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Sustainable Palm oil: Don't turn your back on the rain forests

Author: Alex P. McDonald

Sustainability is the business buzz-word du jour for those companies that use palm oil. The biggest names in food, drink and toiletries are promoting their policies, be they plans to buy certified sustainable material in the next few years or an all-out boycott of the oil itself.

They can't afford not to, as the palm oil industry in Malaysia and Indonesia stands accused of clearing rain forest, creating high CO2 emissions and eradicating the homes of endangered species such as orang-utans. Companies are responding to pressure from campaigners and consumers.

Good for them. It looks good in the headlines and in CSR statements when a chocolate manufacturer says it's going to purchase palm oil only from a sustainable plantation in Papua New Guinea. But can the problem be solved by boycotting palm oil or cleaning up Europe's supply? Or will the problems in Malaysia and Indonesia go on regardless?

First of all, the palm oil industry provides an income for over a million people in Malaysia and Indonesia, so to eliminate it would be a huge economic blow. And more than two-fifths of the plantations are owned by smallholders whose output is consumed locally, rather than major companies who export their product.

The second point is that if Europe stops buying palm oil from Malaysia and Indonesia, that shortfall will go unnoticed among the huge amount consumed by India, China and other major markets.

Third, if ethically-focused markets ignore palm oil from Malaysia and Indonesia, what incentive will there be for producers to work sustainably? It will no longer be worth their while investing in audits, certification and changing their ways of working.


Fourthly, it's not palm oil that's the problem. It's the production methods that need to be tackled. Palm oil has become popular because it's the fastest-growing and highest-yielding oil crop on the planet, needing ten times less land than any other. In a world where rapid population growth demands a food supply, swapping palm oil for one that needs more land to grow would bring even greater problems, on a bigger scale.

Ultimately, sacrificing the odd biscuit, soap or ready-meal containing palm oil might make you feel like an eco-crusader, but it's not going to tackle the real issues. Palm oil is here to stay, so if you're really concerned, your time is better spent supporting their drive towards sustainable production.

Shunning palm oil from Malaysia and Indonesia may well give you some good headlines. But don't be misled. While you bask in the warm glow of your green boycott, you'll be turning your back on the rainforests and the orang-utan, not helping to save them.
To find out more about sustainable palm oil, visit the GreenPalm site about sustainable palm oil and see how you can back sustainable production.
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