InfoSAWIT, SINGAPURA - Golden Agri-Resources (GAR) announced the success of the company to 100% of traceability to the plantation for 44 palm oil factories (POFs) belonging to GAR itself.
It means, about 39% of the crude palm oil (CPO) production of GAR could be fully traded in 2017. In the same time, GAR now cooperates with 427 other independent suppliers to map their chain of supply and try to be 100% in traceability to the plantation by the end of 2020.
The first solution process of what GAR has planned covers the fresh fruit bunch that is bought both from the traders and the independent smallholders and from GAR’s plantation and the plasma smallholders. This also means, the company could cover more than 70 traders that bought from 11 thousand independent smallholders that cultivate more than 44 thousand hectares.
“After we surpassed 100% of traceability until to the factory in 2015, we started everything that might be ambitious in this industry, that is, to trace more than seven million of tons of palm oil through 471 factories up to the plantation where the trees grow. Through this journey, we have fast and good progress by involving thousands of smallholders and independent suppliers and by suppporting the partners, we do believe to get the ambition in 2020,” CEO GAR, Franky Oesman Widjaja said in the official statement to InfoSAWIT, Tuesday (27/2).
Meanwhile Director Sustainability and Strategic Stakeholder Engagement at GAR, Agus Purnomo, said, the traceability means not only to guarantee the source of material that GAR processed but also to be the pillar of the company to involve the suppliers heading to the better changes.
“Before we help them changing their business and join us to develop responsible and tough palm oil industry, we should know their background in the first place,” Agus said.
Then we should get the full traceability to the third sides independent suppliers to the factories of GAR. Having much experience in involving the smallholders, it would be very possible for them to implement the process in full traceability within the goal, to realize it by the end of 2020.
In 2017, GAR visited more than 40 factories to validate and assesst the obidience about the responsible practices, just like it is in GAR Social and Environmental Policy (GSEP).The analysis result of every supplier might be possible for GAR to support them, make adjustable strategy, and help them to implement the responsible practices.
According to the report of the company, GAR now cooperates with the network of the partners to support the independent suppliers to trace and verification process and provide the basic thing to ensure the obidience in GSEP. (T2)