Wilmar and MSPO aid Malaysian millers

A NEW partnership between Wilmar International Limited, an agribusiness group in Singapore, and the Malaysian Palm Oil Certification Council (MPOCC), will assist Wilmar’s suppliers to obtain the Malaysian Sustainable Palm Oil (MSPO) certification by the end of 2019.

To attain MSPO certification, over 260 mill suppliers in Malaysia – or 55% of the country’s mills –will undergo a two-year groundwork based on knowledge sharing and support.

Performance appraisal tool

First, Wilmar will provide them with a Supplier Reporting Tool that enables suppliers to measure their performance against the MSPO requirements and with Wilmar’s No Deforestation, No Peat, No Exploitation (NDPE) Policy. This will help Wilmar and MPOCC identify gaps and deploy resources such as audit assistance more effectively. The tool is expected to be rolled out towards the end of March 2018 to suppliers of Wilmar’s PGEO refinery in Johor Bahru. It will be extended to all of Wilmar’s suppliers in Malaysia by the end of 2018.

Focus on Sabah palm oil growers

Wilmar has identified several small and medium growers in the Sapi region who are facing challenges in meeting the MSPO requirements. These suppliers will be linked to specific mills  and will have access to training and assistance for group certification under the MSPO  Certification Scheme.

Sustainable best practices training for suppliers in Sarawak

Wilmar and MPOCC will assist on capacity building for suppliers in Sarawak to adopt sustainable practices including good agriculture practices which forms part of MSPO requirements.

Jeremy Goon, Chief Sustainability Officer at Wilmar said, “We have always believed that working together with the different actors across the supply chain is crucial in transforming the palm oil industry. With MPOCC, our collective effort will hopefully pave the way forward for a sustainable palm oil industry in Malaysia that includes smallholders benefiting from higher productivity, yields and income. We also see this as a step towards higher compliance and fulfilling Wilmar’s commercial policies as well as meeting demands from consumers globally for certified sustainable palm oil.”

Datuk M. Nagarajan, Chairman of MPOCC, said, “MPOCC welcomes the initiative by Wilmar towards promoting and sourcing from MSPO certified entities in the supply chain. In addition, the initiative by Wilmar will also encourage other major plantation companies to extend their cooperation by bringing on board their suppliers towards meeting mandatory MSPO certification by end 2019. We believe this will further enhance the positive image of certified sustainable palm oil from Malaysia to the global markets.”