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  • Overall approach
    4/12
    • Overarching commitment on deforestation
      0/4
      Commodity-specific commitment - commitment that does not apply to all of the commodities the company is exposed to
      0/4
      Commodities (if applicable): Palm oil; Soy

      Do they have a commitment for other non-Forest 500 commodities, if so which?:
      "We have raised our ambitions within several key areas: • By 2025, our palm oil and soy supply chains shall be 100 percent traceable and verified free from deforestation and conversion."
    • Signatory to an initiative tackling deforestation
      1/1
      Yes
      1/1
      Which initiatives?: UN Global Compact
      AAK is a Signatory of the UN Global Compact
    • Awareness of the value of forests
      1/1
      Yes
      1/1
      "Protecting biodiversity and ecosystems: Safeguarding forests and preventing conversion is crucial for biodiversity and tackling climate change. Today, deforestation accounts for 11 percent of the world’s global greenhouse gas emissions and it is one of the most severe environmental risks we face."
    • Deforestation as a business risk
      1/1
      Yes
      1/1
      Does the company recognise the risk as financial, operational, competition, reputational, or other? Please detail.: Reputational, production
      "We are continuously improving the resilience of the company with the future in mind. The value chain of edible oils and fats is connected to risk related to land use, increasing population, decarbonization, deforestation, land conflict, human rights abuses, and now, the impact of the Covid-19 pandemic. [...] Sustainable and responsible sourcing Most often, the requested credentials relate to our sustainable sourcing practices for raw materials. Many of our customers want to mitigate potential risks to their brand from their supply chain and are asking us to share traceability details, for example whether our palm is verified deforestation-free"
    • High-level management of deforestion
      1/1
      Yes
      1/1
      How often does the committee or board meet to assess company's progress on addressing deforestation-related issues?: regularly 

      Which commodities does it apply to?: Palm oil; Soy
      "AAK's Board of Directors has the overall responsibility for the company’s sustainability progress and performance. This responsibility also includes risk assessments in relation to different sustainability areas and especially with regards to climate change risks and diversity. The Board of Directors is informed regularly on sustainability and climate-related performance and AAK’s progress against set objectives and targets, risks and opportunities. The Board of Directors also approves the Sustainability Report [...] Monthly Executive Committee meetings are held where progress and necessary actions are reviewed, including AAK’s sustainability ambitions. The Chief Strategy & Sustainability Officer is a member of the Executive Committee and reports to the Board on sustainability matters. [...] The Better Sourcing commitment and ambitions are guided by the AAK Group Code of Conduct, the Palm oil Policy and the AAK Code of Conduct for Suppliers of Raw Materials, risk assessments, supplier assessment tools, dashboards and procedures for due diligence."
    • Executive compensation linked to deforestation
    • Target to reduce emissions from land-use change
      0/2
    • Reporting on emissions from land-use change
      0/2
    • Disclosure of conservation activity
    • Disclosure of reforestation activity
      Yes
      0/0
      How many hectares of reforestation or restoration are being or have been conducted or facilitated by the company?: 38.000 trees
      "By 2030, combat desertification, restore degraded land and soil, including land affected by desertification, drought and floods, and strive to achieve a land degradation-neutral world. [...] Through our tree planting partnerships we are contributing to the reforestation of shea parklands and agroforestry system and help fight desertification in the area. [...] During the 2019/2020 season, we started to invest in tree planting and tree planting trainings in the shea belt. Since season 2020/2021, we are supporting the “Action for Shea Parkland Management” driven by the Global Shea Alliance. So far, we have planted more than 38,000 trees and we have set the ambition to plant 150,000 trees until the end of season 2024/2025."
    • Target to reduce emissions in scope 1/2
  • Commodity score
    39/88
    • Palm oil
      55/88
      • Commitment Strength
        18/20
        • Commitment to protect priority forests
          8/8
          • Commitment details
            Zero-gross conversion
            6/6
            Commitment to protect priority forests
            Zero-gross conversion
            6/6
            Does the company have a commitment to the protection of other specific named ecosystems?: HCS; Peat

            Which certification schemes are used?: RSPO
            "We have raised our ambitions within several key areas: • By 2025, our palm oil and soy supply chains shall be 100 percent traceable and verified free from deforestation and conversion." [...]  AAK is committed to pursuing increased volume of RSPO certified raw material that it purchases, with the ultimate objective to achieve RSPO certification of all palm oil, palm kernel oil and derivatives purchased. • AAK sees a need for further progress towards full sustainability in the palm oil supply chain: beyond the current RSPO certification requirements. AAK is therefore also committed to sourcing palm oil that has been produced without conversion of High Conservation Value (HCV) areas, High Carbon Stock (HCS) forest or destruction of peatland, and where plantations development only takes place with the free, prior and informed consent (FDIC) of any affected local community."  
          • Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            "We have raised our ambitions within several key areas: • By 2025, our palm oil and soy supply chains shall be 100 percent traceable and verified free from deforestation and conversion." [...]  AAK is committed to pursuing increased volume of RSPO certified raw material that it purchases, with the ultimate objective to achieve RSPO certification of all palm oil, palm kernel oil and derivatives purchased. • AAK sees a need for further progress towards full sustainability in the palm oil supply chain: beyond the current RSPO certification requirements. AAK is therefore also committed to sourcing palm oil that has been produced without conversion of High Conservation Value (HCV) areas, High Carbon Stock (HCS) forest or destruction of peatland, and where plantations development only takes place with the free, prior and informed consent (FDIC) of any affected local community."  
          • Target date
            2025
            0.3/0.7
            Target date
            2025
            0.3/0.7
            "We have raised our ambitions within several key areas: • By 2025, our palm oil and soy supply chains shall be 100 percent traceable and verified free from deforestation and conversion." [...]  AAK is committed to pursuing increased volume of RSPO certified raw material that it purchases, with the ultimate objective to achieve RSPO certification of all palm oil, palm kernel oil and derivatives purchased. • AAK sees a need for further progress towards full sustainability in the palm oil supply chain: beyond the current RSPO certification requirements. AAK is therefore also committed to sourcing palm oil that has been produced without conversion of High Conservation Value (HCV) areas, High Carbon Stock (HCS) forest or destruction of peatland, and where plantations development only takes place with the free, prior and informed consent (FDIC) of any affected local community."  
          • Interim target date
            No
            0/0.3
        • Commitment to protect High Carbon Stock areas and/or peatlands
          5/5
          • Commitment details
            Yes
            3/3
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes
            3/3
            Type of commitment: HCS; Peat
            "We have raised our ambitions within several key areas: • By 2025, our palm oil and soy supply chains shall be 100 percent traceable and verified free from deforestation and conversion." [...]  AAK is committed to pursuing increased volume of RSPO certified raw material that it purchases, with the ultimate objective to achieve RSPO certification of all palm oil, palm kernel oil and derivatives purchased. • AAK sees a need for further progress towards full sustainability in the palm oil supply chain: beyond the current RSPO certification requirements. AAK is therefore also committed to sourcing palm oil that has been produced without conversion of High Conservation Value (HCV) areas, High Carbon Stock (HCS) forest or destruction of peatland, and where plantations development only takes place with the free, prior and informed consent (FDIC) of any affected local community."  
          • Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            "We have raised our ambitions within several key areas: • By 2025, our palm oil and soy supply chains shall be 100 percent traceable and verified free from deforestation and conversion." [...]  AAK is committed to pursuing increased volume of RSPO certified raw material that it purchases, with the ultimate objective to achieve RSPO certification of all palm oil, palm kernel oil and derivatives purchased. • AAK sees a need for further progress towards full sustainability in the palm oil supply chain: beyond the current RSPO certification requirements. AAK is therefore also committed to sourcing palm oil that has been produced without conversion of High Conservation Value (HCV) areas, High Carbon Stock (HCS) forest or destruction of peatland, and where plantations development only takes place with the free, prior and informed consent (FDIC) of any affected local community."  
          • Target date
            2025
            0.3/0.7
            Target date
            2025
            0.3/0.7
            "We have raised our ambitions within several key areas: • By 2025, our palm oil and soy supply chains shall be 100 percent traceable and verified free from deforestation and conversion." [...]  AAK is committed to pursuing increased volume of RSPO certified raw material that it purchases, with the ultimate objective to achieve RSPO certification of all palm oil, palm kernel oil and derivatives purchased. • AAK sees a need for further progress towards full sustainability in the palm oil supply chain: beyond the current RSPO certification requirements. AAK is therefore also committed to sourcing palm oil that has been produced without conversion of High Conservation Value (HCV) areas, High Carbon Stock (HCS) forest or destruction of peatland, and where plantations development only takes place with the free, prior and informed consent (FDIC) of any affected local community."  
          • Interim target date
            No
            0/0.3
        • Commitment to a traceable supply chain
          6/6
          • Commitment details
            Traces to Point of production
            4/4
            Commitment to a traceable supply chain
            Traces to Point of production
            4/4
            "We adopted a sourcing plan and strategy towards a palm oil supply chain that is 100 percent traceable to plantation and 100 percent verified deforestation-free. [...] It is our ambition to accomplish full traceability to plantation by 2025"
          • Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            "We adopted a sourcing plan and strategy towards a palm oil supply chain that is 100 percent traceable to plantation and 100 percent verified deforestation-free. [...] It is our ambition to accomplish full traceability to plantation by 2025"
          • Target date
            2025
            0.3/0.7
            Target date
            2025
            0.3/0.7
            "We adopted a sourcing plan and strategy towards a palm oil supply chain that is 100 percent traceable to plantation and 100 percent verified deforestation-free. [...] It is our ambition to accomplish full traceability to plantation by 2025"
          • Interim target date
            No
            0/0.3
      • Social Considerations
        12/18
        • Labour rights in the supply chain
          Yes
          4/4
          Labour rights in the supply chain
          Yes
          4/4
          Other workers' rights commitments: Only work legal working hours; Guaranteed safe and healthy workspaces; Free from abusive practices/undue disciplinary procedures

          Details of commitment: Discrimination; Forced labour; Child labour; Freedom of association
          "AAK requires all external suppliers and their subcontractors to comply with this Code. The Code applies to all actors in the supply chain back to the origin of the raw material.[...] Freedom of association [...] Forced labour [...] Child labour [...] Discrimination"
        • Inclusion of small-scale farmers
          Yes
          4/4
          Inclusion of small-scale farmers
          Yes
          4/4
          What is the nature of that support?: Certification; Technical assistance/support

          How many smallholders do they support, and what percentage does this represent in terms of their sourcing from smallholders?: 3,100
          "AAK commitment: Empowering smallholders and women to improve livelihoods - 2020 status: 3,100 smallholders engaged within palm oil commitments [...] An important part of our sustainability work is aimed at empowering smallholders to improve their livelihoods and well-being, and we believe they have an important role to play in helping to meet the growing demand for plant-based oils. As a result, we are investing in training programs and partnerships with NGOs, industry partners and suppliers across many different regions, as well as through our own extension officers into local villages." [...] "AKK's policy is to initiate projects which encourage and support small holders to make practical, stepwise changes to best practice that will support smallholders to achieve certification such as RSPO"
        • Gender equality in the supply chain
          No commitment
          0/4
        • Commitment to remediation
          No
          0/2
        • Commitment to ensure Free, Prior and Informed Consent
          Yes, the company commits to securing FPIC prior to acquiring new interests, developments, or expansions
          4/4
          Commitment to ensure Free, Prior and Informed Consent
          Yes, the company commits to securing FPIC prior to acquiring new interests, developments, or expansions
          4/4
          "Land rights and tenure - AAK will only source raw materials from growers with the necessary land rights, and where legal or customary rights of others are not adversely affected. In particular, our requirement is that new development only takes place with the free, prior and informed consent (FPIC) or equivalent of other land rights holders such as local communities. [...] Free, Prior and Informed Consent (FPIC) FPIC is a principle requiring that indigenous and local communities have the right to give or withhold their consent to proposed projects that may affect the lands to which they hold legal title, or they customarily own, occupy or otherwise use"
        • Commitment to resolve land conflicts
          No
      • Reporting and Implementation
        25/50
        • Reporting against commitments
          2/2
          • Commitment to protect priority forests
            Yes, for all commodity exposure
            1.7/1.7
            Commitment to protect priority forests
            Yes, for all commodity exposure
            1.7/1.7
            "100 percent of our suppliers have signed the AAK Group Policy Sustainable Palm Oil and all relevant employees have passed our e-learning modules AAK Palm oil policy and action, and Responsible sourcing of shea  [...] RSPO-certified palm increased to 38 percent, representing an increase by 23 percent since 2019. To increase the demand for certified sustainable palm, we include sales of RSPO-certified in our ambition of percent of revenue connected to the SDGs [...] In 2020, AAK has committed to 100 percent verified deforestation-free (VDF) palm and soy supply chains by the end of 2025. In 2020, we achieved 50 percent VDF for palm and 31 percent VDF for soy"
          • Commitment to protect High Carbon Stock areas and/or peatlands
            Yes, for all commodity exposure
            1.7/1.7
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes, for all commodity exposure
            1.7/1.7
            "100 percent of our suppliers have signed the AAK Group Policy Sustainable Palm Oil and all relevant employees have passed our e-learning modules AAK Palm oil policy and action, and Responsible sourcing of shea  [...] RSPO-certified palm increased to 38 percent, representing an increase by 23 percent since 2019. To increase the demand for certified sustainable palm, we include sales of RSPO-certified in our ambition of percent of revenue connected to the SDGs [...] In 2020, AAK has committed to 100 percent verified deforestation-free (VDF) palm and soy supply chains by the end of 2025. In 2020, we achieved 50 percent VDF for palm and 31 percent VDF for soy"
          • Commitment to a traceable supply chain
            Yes, for all commodity exposure
            1.7/1.7
            Commitment to a traceable supply chain
            Yes, for all commodity exposure
            1.7/1.7
            In 2020 AAK achieved - "Palm • Increased palm traceability to plantation to 70 percent, representing an increase by 27 percent since 2019."
        • Reporting is independently verified
          1/1
          • Commitment to protect priority forests
            Yes, using a third-party verification scheme or certification scheme.
            1/1
            Commitment to protect priority forests
            Yes, using a third-party verification scheme or certification scheme.
            1/1
            Which tools, approaches, third-party verification, including certification, schemes are used?: RSPO Certification

            Which processes or groups does the company use for third party verification?: RSPO Certification
            "100 percent of our suppliers have signed the AAK Group Policy Sustainable Palm Oil and all relevant employees have passed our e-learning modules AAK Palm oil policy and action, and Responsible sourcing of shea  [...] RSPO-certified palm increased to 38 percent, representing an increase by 23 percent since 2019. To increase the demand for certified sustainable palm, we include sales of RSPO-certified in our ambition of percent of revenue connected to the SDGs [...] In 2020, AAK has committed to 100 percent verified deforestation-free (VDF) palm and soy supply chains by the end of 2025. In 2020, we achieved 50 percent VDF for palm and 31 percent VDF for soy"
          • Commitment to protect High Carbon Stock areas and/or peatlands
            Yes, using a third-party verification scheme or certification scheme.
            1/1
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes, using a third-party verification scheme or certification scheme.
            1/1
            "100 percent of our suppliers have signed the AAK Group Policy Sustainable Palm Oil and all relevant employees have passed our e-learning modules AAK Palm oil policy and action, and Responsible sourcing of shea  [...] RSPO-certified palm increased to 38 percent, representing an increase by 23 percent since 2019. To increase the demand for certified sustainable palm, we include sales of RSPO-certified in our ambition of percent of revenue connected to the SDGs [...] In 2020, AAK has committed to 100 percent verified deforestation-free (VDF) palm and soy supply chains by the end of 2025. In 2020, we achieved 50 percent VDF for palm and 31 percent VDF for soy"
          • Commitment to a traceable supply chain
            Yes, using an internal verification system.
            0.5/1
            Commitment to a traceable supply chain
            Yes, using an internal verification system.
            0.5/1
            Which processes or groups does the company use for third party verification?: Earthqualizer and Satelligence

            Which tools, approaches, third-party verification, including certification, schemes are used?: Earthqualizer and Satelligence
            "Some of our actions to increase traceability and the understanding of our palm supply base in 2020: • We pilot-tested satellite monitoring in the first quarter of 2020, to understand the insights and outcomes of this monitoring work. This led to the decision to invest in full-scale monitoring of our global supply base with two service providers, Earthqualizer and Satelligence. Agreements have been signed and the satellite monitoring now covers 100 percent of our supply chain. As of January 2021, we receive updates every two weeks"
        • Suppliers aligned with deforestation commitments across supply chain
          Yes, encouraged
          0/2
          Suppliers aligned with deforestation commitments across supply chain
          Yes, encouraged
          0/2
          "Driving industry change For companies to work effectively to drive change in the palm oil production base, monitoring and reporting of progress in the production base is essential. The RSPO certified volumes we purchase have the best guarantee available of meeting NDPE commitments, but to date there has been no way of measuring compliance in non-certified volumes. In complex global supply chains, achieving transparency on progress by companies several tiers away can be a challenge. The No Deforestation No Peat and No exploitation Implementation Reporting Framework (NDPE IRF) is a monitoring and reporting tool developed by sustainability practitioners and major brands and processors of palm oil, facilitated by Proforest. It is a shared industry approach to reporting on progress in meeting NDPE commitments, based on a stepwise approach towards ensuring full compliance. AAK has supported the development of the NDPE IRF since its inception in 2018, when we worked with one of our suppliers to be among the first to test the approach to monitoring and reporting on NDPE progress in the palm oil production base, with results presented at the RSPO Round Table in Kota Kinabalu in 2018. Since then, the IRF has become an accepted industry approach to monitoring and reporting and is being rolled out among refineries in 2020."
        • Deforestation cut off date
          Yes, for all sourcing regions/operations
          2/2
          Deforestation cut off date
          Yes, for all sourcing regions/operations
          2/2
          What cut-off date is specified?: 2015
           "AAK understands that there is a demand for Deforestation Free estimates sooner. To this end, AAK has developed a methodology to estimate the proportion that can be considered deforestation free in the supply base. The methodology uses the mill list and publicly available information on mills and mill groups that have implemented methods to ensure and verify that their volumes are compliant with No-deforestation policies. This includes RSPO certification and concession monitoring, where concession boundaries linked to a deforestation monitoring platform showed no clearance since the 2015 cut-off date."
        • Collaborative actions
          Yes
          2/2
          Collaborative actions
          Yes
          2/2
          What is the nature of that participation?: Providing support/advice/experience/expertise

          What initiatives does the company participate in?: Forever Sabah partnership, Solidaridad partnership
          " Via our collaboration with Forever Sabah, AAK continues to support the jurisdictional certification approach in the Malaysian state of Sabah, where only 20 percent of the independent smallholders hold the title to their land.[...] We also support a unique project in Mexico together with Solidaridad, the objective of which is to develop the sustainability of three palm oil social enterprise cooperatives, with the ultimate ambition of achieving RSPO certification." AAK report a total of 20 villages, 800 farmers engaged (with Forever Sabah), and 2,300 farmers engaged in Mexico
        • Risk assessments for forest risk
          No
          0/2
        • Operations assessed to comply with law
          Yes
          2/2
          Operations assessed to comply with law
          Yes
          2/2
          "Suppliers shall operate in compliance with the applicable national and local legal requirements. Suppliers shall comply strictly with all antitrust and competition law. [...] Supplier must maintain documentation necessary to demonstrate compliance with the requirements of this Code. The documentation must be made available to AAK on written request or during audit on location by AAK personnel or by a third party."
        • Accessible grievance mechanism
          No
          0/4
        • Report volumes of commodity
          Reporting partial volumes
          1/2
          Report volumes of commodity
          Reporting partial volumes
          1/2
          Total/partial volume reported: 1,374,548 tonnes of Palm Oil
          In their 2019 ACOP report, AAK report a total of; 1,374,548.0 tonnes of Palm Oil which represents an unclear volume of their total. They have updated their percentage reporting for 2020 but have not released an updated ACOP report - "In 2020 RSPO-certified palm increased to 38 percent, representing an increase by 23 percent since 2019. To increase the demand for certified sustainable palm, we include sales of RSPO-certified in our ambition of percent of revenue connected to the SDGs [...] In 2020, AAK has committed to 100 percent verified deforestation-free (VDF) palm and soy supply chains by the end of 2025. In 2020, we achieved 50 percent VDF for palm and 31 percent VDF for soy"
        • Report verified volumes of commodity
          1-49%
          2/6
          Report verified volumes of commodity
          1-49%
          2/6
          What is the non-certified/non-compliant volume?: 0 Unclear

          What is the certified volume?: 1,374,548 tonnes of Palm Oil

          What third-party verification is used?: RSPO Certification

          For what percent of the company's supply volume is third-party verification of performance relative to commitments conducted?: 38%
          In their 2019 ACOP report, AAK report a total of; 1,374,548.0 tonnes of Palm Oil which represents an unclear volume of their total. They have updated their percentage reporting for 2020 but have not released an updated ACOP report - "In 2020 RSPO-certified palm increased to 38 percent, representing an increase by 23 percent since 2019. To increase the demand for certified sustainable palm, we include sales of RSPO-certified in our ambition of percent of revenue connected to the SDGs [...] In 2020, AAK has committed to 100 percent verified deforestation-free (VDF) palm and soy supply chains by the end of 2025. In 2020, we achieved 50 percent VDF for palm and 31 percent VDF for soy"
        • Upstream: Monitor compliance with human rights
          Yes, commit to monitoring compliance with labour/worker rights; Yes, company discloses how many land developments or site acquisitions, by either itself or its suppliers, indicated the use of FPIC to secure consent of indigenous peoples/local communities
          4/4
          Upstream: Monitor compliance with human rights
          Yes, commit to monitoring compliance with labour/worker rights; Yes, company discloses how many land developments or site acquisitions, by either itself or its suppliers, indicated the use of FPIC to secure consent of indigenous peoples/local communities
          4/4
          In relation to the supplier code of conduct for raw material suppliers which states theri human rights requirements and FPIC commitments -  "Suppliers must maintain documentation necessary to demonstrate compliance with the requirements of this Code. The documentation must be made available to AAK on written request or during audit on location by AAK personnel or by a third party."
        • Upstream: Impact assessments for land development/acquisition
          No
          0/4
        • Upstream: Reporting production/processing locations
          No disclosure
          0/4
        • Downstream: Publishing supplier lists
          Yes, report direct suppliers
          2/4
          Downstream: Publishing supplier lists
          Yes, report direct suppliers
          2/4
          From what country(ies) does the company source material?: Colombia, Panama, Costa Rica, Indonesia, Guatemala, Malaysia, Papua New Guinea, Thailand

          For what percent are boundaries disclosed?: 100%
          AAK's most recent mill list was updated in April 2021 "Our universe of mills list is updated twice a year. To access our most recent mill list, please click here: AAK Public Mill List"
        • Upstream: Monitor compliance of production/processing
          No
          0/4
        • Upstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Monitor compliance in supply chain
          Yes, for its suppliers
          3/4
          Downstream: Monitor compliance in supply chain
          Yes, for its suppliers
          3/4
          How frequently is compliance assessed?: Not specified

          Details of monitoring: Using certification; Using internal monitoring and verification systems; Using third party verification
          "Because of our position in the supply chain, where we in most cases do not have direct contact with farmers, our suppliers play a critical role in driving the implementation of our policies. However, our aim is to make a positive contribution in the whole supply chain, within and beyond our own direct impact. We monitor progress in our supply base in accordance with the framework laid out in the No-deforestation, No-development on peat and No-exploitation Implementation Reporting Framework (NDPE IRF). One new and important KPI for AAK, which we have developed together with Proforest, is to understand the percentage of verified deforestation-free volumes. This approach combines our RSPO-segregated volumes with data from suppliers on volumes that deliver the NDPE requirements." [...] "AAK launched a mill engagement platform in collaboration with Proforest in the first quarter of 2020. This platform requires mills to complete a self-assessment on their activities and progress in driving sustainability. The platform also provides training tools to support the mills with their implementation plans. 100 percent of our direct suppliers in Mexico and Colombia have completed a self-assessment."
        • Downstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Engagement with non-compliant suppliers
          Engage with suppliers with a time-bound threat of exclusion
          2/2
          Downstream: Engagement with non-compliant suppliers
          Engage with suppliers with a time-bound threat of exclusion
          2/2
          What criteria does the policy specify for blacklisting or exclusion?: Non compliance with No deforestation policy

          Does the company engage non-compliant indirect suppliers in order to address and remedy non-compliance?: No

          What type of support does the company offer to its suppliers to help them achieve compliance with commitments?: Action plan with supplier 
          "After each mill visit, a timebound action plan is developed with the mill to address any issues identified."
        • Downstream: Disclosure of non-compliant suppliers
          Yes, engaged; Yes, excluded
          2/2
          Downstream: Disclosure of non-compliant suppliers
          Yes, engaged; Yes, excluded
          2/2
          Does the company have a list of blacklisted or otherwise excluded suppliers or producers?: No 
          AAK report the status of the non compliances raised with them and found by them in a mill grievance list. Last updated October 2020
    • Pulp & Paper *
      6/88
      • Commitment Strength
        0/20
        • Commitment to protect priority forests
          0/8
          • Commitment details
            No commitment
            0/6
          • Commitment applies to all regions, suppliers and operation
            No
            0/1.3
          • Target date
            No target date
            0/0.7
          • Interim target date
            No
            0/0.3
        • Commitment to reduce use of virgin wood fibre
          0/5
          • Commitment details
            No
            0/3
          • Commitment applies to all regions, suppliers and operation
            No
            0/1.3
          • Target date
            No target date
            0/0.7
          • Interim target date
            No
            0/0.3
        • Commitment to a traceable supply chain
          0/6
          • Commitment details
            No traceability commitment
            0/4
          • Commitment applies to all regions, suppliers and operation
            No
            0/1.3
          • Target date
            No target date
            0/0.7
          • Interim target date
            No
            0/0.3
      • Social Considerations
        4/18
        • Labour rights in the supply chain
          Yes
          4/4
          Labour rights in the supply chain
          Yes
          4/4
          Other workers' rights commitments: Only work legal working hours; Guaranteed safe and healthy workspaces; Free from abusive practices/undue disciplinary procedures

          Details of commitment: Discrimination; Forced labour; Child labour; Freedom of association
          "AAK requires all external suppliers and their subcontractors to comply with this Code. The Code applies to all actors in the supply chain back to the origin of the raw material.[...] Freedom of association [...] Forced labour [...] Child labour [...] Discrimination"
        • Inclusion of small-scale farmers
          No
          0/4
        • Gender equality in the supply chain
          No commitment
          0/4
        • Commitment to remediation
          No
          0/2
        • Commitment to ensure Free, Prior and Informed Consent
          No
          0/4
        • Commitment to resolve land conflicts
          No
      • Reporting and Implementation
        2/50
        • Reporting against commitments
          0/2
          • Commitment to protect priority forests
            No
            0/1.7
          • Commitment to reduce use of virgin wood fibre
            No
            0/1.7
          • Commitment to a traceable supply chain
            No
            0/1.7
        • Reporting is independently verified
          0/1
          • Commitment to protect priority forests
            No
            0/1
          • Commitment to reduce use of virgin wood fibre
            No
            0/1
          • Commitment to a traceable supply chain
            No
            0/1
        • Suppliers aligned with deforestation commitments across supply chain
          No
          0/2
        • Deforestation cut off date
          No
          0/2
        • Collaborative actions
          No
          0/2
        • Risk assessments for forest risk
          No
          0/2
        • Operations assessed to comply with law
          No
          0/2
        • Accessible grievance mechanism
          No
          0/4
        • Report volumes of commodity
          No reporting
          0/2
        • Report verified volumes of commodity
          No disclosure
          0/6
        • Upstream: Monitor compliance with human rights
          Yes, commit to monitoring compliance with labour/worker rights
          2/4
          Upstream: Monitor compliance with human rights
          Yes, commit to monitoring compliance with labour/worker rights
          2/4
          In relation to the supplier code of conduct which states their human rights requirements  -  "Suppliers must maintain documentation necessary to demonstrate compliance with the requirements of this Code. The documentation must be made available to AAK on written request or during audit on location by AAK personnel or by a third party."
        • Downstream: Publishing supplier lists
          No
          0/4
        • Downstream: Monitor compliance in supply chain
          No
          0/4
        • Downstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Engagement with non-compliant suppliers
          No engagement or exclusion
          0/2
        • Downstream: Disclosure of non-compliant suppliers
          No disclosure
          0/2
    • Soy *
      39/88
      • Commitment Strength
        9/20
        • Commitment to protect priority forests
          10/11
          • Commitment details
            Zero-gross conversion
            8/8
            Commitment to protect priority forests
            Zero-gross conversion
            8/8
            (For downstream soy companies only) Does the company commitment also explicitly apply to hidden/indirect soy?: Supply chain includes no indirect soy
            "We have raised our ambitions within several key areas: • By 2025, our palm oil and soy supply chains shall be 100 percent traceable and verified free from deforestation and conversion." 
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "We have raised our ambitions within several key areas: • By 2025, our palm oil and soy supply chains shall be 100 percent traceable and verified free from deforestation and conversion." 
          • Target date
            2025
            0.5/1
            Target date
            2025
            0.5/1
            "We have raised our ambitions within several key areas: • By 2025, our palm oil and soy supply chains shall be 100 percent traceable and verified free from deforestation and conversion." 
          • Interim target date
            No
            0/0.5
        • Commitment to a traceable supply chain
          0/9
          • Commitment details
            No traceability commitment
            0/5.3
          • Commitment applies to all regions, suppliers and operation
            No
            0/2
          • Target date
            No target date
            0/1
          • Interim target date
            No
            0/0.5
      • Social Considerations
        12/18
        • Labour rights in the supply chain
          Yes
          4/4
          Labour rights in the supply chain
          Yes
          4/4
          Other workers' rights commitments: Only work legal working hours; Guaranteed safe and healthy workspaces; Free from abusive practices/undue disciplinary procedures

          Details of commitment: Discrimination; Forced labour; Child labour; Freedom of association
          "AAK requires all external suppliers and their subcontractors to comply with this Code. The Code applies to all actors in the supply chain back to the origin of the raw material.[...] Freedom of association [...] Forced labour [...] Child labour [...] Discrimination"
        • Inclusion of small-scale farmers
          Yes
          4/4
          Inclusion of small-scale farmers
          Yes
          4/4
          What is the nature of that support?: Technical assistance/support
          "Smallholder inclusion in raw material supply chains is a key objective for AAK. Our commitment is to actively ensure that smallholders are not excluded from our supply chains as a result of high sustainability requirements, and that we initiate projects across our supply base to encourage and support smallholders. Specifically, we aim to contribute to initiatives that support smallholder livelihoods, through mechanisms such as improved yields and community development."
        • Gender equality in the supply chain
          No commitment
          0/4
        • Commitment to remediation
          No
          0/2
        • Commitment to ensure Free, Prior and Informed Consent
          Yes, the company commits to securing FPIC prior to acquiring new interests, developments, or expansions
          4/4
          Commitment to ensure Free, Prior and Informed Consent
          Yes, the company commits to securing FPIC prior to acquiring new interests, developments, or expansions
          4/4
          "Land rights and tenure - AAK will only source raw materials from growers with the necessary land rights, and where legal or customary rights of others are not adversely affected. In particular, our requirement is that new development only takes place with the free, prior and informed consent (FPIC) or equivalent of other land rights holders such as local communities. [...] Free, Prior and Informed Consent (FPIC) FPIC is a principle requiring that indigenous and local communities have the right to give or withhold their consent to proposed projects that may affect the lands to which they hold legal title, or they customarily own, occupy or otherwise use"
        • Commitment to resolve land conflicts
          No
      • Reporting and Implementation
        16/50
        • Reporting against commitments
          1/3
          • Commitment to protect priority forests
            Yes, for partial or unclear commodity exposure
            1.3/2.5
            Commitment to protect priority forests
            Yes, for partial or unclear commodity exposure
            1.3/2.5
            AAK report in 2020 that 31% of their soy is verified deforestation free, but unclear of the actual volumes of this
          • Commitment to a traceable supply chain
            No
            0/2.5
        • Reporting is independently verified
          0/2
          • Commitment to protect priority forests
            No
            0/1.5
          • Commitment to a traceable supply chain
            No
            0/1.5
        • Suppliers aligned with deforestation commitments across supply chain
          No
          0/2
        • Deforestation cut off date
          No
          0/2
        • Collaborative actions
          Yes
          2/2
          Collaborative actions
          Yes
          2/2
          What initiatives does the company participate in?: SMART

          What is the nature of that participation?: Attending & contributing to meetings; Providing support/advice/experience/expertise; Providing technical capacity
          "In line with AAK’s Policy for Responsible Sourcing of Vegetable Oils, our joint venture in India, AAK Kamani, has committed to actively include smallholders into its soy supply chain. [...] AAK Kamani has signed a Memorandum of Understanding (MoU) for the so-called SMART project in Maharashtra, India. [...] he key objectives of the project are: Supporting value addition in the post-harvest segment of agricultural value chains ;Developing a mechanism for productive alliances involving various stakeholders in agricultural supply chains; Improving the current policy and regulatory framework in the agribusiness sector; Developing marketing and credit linkages with community-based organizations (CBOs) like farmer producer companies, cluster-level federations and farmer groups; Improving the efficiency in agricultural supply chains through private sector partnerships that can be scaled up through project interventions."
        • Risk assessments for forest risk
          Yes
          2/2
          Risk assessments for forest risk
          Yes
          2/2
          How frequently are assessments conducted?: Not specified
          "After an initial risk assessment in 2019, where about 90 percent of AAK-sourced soy volumes were rated at “low risk” for deforestation, we have once again partnered with Proforest to fully map our supply base."
        • Operations assessed to comply with law
          Yes
          2/2
          Operations assessed to comply with law
          Yes
          2/2
          "Suppliers shall operate in compliance with the applicable national and local legal requirements. Suppliers shall comply strictly with all antitrust and competition law. [...] Supplier must maintain documentation necessary to demonstrate compliance with the requirements of this Code. The documentation must be made available to AAK on written request or during audit on location by AAK personnel or by a third party."
        • Accessible grievance mechanism
          No
          0/4
        • Report volumes of commodity
          No reporting
          0/2
        • Report verified volumes of commodity
          Some disclosure of compliant commodity/unclear % of volume/no verification of reporting
          1/6
          Report verified volumes of commodity
          Some disclosure of compliant commodity/unclear % of volume/no verification of reporting
          1/6
          For what percent of the company's supply volume is third-party verification of performance relative to commitments conducted?: 31% mixture of ISCC and ProTerra

          What third-party verification is used?: ISCC and ProTerra are mentioned in the document, but unclear how much of the 31% is of each type
          AAK report in 2020 that 31% of their soy is verified deforestation free
        • Upstream: Monitor compliance with human rights
          Yes, commit to monitoring compliance with labour/worker rights; Yes, company discloses how many land developments or site acquisitions, by either itself or its suppliers, indicated the use of FPIC to secure consent of indigenous peoples/local communities
          4/4
          Upstream: Monitor compliance with human rights
          Yes, commit to monitoring compliance with labour/worker rights; Yes, company discloses how many land developments or site acquisitions, by either itself or its suppliers, indicated the use of FPIC to secure consent of indigenous peoples/local communities
          4/4
          In relation to the supplier code of conduct for raw material suppliers which states theri human rights requirements and FPIC commitments -  "Suppliers must maintain documentation necessary to demonstrate compliance with the requirements of this Code. The documentation must be made available to AAK on written request or during audit on location by AAK personnel or by a third party."
        • Downstream: Publishing supplier lists
          No
          0/4
        • Downstream: Monitor compliance in supply chain
          Yes, for its suppliers
          3/4
          Downstream: Monitor compliance in supply chain
          Yes, for its suppliers
          3/4
          Details of monitoring: Using internal monitoring and verification systems

          How frequently is compliance assessed?:  0 Not specified
          In line with AAK�s Policy for Responsible Sourcing of Vegetable Oils, our joint venture in India, AAK Kamani, has committed to actively include smallholders into its soy supply chain." "AAK’s objective is to ensure traceability in our raw material supply chains, sufficient to ensure that we achieve transparency of raw material origins, as the basis for assuring compliance with these policy requirements" "Suppliers must maintain documentation necessary to demonstrate compliance with the requirements of this Code. The documentation must be made available to AAK on written request. AAK will conduct on-site assessments of our suppliers and their supply chain including with external third-party assessors"
        • Downstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Engagement with non-compliant suppliers
          Engage with suppliers but with no time-bound threat of exclusion
          1/2
          Downstream: Engagement with non-compliant suppliers
          Engage with suppliers but with no time-bound threat of exclusion
          1/2
          Does the company engage non-compliant indirect suppliers in order to address and remedy non-compliance?: No

          What type of support does the company offer to its suppliers to help them achieve compliance with commitments?: unclear 
          "Suppliers shall strive to minimize the environmental impact of their activities through responsible management, widespread environmental awareness and the use of technologies with low environmental impact. AAK will only source raw materials that have been produced without High Carbon Stock deforestation, conversion of High Conservation Value areas, or development on peatland soils. [...] Should a supplier fail to comply with the requirements of the Code, AAK will through dialogue and cooperation try to solve the situation or as a last resort terminate the relationship."
        • Downstream: Disclosure of non-compliant suppliers
          No disclosure
          0/2
  • * commodity scores for which a company is not a powerbroker are given half the weighting of other commodities in total scores

  • Commitment strength
    11/20
    Avg. score
  • Reporting and Implementation
    17/50
    Avg. score
  • Social considerations
    10/18
    Avg. score

Profile

AAK refines vegetable oils for specialised products mainly for foodservice, chocolate and confectionery, and technical products. The Swedish company has 19 production facilities and sales offices in more than 25 countries, and claims to be the world’s leading manufacturer of specialty vegetable fats. AAK sources Soy from South America and Palm Oil from Southeast Asia and Central America. AAK AB is selected as a powerbroker for palm oil and is also assessed for its exposure to soy and paper packaging.

Sector
Industry sector 
Ingredients, Oils & fats
Segments
Trader, Processor, Manufacturer
HQ
HQ 
Sweden
Company Type
Company type 
Public listed
Collective Commitments
Consumer Goods Forum member
New York Declaration on Forests signatory

Top Brands

Prep, Lion, Prep Premium, Whirl, Uncle Johns

How we assess the Forest 500

To ensure deforestation free supply chains, companies need to adopt and implement timebound and measurable policies for forest risk commodities.

All assessments use policies published on company websites, some links may have changed or been removed since the time of assessment.

Disclaimer

This assessment has been carried out following the methodology developed for the Forest 500 project, available here. Please see our disclaimer applicable to all information contained within this site and our terms and conditions for use of data presented on this site.

All assessments use policies published on company and financial institution websites, and while we endeavor to keep them updated some links may have changed or been removed since the time of assessment.

Please contact us with any concerns or feedback about this or other assessments included in the Forest 500.