Neste resumes sourcing from palm oil company IOI

Neste Corporation
News
19 December 2017

Neste resumes sourcing from palm oil company IOI

Neste resumes raw material sourcing from Malaysian palm oil company IOI after approximately 1.5-year-long suspension.

On April 12 in 2016, Neste announced that it had suspended raw material purchasing from IOI after the Roundtable on Sustainable Palm Oil (RSPO) suspended IOI Group's certification for the company's palm oil production due to environmental issues.

Neste's decision to resume purchases is a result of progress IOI has demonstrated. Neste has been pleased to see IOI's efforts to resolve the environmental issues detailed in the RSPO grievance, as well as to change and develop its working practices, particularly on foreign migrant worker conditions and their treatment in the workplace. Thanks to IOI's progress, RSPO reinstated IOI's certification on 8 August, 2016. Certification is one of the requirements Neste's has for all its palm oil suppliers. IOI has also received positive feedback for its sustainability progress, for example, from Rainforest Action Network and Finnwatch.

Throughout the suspension period, Neste continued engaging with IOI, RSPO, several NGOs, third party auditors, and other companies sourcing palm oil from IOI to support the company's efforts and to monitor its progress. Like with all its palm oil suppliers, Neste will continue close engagement with IOI also in the future to understand the company's plans, monitor their performance, and to support the company in its continuous development.

All the crude palm oil that Neste uses has been fully traceable to the oil palm plantations since 2007, and 100% certified since 2013. Neste's supply chain of crude palm oil is fully transparent and information regarding it can be found on http://nestepalmoildashboard.com/. Comprehensive information about the company's crude palm oil supply chain in 2017 will be published at the end of first quarter in 2018.

For more information:
Johan Lunabba, Director, Sustainability, tel. +358 50 458 0795, johan.lunabba(@)neste.com

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Neste in brief

Neste (NESTE, Nasdaq Helsinki) creates sustainable choices for the needs of transport, businesses and consumers. Our global range of products and services allows customers to reduce their carbon footprint by combining high-quality renewable products and oil products to tailor-made service solutions. We are the world's largest producer of renewable diesel refined from waste and residues, and we are also bringing renewable solutions to the aviation and plastics industries. We want to be a reliable partner, whose expertise, R&D and sustainable practices are widely respected. In 2016, Neste's net sales stood at EUR 11.7 billion, and we were on the Global 100 list of the 100 most sustainable companies in the world. More information: neste.com