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Powerbroker for

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  • Overall approach
    7/10
    • 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
      " The Sustainability Policy focuses on ensuring no deforestation, peat land conservation, respect for local and indigenous people’s rights, and the protection of workers’ rights. This policy is implemented across Astra Agro’s operations and supply chain."
    • Signatory to an initiative tackling deforestation
      0/1
    • Awareness of the value of forests
      1/1
      Awareness
      Yes
      1/1
      "Our commitment to “No Deforestation” continues to protect forests that include areas with High Carbon Stock (HCS) and High Conservation Value (HCV) in areas within our concessions that we have set aside as conservation reserves and wherein we do not undertake any development."
    • 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

      What type of risk is recognised?: Reputational

      What revenue comes from industries relevant to each forest risk commodity?: NA

      What proportion of revenue that comes from relevant industries is exposed to each forest risk commodity?: NA

      Type of risk if Other. Also add any relevant details: NA
      " In its implementation, PROPER uses incentive and disincentive instruments. The incentive is public dissemination of reputation or a good image for companies with good environmental management performance, marked by BLUE, GREEN, and GOLD labels. The disincentive is public dissemination of bad reputation or image of a company that shows poor performance in managing the environment, marked by a RED or BLACK label." "In 2018, at the national level, five Company’s subsidiaries earned PROPER GREEN label and 16 Company’s subsidiaries earned the PROPER BLUE label, while at province level three Company’s subsidiaries earned PROPER GREEN label and three Company’s subsidiaries earned the PROPER BLUE label."
    • 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?: Unspecified
      "In terms of the Company’s Sustainability Policy implementation, the Directorate of Agronomy and Sustainability is guided by the five-year action plan to play a key role in helping the Company achieve its sustainability targets. In terms of structure, the Vice President of Sustainability (VP STY) gets the authority and responsibility to regularly reports the developments on the policy implementation to the President Director and the Chief of Agronomy and Sustainability Officer (CASO)"
    • 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
      0/1
    • Reporting on emissions from land-use change
      1/1
      Emissions reporting
      Yes
      1/1
      Which method is used to calculate the GHG emissions arising from land use change?: NA

      What is the total volume of GHG emissions arising from land use change?: 1,188,153t CO2
      In their 2021 Sustainability report they report their scope 1 emissions to be 1,188,153t CO2 equivalent.
    • Disclosure of conservation activity
    • Disclosure of reforestation activity
    • Target to reduce emissions in scope 1/2
      Reduce emissions
      No
      0/0
      Type of climate target: N/A

      Is this target aligned with/verified by SBTi?: No
  • Commodity score
    50/90
    • Palm oil
      50/90
      • Commitment Strength
        14/17
        • Commodity-specific deforestation commitment
          4/4
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "The Sustainability Policy focuses on ensuring no deforestation, peat land conservation, respect for local and indigenous people’s rights, and the protection of workers’ rights. This policy is implemented across Astra Agro’s operations and supply chain"[...]"Our commitment to “No Deforestation” continues to protect forests that include areas with High Carbon Stock (HCS) and High Conservation Value (HCV) in areas within our concessions that we have set aside as conservation reserves and wherein we do not undertake any development."[...]" "This policy will apply to all current and future operations and subsidiaries, including any refinery, mill or plantation that we own, manage or invest in as well as all third parties from whom we purchase"
          • Target date
            Current/achieved
            1/1
            Target date
            Current/achieved
            1/1
            What actions or steps are identified for time-bound implementation?: NA
            "The Sustainability Policy focuses on ensuring no deforestation, peat land conservation, respect for local and indigenous people’s rights, and the protection of workers’ rights. This policy is implemented across Astra Agro’s operations and supply chain"[...]"Our commitment to “No Deforestation” continues to protect forests that include areas with High Carbon Stock (HCS) and High Conservation Value (HCV) in areas within our concessions that we have set aside as conservation reserves and wherein we do not undertake any development."[...]" "This policy will apply to all current and future operations and subsidiaries, including any refinery, mill or plantation that we own, manage or invest in as well as all third parties from whom we purchase"
          • 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
            "The Sustainability Policy focuses on ensuring no deforestation, peat land conservation, respect for local and indigenous people’s rights, and the protection of workers’ rights. This policy is implemented across Astra Agro’s operations and supply chain"[...]"Our commitment to “No Deforestation” continues to protect forests that include areas with High Carbon Stock (HCS) and High Conservation Value (HCV) in areas within our concessions that we have set aside as conservation reserves and wherein we do not undertake any development."[...]" "This policy will apply to all current and future operations and subsidiaries, including any refinery, mill or plantation that we own, manage or invest in as well as all third parties from whom we purchase"
        • 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
            "Astra Agro’s target is to be traceable to the plantation level, especially for priority mills. For our suppliers to be categorized as traceable, we have determined the minimum requirements at each level that must be fulfilled"
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "Astra Agro’s target is to be traceable to the plantation level, especially for priority mills. For our suppliers to be categorized as traceable, we have determined the minimum requirements at each level that must be fulfilled"
          • Target date
            Post 2050 or no target date
            0/1
          • Interim target date
            No
            0/0.5
      • 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?: Tier 1

          Details of commitment: Discrimination; Forced labour; Child labour; Freedom of association
          "Every worker has the freedom to form or join labor unions as guaranteed by the laws and regulations. We are committed to opposing all forms of forced labor and intimidation, including child labor. No discrimination takes place during the recruitment process as explained in the recruitment SOP that recruitments must not discriminate candidates on the basis on gender, group, religion and ethnicity"
        • Inclusion of small-scale farmers
          Yes
          2/2
          Inclusion of small-scale farmers
          Yes
          2/2
          How many smallholders do they support, and what percentage does this represent in terms of their sourcing from smallholders?: 56,000

          What is the nature of that support?: Technical assistance/support; Education and training, Economic
          "The Company provides mentoring, assistance and cooperation facilities tailored to the needs of the smallholders (approximately 56,000 smallholders, both associated and independent) in accordance with their culture, region and existing basic knowledge. The Company is committed to supporting its supplying partners and smallholders by providing access to infrastructure, various training, and mentoring programs as well as operational assistance to improve the smallholders’ ability to manage their plantations in accordance with sustainable management practices."
        • 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
          "The Company provides equal opportunities for all its employees to develop and have a career regardless of gender, ethnicity, religion, race, and origin. This policy is stipulated in the Employment Agreement (PKB) between the Company management and the Labor Union. The Company has a mechanism to receive and resolve employee grievances, which includes sexual harassment of female workers."
        • Commitment to remediation
          Yes
          1/1
          Commitment to remediation
          Yes
          0.5/1
          What does the commitment cover?: Social harm; Environmental harm
          "Resolve all complaints, grievances and conflicts through open, transparent and consultative processes. In consultation with key stakeholders, we will develop and maintain transparent and effective processes for the responsible handling of complaints and conflicts including fair representation, and ensure rightful compensation where rights have been violated." [...] "This support program is a strategy that we developed in-house to ensure that our entire supply chain is safe from deforestation, wildfires, and human rights violations. Even if a violation were to be found, remedial efforts to ensure that the violation does not reoccur are performed by developing a structured action plan that is monitored throughout its development.."
        • 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
          "FPIC process will be conducted prior to the development of any new plantings for partnership plantations affiliated with AAL"; "Respect the rights of indigenous and local communities to give or withhold their free, prior and informed consent (FPIC), We will respect individual, communal and customary rights of indigenous and local communities and commit to ensuring legal compliance as well as best practices in FPIC are implemented, prior to commencing any new operations. We will engage with stakeholders to ensure FPIC processes are correctly implemented, monitored and continuously improved."
        • 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
          "FPIC process will be conducted prior to the development of any new plantings for partnership plantations affiliated with AAL Resolving conflicts with best standards and practices through an open, transparent and consultative process"
        • Zero-tolerance approach to violence and threats
          No
          0/3
      • Implementation and Reporting
        25/56
        • Reporting proportion of compliant volumes
          0/0
        • Reporting is independently verified
          Yes, using an internal verification system
          1/2
        • Suppliers aligned with deforestation commitments across supply chain
          Yes, encouraged
          0/3
          Suppliers aligned with deforestation commitments across supply chain
          Yes, encouraged
          0/3
          "We continue to encourage our suppliers to be in line with our Sustainability Policy by implementing an assessment mechanism using the Sustainability Assessment Tool (SAT) to ensure the alignment of our suppliers. Our suppliers have been conducting self-assessments for their sustainability performance using the SAT since 2020"
        • Deforestation cut off date
          Yes, for all sourcing regions/operations
          2/2
          Deforestation cut off date
          Yes, for all sourcing regions/operations
          2/2
          What cut-off date is specified?: 2015
          "The Company consistently implement its commitment to Sustainability Policy by practicing “no deforestation, peatland, and exploitation” (NDPE). The Company’s NDPE Sustainability Policy has been in effect since September 2015 and emphasizes the commitment to refrain from deforestation, implement sustainable practices in peatland management, prevent land fires, and respect human rights."
        • Collaborative actions
          Yes
          2/2
          Collaborative actions
          Yes
          2/2
          What initiatives does the company participate in?: Manggala Agni Capacity Development Programmes

          What is the nature of that participation?: Attending & contributing to meetings; Providing support/ advice/ experience/ expertise
          "The Company has been developing collaborations with relevant partners to achieve the sustainability targets set in the action plan. For a large part of the sustainability aspects, like peat management, fire prevention and mitigation, biodiversity management, and traditional communities’ empowerment, the Company must form close cooperations with the central and regional governments. Cooperation in peat management focuses on consultations and peat management supervision with the Ministry of Environment and Forestry (KLHK) and the Peatland and Mangrove Restoration Agency (BRGM). For fire prevention and mitigation, we have been collaborating with Manggala Agni to conduct capacity development programs for the internal teams and Community Cares about Fire (MPA), and in developing a multistakeholder approach for engaging regional governments, associations, and communities. The Company is also working with National Parks, with a special focus on the Orang Rimba communities’ empowerment programs with the Bukit Dua Belas National Park (TNBD) and Sumatran elephant conservation programs with the Aceh Center for Natural Resources Conservation (BKSDA)."
        • 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?: NA

          How frequently are assessments conducted?: Regularly, when undergoing land acquisition
          "Company-wide HCV management and monitoring systems are reviewed and improved in collaboration with experts following the HCVRN Common Guidance All new plantings in association smallholder subsidiaries that are developed in affiliation with AAL will perform integrated HCV-HCSA assessments prior to development Landscape HCV-HCS probability and risk assessments in landscapes where AAL has existing mills and subsidiaries to identify three priority landscapes"
        • 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: NA

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

          Which issues does the grievance mechanism cover?: Social; Environmental
          "As one of the efforts of engaging stakeholders in operating a sustainable business, we have developed a grievance handling mechanism that ensures that all incoming complaints are well handled."[...]"During 2021, there were no identified and or no evidence of environmental and social risk manifestations in our supply chain. Risk monitoring is also assisted by grievances from stakeholders. For more detail on our list of grievances and their handling, please visit here." Have email address and grievance handling form in 2021 Sustainability Report
        • 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: NA

          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: NA

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

          Total volume: 3,529,367.1 Tons
          "The Company produces more than 3,529,367.1 Tonnes of Fresh Fruit Bunches (FFB) and more than 940,964.2 Tonnes of Crude Palm Oil (CPO) have been ISPO certified which means they have been implementing the principles of sustainability in the production."
        • Monitor compliance for labour rights and FPIC
          No
          0/5
        • 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
          How does the company remedy adverse social and environmental impacts linked to their operations and/or supply chains?: through engagement with stakeholders and suppliers

          For what percentage of production units has an ESIA been carried out as part of the land use planning process?: NA
          "Full assessment : a joint expert assessment for environmental studies (collecting data on the number of flora and fauna species listed as RTE at each location with HCV potential, collecting data on landscape conditions in management units that function as corridors, collecting environmental service data) and social factors (collecting socio-economic and cultural data in the villages around the management unit) and conducting participatory mapping, analysis, and interpretation of HCV. Before finalizing the report, a public consultation (draft assessment) will be carried out to discuss the stakeholders and communities related to the assessment"
        • 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 point locations (of certified land holdings) disclosed?: 0%

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

          For what percent are boundaries disclosed?: 0%

          For what percent are point locations (of land holdings and processing facilities) disclosed: 0%

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

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

          What is the total land area owned, managed, or controlled by the company for the forest risk commodity?: 0%

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

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

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

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

          In what jurisdiction(s)/subnational region does the company operate and/or source material?: Aceh ; Riau ; Jambi ; South Kalimantan ; Central Kalimantan ; East Kalimantan ; West Sulawesi ; Central Sulawesi

          For what percent are boundaries (of holdings under conservation) disclosed?: 0%

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

          What types of ecosystems are these?: NA

          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 point locations (of holdings under conservation) disclosed?: 0%
          Astra-Agro provide a map of their palm oil processing facilities including palm oil mills, PKO and CPO refineries.
        • Downstream: Reporting suppliers
          Yes, report direct suppliers
          2/4
          Downstream: Reporting suppliers
          Yes, report direct suppliers
          2/4
          From what country(ies) does the company source material?: Indonesia

          Does the company disclose location of suppliers' production areas or primary processing sites?: No

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

          For what percent of suppliers' production areas are point locations disclosed?: NA

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

          For what percent are boundaries disclosed?: NA

          For what percent is no location data disclosed?: 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

          What type of location data (boundary, point, etc.) is provided for smallholder farms?: NA
          "Currently Astra Agro has 46 suppliers (25 internal and 21 external) in its supply chain." Astra Agro go on to list their suppliers and the degree of traceability to plantation and mill for these suppliers.
        • Upstream: Monitor compliance of production/processing
          Yes, using an internal verification system
          4/4
          Upstream: Monitor compliance of production/processing
          Yes, using an internal verification system
          4/4
          For what percentage of suppliers does the company use/rely on external mechanisms to monitor compliance?: NA

          Does the company use a certification system?: No

          Does the company use a jurisdictional monitoring mechanism?: No

          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?: NA

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

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

          How frequently is compliance assessed?: Ongoing
          "All AAL owned mills and plantations have prepared site-level action plans for compliance with AAL's Policy and monitoring is ongoing"
        • Upstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Monitor compliance in supply chain
          Yes, for its suppliers
          2/4
          Downstream: Monitor compliance in supply chain
          Yes, for its suppliers
          2/4
          What percentage of the company's supply chain volume does that represent?: 100%

          How is compliance monitored?: Internal monitoring and verification systems

          How frequently is compliance assessed?: Periodically

          For what percent of suppliers does the company directly monitor compliance of production or processing operations?: 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 suppliers does the company use/rely on external mechanisms to monitor compliance?: NA
          "Supplier's compliance to Sustainability Policy (Astra Agro's Sustainability Policy mentions No Deforestation). Technically, the assessments, carried out by the Internal Audit team, are performed gradually on all subsidiaries for a certain period of time. We also use the SAT (Sustainability Assessment Tool) in assessing the level of compliance with sustainability principles in the operations of CPO/PKO suppliers"
        • Downstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Engagement with non-compliant suppliers
          Engage with suppliers but with no time-bound threat of exclusion
          1/2
          Downstream: Engagement with non-compliant suppliers
          Engage with suppliers but with no time-bound threat of exclusion
          1/2
          Does the company engage non-compliant indirect suppliers in order to address and remedy non-compliance?: No

          What type of support does the company offer to its suppliers to help them achieve compliance with commitments?: 'Build intensive relationships'

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

          Does the company commit to engage with rightsholders, Indigenous peoples and local communities when developing the implementation plan?: No

          What criteria does the policy specify for blacklisting or exclusion?: NA
          "If a supplier is discovered to have breached Astra Agro’s Sustainability Policy, the supplier in question will then be deemed as non-compliant. For non-compliant suppliers, we will build intensive relationships and assist them in formulating a corrective action plan which we will also assist in implementing. Our team will then move forward in monitoring its progress until we are sure that they are finally in line with our Policy."
        • Downstream: Disclosure of non-compliant suppliers
          No disclosure
          0/2
          Downstream: Disclosure of non-compliant suppliers
          No disclosure
          0/2
          Does the company have a list of blacklisted or otherwise excluded suppliers or producers?: No
  • Commitment strength
    14/17
    Avg. score
  • Implementation and Reporting
    25/56
    Avg. score
  • Associated Human Rights Abuses
    12/17
    Avg. score

Profile

Astra Agro Lestari is an Indonesian agribusiness company primarily involved in the cultivation of oil palm, but also with some processing capacity. The company’s landbank is one of the largest landbanks for palm oil globally, with approximately 300,000 hectares across Indonesia. It also owns a palm oil refinery alongside several processing and crushing facilities. PT Astra International TBK is selected as a powerbroker for palm oil.

Sector
Industry sector 
Agricultural Products
Segments
Producer, Trader
HQ
HQ 
Indonesia
Company Type
Company type 
CO
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.