Neste has updated its palm oil and palm fatty acid distillate (PFAD) supply chain data for year 2018 on its traceability dashboard. The dashboard can be found at www.nestetraceabilitydashboard.com.
The dashboard supplements Neste’s sustainability reporting by providing detailed information about the company’s palm oil usage as well as its palm oil supply chain in 2018. The site includes an interactive palm oil supply chain map, providing information about the supplying palm oil mills and estates, their locations, as well as their certifications, for example.
99% of PFAD supply chain mapped to palm oil mills, 44% all the way to plantations
All Neste-sourced renewable raw materials are traceable to the point of origin as the law requires of biofuels producers (e.g. EU RED in Europe). In 2017, we committed to go beyond this requirement by mapping the company’s PFAD supply chain to oil palm plantations by 2020.
In collaboration with palm oil suppliers and sustainability specialists from the Consortium of Resource Experts (CORE), we have now mapped 99% of our PFAD supply chain to the palm oil mills supplying palm oil to refineries where PFAD is extracted as a processing residue from edible oil to meet the food industry’s quality standards. Each mill’s environmental risks have been evaluated as part of our proactive approach to preventing deforestation, and PFAD-supplying palm oil refineries have been engaged to ensure that their operations and those of their supplying mills and plantations are in compliance with our sustainability policies and principles.
Furthermore, 44% of Neste’s PFAD supply chain has been mapped all the way to oil palm plantations based on publicly available data (e.g. on RSPO, ISCC, ISPO certifications) and supplier reporting. Our work in this area continues in 2019, and will include collaboration with our suppliers to pilot innovative, scalable approaches to traceability. Data on our PFAD supply chain and a summary of our progress can be found from the traceability dashboard.
Simo Honkanen, SVP Sustainability and Public Affairs, tel. +358 10 458 4170
Neste was the first of the larger palm oil using companies to make its palm oil supply chain fully transparent in 2016, and has since continued publishing an annual update of the companies, mills, and plantations in its supply chain, as well as information on their certifications on its website. In 2017, Neste made a commitment to improve visibility into its PFAD supply chain. This has required the company to map large parts of previously unmapped food industry’s palm oil supply chains. The work is expected to improve transparency and, hence, sustainability of the entire palm oil industry.