Did you know that only 19% of palm oil production is certified by the Roundtable on Sustainable Palm Oil (RSPO)?
Palm oil plantations have a devastating impact on the world’s ecosystem: it leads to air, soil and water pollution, soil erosion, as well as climate change.
Large areas of tropical forests and other ecosystems with high conservation values have been cleared to make room for vast monoculture oil palm plantations. This clearing has destroyed critical habitat for many endangered species—including rhinos, elephants, and tigers. Palm oil is in nearly everything – it’s in close to 50% of the packaged products we find in supermarkets, and its production is said to have been responsible for about 8% of the world’s deforestation between 1990 and 2008.
RSPO is a not-for-profit that has developed a set of environmental and social criteria which companies must comply with to produce certified palm oil. This can help minimize the negative impacts of palm oil on the environment and communities.
Moreover, companies and investors are realizing the environmental and social impacts of the palm oil supply chain. In the Household and Personal product standard in the consumer goods industry from the Sustainable Accounting Standards Board (SASB), the amount of palm oil sourced as a percentage and certified through the RSPO supply chains is a material accounting metric. The amount is disclosed in metric tons for each of the RSPO supply chain models: Identity preserved, segregated, mass balance or book & claim.
To learn more on palm oil and the RSPO certification, we suggest you visit these links: