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  • Overall approach
    9/10
    • Overarching commitment on deforestation
      3/4
      Overall commitment
      Zero deforestation/Deforestation-free commitment or, for timber, pulp & paper companies only, commitment to well implemented harvest and no deforestation of HCV & HCS areas
      3/4
      Do they have a commitment for other non-Forest 500 commodities, if so which?: NA
      "No deforestation, no new planting on peat". This is the palm oil policy, but explicitly states that the policy is also applicable to all other commodities under IOI group.
    • Signatory to an initiative tackling deforestation
      1/1
      Signatory
      Yes
      1/1
      IOI Corporation are a member of the UN Global Compact Network Malaysia.
    • Awareness of the value of forests
      1/1
      Awareness
      Yes
      1/1
      "Detrimental impact caused by deforestation and land use change is one of the drivers of climate change. The issues have been linked to production of unsustainable palm oil. IOI upholds commitments to ensures no deforestation and practice responsible land use in production of sustainable palm oil....Key Commitments of IOI Group’s Sustainable Palm Oil Policy Protection of High Conservation Value (“HCV”) and High Carbon Stock (“HCS”) areas in existing and new oil palm plantations."
    • Deforestation as a business risk
      1/1
      Business risk
      Yes
      1/1
      What poportion of a company’s annual revenue depends on each forest risk commodity?: NA
      "The sustainability risks that concern our operations are environmental, social and governance matters which include but are not limited to; human rights, local community grievances, occupational health and safety, fire management, deforestation, climate change, biodiversity, and peatland protection."
    • 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?: Four times a year

      Which commodities does it apply to?: Palm oil
      "Sustainability risks and opportunities are presented at the board level by the Group Head of Sustainability (“GHS”). The Group Sustainability Steering Committee (“GSSC”) was established to assure that the Group’s sustainability agenda, commitments and issues are effectively discussed, approved and implemented. The GSSC, chaired by the Group Managing Director and Chief Executive (“GMD”) comprises of the heads of the operating divisions, GHS and senior management from Group support functions. IOI further demonstrated its commitment to increase its sustainability governance and accountability at the board level with the appointment of a new Independent Non-Executive Director, Dr. Nesadurai Kalanithi...Based on current trends, internal and external audits as well as sustainability indications and assessments, the table explains the provision of Environmental, Social and Governance (“ESG”) matters that are managed and addressed by IOI: Climate Change • Responsible land use. • No Deforestation, No New Planting on Peat"
    • Executive compensation linked to deforestation
      Executive compensation
      No
      0/0
      Does it disclose the percentage of pay at risk?: No
    • Target to reduce emissions from land-use change
      1/1
      Land-use change emissions
      Yes
      1/1
      What is the target date for the company to achieve their climate target?: NA
      "GHG emissions intensity for plantations in 2020 significantly reduced in comparison to 2019 baseline (Figure 1). However, the emissions reduction achieved in 2020 for scenario 1 was 14.77% in comparison to the targeted reduction of 21%. Emissions for scenario 1 was calculated with the basis of palms planted after 25 years are not considered as part of the overall emissions sequestration as per current PalmGHG calculation methodology. However, emissions reduced as much as 29.57% if the calculation take into account of sequestration of palms planted after 25 years"
    • Reporting on emissions from land-use change
      1/1
      Emissions reporting
      Yes
      1/1
      What is the total volume of GHG emissions arising from land use change?: 0.0611 million tonnes

      Which method is used to calculate the GHG emissions arising from land use change?: GHG emissions calculation for IOI Plantation is based on RSPO PalmGHG, calculations for refinery are based on ISCC methodology, calculations for oleochemical are based on the Intergovernmental Panel on Climate Change’s (IPCC) and the Institute for Global Environmental Strategies (IGES).
      "IOI as a group produced 2.908 million tCO2-e of direct (Scope 1) GHG while indirect (Scope 2) emissions contributed 0.0611 million tCO2-e. Net GHG emissions for IOI stands at 1.376 million tCO2-e which translates to 1.93 tCO2-e/ MT Product after taking into account the GHG sequestration/ credit mainly from conservation areas and GHG credits from selling of oil palm-based biomass. Full metrics of our carbon emission and absolute numbers is available in Appendix: Sustainability Performance Metrics."
    • Disclosure of conservation activity
    • Disclosure of reforestation activity
    • Target to reduce emissions in scope 1/2
      Reduce emissions
      Yes
      0/0
      What is the target date for the company to achieve their climate target?: 2025

      Is this target aligned with/verified by SBTi?: No

      Type of climate target: Other or unclear
      "Implement measures to reduce GHG emissions [...] • IOI is committed to a holistic approach in implementing its climate action strategy and to strive for reducing GHG emissions. [...] Emission reduction target of 41% by 2025"
  • Commodity score
    41/90
    • Palm oil
      58/90
      • Commitment Strength
        14/17
        • Commodity-specific deforestation commitment
          8/9.5
          • Commitment details
            Zero-gross deforestation
            4/6
            Commodity-specific deforestation commitment
            Zero-gross deforestation
            4/6
            Which certification schemes are used?: RSPO; Other certification

            When was this commitment set?: 2020

            If other certification, specify: MSPO

            Does the company have a commitment to the protection of other specific named ecosystems?: HCS; Peat
            "Our sustainability policy is based upon the following principles: To implement leading sustainability standards laid out in this policy for environmental management including no deforestation, no new planting on peat and no social exploitation (NDPE)[...] Our operations in Peninsular Malaysia and Sabah are 100% RSPO and MSPO certified we will now build on this by certifying outstanding management units in Indonesia[...] environmental management - identification and protection of High Conservation Value areas and High Carbon Stock areas...for existing plantations on peat we will use best management practices...we expect all our third-party suppliers of palm oil products to adhere to the commitments in this Sustainability Policy, including the requirements for new plantings relating to HCV, HCS, peat and social impact"[...]"Target: 100% RSPO certification for all IOI plantations by 2023 - Current progress in line with 100% RSPO certification for all IOI plantations in Malaysia and Indonesia by 2023."
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "Our sustainability policy is based upon the following principles: To implement leading sustainability standards laid out in this policy for environmental management including no deforestation, no new planting on peat and no social exploitation (NDPE)[...] Our operations in Peninsular Malaysia and Sabah are 100% RSPO and MSPO certified we will now build on this by certifying outstanding management units in Indonesia[...] environmental management - identification and protection of High Conservation Value areas and High Carbon Stock areas...for existing plantations on peat we will use best management practices...we expect all our third-party suppliers of palm oil products to adhere to the commitments in this Sustainability Policy, including the requirements for new plantings relating to HCV, HCS, peat and social impact"[...]"Target: 100% RSPO certification for all IOI plantations by 2023 - Current progress in line with 100% RSPO certification for all IOI plantations in Malaysia and Indonesia by 2023."
          • Target date
            2023
            1/1
            Target date
            2023
            1/1
            What actions or steps are identified for time-bound implementation?: Obtaining RSPO certification
            "Our sustainability policy is based upon the following principles: To implement leading sustainability standards laid out in this policy for environmental management including no deforestation, no new planting on peat and no social exploitation (NDPE)[...] Our operations in Peninsular Malaysia and Sabah are 100% RSPO and MSPO certified we will now build on this by certifying outstanding management units in Indonesia[...] environmental management - identification and protection of High Conservation Value areas and High Carbon Stock areas...for existing plantations on peat we will use best management practices...we expect all our third-party suppliers of palm oil products to adhere to the commitments in this Sustainability Policy, including the requirements for new plantings relating to HCV, HCS, peat and social impact"[...]"Target: 100% RSPO certification for all IOI plantations by 2023 - Current progress in line with 100% RSPO certification for all IOI plantations in Malaysia and Indonesia by 2023."
          • Interim target date
            NA (target date current or achieved or 2023)
            0.5/0.5
            Interim target date
            NA (target date current or achieved or 2023)
            0.5/0.5
            What date is given for the interim milestone?: NA
            "Our sustainability policy is based upon the following principles: To implement leading sustainability standards laid out in this policy for environmental management including no deforestation, no new planting on peat and no social exploitation (NDPE)[...] Our operations in Peninsular Malaysia and Sabah are 100% RSPO and MSPO certified we will now build on this by certifying outstanding management units in Indonesia[...] environmental management - identification and protection of High Conservation Value areas and High Carbon Stock areas...for existing plantations on peat we will use best management practices...we expect all our third-party suppliers of palm oil products to adhere to the commitments in this Sustainability Policy, including the requirements for new plantings relating to HCV, HCS, peat and social impact"[...]"Target: 100% RSPO certification for all IOI plantations by 2023 - Current progress in line with 100% RSPO certification for all IOI plantations in Malaysia and Indonesia by 2023."
        • Commitment to a traceable supply chain
          6/7.5
          • Commitment details
            Traces to Point of production
            4/4
            Commitment to a traceable supply chain
            Traces to Point of production
            4/4
            When was this commitment set?: NA
            "We commit to building a traceable and sustainable palm oil supply chain. Traceability is defined as traceable to a defined list of mills and plantations. Our goal is to ensure that all volumes of palm oil, palm oil fractions and palm kernel oil are traceable to the supplying mills. This commitment will be extended towards full traceability to plantations progressively. ... We commit to achieve full traceability to plantations in high risk landscapes by end 2020"
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "We commit to building a traceable and sustainable palm oil supply chain. Traceability is defined as traceable to a defined list of mills and plantations. Our goal is to ensure that all volumes of palm oil, palm oil fractions and palm kernel oil are traceable to the supplying mills. This commitment will be extended towards full traceability to plantations progressively. ... We commit to achieve full traceability to plantations in high risk landscapes by end 2020"
          • Target date
            Past target date, not updated or not achieved
            0/1
            Target date
            Past target date, not updated or not achieved
            0/1
            "We commit to achieve full traceability to plantations in high risk landscapes by end 2020" - however dashboard only shows 100% traceability to plantation for their own mills, and 13% of suppliers' volumes are pending verification.
          • Interim target date
            No
            0/0.5
            Interim target date
            No
            0/0.5
            What date is given for the interim milestone?: Current
      • Associated Human Rights Abuses
        12/17
        • Labour rights in the supply chain
          Yes
          3/3
          Labour rights in the supply chain
          Yes
          3/3
          How far back in the supply chain does this commitment apply?: All tiers

          Other workers' rights commitments: Only work legal working hours; Guaranteed safe and healthy workspaces

          Details of commitment: Discrimination; Forced labour; Child labour; Freedom of association
          IOI Group abide by the minimum standards for human rights as set by the ILO, the UNGP and the UN Declaration on Human Rights. They require their suppliers to ensure their workers' "have freedom of association, and to be free from forced labour, child labour and discrimination. They also require safe and healthy working conditions, legal working hours and are free from abusive practicies." [...] "IOI is committed to upholding the rights of our workers in accordance with the Universal Declaration of Human Rights, the International Labour Organisation’s (“ILO”) core conventions etc., as stated in our SPOP. Specifically, some of the ILO core conventions adopted by IOI are; Right to Organise and Collective Bargaining Convention, Forced Labour Convention and Worst forms of Child Labour Convention"
        • Inclusion of small-scale farmers
          Yes
          2/2
          Inclusion of small-scale farmers
          Yes
          2/2
          What is the nature of that support?: Certification; Technical assistance/support; Education and training, Economic

          How many smallholders do they support, and what percentage does this represent in terms of their sourcing from smallholders?: NA
          "• Working in partnership supporting Smallholders and Outgrowers towards sustainable production and achieving sustainability certification (“MSPO”)....• IOI had collaborated with customers, food companies, civil societies, regulatory body, and local authorities in joint sustainability projects including project ILHAM, project RELeaf and certification programs for smallholders...• We collaborated with different organisations to improve capacity building for our suppliers, smallholders and our own workforce which were discussed in all focus areas in this report...Currently, 40% of the total worldwide palm oil production originated from smallholders. As such, IOI recognises the importance smallholders play in our supply chain. To support their journey towards sustainability, IOI initiated several capacity building initiatives with the purpose of helping them implement best management practices to increase their yield and to assist them in preparing for mandatory sustainability certifications like Malaysian Sustainable Palm Oil (“MSPO”) and Indonesian Sustainable Palm Oil (“ISPO”)...IOI’s Responsible Sourcing Team has partnered with Malaysian based social enterprise Wild Asia to find ways to support economically vulnerable small producers within our supply base during these uncertain times. The Wild Asia Group Scheme (“WAGS”) is a programme formalised in 2011 to enhance local capacity in the oil palm sector as well as to support independent farmers and producers towards sustainable production. It aims to build a network of farmers who grow healthy and sustainable produce for the betterment of the ecosystem and the environment. This partnership with WAGS has helped to enhance the income of our small producers through the delivery of traceable, deforestation-free and Roundtable on Sustainable Palm Oil (RSPO)-certified palm oil. Our first physical raw material connection with the WAGS team completed in July 2020 in Perak...Smallholders Support and Engagement In July 2020, IOI UNICO Group and IOI Sustainable Palm Oil (SPO) team organised a series of training sessions for major outgrowers and smallholders who supply FFB to Unico Oil Mill, as well as interested participants from neighbouring estates. The objectives of the training were to improve the quality of FFB and palm oil production from external suppliers, improve the overall oil extraction rate, as well as demonstrate to smallholders how to identify good quality FFB. The smallholders were also given guided sessions on how to prepare for their upcoming MSPO audit"[...]5420ha of Scheme Smallholder Land
        • Gender equality in the supply chain
          Commitment to ensure equality of women in the supply chain
          1/2
          Gender equality in the supply chain
          Commitment to ensure equality of women in the supply chain
          1/2
          IOI Group commit their suppliers to "provide fair and equal employment opportunities for all employees, regardless of race, nationality, religion or gender", and to "protect reproductive health of women employees and promote women empowerment" [...] "Women empowerment is an important path forward to achieving gender equality within our community. IOI upholds the rights of women and continues to provide opportunities for them to grow and explore new responsibilities and challenges. Our Women and Empowerment Committee (“WEC”) introduced last year, is an important platform for our female employees in our plantations to raise their concerns on gender rights "
        • Commitment to remediation
          Yes, and until those open harms are remediated the company ceases operations on/sourcing from those operations
          1/1
          Commitment to remediation
          Yes, and until those open harms are remediated the company ceases operations on/sourcing from those operations
          1/1
          What does the commitment cover?: Social harm; Environmental harm
          "Accountability, transparency and responsiveness towards grievances and complaints is essential to ensure that they are effectively handled, any issues addressed as well as compliance on any remediation implemented. [...] As one of the top six materiality matters of 2021, IOI views the above matter very seriously. To enable all stakeholders to express and communicate their concerns easily and freely over our operational impacts that may require improvement or remediation due to the possibility of misalignment to our policies and best practices, IOI has provided multi-channels for these matters to be reported either transparently or anonymously, if required. For example, the Group has implemented an open and transparent whistleblowing approach to resolve both internal and external stakeholder grievances. Stakeholders are encouraged to submit their grievances if they find any part of our operations or supply chain are not operating in line with the principles stated in the Group’s SPOP."
        • Commitment to test Free, Prior and Informed Consent
          Yes, the company commits to test for FPIC prior to acquiring new interests, developments, or expansions
          2/3
          Commitment to test Free, Prior and Informed Consent
          Yes, the company commits to test for FPIC prior to acquiring new interests, developments, or expansions
          2/3
          How far back in the supply chain does this commitment apply?: Tier 1
          "Respect the land tenure rights of indigenous local communities including their right to give or withhold Free, Prior and Informed Consent ("FPIC") to operations on land over which they hold legal, communal or customary rights in accordance with the UN Declaration on the Rights of Indigenous People"
        • Commitment to respect customary rights to land, resources, and territory
          Yes
          3/3
          Commitment to respect customary rights to land, resources, and territory
          Yes
          3/3
          "New oil palm developments only after comprehensive stakeholder engagement and assessments (including ESIA, HCV and HCS assessment, LUC analysis, GHG assessment, soil suitability and topographic survey).[....] • New oil palm developments are permitted only after comprehensive stakeholder engagement and assessments."
        • Zero-tolerance approach to violence and threats
          No
          0/3
      • Implementation and Reporting
        32/56
        • Reporting proportion of compliant volumes
          0/0
        • Reporting is independently verified
          Yes, using a third-party verification scheme or certification scheme
          2/2
          Reporting is independently verified
          Yes, using a third-party verification scheme or certification scheme
          2/2
          Which tools, approaches, third-party verification, including certification, schemes are used?: Control Union

          Which processes or groups does the company use for third party verification?: Control Union

          What methods are used for verification?: Control Union

          What percent of the company's supply volume is verified using company verification systems?: NA

          Is the performance of compliance of some suppliers, sources, or origins not verified, and if so why not?: Not all of their plantations are traceable so presumably they haven't been verified by Control Union

          For what percent of the company's supply volume is third-party verification of performance relative to commitments conducted?: NA
          "• More than 90% of our mills are Roundtable on Sustainable Palm Oil (“RSPO”) certified."
        • Suppliers aligned with deforestation commitments across supply chain
          Yes, encouraged
          0/3
          Suppliers aligned with deforestation commitments across supply chain
          Yes, encouraged
          0/3
          "Support suppliers on their transformation towards NDPE policy commitments."
        • Deforestation cut off date
          No
          0/2
        • Collaborative actions
          No
          0/2
        • Jurisdictional approach focused on sustainable land use
          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?: 0% unknown

          How frequently are assessments conducted?: Frequently
          "IOI continues to implement programmes and measures to conserve and protect the natural environment around us. We assess all our operating units using recognised valuation standards including HCV assessment and Environmental Impact Assessment (“EIA”) to identify and manage impact [...] New oil palm developments are permitted only after comprehensive stakeholder engagement and assessments (HCV, HCS and GHG assessment, ESIA; LUC analysis; soil suitability and topographic surveys) are conducted. [...] • IOI exercises the application of High Conservation Value Network (“HCVN”) and High Carbon Stock Approach (“HCSA”) toolkit to help us identify and conserve HCV and HCS areas for new land developments in all our operations.[...] A total of 3608.47 hectares of HCV area and 6145.23 hectares other conservation areas in Malaysia and Indonesia were identified to be protected in FY 2021"
        • Operations assessed to comply with law
          No
          0/2
        • Accessible grievance mechanism
          Yes, and published details of any grievances within the last two years (2019-2021)
          4/4
          Accessible grievance mechanism
          Yes, and published details of any grievances within the last two years (2019-2021)
          4/4
          If other type of mechanism, specify: Internal, but aligned with the UN Guiding principles on business and human rights for effective non-judicial grievance mechanisms.

          What is the nature of the grievance mechanism used by the company?: Other

          Which issues does the grievance mechanism cover?: Social; Environmental
          "In its Sustainable Palm Oil Policy (“SPOP”), IOI Corporation Berhad (“IOI” or “IOI Group”) committed to the implementation of a comprehensive Grievance Procedure covering its palm oil production and sourcing. IOI is committed to an open and transparent approach to resolve outstanding grievances with the involvement of affected stakeholders. IOI will deal with all grievances logged under the Grievance Procedure in a fair and timely manner. The Group will publicly disclose the results of this process." .. "Anyone can submit a grievance verbally or via a letter or e-mail to the Grievance Coordinator: E-mail: [email protected] By telephone to: +603 8947 8701 In writing to: IOI Corporation Berhad, Level 27, IOI City Tower Two, Lebuh IRC, IOI Resort City, 62502 Putrajaya, Malaysia Attention: Sustainability Department (Grievance Coordinator)"
        • Report volumes of commodity sourced/used
          Reporting total volume
          3/3
          Report volumes of commodity sourced/used
          Reporting total volume
          3/3
          Reporting non-certified/non-compliant volume: 186000.95 Metric Tonnes

          What is the non-DCF commodity volume sourced from known production areas, and proportion of total supply chain volume this represents?: NA

          Reporting certified/compliant volume: 2959469.38 Metric Tonnes

          What product types/sectors is this in?: Palm Oil Processing

          Total volume: 3145470.33 Metric Tonnes
          IOI report in their RSPO ACOP report that they produce a total of 3145470.33 Metric Tonnes of palm oil
        • Monitor compliance for labour rights and FPIC
          Yes, and publishes evidence of actions taken to implement its commitment on labour rights in the production or primary processing operations that it owns, manages or otherwise controls or its supply chains
          3/5
          Monitor compliance for labour rights and FPIC
          Yes, and publishes evidence of actions taken to implement its commitment on labour rights in the production or primary processing operations that it owns, manages or otherwise controls or its supply chains
          2.5/5
          What steps has the company taken to implement their labour rights commitment?: training, ordit

          What is the status of those FPIC processes?: na

          What percentage/number of new interests, developments, or expansions has the company used FPIC to secure consent of indigenous peoples/local communities?: na
          "Between April to August 2021, IOI conducted the workers’ welfare programme to increase suppliers’ awareness in countering forced labour, which is a part of the No Exploitation commitment in the NDPE commitments. The programme aims to evaluate suppliers’ current practices as well as to provide training and solutions to make improvements and close the identified gaps. [...] The Year 2 T4T report on the progress made by our supply base on meeting NDPE requirements was published on 8th March 2021. More than 90% of the supplying mills participated in the assessment and the report showed that there was a high level of compliance to no new planting on peat, no child labour in plantation, freedom of association for the workers and traceability."
        • Monitor compliance for zero tolerance approach and customary rights
          No
          0/5
        • 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%

          How does the company remedy adverse social and environmental impacts linked to their operations and/or supply chains?: Not specified
          " New oil palm developments only after comprehensive stakeholder engagement and assessments (including ESIA, HCV and HCS assessment, LUC analysis, GHG assessment, soil suitability and topographic survey)"
        • Upstream: Reporting production/processing locations
          Reports location of certified land holdings; Reports location of company-owned processing facilities
          2/4
          Upstream: Reporting production/processing locations
          Reports location of certified land holdings; Reports location of company-owned processing facilities
          2/4
          What is the volume of each forest risk commodity that the company produced/processed/sourced in the previous year from each national or subnational location?: NA

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

          For what percent are boundaries (of holdings under conservation) disclosed?: NA

          What type of conservation designation and/or conservation status is used?: NA

          For what percent are boundaries disclosed?: NA

          What types of ecosystems are these?: NA

          For what percent are point locations (of certified land holdings) disclosed?: 100%

          What is the total area in production (in ha)?: 194067.85ha

          What is the total area (in ha) of natural ecosystem on land owned, managed, or controlled by the company?: 9753.7ha

          For what percent are point locations (of land holdings and processing facilities) disclosed: 100%

          For what percent are point locations (of holdings under conservation) disclosed?: NA

          What is the area, in hectares of production units, on which non-DCF commodities are produced or processed, by country and jurisdiction: NA

          In what jurisdiction(s)/subnational region does the company operate and/or source material?: West Kalimantan ; Johor ; Negeri Sembilan ; Malacca ; Pahang ; Penang

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

          From what sub-national jurisdiction(s) does the company source material?: West Kalimantan ; Johor ; Negeri Sembilan ; Malacca ; Pahang

          What is the total area of land (in ha) that is available for future production, e.g. concessions?: 2720.0ha

          What is the total land area owned, managed, or controlled by the company for the forest risk commodity?: 206541.55ha
          IOI provide a map showing the locations of processing facilities and estates as well as publishing hectares for areas of production and areas of natural ecosystem in their RSPO ACOP report.
        • Downstream: Reporting suppliers
          Yes, report direct suppliers; Yes, report indirect suppliers
          4/4
          Downstream: Reporting suppliers
          Yes, report direct suppliers; Yes, report indirect suppliers
          4/4
          Does the company disclose location of suppliers' production areas or primary processing sites?: No

          From what country(ies) does the company source material?: Malaysia; Cambodia; Indonesia; Thailand

          From what sub-national jurisdiction(s) does the company source material?: NA

          What type of location data (boundary, point, etc.) is provided for smallholder farms?: NA

          What is the volume of each forest risk commodity that the company sourced in the previous year from each national or subnational location?: NA

          For what percent is no location data disclosed?: 0%

          For what percent are boundaries disclosed?: NA

          For what percent of smallholder suppliers is location disclosed?: NA

          For what percent of suppliers' production areas are point locations disclosed?: 100%
          IOI publish a list of mills for both their direct and indirect suppliers.
        • Upstream: Monitor compliance of production/processing
          Yes, using a third-party verification system
          4/4
          Upstream: Monitor compliance of production/processing
          Yes, using a third-party verification system
          4/4
          How frequently is compliance assessed?: At least annually

          For what percentage of suppliers does the company use/rely on external mechanisms to monitor compliance?: 100%

          What tools, processes, bodies carry out monitoring of the company's production or processing operations?: Satellite Monitoring

          If so, what jurisdictions and mechanisms does the company use?: na

          For what percentage of the commodity sourced by the company is deforestation/conversion monitored at the farm level on production units known to be in the company's supply chain?: NA

          For what percentage of production or primary processing operations that it owns, manages, or otherwise controls does the company use external processes or actors, such as certification, to monitor compliance?: 100%

          Does the company use a jurisdictional monitoring mechanism?: No

          Does the company use a certification system?: No
          "Utilises Global Forest Watch platform to map our concession areas, obtain daily information about forest fires, and obtain longer-term climate trends...• Application of T4T assessments and collaboration with Earthworm Foundation on engagement programmes for suppliers.[...]IOI exercises the application of High Conservation Value Resource Network (“HCVRN”) and High Carbon Stock Approach (“HCSA”) Resource toolkits to help us identify and conserve HCV and HCS areas for new land developments in all our operations. The Group is committed to using the latest integrated HCV-HCS assessments, led by licensed HCV assessors accredited by HCVRN Assessor Licensing Scheme (“ALS”) for any future development. As stated in our SPOP, since 2016, IOI fully implements our NDPE commitments and have had a moratorium on deforestation at all operations except our last new land development in PT KPAM"
        • Upstream: Reporting hectares of deforestation
          Yes, for all operations
          4/4
          Upstream: Reporting hectares of deforestation
          Yes, for all operations
          4/4
          How much of this is in protected areas, primary forests, intact forest landscapes, and/or peatlands?: NA

          Over what timeframe was this information reported? e.g. one year, five years, since the cut-off date, other: one year

          What are the method(s) and data source(s) used to monitor and assess deforestation/conversion?: Global Forest Watch platform

          How many hectares/km/m?: 0 ha

          How many hectares of land owned/leased/managed for which deforestation or conversion has not been assessed or monitored?: 0 ha

          Is this reported by country or subjurisdiction? If so, which?: NA

          If a reference date was used by the company, what was the reference date?: 2021
          "Utilises Global Forest Watch platform to map our concession areas, obtain daily information about forest fires, and obtain longer-term climate trends. [...] IOI exercises the application of High Conservation Value Resource Network (“HCVRN”) and High Carbon Stock Approach (“HCSA”) Resource toolkits to help us identify and conserve HCV and HCS areas for new land developments in all our operations. The Group is committed to using the latest integrated HCV-HCS assessments, led by licensed HCV assessors accredited by HCVRN Assessor Licensing Scheme (“ALS”) for any future development. As stated in our SPOP, since 2016, IOI fully implements our NDPE commitments and have had a moratorium on deforestation at all operations except our last new land development in PT KPAM. [...] In FY2021, we continue to report zero deforestation in all of our operating units"
        • Downstream: Monitor compliance in supply chain
          Yes, for its suppliers; Also for its suppliers production or primary processing operations in its supply chains
          3/4
          Downstream: Monitor compliance in supply chain
          Yes, for its suppliers; Also for its suppliers production or primary processing operations in its supply chains
          3/4
          For what percentage of the commodity sourced by the company is deforestation/conversion monitored at the farm level on production units known to be in the company's supply chain?: NA

          For what percentage of suppliers does the company use/rely on external mechanisms to monitor compliance?: NA

          For what percent of suppliers does the company directly monitor compliance of production or processing operations?: 100%

          How frequently is compliance assessed?: Not specified

          How is compliance monitored?: Internal monitoring and verification systems

          What percentage of the company's supply chain volume does that represent?: 100%
          "In order to ensure that our potential 3rd party suppliers are complying to IOI’s no deforestation, no planting on peat and no social exploitations commitments, due diligence will be conducted by the Responsible Sourcing Team even before the suppliers enter our supply chain. The due diligence process involves verification of current and past sustainability concerns in connection to the suppliers. IOI will only enter the sourcing agreement with suppliers without inherent sustainability issues to ensure that we can produce sustainable products to the market. As for the existing suppliers, IOI is utilising geospatial information to continuously monitor the suppliers for any deforestation and peat clearance activity. Within this financial year, there has been no new reported grievances related to deforestation and peat clearance on our suppliers."
        • Downstream: Reporting hectares of deforestation
          Yes, for all sourcing
          4/4
          Downstream: Reporting hectares of deforestation
          Yes, for all sourcing
          4/4
          Does the dowsntream company report the attributed deforestation or ecosystem conversion by sourcing area?: No

          How many hectares/km/m?: 0ha

          What are the method(s) and data source(s) used to monitor and assess deforestation/conversion?: NA

          What are the method(s) and data source(s) used for calculating attributed deforestation/conversion?: NA

          Over what timeframe was this information reported? e.g. one year, five years, since the cut-off date, other: NA

          If a reference date was used by the company, what was the reference date?: NA

          How much of this is in protected areas, primary forests, intact forest landscapes, and/or peatlands?: NA
          "In FY2021, we continue to report zero deforestation in all of our operating units."
        • 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 commit to engage with rightsholders, Indigenous peoples and local communities when developing the implementation plan?: No

          Does the company engage non-compliant indirect suppliers in order to address and remedy non-compliance?: Yes

          Does the company work with the non-compliant supplier to develop an implementation plan to remedy associated harms or non-compliance?: Yes

          What criteria does the policy specify for blacklisting or exclusion?: continued non compliance with Palm Oil Policy

          What type of support does the company offer to its suppliers to help them achieve compliance with commitments?: action plans, support
          "IOI believes that every supplier should be given the opportunity to improve and provide assistance to the suppliers during their difficult period of adjustment in order to address any breach of conduct with time bound action plans [..] Within this financial year, no new grievance cases were recorded against our third-party suppliers. However, our Supplier Engagement Team is continuously providing support to the suppliers involved in past grievances with the aim of creating a more sustainable supply chain within the industry, i.e., the team had engaged with four direct suppliers and two indirect suppliers regarding allegations related to deforestation and forced labour. Details of the grievances against them can be assessed through IOI’s Grievance List" [...] "Non-compliance with IOI’s SPOP will trigger engagement and if required, corrective action plans and re-evaluation of commercial relationships for repeated failures."
        • Downstream: Disclosure of non-compliant suppliers
          Yes, engaged
          1/2
          Downstream: Disclosure of non-compliant suppliers
          Yes, engaged
          1/2
          Does the company have a list of blacklisted or otherwise excluded suppliers or producers?: No

          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?: NA
          "Non-compliance with IOI’s SPOP will trigger engagement and if required, corrective action plans and re-evaluation of commercial relationships for repeated failures."
    • Pulp & Paper *
      6/90
      • Commitment Strength
        6/17
        • Commodity-specific deforestation commitment
          6/9.5
          • Commitment details
            Credible certification scheme
            2/6
            Commodity-specific deforestation commitment
            Credible certification scheme
            2/6
            Type of sustainability commitment: Reduce the volume of virgin wood fibre used in paper and packaging products through usage of recycled content

            Which certification schemes are used?: FSC

            What paper/pulp product does their commitment apply to?: Paper products

            When was this commitment set?: NA
            "IOI currently uses FSC-certified paper in its operations for the past 10 years and also in the printing of its Sustainability Reports."
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "IOI currently uses FSC-certified paper in its operations for the past 10 years and also in the printing of its Sustainability Reports."
          • Target date
            Current/achieved
            1/1
            Target date
            Current/achieved
            1/1
            What actions or steps are identified for time-bound implementation?: FSC certification
            "IOI currently uses FSC-certified paper in its operations for the past 10 years and also in the printing of its Sustainability Reports."
          • Interim target date
            NA (target date current or achieved or 2023)
            0.5/0.5
            Interim target date
            NA (target date current or achieved or 2023)
            0.5/0.5
            What date is given for the interim milestone?: na
            "IOI currently uses FSC-certified paper in its operations for the past 10 years and also in the printing of its Sustainability Reports."
        • Commitment to a traceable supply chain
          0/7.5
          • Commitment details
            No traceability commitment
            0/4
          • Commitment applies to all regions, suppliers and operation
            No
            0/2
          • Target date
            Post 2050 or no target date
            0/1
          • Interim target date
            No
            0/0.5
      • Associated Human Rights Abuses
        0/17
        • Labour rights in the supply chain
          No
          0/3
        • Inclusion of small-scale farmers
          No
          0/2
        • Gender equality in the supply chain
          No commitment
          0/2
        • Commitment to remediation
          No
          0/1
        • Commitment to test Free, Prior and Informed Consent
          No
          0/3
        • Commitment to respect customary rights to land, resources, and territory
          No
          0/3
        • Zero-tolerance approach to violence and threats
          No
          0/3
      • Implementation and Reporting
        0/56
        • Reporting proportion of compliant volumes
          0/0
        • Reporting is independently verified
          No
          0/2
        • Suppliers aligned with deforestation commitments across supply chain
          No
          0/3
        • Deforestation cut off date
          No
          0/2
        • Collaborative actions
          No
          0/2
        • Jurisdictional approach focused on sustainable land use
          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 sourced/used
          No reporting
          0/3
        • Monitor compliance for labour rights and FPIC
          No
          0/5
        • Monitor compliance for zero tolerance approach and customary rights
          No
          0/5
        • Downstream: Reporting suppliers
          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
  • * commodity scores for which a company is not a powerbroker are given half the weighting of other commodities in total scores

  • Commitment strength
    11/17
    Avg. score
  • Implementation and Reporting
    21/56
    Avg. score
  • Associated Human Rights Abuses
    8/17
    Avg. score

Profile

IOI Corporation is a global, vertically integrated palm oil company active throughout the supply chain from cultivation to manufacturing. The company has one of the top ten largest landbanks for palm oil globally, with more than 225,000 hectares of plantation land in Indonesia and Malaysia. Its 15 mills have an annual capacity for more than 4.5 million metric tons of fresh fruit bunches. IOI also owns four refineries in Malaysia and the Netherlands with an annual capacity of more than 3 million metric tons. Its products include oleochemicals and specialty oils and fats for the food industry. IOI Corporation Bhd. is selected as a powerbroker for palm oil.

Sector
Industry sector 
Agricultural Products, Paper Packaging
Segments
Producer, Processor, Manufacturer
HQ
HQ 
Malaysia
Company Type
Company type 
CO
Collective Commitments
Consumer Goods Forum member
New York Declaration on Forests signatory

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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.