IOI Corporation Berhad (IOI) continues to enhance collaboration with suppliers to uphold our commitments in implementing the IOI Sustainable Palm Oil Policy (SPOP). Our commitments to sustainability are built on the principles of complying with all relevant legislation and codes of practice. We have been communicating these commitments and request all our third-party palm oil suppliers to adhere to them.

To support their transformation and compliance with our policy commitments, we conduct briefings related to No Deforestation, No New Development on Peat and No Social Exploitation (NDPE), as well as the European Union Deforestation Regulation (EUDR) at mill and plantation levels, including with smallholders.

IOI Responsible Sourcing team communicates the necessary due diligence requirements to our suppliers to ensure compliance with the definition of deforestation-free as per the cut-off date of 31 December 2020. This includes the requirements outlined in Article 9 (information requirements), Article 10 (risk assessment) and Article 11 (risk mitigation). Earlier this year, we took the opportunity to socialise the NDPE and EUDR with both internal and external suppliers of Rimba Nilai Palm Oil Mill during their stakeholders’ engagement. We stressed the importance of collecting key traceability information, such as geolocation information and proof of legality, including aspects of human rights.

Maintaining harmonious two-way communication puts oil palm companies in a better position to understand the local context, enabling them to chart appropriate measures to ensure their daily operations continue to enhance, rather than deteriorate, the well-being and quality of life for both workers and locals. Our suppliers have been informed about IOI’s grievance procedure, which requires them to carry out appropriate measures where applicable to adequately address all non-compliant activities. To ensure transparency, we report the status of grievances involving the affected stakeholders on our website.