3rd ICIS Asian Oleochemicals Conference

Category: News Published: Friday, 13 February 2015

More traceability actors against RSPO

AOMG participated in the 3rd ICIS Asian Oleochemicals Conference held from 4 to 5 February at the Park Royal Hotel in Kuala Lumpur. Ir Qua Kiat Seng, AOMG Advisor, presented a paper prepared in consultation with Mr Choong Wai Tuck, AOMG RSPO TWG Chairman. The paper was titled “Oleochemicals and Sustainability”.  Ir Qua showed that RSPO continued to be diluted by numerous traceability platforms. The UN’s Guide to Traceability published in 2014 listed a dozen traceability actors for palm oil with RSPO as the very first. Today there are at least half a dozen more new actors. Ir Qua also emphasized that AOMG members as staunch supporters of RSPO is the gateway for sustainable and traceable palm based oleochemicals. Whilst AOMG has opened the gate there still needs to be a market pull for substantial physical certified sustainable palm oleochemicals uptake in the supply chain. Ir Qua’s paper was chaired by Mr Madhav C Menon, Director Marketing & Sales, SINARMAS. Click here to view Ir Qua’s paper.

There was also a panel discussion on “Working towards sustainability in the oleochemicals value chain”. The discussion was chaired by Mr U R Unnithan, Executive Director, Carotino. The panel members were Mr Tan Kean Hua, Executive Director, IOI Oleochemicals, Mr Saikrishna Devarakonda, Managing Director, Unilever and Ir Qua Kiat Seng.

Mr Tan stated that traceability is not equal to sustainability. He expressed concerned that MNC’s own traceability schemes whilst passing the audit cost to the supplier bypassed paying the premium rightly earned and due to the plantation and small holders who were RSPO certified.

Mr Saikrishna said that Unilever is continuously reviewing its palm oil policy and at the moment 58% of its palm oil is from known traceable sources. Unilever’s brands using palm oil will be sustainable by 2020.



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