Environment activists say that Indonesia’s rainforests are disappearing at a rate of more than nine Olympic swimming pools a minute to make way for increased palm oil production. Nordic consumer goods giant Orkla, which also owns MTR Foods, is committed to stopping any deforestation that is caused while producing the palm oil it uses in its products.
Orkla’s policy includes full traceability, down to the plantation level, by next year and commits not to buy any palm oil that has caused forest or peatland destruction by 2017.
“The policy covers one of the biggest palm oil buyers in the Nordic countries and is the first to cover a major brand originating in India. People power is driving enormous change in the industry. This means there is no place to hide for major consumer goods companies and even some Indian brands, who are failing to act on forest destruction,” said Erika Bjureby of Greenpeace Nordic in a statement.
Orkla acquired MTR (Mavalli Tiffin Room) Foods in 2007. Orkla’s policy adds to the growing momentum towards responsible palm oil sourcing among consumer companies such as Unilever, L’Oreal, Nestle, as well as other producers like Wilmar.
“Emerging markets such as India are the new frontier for responsible palm oil and the key to achieving responsible sourcing of the commodity. Consumers must be guaranteed their products are free from deforestation,” said Areeba Hamid at Greenpeace International.
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