At Musim Mas, our journey in the palm oil industry is not just about producing quality palm oil products; it’s also about fostering responsible practices and building lasting relationships. As an integrated palm oil player, we source nearly 90% of the palm oil from third-party suppliers, with our refineries sourcing from more than 400 suppliers. Third-party supplier mills and independent smallholders comprise the bulk of our external supply base.
Central to our mission is our unwavering commitment to supplier engagement, a cornerstone of our Sustainability Policy. Our 2020 Sustainability Policy emphasizes the vital role of maintaining responsible and lasting partnerships with suppliers, customers, and stakeholders.
We recognize that achieving our ambitious goals, particularly our No Deforestation or NDPE commitments, necessitates collective action. To drive positive transformation across third-party supply chains and entire landscapes, we collaborate closely with like-minded partners from the private and public sectors, as well as civil society. Together, we work towards the shared vision of ending deforestation while promoting sustainable livelihoods, underlining the significance of cooperation and collaboration among all stakeholders.
Musim Mas invests significant resources to trace the source of our palm oil through meticulous traceability data collection. This allow us to monitor and engage our suppliers and ensure the sustainable practices of our palm oil suppliers.
Our NDP Risk Management Framework (RMF) outlines how we identify, assess, mitigate, and monitor NDPE risks in both our independent mills and those of our third-party suppliers.
We proactively monitor our supply chain to detect and confirm deforestation, development of peat, and fires.
We focus on positive engagement by delivering tailored solutions and technical assistance to build our suppliers’ capacity and enhance their (environmental) performance.
We use the industry-leading NDPE Implementation Reporting Framework (IRF) reporting tool to systematically assess our supplying mills’ progress on implementing industry No Deforestation and No Peat commitments.
Beyond engaging with mills, we also work with multi-stakeholders in priority landscapes to effect lasting change in our sector.
As part of our due diligence, we publicly assess suppliers on land conflicts and other exploitation-related grievances, and self-report on potential social risks through the Musim Mas’ Self-Assessment Tool.
Grievances management addresses non-compliances and NDPE violations, fostering transparency, accountability, and proactive collaboration with suppliers to close gaps and enhance our responsible supply chain.
Given that smallholders represent 41% of Indonesia’s production area, our commitment lies in actively involving them and supporting their adoption of efficient farming standards, aligning with our overall dedication to building a responsible supply base.
