• 97.5% deforestation-free supply: Unilever’s key crops independently verified.
• 20 million hectares monitored: Using advanced satellite data and imagery.
• 36,000 smallholder farmers mapped: Enhancing traceability and transparency.

Innovative Approach to Sustainable Palm Oil

Unilever is leveraging technology to ensure a deforestation-free palm oil supply chain while supporting smallholder farmers. Rauf Prasodjo, Senior Manager for Sustainable Sourcing, shares insights into this transformative journey.

“We’re determined to grow our business without compromising the protection and regeneration of natural ecosystems,” says Prasodjo.

Technological Integration

• Satellite Data & Imagery: Over 20 million hectares in Southeast Asia are monitored for deforestation.
• Geolocation & Blockchain: Enhancing traceability and ensuring data integrity.
• Earthqualiser Partnership: Using high-quality concession data and satellite monitoring.

Challenges & Solutions

Tracing palm oil from smallholder farms through various agents and middlemen posed a significant challenge. Traditional 50km radius monitoring around mills wasn’t precise enough.

Prasodjo recalls, “One of my first jobs was with a global environmental think tank in Indonesia, where I saw the devastating impact of deforestation.”

Progress & Partnerships

By the end of 2023, Unilever’s key commodities were 97.5% deforestation-free. This success involved collaboration with suppliers, local communities, governments, and technology partners.

“Our efforts required collaboration with many like-minded partners,” states Prasodjo.

Impact on Smallholder Farmers

Direct sourcing programs and development hubs have engaged independent mills and smallholders. Unilever has mapped over 36,000 smallholder farmers and trained 34,000 on good agricultural practices.

“Purchasing directly from smallholders helps boost their productivity and income,” Prasodjo explains.

Transparency & Certification

Efforts to map and train smallholders have led to improved traceability, transparency, and higher-quality crops. Unilever has also helped 14,000 smallholders become RSPO certified.

“These initiatives bring us closer to closing the living income gap and protecting the environment,” Prasodjo notes.

Related Article: Unilever’s Bold Climate Advocacy: Driving Systemic Change

Driving Industry Change

Unilever’s commitment to deforestation-free palm oil aligns with regulatory standards from the US and the EU. By investing in infrastructure and strengthening partnerships, Unilever aims to drive industry-wide change.

“Being able to confidently say we are deforestation-free matters not only to us but also to our consumers and civil society organisations,” Prasodjo emphasizes.

For more information, visit Unilever’s Sustainability Hub.