Friday, December 11, 2009

Unilever suspen purchase from Sinar Mas Group

Unilever, the world's biggest user of palm oil, suspended purchases from Sinar Mas Group until the Indonesian company can prove that its plantations aren't contributing to deforestation in Asia.
The boycott will apply until Indonesia's biggest oil palm grower can provide verifiable proof that none of their plantations are contributing to the destruction of high conservation value forests and expanding onto peat lands, Rotterdam- and London based company said in a statement today.
Consumer-product companies like Unilever, Nestle SA and Procter & Gamble Co., the world's biggest, are switching to palm oil that comes from plantations and processing plants that have
been built without unlawfully clearing rainforests and peat lands in countries such as Indonesia and Malaysia. Unilever aims to double the palm oil it uses from sustainable sources by 2010.
PT SMART, a unit of Jakarta-based Sinar Mas, provides about 5 percent of all the palm oil that the Anglo-Dutch company uses in its sauces, detergents and ice creams. Unilever have plan to buy that palm oil from other Indonesian companies, he said.

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