Bangkok, 22 November, 2024 – Asian Agri, Apical and Kao celebrated a significant milestone as Novie Zulhi, an independent smallholder under the “SMallholder Inclusion for better Livelihood & Empowerment” (SMILE) programme, receive recognition on behalf of his cooperative as a Newly Certified Independent Smallholder Group for 2023/2024. The Roundtable on Sustainable Palm Oil (RSPO) certification was presented by the Chief Executive Officer of RSPO, Joseph D’Cruz, on 11 November 2024, at the Annual RSPO Conference (RT2024) in Bangkok, Thailand.
Novie, head of the Perkumpulan Kotani Mandiri Bersama (PKMB) cooperative in Merlung Village, Jambi, with 211 cooperative members who collectively manage 330 hectares (ha) of land, shared that since achieving RSPO certification in 2023, his cooperative has grown to include 471 smallholders and more than 750 ha, as the rest of it will be also process for RSPO certification by this December.
In addition to recognise their sustainable practices, RSPO certification also enables independent smallholders to obtain additional benefit (premium) from Kao as part of their commitment to increase independent smallholders’ livelihood. This has been a significant support for PKMB members to fulfil their needs such as fertiliser, pesticide, etc.
“Receiving the RSPO certification at this prestigious event attended by industry leaders across the globe is incredibly meaningful, and a proud moment for me and the PKMB cooperative,” said Zulhi. “This certification not only brings international recognition to our sustainability efforts but also adds value to our oil palm products. It motivates us to keep investing in responsible farming, so we can create more and lasting value for our members and our children.”
Since its inception in 2020, the SMILE programme has engage 3,489 independent smallholders. A collaborative initiative between Asian Agri, Apical and Kao, the programme aims to enhance the welfare and economic stability of smallholders by addressing challenges that directly impact productivity. It focuses on strengthening Good Agricultural Practices (GAP) and promoting sustainable, climate-resilient farming techniques.
Ivan Novrizaldie, Head of Sustainability at Asian Agri, highlighted the company’s commitment to continually improve the independent smallholders’ livelihood, with the aim of building a sustainable and equitable palm oil industry that benefits all stakeholders.
“The success of Novie and his cooperative is a testament to the power of collaboration, their determination to completing the audit process and their commitment to sustainable farming practices. We are proud of our partner smallholders who have earned their RSPO certification,” he said.
Chandramohan Nair, Head of Sustainability at Apical, emphasised that sustainability is a shared responsibility among all stakeholders. He explained that the SMILE programme drives positive impact through collaboration across the supply chain – upstream, midstream and downstream – with a strong focus on inclusivity to ensure independent smallholders are not left behind as the industry transitions towards sustainable practices.
“We launched the SMILE programme to address the socio-economic challenges impacting smallholders by providing training and workshops to enhance technical skills. We are pleased that our support has helped independent smallholders to meet the stringent certification requirements of RSPO, and will enable them to access to global markets and earn premiums,” said Nair.
Terasawa Kenji, Vice President, Procurement Strategic Sourcing, Raw Material, Global of Kao Corporation, commended the achievement of the independent smallholders, “Independent smallholders are in particular vulnerable to market challenges. Having seen the progress made thus far, we are looking to expand the programme to empower more independent smallholders to have a share in the global supply chain, thereby strengthening their livelihood resilience for the long term,” he said.
The SMILE programme aims to empower 5,000 independent smallholders by 2030 through improve yields, increased incomes and RSPO certification. Now in its fourth year, 3,489 smallholders have been enrolled into the programme, of which 1,373 have achieved RSPO certification, marking a significant progress toward our goal.
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About Asian Agri
Founded in 1979, Asian Agri is one of Indonesia’s foremost companies in crude palm oil production, managing over 100,000 hectares of oil palm plantations and employing over 200,000 people.
As a pioneer of the Indonesian Government’s Smallholder Transmigration Core Plantation Programme (PIR-Trans), Asian Agri has partnered with 30,000 scheme smallholders in Riau and Jambi, who collectively manage 60,000 hectares of oil palm plantations. The company also fosters partnerships with independent smallholders to enhance their welfare and drive socio-economic growth.
Committed to sustainable practices, Asian Agri upholds a zero-burning policy and implements plantation best management practices to help smallholders boost productivity, increase crop yields, and improve supply chain traceability, while supporting their journey towards certification. Asian Agri’s mills leveraged advanced technology and self-generated green energy to minimize greenhouse gas emissions.
Asian Agri’s plantations, as along with their scheme smallholder plantations, are fully Roundtable on Sustainable Palm Oil (RSPO) and International Sustainability & Carbon Certification (ISCC) certified, underscoring the company’s commitment to responsible and sustainable palm oil production.
For more information, please visit the Asian Agri website.
About Apical Group
Apical is a leading vegetable oil processor with an expanding global footprint. Our vertically integrated mid-stream refining and value-added downstream processing makes us an integral supplier that supports the needs of various industries namely food, feed, oleochemicals and renewable fuel, including sustainable aviation fuel (SAF) which enables a great reduction of CO2 emissions.
With integrated assets in strategic locations spanning Indonesia, China and Spain, Apical operates numerous refineries, oleochemical plants, renewable fuel plants and kernel crushing plants. Through joint ventures and strategic partnerships, Apical also has processing and distribution operations in Brazil, India, Pakistan, Philippines, Middle East, Africa, USA and Vietnam.
Apical’s growth is built on the foundations of sustainability and transparency, and motivated by our strong belief that we can contribute to a circular economy for a more meaningful impact, even as we continue to grow our business and deliver innovative solutions to our customers.
For more information, please visit the Apical website.
About Kao
Kao creates high-value-added products and services that provide care and enrichment for the life of all people and the planet. Through its portfolio of over 20 leading brands such as Attack, Bioré, Goldwell, Jergens, John Frieda, Kanebo, Laurier, Merries, and Molton Brown, Kao is part of the everyday lives of people in Asia, Oceania, North America, and Europe. Combined with its chemical business, which contributes to a wide range of industries, Kao generates about 1,530 billion yen in annual sales. Kao employs about 34,300 people worldwide and has 137 years of history in innovation.
Please visit the Kao Group website for updated information.
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Media inquiries may be directed to:
Corporate Communications, Asian Agri
E-mail: communications@asianagri.com
Corporate Communications, Apical Group
E-mail: corpcomm@apicalgroup.com or ask@smile2030.com
