Ultimately we aim to achieve 100% compliance (to our NDPE policy) and traceable by 2025 for the group, however our Principle of Shared Prosperity shall be applied to the way we engage with our suppliers and their supply base. We shall always strive for inclusivity and in doing so we aim to collaborate or participate with various parties that share the same goals as us; to improve the quality of life of oil palm farmers, create a more prosperous palm oil industry, and enable us to better conserve our planet and its resources.
The Wahau , Bengalon and Karangan will be our first priority for compliance, being the dominant area which we source our FFB supply, the number of Crude Palm Oil (CPO) mills in the landscapes and the percentage of total CPO produced by volume. Below is the timeline to implement our NDPE strategy :
We will start with Mapping and Registration of our Suppliers & Socialization of NDPE
We will obtain baseline information and datasets of all critical data from which all of our palm oil mills source from third party FFB suppliers through registration of third party suppliers, comprising of all names of suppliers (including smallholder); as well as geolocation and parcel mapping. The dataset, is used for implementation and the continuous monitoring of the NDPE compliance with frequent updating and verification.
By socialization and various interventions, we aim to introduce our suppliers to DSN GROUP’s FFB sourcing policies and NDPE requirements, followed by signing of a Commitment and Code of Ethics letter that reflects the specific NDPE criteria of which third party suppliers must conform to
We will pro-actively engage with suppliers and support them in becoming compliant through tailored supplier roadmaps and through technical support, especially for smallholders with high-risk, that covers:
- Capacity building for Cooperatives and Agents
- Smallholder inclusion
- Training and awareness raising directly or through community-based platforms, on matters such as:
- Forest conservation
- Best Management Practices
- Legal land tenure
- HS & No Exploitation
- Plantation Mapping
- Grievance mechanisms
The roadmap with implementation milestones serves as the basis of our engagement with third party suppliers that are non-compliant during the initial gap analysis. The indicative timelines for completing roadmap is:
- 3 – 6 months for Independent Plantation Companies.
- 6-12 months for SAPRODI and External Co-operatives.
- 6-18 months for Agents.
The roadmap shall exhaust all possible solutions to addressing NDPE non-compliance issues with smallholders and agents from the supply chain as our commitment to inclusivity.