Press Releases GAR and Wilmar Call for Closer Collaboration to Find Solutions to Indonesian Palm Oil Sector Labour Challenges

Bangkok/Singapore, 7 November 2016 – Golden Agri-Resources (GAR) and Wilmar International Limited (Wilmar) call for closer collaboration from all stakeholders in the Indonesian palm oil sector to help find improvements and solutions to existing labour challenges. The two companies announced their collaboration with Business for Social Responsibility (BSR), a global non-profit organisation that works to build a just and sustainable world by developing sustainable business strategies and solutions. The collaboration will begin with a review of current labour practices in the palm oil sector in Indonesia, and is intended to formulate practical approaches to improving labour practices.

Focusing on three major oil palm regions in Indonesia: Riau, North Sumatra and Central Kalimantan, the review will identify current common practices, policies and regulations across the industry. There is recognition of the need to improve labour practices and conditions across the palm oil sector, including in Indonesia, which is the world’s largest producer of CPO. The review is aimed at assessing gaps in the existing practices and finding practical business processes and solutions to address the key labour challenges in this sector.

GAR’s Managing Director for Sustainability, Agus Purnomo, said, “As a company with a proud heritage of Indonesian employment, GAR is committed to a sustainable plantation workforce. We see labour as the next important area of focus in implementing our social and environmental policy (GSEP) and believe this study can provide new insights into how we encourage future farmers, farm and mill workers essential to the sector.”

Wilmar’s Chief Sustainability Officer, Jeremy Goon, said, “The palm oil sector workforce forms the backbone of our company, and also the industry. We recognise that there are issues, and we are committed to addressing them. Our industry needs all the help and expertise that is available, and we therefore call for constructive collaboration to help find and develop solutions that will truly benefit the workers.”

GAR and Wilmar are among the largest plantation owners in the world, each with strong sustainability commitments, including to uphold international core labour standards. Both companies recognise that labour issues in the palm oil industry are diverse and complex, therefore a collaborative effort is needed to identify, mitigate and address the root causes on the ground. It is hoped that the outcome of the study by BSR will contribute to an industry-wide movement to improve labour standards.

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ABOUT BSR

BSR is a global non-profit organisation that works with its network of more than 250 member companies and other partners to build a just and sustainable world. From its offices in Asia, Europe, and North America, BSR develops sustainable business strategies and solutions through consulting, research, and cross-sector collaboration. www.bsr.org/en/

ABOUT GAR

GAR is one of the leading palm oil plantation companies with a planted area of more than 480,000 hectares (including smallholders), located in Indonesia. It has integrated operations focused on the production of palm-based edible oil and fat.

GAR is focused on sustainable palm oil production. In Indonesia, its primary activities include cultivating and harvesting of oil palm trees; processing of fresh fruit bunch into crude palm oil (CPO) and palm kernel; merchandising and refining CPO into valueadded products such as cooking oil, margarine and shortening. It also has operations in China and India including a deep-sea port, oilseeds crushing plants, production capabilities for refined edible oil products as well as other food products such as noodles. For more information visit: www.goldenagri.com.sg

ABOUT WILMAR’S SUSTAINABILITY

As a leading agribusiness group, Wilmar recognises we have a fundamental role to play in developing quality products required by the world while ensuring a responsible and sustainable manner of production. We adopt a holistic approach to sustainability that is fully integrated with our business model. Guided by the philosophy that our business must enhance stakeholder value while minimising our environmental footprint, our business practices are aligned with universally acceptable social and environmental standards. Wilmar’s No Deforestation, No Peat and No Exploitation policy underpins our aspiration to make a positive impact and drive transformation across the palm oil industry.

For more information, go to www.wilmar-international.com/sustainability.

MEDIA CONTACTS

Golden Agri-Resoruces
Archana Shah
archana.shah@cohnwolfe.com
(+65) 9182 4004

Wilmar International Limited
Iris Chan
Corporate Communications
iris.chan@wilmar.com.sg