You have 0 pages in your custom report
Sustainable Palm Oil
Palm oil is the most widely used vegetable oil in the world and a common ingredient in many personal care products. Because of growing populations and demand for such products, demand for palm oil has never been higher and is expected to increase.
The global output of palm oil is around 50 million tons per year. The increasing demand for palm oil, which comes from oil palm trees (Elaeis guineensis), has led to conversion of high-conservation value forests, compromised the biodiversity of some ecosystems, contributed to the destruction of habitats for some species and generated social conflicts between indigenous communities and growers.
Johnson & Johnson companies use a tiny fraction of this total — approximately 75, 000 tons or less than 0.2 percent annually. Yet, we take our responsibility to protect the environment and our natural resources seriously so we are doing our part to create demand for palm oil grown sustainably. Our sustainable palm oil journey started in 2006, when Johnson & Johnson joined the Roundtable on Sustainable Palm Oil (RSPO), a not-for-profit organization that promotes the growth and use of sustainable palm oil. Members commit to raising the global standards of the palm oil industry, from end to end of the supply chain.
In 2010, we announced a set of Healthy Future 2015 goals including our goal to source 100% of our palm oil and ingredients derived from palm oil from certified sustainable sources by the end of 2015. Most of the palm oil that Johnson & Johnson companies buy is not directly from the plantations where it is grown. Rather, we purchase surfactants, conditioners and emulsifiers that are derived from the class of chemicals called “oleo-chemicals” (chemicals derived from a plant or animal fat), derived from palm oil. Palm oil supplies from different plantations, processing plants and countries are intermingled at each stage of the production and delivery process making it very difficult to verify the origins of the raw materials used to produce the oleo-chemicals we use in our supply chains. But, as the palm oil industry evolves, that is expected to change. We are a part of a number of groups within the RSPO focused on developing the ability to track and trace certified sustainable palm oil throughout the supply chain. This capability will be critical to us achieving our ultimate goal.
In the meantime, we purchase Greenpalm certificates to demonstrate our commitment to sustainable palm oil production. In fact, since 2010, we have purchased enough Greenpalm certificates to cover 100% of our estimated usage of palm oil. The money we pay for the Greenpalm certificates directly benefits the palm oil producers that are certified against standards defined by the RSPO. One of our Greenpalm certificate providers is United Plantations, one of the first plantations to be RSPO certified. Sustainable palm oil will become increasingly visible not only to us as purchasers but also to consumers. The RSPO offers a trademark, or logo, that its members can use on product packaging, Web sites and other communications. The logo signifies that the company’s product contributes to the sustainable cultivation and production of palm products, not necessarily that the product contains certified sustainable palm oil.
Our LE PETIT MARSEILLAIS® bar soap--the leading bar soap in France--is the first product in the French beauty market to use the RSPO GreenPalm logo on packaging.
Greenpalm certificates are one component of our global palm oil sourcing strategy that we developed to achieve our longer term 2015 goal of certified sustainable palm oil. Our strategy includes engaging our suppliers to also participate in the RSPO and collaborating with nongovernmental organizations (NGOs) to make a real difference on the ground. We support a number of projects aimed at improving the yields of Fresh Fruit Bunches (FFB’s) from family-based enterprises (smallholders), improving the use of currently damaged or degraded land and increasing the global awareness of certified sustainable palm oil.
Here are some examples of our partnerships:
Johnson & Johnson is supporting a project with the World Wildlife Fund to map the supply chain of palm oil in Riau, Sumatra, Indonesia. The goal of this project is to increase the capacity of smallholders in the region and to determine a workable model for smallholder certification.
"Johnson & Johnson understands that the long term viability of their business depends on conserving the places where they source materials. To this end, they continually demonstrate leadership in driving sustainable production of palm oil products. Through their membership in the Roundtable on Sustainable Palm Oil, they have raised expectations for suppliers and participated in technical discussions to collectively build sustainable supply chains. Additionally, by purchasing certified and sustainable palm oil certificates, they are advancing progress on the ground, whether it be smallholder engagement projects or by funding important research. As a result, Johnson & Johnson customers can know their purchases are not contributing to deforestation and habitat loss for some of the world’s most threatened species. We applaud Johnson & Johnson for this work and leadership and encourage other palm oil buyers to follow their lead". -David McLaughlin, (Vice President of Agriculture at WWF)
Johnson & Johnson is working with the World Resource Institute to divert palm oil production to already-degraded lands to avoid deforestation and the associated greenhouse gas emissions, biodiversity loss and social conflict for indigenous peoples. Oil palm plantations cover around eight million hectares in Indonesia and are projected to cover an additional six million hectares by 2020. This expansion can benefit people and forests if it follows sustainable practices such as those promoted by the Roundtable on Sustainable Palm Oil, which include avoiding forested areas and prioritizing the use of degraded land. The project will part fund the development of a forest management and monitoring system.
Johnson & Johnson is working with Solidaridad to increase the production of certified sustainable palm oil from smallholders in Sarawak, Malaysia. Malaysia is the second-biggest palm oil producer in the world, and oil palms are an important source of income for the state and thousands of smallholder farms. This project aims to build practical, workable models to promote sustainable production by small plantation business and smallholders.
Johnson & Johnson is also working with Solidaridad to support the production of certified sustainable palm oil by smallholders in Ghana, West Africa. Only a few plantation companies in West Africa have become members of the RSPO and are working to ensure compliance with RSPO standards. This project aim’s to organize and train smallholders, improve their living and working conditions, increase their crop yields and revenues, and ensure certification within three years.