Download data

Powerbroker for

Select an assessment year:

  • Overall approach
    11/16
    • Overarching commitment on deforestation
      4/6
      Deforestation commitment
      Zero-deforestation
      4/6
      Commodities (if applicable): 0
      "Bumitama Agri Ltd. (“Bumitama” or the “Group”) has committed to “No Deforestation, No Peat and No Exploitation”".
    • Signatory to an initiative tackling deforestation
      1/1
      Signatory
      Yes
      1/1
      If Other Initiative, specify:: The Bumitama Agri Ltd. is a member of the following initiatives; "No Deforestation Task Force (NDTF), the Peatlands Working Group, the Human Rights Working Group and Biodiversity High Conservation Value Working Group"

      Which initiatives?: Other intiative
      The Bumitama Agri Ltd. is a member of the following initiatives; "No Deforestation Task Force (NDTF), the Peatlands Working Group, the Human Rights Working Group and Biodiversity High Conservation Value Working Group"
    • Awareness of the value of forests
      1/1
      Awareness
      Yes
      1/1
      "Forest Conservation and Sustainable Land Use: No peat, protection of High Conservation Values (HCV) and High Carbon Stock (HCS) landscapes, reduction of chemical fertiliser and pesticide usage, elimination of Paraquat and prevention of fire."
    • Deforestation as a business risk
      1/1
      Business risk
      Yes
      1/1
      Does the company recognise the risk as financial, operational, competition, reputational, or other? Please detail.: commercial, reputational
      "With visible environmental damage, climate change, and persistent smear campaigns targeting the palm oil industry, consumers globally are increasingly demanding for sustainably produced commodities. The palm oil industry must therefore adjust to meet market needs and expectations in order to remain competitive. Sustained conflict between the palm oil industry and green lobby groups will tarnish the reputation of palm oil, with implications on demand and price. Therefore, we firmly believe that sustainable palm oil production will pay off in the long-run, even if production costs may initially be higher."
    • High-level management of deforestion
      1/1
      High-level management
      Yes
      1/1
      Which commodities does it apply to?: Palm oil

      How often does the committee or board meet to assess company's progress on addressing deforestation-related issues?: Not disclosed
      "The Director of Corporate Affairs and Sustainability leads the strategic direction of Bumitama’s sustainability performance. He heads a team which reports to the Board on major sustainability related risks at each Board meeting. We have also changed our practical processes so that the sustainability team is brought in at the very beginning of any major project such as expansion or the commission of new mills."
    • Executive compensation linked to deforestation
    • Target to reduce emissions from land-use change
      0/3
    • Reporting on emissions from land-use change
      3/3
      Report LUC emissions
      Yes
      3/3
      Which method is used to calculate the GHG emissions arising from land use change?: 466,492

      What is the total volume of GHG emissions arising from land use change?: 466,492 MT CO2e year
      "To prevent releasing large amounts of GHGs from development of new plantations, especially from peatlands, Bumitama consciously adheres to its commitments of no deforestation and no peat development, which is also in line with the RSPO requirement to achieve GHG emissions reduction." [...] "Our Group has also made efforts to ensure that emissions levels from our existing operations are reduced and contained. The emission calculation of our 7 certified mills revealed emissions for these plantations and mills operations as 1.38 tonnes of carbon dioxide per tonne of Crude Palm Oil ("CPO") produced" Company reported that the total land conversion Emissions Sources And Sinks - Land conversion - 466,492 (MT CO2e/year)"
    • Disclosure of conservation activity
      Yes
      0/0
      How many hectares of conservation area are being supported or facilitated by the company on land it does not own or manage?: 8,000 hectares
      "the activities of our Bumitama Biodiversity and Community Project ("BBCP") Forest Rangers comprising of biodiversity monitoring in the 8,000 hectares of conservation areas".
    • 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?: 35 hectares
      "BBCP also includes a rehabilitation programme that aims to restore nearly 2,000 hectares of damaged forest areas." "To date, we have reforested around 35 hectares".
  • Commodity score
    52/84
    • Palm oil
      52/84
      • Commitment Strength
        21/28
        • 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
            "No peat, protection of High Conservation Values (HCV) and High Carbon Stock (HCS) landscapes". "Bumitama is a member of the RSPO since 2007 and have a timebound plan to complete RSPO certification of all of our mills and plasma smallholders by the year end 2024 where land use rights permit (HGU) has been secured."
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "No peat, protection of High Conservation Values (HCV) and High Carbon Stock (HCS) landscapes". "Bumitama is a member of the RSPO since 2007 and have a timebound plan to complete RSPO certification of all of our mills and plasma smallholders by the year end 2024 where land use rights permit (HGU) has been secured."
          • Target date
            2024
            0.7/1.3
            Target date
            2024
            0.7/1.3
            "No peat, protection of High Conservation Values (HCV) and High Carbon Stock (HCS) landscapes". "Bumitama is a member of the RSPO since 2007 and have a timebound plan to complete RSPO certification of all of our mills and plasma smallholders by the year end 2024 where land use rights permit (HGU) has been secured."
          • Interim target date
            No
            0/0.7
            Interim target date
            No
            0/0.7
            "No peat, protection of High Conservation Values (HCV) and High Carbon Stock (HCS) landscapes". "Bumitama is a member of the RSPO since 2007 and have a timebound plan to complete RSPO certification of all of our mills and plasma smallholders by the year end 2024 where land use rights permit (HGU) has been secured."
        • 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
            "No peat, protection of High Conservation Values (HCV) and High Carbon Stock (HCS) landscapes". "Bumitama is a member of the RSPO since 2007 and have a timebound plan to complete RSPO certification of all of our mills and plasma smallholders by the year end 2024 where land use rights permit (HGU) has been secured."
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "No peat, protection of High Conservation Values (HCV) and High Carbon Stock (HCS) landscapes". "Bumitama is a member of the RSPO since 2007 and have a timebound plan to complete RSPO certification of all of our mills and plasma smallholders by the year end 2024 where land use rights permit (HGU) has been secured."
          • Target date
            2024
            0.7/1.3
            Target date
            2024
            0.7/1.3
            "No peat, protection of High Conservation Values (HCV) and High Carbon Stock (HCS) landscapes". "Bumitama is a member of the RSPO since 2007 and have a timebound plan to complete RSPO certification of all of our mills and plasma smallholders by the year end 2024 where land use rights permit (HGU) has been secured."
          • Interim target date
            No
            0/0.7
            Interim target date
            No
            0/0.7
            "No peat, protection of High Conservation Values (HCV) and High Carbon Stock (HCS) landscapes". "Bumitama is a member of the RSPO since 2007 and have a timebound plan to complete RSPO certification of all of our mills and plasma smallholders by the year end 2024 where land use rights permit (HGU) has been secured."
        • Commitment to a traceable supply chain
          6/8
          • Commitment details
            Traces to Point of production
            4/4
            Commitment to a traceable supply chain
            Traces to Point of production
            4/4
            "Tracking and monitoring land development in sensitive areas, ensuring that FFB processed is traceable to our own estates, plasma smallholders, local traders and independent smallholders, and ensuring that FFB is purchased from legal and responsible sources." "we are launching a programme to achieve full traceability of all FFB processed to estate level"
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "Tracking and monitoring land development in sensitive areas, ensuring that FFB processed is traceable to our own estates, plasma smallholders, local traders and independent smallholders, and ensuring that FFB is purchased from legal and responsible sources." "we are launching a programme to achieve full traceability of all FFB processed to estate level"
          • Target date
            No target date
            0/1.3
            Target date
            No target date
            0/1.3
            "Tracking and monitoring land development in sensitive areas, ensuring that FFB processed is traceable to our own estates, plasma smallholders, local traders and independent smallholders, and ensuring that FFB is purchased from legal and responsible sources." "we are launching a programme to achieve full traceability of all FFB processed to estate level"
          • Interim target date
            No
            0/0.7
            Interim target date
            No
            0/0.7
            "Tracking and monitoring land development in sensitive areas, ensuring that FFB processed is traceable to our own estates, plasma smallholders, local traders and independent smallholders, and ensuring that FFB is purchased from legal and responsible sources." "we are launching a programme to achieve full traceability of all FFB processed to estate level"
      • Social Considerations
        8/18
        • Labour rights in the supply chain
          No
          0/4
        • 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; Education and training

          How many smallholders do they support, and what percentage does this represent in terms of their sourcing from smallholders?: Various, not specified
          " Bumitama commits to:Providing guidance for independent smallholders and traders with the intention to increase their compliance with Bumitama’s Sustainability Policy and RSPO P&Cs; Providing smallholders with assistance package, including of forming smallholder groups, facilitation of their land certification, training programmes focused on smallholder productivity, socialisation on the Bumitama Sustainability Policy & legal requirements and handholding through the Certification programme;" [...] "In 2019, we were able to conduct trainings for more than 350 smallholders from four different groups that supply FFB to our mills across an area of over 5,000 ha. We hope that in 2020, we will be able to turn this good progress into certification of at least 1,400 hectares of independent smallholder land, while enrolling a further 1,500 farmers into the programme."
        • Gender equality in the supply chain
          No commitment
          0/4
        • Commitment to remediation
          Yes
          2/2
          Commitment to remediation
          Yes
          2/2
          "Bumitama commits to: Implementing the RSPO Principle & Criteria (P&Cs) including the Remediation and Compensation Procedure (RaCP) for the parties that we manage"
        • 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
          What is the status of those FPIC processes?: Not disclosed
          "We respect the rights of indigenous people and other local communities to give or withhold their free, prior and informed consent to development of land to which they hold legal, communal or customary rights. We identify local communities’ tenure and user rights through participatory Social Impact Assessment and engage in fair and informed negotiations over access rights to land and other natural resources."
      • Reporting and Implementation
        23/38
        • Reporting against commitments
          6/6
          • Commitment to protect priority forests
            Yes
            2/2
            Commitment to protect priority forests
            Yes
            2/2
            (Upstream only) How many hectares of land owned, controlled or managed is certified?: 48815 hectares

            Does the company report on the degree of compliance/progress with commitments, disaggregated by relevant factors such as origin or supply chain stage?: Yes
            Bumitama Agri reported their total consumption of palm oil as 121322 tonnes, all of which was certified in 2019.
          • 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
            Bumitama Agri reported their total consumption of palm oil as 121322 tonnes, all of which was certified in 2019.
          • 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?: No
            In 2019, Bumitama Agri achieved 98.2% traceable to the plantation.
        • 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?: Certification scheme

            Which processes or groups does the company use for third party verification?: RSPO
            Bumitama Agri reported their total consumption of palm oil as 121322 tonnes, all of which was certified in 2019.
          • 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
            Bumitama Agri reported their total consumption of palm oil as 121322 tonnes, all of which was certified in 2019.
          • 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
          Yes
          2/2
          Risk assessments for forest risk
          Yes
          2/2
          For what percentage of material produced or sourced by the company has forest risk been assessed?: 100%

          How frequently are assessments conducted?: Before each land development
          " In line with the latest Roundtable on Sustainable Palm Oil ("RSPO") Principles & Criteria (“P&C”) 2018 and the current Indonesian national regulations, assessments on High Conservation Value (“HCV”), Social Impact Assessment (“SIA”), Amdal (Environmental Impact Assessment), High Carbon Stock (“HCS”) and peat are essential prior to every new land development."
        • Operations assessed to comply with law
          Yes
          2/2
          Operations assessed to comply with law
          Yes
          2/2
          "Traceability and Responsible Sourcing: Tracking and monitoring land development in sensitive areas, ensuring that FFB processed is traceable to our own estates, plasma smallholders, local traders and independent smallholders, and ensuring that FFB is purchased from legal and responsible sources."
        • Accessible grievance mechanism
          Yes
          4/4
          Accessible grievance mechanism
          Yes
          4/4
          Does the company publish grievances that have been made against it, as well as responses and resolutions including status and timeframes: Yes

          Details of the mechanism: Social; Environmental

          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.)?: Telephone, webform, email
          Company has both a grievance mechanism and a whistleblowing policy - "In early 2015 Bumitama rolled out new complaint process ( Bumitama Grievance Flow Chart ) which allocates clear organisational responsibility to ensure that all complaints are being reported and addressed at group-level. [...] Grievances can be submitted through any of the following channels:By email to: grievance_channel@bumitama-agri.comIn writing to:Bumitama Agri Ltd.Jln Melawai Raya No.10Jakarta Selatan 12160IndonesiaAttention: Corporate Sustainability (Grievance Coordinator)" [...] "The Group has put in place a whistle-blowing policy, whereby employees or any other persons such as customers, suppliers, contractors or local community may, in good faith and confidence, without fear of reprisals raise concerns about possible improprieties in financial reporting, unethical practices or other matters [...] Whistle blowing can be initiated via text/call to mobile number +6281286419700 or email to audit.pengaduan@bumitama.com"
        • 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
          Which certification schemes are used?: RSPO

          What is the non-certified/non-compliant volume?: 0 tonnes

          What is the certified volume?: 121322 tonnes
          Bumitama Agri reported their total consumption of palm oil as 121322 tonnes, all of which was certified in 2019.
        • Upstream: Impact assessments for land development/acquisition
          Yes
          4/4
          Upstream: Impact assessments for land development/acquisition
          Yes
          4/4
          For what percentage of production units has an ESIA been carried out as part of the land use planning process?: 100%
          " In line with the latest Roundtable on Sustainable Palm Oil ("RSPO") Principles & Criteria (“P&C”) 2018 and the current Indonesian national regulations, assessments on High Conservation Value (“HCV”), Social Impact Assessment (“SIA”), Amdal (Environmental Impact Assessment), High Carbon Stock (“HCS”) and peat are essential prior to every new land development."
        • Upstream: Reporting production/processing locations
          Reports location of company-owned processing facilities
          1/4
          Upstream: Reporting production/processing locations
          Reports location of company-owned processing facilities
          1/4
          For what percent are boundaries (of holdings under conservation) disclosed?: 0%

          For what percent are point locations (of certified land holdings) disclosed?: 0%

          In what country(ies) does the company operate and/or source material?: Indonesia

          For what percent are boundaries disclosed?: 0%

          For what percent are boundaries (of certified land holdings) disclosed?: 0%

          What is the total area in production (in ha)?: 185,165 hectares

          For what percent are point locations (of land holdings and processing facilities) disclosed?: 100%
          Bumitama Agri Ltd. provide a list of their processing mills within their 2018 sustainability report's "annual certification plan"
        • 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
          Does the company use a jurisdictional monitoring mechanism?: No

          How frequently is compliance assessed?: not specified

          Does the company use a certification system?: No
          "Bumitama will roll out a series of detailed policies and/or Standard Operating Procedures. We will establish assessment procedures to determine conformance, inclusive of relevant parties as mentioned in this policy. We will conduct regular communication, and provide guidance and assistance to help them achieve compliance with this policy [...] Significant non-compliance of this policy will be monitored and reported to the company’s Board. The corrective measures taken, where appropriate, will be publicly reported."
        • 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?: Not disclosed
          Bumitama "kick-started the first phase of the FFB traceability initiative in 2016, mapping the entire supplier base of our CPO mills based on purchase documents. We will follow up with the collection of additional information on our third party suppliers that will provide us with more accurate and detailed data for analysis and verification as we closely monitor our supply chain partners."
        • 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
          Does the company engage non-compliant indirect suppliers in order to address and remedy non-compliance?: No
          "All provisions in this policy, with no exception, apply to all plantations and/ or mills in our subsidiaries, associates and those which we manage. For new acquisitions, the provisions in this policy will guide the Group towards compliance within a challenging time-bound plan."
        • Downstream: Disclosure of non-compliant suppliers
          No disclosure
          0/2
  • Commitment strength
    21/28
    Avg. score
  • Reporting and Implementation
    23/38
    Avg. score
  • Social considerations
    8/18
    Avg. score

Profile

Harita Group is an Indonesian conglomerate. Subsidiary Bumitama Agri is a palm oil company involved in the cultivation and processing of oil palm with one of the largest landbanks of global palm oil producers. Harita Group is selected as a powerbroker for palm oil.

Sector
Industry sector 
Agri commodities, Agriculture
Segments
Producer, Trader, Processor, Manufacturer
HQ
HQ 
Indonesia
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.