Congratulations to JFL, our Malaysian concession, for receiving the Malaysian Sustainable Palm Oil (MSPO) certification. The industry-recognised MSPO certification sets a high benchmark for the responsible management of palm oil plantations, smallholdings and palm oil processing facilities.
Palm oil is one of the world’s most versatile vegetable oils, straddling a range of industries from food to cosmetics to biofuel. As such, global production of palm oil has risen steadily for decades; annual production quadrupled from 1995 to 2015 from 15.2m tonnes to 62.6m tonnes. By 2050, production is predicted to quadruple again, reaching 240m tonnes. Consequently, a fair and sustainable supply chain is a global necessity.
Whilst the JFL palm oil plantations represent a relatively small percentage of our wider operations at approximately 2% of our total global hectarage, we strive for the highest industry standards. The MSPO assessment process is run by an accredited third party certification body to verify that the palm oil management is in compliance with enhanced production requirements, demonstrating environmental and socio-economic sustainability whilst minimising impact. The standard applies to all stages of production from nursery seedlings, to field planting, to the dispatch of Fresh Fruit Bunches (FFB), to the third-party oil mills.
Advantages of the MSPO include the following:
The certification process was completed in two phases across the Lebir, Ulu Nenggiri and Laloh Estates from March 2018 until July 2020. Consultations were carried out with stakeholders including surrounding villages and indigenous communities, oil mills, neighbouring plantations and a government agency. JFL employees benefitted from in-house training sessions conducted by MSPO consultants and, whilst the assessments concerned the oil palm cultivar, the processes have additionally improved the management of JFL’s rubber cultivar. Going forward, an annual surveillance will be carried out by external auditors until 2024 to ensure continued adherence to the standards.