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  • Overall approach
    7/16
    • Overarching commitment on deforestation
      4/6
      Deforestation commitment
      Zero-deforestation
      4/6
      Within their 2018-2020 action plan, PT Astra International TBK have committed to "no deforestation" and "no development on High Carbon Stock (HCS) forests" and "High Conservation Value (HCV) areas."
    • Signatory to an initiative tackling deforestation
      0/1
    • Awareness of the value of forests
      1/1
      Awareness
      Yes
      1/1
      PT Astra recognizes the importance of forests by committing to - "no deforestation" and "no development on High Carbon Stock (HCS) forests" and "High Conservation Value (HCV) areas."
    • 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.: Reputational
      " 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
      How often does the committee or board meet to assess company's progress on addressing deforestation-related issues?: Multiple throughout the year

      Which commodities does it apply to?: Palm oil
      PT Astra has a chief sustainability officer - "Chief Communication & Sustainability Officer Joko Supriyono" as well as a board of commissioners looking after sustainability issues within the company - "In the operation of its palm oil businesses, the Board of Commissioners supervises and ensures that the Company implements all aspects of its Sustainability Policy. [...] The Board of Commissioners also ensures that the Company’s oil palm plantations are managed according to all aspects and criteria of the Indonesian Sustainable Palm Oil (ISPO) and the Company continues its progress towards full certification of all its plantations and mills. The Board of Commissioners bears the responsibility of overseeing the policies issued by the Board of Directors of the Company. In 2019, the Board of Commissioners carried out its supervisory function by conducting six Board of Commissioners’ meetings. These meetings were also attended by the Board of Directors and the Audit Committee"
    • Executive compensation linked to deforestation
    • Target to reduce emissions from land-use change
      0/3
    • Reporting on emissions from land-use change
      0/3
    • Disclosure of conservation activity
    • Disclosure of reforestation activity
      Yes
      0/0
      How many hectares of reforestation or restoration are being or have been conducted or facilitated by the company?: 55 HT
      "This program runs on the company's commitment together with the community, community leaders and local government as well as the Forest and Environment Services of North Mamuju. Areas that have been identified as part of the AMC program are managed, planted with mangroves and maintained as well as financed by companies with involvement of local communities. Until 2018, 275,937 mangrove seedlings have been planted on area of 55 hectares, carried out gradually throughout the year in the area of Astra Mangrove Conservation. "
  • Commodity score
    55/84
    • Palm oil
      55/84
      • Commitment Strength
        26/28
        • Commitment to protect priority forests
          10/12
          • Commitment details
            Zero-gross deforestation
            6/8
            Commitment to protect priority forests
            Zero-gross deforestation
            6/8
            PT Astra International TBK have committed to "no deforestation" and "no development on High Carbon Stock (HCS) forests" and "High Conservation Value (HCV) areas." [...] "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 applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            PT Astra International TBK have committed to "no deforestation" and "no development on High Carbon Stock (HCS) forests" and "High Conservation Value (HCV) areas." [...] "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/2020/Pre-2020
            1.3/1.3
            Target date
            Current/2020/Pre-2020
            1.3/1.3
            PT Astra International TBK have committed to "no deforestation" and "no development on High Carbon Stock (HCS) forests" and "High Conservation Value (HCV) areas." [...] "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
            Yes
            0.7/0.7
            Interim target date
            Yes
            0.7/0.7
            PT Astra International TBK have committed to "no deforestation" and "no development on High Carbon Stock (HCS) forests" and "High Conservation Value (HCV) areas." [...] "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 protect High Carbon Stock areas and/or peatlands
          8/8
          • Commitment details
            Yes
            4/4
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes
            4/4
            Type of commitment: HCS; Peat
            PT Astra International TBK have committed to "no deforestation [...] no development on High Carbon Stock (HCS) forests [...] High Conservation Value (HCV) areas. [...] no development on peatland regardless of depth [...] 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 applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            PT Astra International TBK have committed to "no deforestation [...] no development on High Carbon Stock (HCS) forests [...] High Conservation Value (HCV) areas. [...] no development on peatland regardless of depth [...] 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/2020/Pre-2020
            1.3/1.3
            Target date
            Current/2020/Pre-2020
            1.3/1.3
            PT Astra International TBK have committed to "no deforestation [...] no development on High Carbon Stock (HCS) forests [...] High Conservation Value (HCV) areas. [...] no development on peatland regardless of depth [...] 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
            Yes
            0.7/0.7
            Interim target date
            Yes
            0.7/0.7
            PT Astra International TBK have committed to "no deforestation [...] no development on High Carbon Stock (HCS) forests [...] High Conservation Value (HCV) areas. [...] no development on peatland regardless of depth [...] 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
          8/8
          • Commitment details
            Traces to Point of production
            4/4
            Commitment to a traceable supply chain
            Traces to Point of production
            4/4
            "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
            Current/2020/Pre-2020
            1.3/1.3
            Target date
            Current/2020/Pre-2020
            1.3/1.3
            "As of December 2019, we continue to maintained 100 % traceability to plantation at the DO Holder level." "We routinely identify and collect required information on suppliers, and are committed to consistently achieve 100% traceability to mill."
          • Interim target date
            Yes
            0.7/0.7
            Interim target date
            Yes
            0.7/0.7
            What date is given for the interim milestone(s)?: Current
            "As of December 2019, we continue to maintained 100 % traceability to plantation at the DO Holder level." "We routinely identify and collect required information on suppliers, and are committed to consistently achieve 100% traceability to mill."
      • Social Considerations
        10/18
        • 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?: 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?: not specified
          "Facilitate the inclusion of smallholders into the supply chain - We will conduct ongoing consultations with our smallholders to ensure fair partnerships and provide technical assistance and support to help them achieve effective compliance with our policy. We will work with and seek support from government and civil society to assist smallholders in achieving the required standards"
        • Gender equality in the supply chain
          Equality in the supply chain
          2/4
          Gender equality in the supply chain
          Equality in the supply chain
          2/4
          "The Company gives equal treatment to workers of different genders, ethnicities, race, religions, and political choices. Even though the jobs at plantations are still dominated by males, the Company always provides opportunities for female workers for suitable jobs. The Company ensures that each worker receives fair rewards based on their work experience, competence, workload, responsibility, and achievement. In 2018 there was no discrimination incident within the Company. We also encourage the implementation of the equality principle to all workers across our supply chain."
        • Commitment to remediation
          Yes
          2/2
          Commitment to remediation
          Yes
          2/2
          "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 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?: Current
          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."
      • Reporting and Implementation
        19/38
        • Reporting against commitments
          6/6
          • Commitment to protect priority forests
            Yes
            2/2
            Commitment to protect priority forests
            Yes
            2/2
            Does the company report on the degree of compliance/progress with commitments, disaggregated by relevant factors such as origin or supply chain stage?: Yes
            PT Astra reports within Annual and Quarterly reports on it's progress regarding it's main commitments "For this second quarterly report, we can confirm that there have been zero cases of deforestation in our plantations and that the majority of our activities were concentrated towards biodiversity monitoring."
          • Commitment to protect High Carbon Stock areas and/or peatlands
            Yes
            2/2
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes
            2/2
            Does the company report on the degree of compliance/progress with commitments, disaggregated by relevant factors such as origin or supply chain stage?: Yes
            PT Astra reports within Annual and Quarterly reports on it's progress regarding it's main commitments "UAV is used for preventive and responsive efforts due to its ability to detect smoke spots and fire spots from across several kilometers and in the event of fires, this tool is also capable of providing information about the burning area in detail so that our firefighting strategy can be developed and implemented optimally."
          • Commitment to a traceable supply chain
            Yes
            2/2
            Commitment to a traceable supply chain
            Yes
            2/2
            Does the company report on the degree of compliance/progress with commitments, disaggregated by relevant factors such as origin or supply chain stage?: Yes
            "As of December 2019, we continue to maintained 100 % traceability to plantation at the DO Holder level."
        • Reporting is independently verified
          1/4
          • Commitment to protect priority forests
            Yes: internal
            0.7/1.3
            Commitment to protect priority forests
            Yes: internal
            0.7/1.3
            PT Astra internally audits through it's audit committee - "Audit Committee Audit Committee provides assistance to the Board of Commissioners in terms of: Maintaining the implementation of the Company’s internal control, conducting internal and external audits; • Supervising the following up of audit findings and implementing risk management; and • Evaluating the Company’s social responsibility activities and ensuring the Company’s compliance with existing laws and regulations."
          • Commitment to protect High Carbon Stock areas and/or peatlands
            Yes: internal
            0.7/1.3
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes: internal
            0.7/1.3
            PT Astra internally audits through it's audit committee - "Audit Committee Audit Committee provides assistance to the Board of Commissioners in terms of: Maintaining the implementation of the Company’s internal control, conducting internal and external audits; • Supervising the following up of audit findings and implementing risk management; and • Evaluating the Company’s social responsibility activities and ensuring the Company’s compliance with existing laws and regulations."
          • Commitment to a traceable supply chain
            No
            0/1.3
        • Deforestation cut off date
          No
          0/2
        • Collaborative actions
          Yes
          2/2
          Collaborative actions
          Yes
          2/2
          What is the nature of that participation?: Attending & contributing to meetings; Providing support/advice/experience/expertise

          What initiatives does the company participate in?: Income Generating Activity (IGA) partnership programs, system for peatland management with the Ministry of environment and forestry
          "Within the general framework of a community economic empowerment program, the Company has established a series of collaboration programs aimed to improve the economic standard of the communities living around its palm oil plantations, managed by the Company through the purchase of smallholders’ FFBs through Plasma and Income Generating Activity (IGA) partnership programs." [...] "Continued collaboration with experts from the BBSDLP, Balitklimat, Balitnah, BPTP, & Balitra to develop the best practice and system for peatland management • Continued collaboration with the Ministry of environment and forestry in formulating a requirement on peatland management standards"
        • Risk assessments for forest risk
          Yes
          2/2
          Risk assessments for forest risk
          Yes
          2/2
          How frequently are assessments conducted?: Regularly, and with new land aquisition
          "Management of High Conservation Value (HCV) Areas Field teams that specialize in forest and environmental management manage all the concessions. The management and monitoring activities include routine patrolling, the installation of HCV area-preservation signage, biodiversity monitoring, habitat restoration and rehabilitation, and proactively engaging with the local communities to preserve the existing biological resources" [...] "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"
        • Operations assessed to comply with law
          No
          0/2
        • 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 - https://www.astra-agro.co.id/sustainability/complaint

          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.)?: Own mechanism

          Details of the mechanism: Social; Environmental
          PT Astra Agro have a publicly available grievance mechanism on their website.
        • Report volumes of commodity
          Reporting non-certified/non-compliant volume
          2/4
          Report volumes of commodity
          Reporting non-certified/non-compliant volume
          2/4
          What is the non-certified/non-compliant volume?: 13,140,944 tonnes
          PT Astra report for 2019 - Own production - "Total FFB Production 5,225,098 tonnes, Nucleus FFB 3,941,618, Plasma FFB 1,283,480 tonnes" then from third parties - "Total FFB Processed 7,915,846"
        • 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
          "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
          What type of conservation designation and/or conservation status is used?: HCV, HCS

          What is the total area in production (in ha)?: 290,961 hectares

          In what jurisdiction(s)/subnational region does the company operate and/or source material?: Riau, Sulawesi Barat, Aceh, Jambi, Kalimantan Tangah, Kalimantan Timor, Kalimantan Selatan, Sulawesi Tangah

          In what country(ies) does the company operate and/or source material?: Indonesia
          PT Astra Ago report the location of their company-owned manufacturing facilities (mills) on an interactive supply chain map.
        • 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 certification system?: No

          Does the company use a jurisdictional monitoring mechanism?: No

          If so, what jurisdictions and mechanisms does the company use?: ISPO certification scheme

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

          How frequently is compliance assessed?: Ongoing
          "By now, 86% of our subsidiaries have received ISPO certification and the others are still ongoing assessment. Throughout this year, we have also maintained our ISPO certificate by taking part in a recertification process for 9 subsidiaries and a surveillance process for 29 others. We also encourage and support independent smallholders collaborating with us to meet the requirements obtain an ISPO certification." "All AAL owned mills and plantations have prepared site-level action plans for compliance with AAL's Policy and monitoring is ongoing".
        • 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
          How frequently is compliance assessed?: Periodically

          Details of monitoring: Using internal monitoring and verification systems
          "Compliance monitoring is conducted to ensure that suppliers perform operational activities in line with Astra Agro’s Sustainability Policy. Monitoring is carried out through periodic assessments to identify potential risks (such as fires, deforestation and social issues) exhibited by our suppliers by extracting information from various trusted and credible sources. Based on the results of our monitoring assessment, we will communicate our findings to our suppliers for confirmation and clarification."
        • 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
          What type of support does the company offer to its suppliers to help them achieve compliance with commitments?: "we will build intensive relationships and assist them in formulating a corrective action plan which we will also assist in implementing."

          Does the company engage non-compliant indirect suppliers in order to address and remedy non-compliance?: No
          " 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
  • Commitment strength
    26/28
    Avg. score
  • Reporting and Implementation
    19/38
    Avg. score
  • Social considerations
    10/18
    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 
Agri commodities, Agriculture
Segments
Producer, Trader
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.