Download data

Powerbroker for

Select an assessment year:

  • Overall approach
    2/16
    • Overarching commitment on deforestation
      0/6
      Deforestation commitment
      Commodity-specific commitment
      0/6
      Commodities (if applicable): Palm oil
      "In line with this, FGV undertakes to [...] ensure protection of the environment including through [....] no deforestation, no new planting on peat and no development on areas of natural forest, high carbon stock (HCS) or high conservation value (HCV)".
    • Signatory to an initiative tackling deforestation
      0/1
      Signatory
      No
      0/1
      If Other Initiative, specify::
    • Awareness of the value of forests
      1/1
      Awareness
      Yes
      1/1
      "In line with this, FGV undertakes to [...] ensure protection of the environment including through [....] no deforestation, no new planting on peat and no development on areas of natural forest, high carbon stock (HCS) or high conservation value (HCV)".
    • Deforestation as a business risk
      0/1
    • High-level management of deforestion
      1/1
      High-level management
      Yes
      1/1
      How often does the committee or board meet to assess company's progress on addressing deforestation-related issues?:

      Which commodities does it apply to?: Palm oil
      "In line with our strong commitment to sustainability, we have expanded the scope of our Sustainability Division to cover the whole Group and the Sustainability Division now reports directly to the Group Chief Executive Officer. This structural change reflects FGV’s seriousness in embedding and mainstreaming sustainability within and throughout the Group’s operations and supply chain. [...] Sustainability Compliance and Certification"
    • Executive compensation linked to deforestation
    • Target to reduce emissions from land-use change
      0/3
    • Reporting on emissions from land-use change
      0/3
    • Disclosure of conservation activity
    • Disclosure of reforestation activity
  • Commodity score
    47/84
    • Palm oil
      62/84
      • Commitment Strength
        24/28
        • Commitment to protect priority forests
          9/12
          • Commitment details
            Zero-gross deforestation
            6/8
            Commitment to protect priority forests
            Zero-gross deforestation
            6/8
            Which certification schemes are used?: RSPO
            "2021 RSPO certification of all mill complexes in Malaysia [...] 2021 RSPO group certification for FFB suppliers from associated and independent smallholders in Malaysia"
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "2021 RSPO certification of all mill complexes in Malaysia [...] 2021 RSPO group certification for FFB suppliers from associated and independent smallholders in Malaysia"
          • Target date
            2021
            1.2/1.3
            Target date
            2021
            1.2/1.3
            "2021 RSPO certification of all mill complexes in Malaysia [...] 2021 RSPO group certification for FFB suppliers from associated and independent smallholders in Malaysia"
          • Interim target date
            No
            0/0.7
        • Commitment to protect High Carbon Stock areas and/or peatlands
          7/8
          • Commitment details
            Yes
            4/4
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes
            4/4
            Type of commitment: HCS; Peat
            "2021 RSPO certification of all mill complexes in Malaysia [...] 2021 RSPO group certification for FFB suppliers from associated and independent smallholders in Malaysia [...] Our policy adopts the following practices: 1. No new planting on peatland regardless of depth 2. No development in areas of natural forest, high carbon stock (HCS) or high conservation value (HCV)"
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "2021 RSPO certification of all mill complexes in Malaysia [...] 2021 RSPO group certification for FFB suppliers from associated and independent smallholders in Malaysia [...] Our policy adopts the following practices: 1. No new planting on peatland regardless of depth 2. No development in areas of natural forest, high carbon stock (HCS) or high conservation value (HCV)"
          • Target date
            2021
            1.2/1.3
            Target date
            2021
            1.2/1.3
            "2021 RSPO certification of all mill complexes in Malaysia [...] 2021 RSPO group certification for FFB suppliers from associated and independent smallholders in Malaysia [...] Our policy adopts the following practices: 1. No new planting on peatland regardless of depth 2. No development in areas of natural forest, high carbon stock (HCS) or high conservation value (HCV)"
          • Interim target date
            No
            0/0.7
        • Commitment to a traceable supply chain
          7/8
          • Commitment details
            Traces to Point of production
            4/4
            Commitment to a traceable supply chain
            Traces to Point of production
            4/4
            FGV Holdings' traceability commitment has three steps; "100% traceable to palm oil mills (Phase 1)" by 2021, "100% traceable to plantations for FGV-owned mills" by 2021, and "Develop traceability system for our supply base" of which phase 2 and 3 are "Traceable up to FGV estates and FELDA settlers" and "Traceable up to outgrowers".
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            FGV Holdings' traceability commitment has three steps; "100% traceable to palm oil mills (Phase 1)" by 2021, "100% traceable to plantations for FGV-owned mills" by 2021, and "Develop traceability system for our supply base" of which phase 2 and 3 are "Traceable up to FGV estates and FELDA settlers" and "Traceable up to outgrowers".
          • Target date
            2025
            0.5/1.3
            Target date
            2025
            0.5/1.3
            FGV Holdings' traceability commitment has three steps; "100% traceable to palm oil mills (Phase 1)" by 2021, "100% traceable to plantations for FGV-owned mills" by 2021, and "Develop traceability system for our supply base" of which phase 2 and 3 are "Traceable up to FGV estates and FELDA settlers" and "Traceable up to outgrowers".
          • Interim target date
            Yes
            0.7/0.7
            Interim target date
            Yes
            0.7/0.7
            What date is given for the interim milestone(s)?: 2021
            FGV Holdings' traceability commitment has three steps; "100% traceable to palm oil mills (Phase 1)" by 2021, "100% traceable to plantations for FGV-owned mills" by 2021, and "Develop traceability system for our supply base" of which phase 2 and 3 are "Traceable up to FGV estates and FELDA settlers" and "Traceable up to outgrowers".
      • Social Considerations
        12/18
        • Labour rights in the supply chain
          Yes
          4/4
          Labour rights in the supply chain
          Yes
          4/4
          Details of commitment: Discrimination; Forced Labour; Child Labour; Freedom of association
          "In fulfilling its responsibility to respect human rights, FGV Group is guided by the United Nations Guiding Principles on Business and Human Rights (UNGPs).FGV Group is committed to ensure that its operations are free from any form of exploitation and to eliminate any form of forced and bonded labour, human trafficking and slavery, and child labour in all its operations [...] FGV Group reiterates its commitment to respect employees’ and workers’ right to freedom of movement, fair working hours, freedom of association and right to decent living condition [...] FGV Group is committed to the principles of non-discrimination"
        • Inclusion of small-scale farmers
          Yes
          4/4
          Inclusion of small-scale farmers
          Yes
          4/4
          What is the nature of that support?: Economic
          "FGV Group promotes the inclusion of smallholders and outgrowers into our supply chain in a fair, transparent and equitable manner." "FGV Group's priorities are to promote economic growth, prosperity and enhance the livelihoods of local communities, in particular its associated smallholders."
        • Gender equality in the supply chain
          Equality in the supply chain
          2/4
          Gender equality in the supply chain
          Equality in the supply chain
          2/4
          "Gender Equality and Preventing Sexual Harassment & Violence 3.1.6.1 FGV Group is committed to the principles of non-discrimination and gender equality."
        • Commitment to remediation
          No
          0/2
          Commitment to remediation
          No
          0/2
          "FGV Group shall consider replanting when due based on economic, legal and/or environmental concern(s)."
        • Commitment to ensure Free, Prior and Informed Consent
          Yes the company commits to securing FPIC prior to acquiring new interests/developments/expansions
          2/4
          Commitment to ensure Free, Prior and Informed Consent
          Yes the company commits to securing FPIC prior to acquiring new interests/developments/expansions
          2/4
          "Respect for Community Rights [...] FGV Group respects the rights of indigenous and local communities, including their rights to give or withhold their consent to land over which they hold legal, communal or customary rights. 3.1.4.3 FGV Group shall observe the principles of free, prior and informed (FPIC) consent prior to any new land development."
      • Reporting and Implementation
        27/38
        • Reporting against commitments
          6/6
          • Commitment to protect priority forests
            Yes
            2/2
            Commitment to protect priority forests
            Yes
            2/2
            Does the company report on the degree of compliance/progress with commitments, disaggregated by relevant factors such as origin or supply chain stage?: Yes
            "As of December 2019, FGV has 33 mills that are RSPO-certified with certified quantities of 454,918 MT of CSPO, 112,398 MT of Certified Sustainable Palm Kernel and 54,045 MT of Certified Sustainable Palm Kernel Oil."
          • Commitment to protect High Carbon Stock areas and/or peatlands
            Yes
            2/2
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes
            2/2
            Does the company report on the degree of compliance/progress with commitments, disaggregated by relevant factors such as origin or supply chain stage?: Yes
            "As of December 2019, FGV has 33 mills that are RSPO-certified with certified quantities of 454,918 MT of CSPO, 112,398 MT of Certified Sustainable Palm Kernel and 54,045 MT of Certified Sustainable Palm Kernel Oil."
          • Commitment to a traceable supply chain
            Yes
            2/2
            Commitment to a traceable supply chain
            Yes
            2/2
            Does the company report on the degree of compliance/progress with commitments, disaggregated by relevant factors such as origin or supply chain stage?: Yes
            In 2020, FGV Holdings reported they had achieved "100% traceable to palm oil mills (Phase 1)" in 2018 for both CPO and PKO.
        • Reporting is independently verified
          3/4
          • Commitment to protect priority forests
            Yes: third-party
            1.3/1.3
            Commitment to protect priority forests
            Yes: third-party
            1.3/1.3
            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
            "2021 RSPO certification of all mill complexes in Malaysia [...] 2021 RSPO group certification for FFB suppliers from associated and independent smallholders in Malaysia"
          • Commitment to protect High Carbon Stock areas and/or peatlands
            Yes: third-party
            1.3/1.3
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes: third-party
            1.3/1.3
            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
            "2021 RSPO certification of all mill complexes in Malaysia [...] 2021 RSPO group certification for FFB suppliers from associated and independent smallholders in Malaysia [...] Our policy adopts the following practices: 1. No new planting on peatland regardless of depth 2. No development in areas of natural forest, high carbon stock (HCS) or high conservation value (HCV)"
          • Commitment to a traceable supply chain
            No
            0/1.3
        • Deforestation cut off date
          Yes
          2/2
          Deforestation cut off date
          Yes
          2/2
          Cut-off date: 25 August 2016
          "FGV adopted its ‘No Deforestation, No Peat, No Exploitation’ (NDPE) policy in 2016, a commitment that is important in recognising environmental protection and respect for human rights. The Group has also decided that it will not develop any greenfield areas of high conservation value, including peatlands, and where possible, will restore peatlands that were previously cleared after 25 August 2016,"
        • Collaborative actions
          Yes
          2/2
          Collaborative actions
          Yes
          2/2
          What is the nature of that participation?: Providing support/advice/experience/expertise; Providing financial support; Providing technical capacity

          What initiatives does the company participate in?: MSPO Certification for Independent Smallholders (ISHs) Project
          "Initiated the MSPO Certification for Independent Smallholders (ISHs) Project in collaboration with the Malaysian Palm Oil Board (MPOB) and assisted 2,368 FFB supplier ISHs to obtain MSPO certification."
        • Risk assessments for forest risk
          Yes
          2/2
          Risk assessments for forest risk
          Yes
          2/2
          How frequently are assessments conducted?: not specified
          "High Biodiversity Value (HBV) & High Conservation Value (HCV) [...] FGV Group shall not plant on any HCV areas. [...] FGV Group shall perform HBV or HCV assessments that are in line with the relevant guidelines, and develop management plans to protect, conserve and/or enhance the identified values"
        • Operations assessed to comply with law
          Yes
          2/2
          Operations assessed to comply with law
          Yes
          2/2
          "FGV uses the Global Forest Watch (GFW) Pro platform to trace and monitor deforestation activities around our operations. This platform is an open-source web application that monitors global deforestation rates in near real-time and is able to detect illegal land-clearing activities that encroach into protected areas. If the platform identifies any deforestation activity, we verify if any of our suppliers are associated with it and if they are found to be involved, they will be subjected to our Supplier Delinquency Guideline which may lead to their removal from our supply chain. So far, we have identified one supplier that has been involved in illegal deforestation activities and it has subsequently been removed from our supply chain following efforts by FGV to engage with it"
        • Accessible grievance mechanism
          Yes
          4/4
          Accessible grievance mechanism
          Yes
          4/4
          What is the nature of the grievance mechanism used by the company (own mechanism, that of external company, internationally recognised mechanism, focused on social issues, focused on environmental issues, etc.)?: Company owned whistleblowing mechanism

          Details of the mechanism: Social; Environmental

          Does the company publish grievances that have been made against it, as well as responses and resolutions including status and timeframes: Not routinely
          "FGV has established a mechanism to address grievances pertaining to the implementation of FGV’s Group Sustainability Policy. Such grievances may be submitted by any party including organisations or individuals through the following channel".
        • Report volumes of commodity
          Reporting non-certified/non-compliant volume; Reporting certified/compliant volume
          4/4
          Report volumes of commodity
          Reporting non-certified/non-compliant volume; Reporting certified/compliant volume
          4/4
          What is the compliant volume?: 4500.0 tonnes

          What is the non-certified/non-compliant volume?: 407618.0 tonnes

          Which certification schemes are used?: RSPO

          What is the certified volume?: 42800.0 tonnes
          FGV Holdings reporting their usage of certified palm oil as 42,800 tonnes, their compliant usage as 4500 tonnes, and their non-certified usage as 407,617 tonnes.
        • Upstream: Impact assessments for land development/acquisition
          Yes
          4/4
          Upstream: Impact assessments for land development/acquisition
          Yes
          4/4
          "FGV has adopted the High-Carbon Stock Approach (HCSA) in current areas of potential development. It takes into consideration both environmental and social aspects in determining suitable areas for new development. We have already incorporated this approach in our investment screening process for all future land acquisitions." "We are committed to ensuring that prior to any expansion, all our land proposed for new plantings will undergo a robust and participatory independent social and environmental impact assessment. In demonstrating transparency, findings of our assessments will be made public and results incorporated into planning, management and operations of the new area."
        • Upstream: Reporting production/processing locations
          No disclosure
          0/4
        • Downstream: Publishing supplier lists
          No disclosure
          0/4
        • Upstream: Monitor compliance of production/processing
          Yes using an internal monitoring system
          4/4
          Upstream: Monitor compliance of production/processing
          Yes using an internal monitoring system
          4/4
          What tools, processes, bodies carry out monitoring of the company's production or processing operations?: Sustainability Compliance and Certification Department (SCCD)

          Does the company use a jurisdictional monitoring mechanism?: No

          Does the company use a certification system?: Yes

          How frequently is compliance assessed?: Not specified
          "Our Sustainability Compliance and Certification Department (SCCD) plays a central role in FGV. It advises the relevant departments and units on all sustainability matters to ensure compliance with relevant standards and requirements of international and local bodies, particularly on Roundtable on Sustainable Palm Oil (RSPO) requirements. As FGV’s main contact point for all RSPO matters, the SCCD is responsible for addressing issues raised by the RSPO’s Complaints Panel, and continually responds promptly to all issues by developing clear action plans and progress reports. Some of the measures taken to address RSPO’s concerns include full-scale audits of employment practices, implementing Standard Operating Procedures across FGV’s operations and improving communication with internal and external stakeholders. "
        • Downstream: Monitor compliance in supply chain
          Yes for its suppliers only
          3/4
          Downstream: Monitor compliance in supply chain
          Yes for its suppliers only
          3/4
          Details of monitoring: Using internal monitoring and verification systems

          How frequently is compliance assessed?: constant monitoring
          "FGV uses the Global Forest Watch (GFW) Pro platform to trace and monitor deforestation activities around our operations. This platform is an open-source web application that monitors global deforestation rates in near real-time and is able to detect illegal land-clearing activities that encroach into protected areas. If the platform identifies any deforestation activity, we verify if any of our suppliers are associated with it and if they are found to be involved, they will be subjected to our Supplier Delinquency Guideline which may lead to their removal from our supply chain. So far, we have identified one supplier that has been involved in illegal deforestation activities and it has subsequently been removed from our supply chain following efforts by FGV to engage with it"
        • 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?: Yes

          What criteria does the policy specify for blacklisting or exclusion?: deforestation in the supply chain

          What type of support does the company offer to its suppliers to help them achieve compliance with commitments?: Supplier Delinquency Guidelines
          "FGV uses the Global Forest Watch (GFW) Pro platform to trace and monitor deforestation activities around our operations. This platform is an open-source web application that monitors global deforestation rates in near real-time and is able to detect illegal land-clearing activities that encroach into protected areas. If the platform identifies any deforestation activity, we verify if any of our suppliers are associated with it and if they are found to be involved, they will be subjected to our Supplier Delinquency Guideline which may lead to their removal from our supply chain. So far, we have identified one supplier that has been involved in illegal deforestation activities and it has subsequently been removed from our supply chain following efforts by FGV to engage with it"
        • Downstream: Disclosure of non-compliant suppliers
          Yes (engaged)
          1/2
          Downstream: Disclosure of non-compliant suppliers
          Yes (engaged)
          1/2
          How many noncompliant producers or suppliers are engaged through improvement plans or other processes, and what percentage of the company's supply chain volume does that represent?: 1

          Does the company have a list of blacklisted or otherwise excluded suppliers or producers?: no
          "So far, we have identified one supplier that has been involved in illegal deforestation activities and it has subsequently been removed from our supply chain following efforts by FGV to engage with it"
    • Pulp & Paper *
      18/84
      • Commitment Strength
        0/28
        • Commitment to protect priority forests
          0/12
          • Commitment details
            No commitment
            0/8
          • Commitment applies to all regions, suppliers and operation
            No
            0/2
          • Target date
            No target date
            0/1.3
          • Interim target date
            No
            0/0.7
        • Commitment to reduce use of virgin wood fibre
          0/8
          • Commitment details
            No
            0/4
          • Commitment applies to all regions, suppliers and operation
            No
            0/2
          • Target date
            No target date
            0/1.3
          • Interim target date
            No
            0/0.7
        • Commitment to a traceable supply chain
          0/8
          • Commitment details
            No traceability commitment
            0/4
          • Commitment applies to all regions, suppliers and operation
            No
            0/2
          • Target date
            No target date
            0/1.3
          • Interim target date
            No
            0/0.7
      • Social Considerations
        14/18
        • Labour rights in the supply chain
          Yes
          4/4
          Labour rights in the supply chain
          Yes
          4/4
          Details of commitment: Discrimination; Forced Labour; Child Labour; Freedom of association
          "In fulfilling its responsibility to respect human rights, FGV Group is guided by the United Nations Guiding Principles on Business and Human Rights (UNGPs).FGV Group is committed to ensure that its operations are free from any form of exploitation and to eliminate any form of forced and bonded labour, human trafficking and slavery, and child labour in all its operations [...] FGV Group reiterates its commitment to respect employees’ and workers’ right to freedom of movement, fair working hours, freedom of association and right to decent living condition [...] FGV Group is committed to the principles of non-discrimination"
        • Inclusion of small-scale farmers
          Yes
          4/4
          Inclusion of small-scale farmers
          Yes
          4/4
          What is the nature of that support?: Economic
          "FGV Group promotes the inclusion of smallholders and outgrowers into our supply chain in a fair, transparent and equitable manner." "FGV Group's priorities are to promote economic growth, prosperity and enhance the livelihoods of local communities, in particular its associated smallholders."
        • Gender equality in the supply chain
          Equality in the supply chain
          2/4
          Gender equality in the supply chain
          Equality in the supply chain
          2/4
          "Gender Equality and Preventing Sexual Harassment & Violence 3.1.6.1 FGV Group is committed to the principles of non-discrimination and gender equality."
        • Commitment to remediation
          Yes
          2/2
          Commitment to remediation
          Yes
          2/2
          "FGV Group shall consider replanting when due based on economic, legal and/or environmental concern(s)."
        • Commitment to ensure Free, Prior and Informed Consent
          Yes the company commits to securing FPIC prior to acquiring new interests/developments/expansions
          2/4
          Commitment to ensure Free, Prior and Informed Consent
          Yes the company commits to securing FPIC prior to acquiring new interests/developments/expansions
          2/4
          "Respect for Community Rights [...] FGV Group respects the rights of indigenous and local communities, including their rights to give or withhold their consent to land over which they hold legal, communal or customary rights. 3.1.4.3 FGV Group shall observe the principles of free, prior and informed (FPIC) consent prior to any new land development."
      • Reporting and Implementation
        4/38
        • Reporting against commitments
          0/6
          • Commitment to protect priority forests
            No
            0/2
          • Commitment to reduce use of virgin wood fibre
            No
            0/2
          • Commitment to a traceable supply chain
            No
            0/2
        • Reporting is independently verified
          0/4
          • Commitment to protect priority forests
            No
            0/1.3
          • Commitment to reduce use of virgin wood fibre
            No
            0/1.3
          • Commitment to a traceable supply chain
            No
            0/1.3
        • 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
          Yes
          4/4
          Accessible grievance mechanism
          Yes
          4/4
          Details of the mechanism: Social; Environmental
          "FGV has established a mechanism to address grievances pertaining to the implementation of FGV’s Group Sustainability Policy. Such grievances may be submitted by any party including organisations or individuals through the following channel".
        • Report volumes of commodity
          No reporting
          0/4
        • Downstream: Publishing supplier lists
          No disclosure
          0/4
        • Downstream: Monitor compliance in supply chain
          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
  • * commodity scores for which a company is not a powerbroker are given half the weighting of other commodities in total scores

  • Commitment strength
    16/28
    Avg. score
  • Reporting and Implementation
    19/38
    Avg. score
  • Social considerations
    13/18
    Avg. score

Profile

Felda Global Ventures (FGV) is a Malaysian group of agribusiness companies active in the palm, rubber, sugar, and agri-services industries. The group is involved in both the cultivation and processing of oil palm as well as in the manufacturing of palm oil goods. Felda Global Ventures Holdings Bhd. is selected as a powerbroker for palm oil.

Sector
Industry sector 
Agri commodities, Agriculture, Oils & fats
Segments
Producer, Trader
HQ
HQ 
Malaysia
Company Type
Company type 
Public listed
Collective Commitments
Consumer Goods Forum member
New York Declaration on Forests signatory

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.