PALMOILMAGAZINE, JAKARTA — Efforts to ensure a deforestation-free palm oil supply chain are entering a new era of transparency. Global food and beverage giant Nestlé has launched a public transparency dashboard to update stakeholders on its progress, insights, and ongoing challenges in eliminating deforestation across its palm oil supply network.
According to the company, much of the data displayed on the dashboard is sourced from Starling, a satellite-based monitoring system Nestlé has used since 2019 to oversee its entire global palm oil supply chain. The system is supported by on-the-ground investigations conducted in collaboration with suppliers and partner organizations.
Since 2017, Starling has helped Nestlé analyze complex deforestation patterns in palm oil-producing regions, including the locations of forest loss, key drivers, and the actors involved. These insights enable the company to identify risks around supplier mills, prioritize corrective actions, and map potential future deforestation threats.
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“A data-driven approach allows us to engage suppliers in a more constructive and fact-based way,” said Benjamin Ware, Nestlé’s Global Head of Responsible Sourcing, as quoted by Palmoilmagazine.com from the company’s official website on Thursday (1/1/2026). He explained that when the system detects alerts, Nestlé immediately contacts the relevant suppliers to verify whether the findings are linked to its supply chain and to assess what mitigation steps are being taken.
When necessary, Nestlé, together with Earthworm Foundation and its suppliers, deploys field teams to validate satellite imagery. The results of these investigations form the basis for corporate decisions, including potential suspension of business relationships if violations are confirmed.
Starling data also highlights the scale of the challenge. While deforestation rates have declined in some regions, forests remain under significant pressure. In 2021 alone, nearly 97,000 deforestation alerts were recorded globally within a 50-kilometer radius of Nestlé’s supplier mills—equivalent to an estimated forest loss of about 435,000 hectares. However, the company emphasized that such alerts do not automatically indicate a direct link to palm oil or Nestlé’s supply chain, requiring further verification.
Another key finding points to a shift toward small-scale deforestation. More than half of global forest loss since 2016 has resulted from land clearing of less than five hectares, indicating growing pressure from smallholder-driven activities.
In response to these trends, Nestlé launched its Forest Positive Strategy in 2021, focusing on forest conservation and restoration, enhanced supply chain transparency, and stronger support for smallholders, who account for around 40 percent of global palm oil production. The company stressed that without cross-sector collaboration and supportive public policies, achieving deforestation-free palm oil on a lasting basis will remain a significant challenge. (P2)
