder inclusion, aligning members’ efforts with the Aceh Sustainable Palm Oil Roadmap.
The two-day seminar gathered more than 160 participants from across sectors, including provincial government representatives, businesses, development partners, civil society organizations, and industry associations. Discussions focused on concrete steps to position Aceh as a hub of environmentally responsible palm oil production that also delivers benefits to local communities.
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Members of the Working Group committed to supporting the Roadmap’s targets without sharing sensitive or proprietary information, while maintaining full independence in procurement decisions. The group is also open to additional companies with similar commitments. Areas of collaboration include assisting mills in adopting deforestation-free sourcing, integrating smallholders into global supply chains, and utilizing Aceh’s forest monitoring system.
Aceh Deputy Governor H. Fadhlullah emphasized that the province has created favorable conditions to attract green investment. “This can also lead to greater smallholder inclusion, job creation, and green growth,” he said, as reported by Palmoilmagazine.com on Thursday (Aug 14, 2025).
International backing was also voiced. Marc Gerritsen, Dutch Ambassador to Indonesia, praised the Roadmap and the Working Group as evidence of Aceh’s leadership in fostering multi-stakeholder collaboration and ensuring palm oil production benefits both people and the environment.
Meanwhile, Norway’s Special Envoy for Climate and Forests, Nils Hermann Ranum, described the initiative as a strategic move that positions Aceh to seize opportunities from the rising global demand for deforestation-free commodities. “We see strong commitment to building synergies among stakeholders, which is a crucial asset for Aceh’s success,” he said. (P2)
