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Asian Agri Group

Palm oil assessment
  • Latest update: November 2024
  • Next scheduled: November 2025

  • Parent company:
    RGE Group
  • Landbank (oil palm)
    161,890 hectares
  • Bloomberg ticker:
    BBG001H984X6 Equity
  • LEI:
    No LEI
  • RSPO member?
    Yes - The company's subsidiary, PT Inti Indosawit Subur, is an RSPO member and this covers all of the company's palm oil operations.
  • Website:
  • Media Monitor
    • ZSL's SPOTT team monitors international media for news on assessed companies, collecting articles about pertinent activities. They don't confirm the accuracy of the media coverage, but it can be leveraged by SPOTT users to gain insights into a company's operations and possible risks. To access this company's media reports, scroll down or click here.

Company assessment: Asian Agri Group – October 2016

Assessment date:

Total: 54.2% 32 / 59
  • RSPO reporting requirements RSPO reporting requirements
    14 / 15 93.3%
    • Y
      1 / 1

      1.1.. Is the company an RSPO member?

      Yes, through holding company PT Inti Indosawit Subur, which has been an RSPO member since 2006.

    • Y
      1 / 1

      1.2.. Has the company submitted its most recent Annual Communication of Progress (ACOP) report to the RSPO?

      Yes.

    • Y
      1 / 1

      1.3.1.. In the company's most recent and up-to-date RSPO ACOP report, does the company refer to itself as an oil palm grower?

      Yes, Asian Agri refers to itself as an oil palm grower.

    • Y
      1 / 1

      1.3.2.. In the company's most recent and up-to-date RSPO ACOP report, does the company state all the countries and regions in which it operates?

      Yes. Asian Agri states all the countries and regions in which it operates: Indonesia (Jambi, Riau and North Sumatra).

    • Y
      1 / 1

      1.4.1.. Has the company RSPO-certified its first plantation estate: a) By November 2010, for companies joining prior to finalisation of the RSPO certification systems in November 2007? b) Within three years of joining the RSPO or of acquiring plantation operations as an RSPO member?

      Yes. PT Inti Indosawit Subur joined RSPO in 2006 and underwent its first RSPO assessment in 2009. PT Inti Indosawit Subur has a time-bound plan to complete certification of groups by 2018.

    • N
      -

      1.4.2.. Has the company missed any of its public targets to be 100% RSPO-certified?

      No.

    • Y
      4 / 4

      1.5.. What percentage of the company's total plantation estates is RSPO-certified?

      88.8 - 88.8% of the Asian Agri's plantation estates are RSPO-certified.

      Calculation: 83,201 ha (total area RSPO certified) divided by 93,694 ha (stated planted area) x 100.

    • N
      -

      1.6.. Are the company's RSPO Principles and Criteria certification assessments publicly available?

      Yes.

    • Y
      1 / 1

      1.7.1.. Have the first of the company's independent FFB suppliers achieved RSPO certification?

      Yes, the first independent FFB suppliers were certified in 2013. However, the company does not report RSPO-certified FFB from independent suppliers in its 2015 ACOP. PT Inti Indosawit Subur has a time-bound plan to to complete certification of independently sourced FFB by 2029.

    • N
      -

      1.7.2.. Has the company missed any public targets for 100% of its independent FFB suppliers to be RSPO-certified?

      No. However in 2013 Inti Indosawit Subur set a time-bound plan of 2053. This time-bound plan was subsequently disregarded and then rescheduled for 2029.

    • Y
      1 / 1

      1.8.1.. Has the company RSPO-certified its first scheme smallholders?

      Yes. PT Inti Indosawit Subur certified its first scheme smallholders in 2012. PT Inti Indosawit Subur has a time-bound plan to complete certification of its scheme smallholders by 2016.

    • N
      -

      1.8.2.. Has the company missed any public targets for 100% of its scheme smallholders to be RSPO-certified?

      No.

    • P
      3 / 4

      1.9.. What percentage of the company's scheme smallholder plantations is RSPO-certified?

      73.9 - 73.9% of the Asian Agri's scheme smallholder plantations are RSPO-certified.

      Calculation: 43,347 ha (total area RSPO-certified) divided by 58,621 ha (scheme smallholder hectarage) x 100.

    • N
      -

      1.10.. Does the company have any open complaints filed through the RSPO complaints system?

      No.

  • Landbank and maps Landbank and maps
    3 / 8 37.5%
    • N
      0 / 1

      2.1.1.. Does the company have a publicly available statement detailing its land acquisition criteria?

      No information could be found using the research protocols.

    • N
      0 / 1

      2.1.2.. Does this statement apply to all of the company's scheme smallholders and independent FFB suppliers?

      No information could be found using the research protocols.

    • Y
      1 / 1

      2.2.1.. Has the company publicly disclosed its total landbank area for oil palm cultivation?

      93694 - Yes, landbank for oil palm cultivation is reported as 93,694 ha in the 2015 ACOP, which is the same figure as reported for planted area. However, a figure of 100,000 ha for core estates is as reported on the company website.

    • Y
      1 / 1

      2.2.2.. Has the company publicly disclosed its total planted area?

      93694 - Yes, planted area is 93,694 ha.

    • Y
      1 / 1

      2.2.3.. Has the company publicly disclosed its total scheme smallholder area?

      58621 - Yes, scheme smallholder area is reported as 58,621 ha in the 2015 ACOP. A figure of 60,000 ha is reported on the company website.

    • N
      0 / 1

      2.2.4.. Has the company publicly disclosed its total area of land managed for conservation that is set aside (i.e. including areas of High Conservation Value)?

      1096 - 1,096 ha (data found was more than 1 year old).

    • N
      0 / 1

      2.3.1.. Are all of the company's concession maps publicly available for all countries in which it operates?

      Concession boundaries have been made available previously, which are viewable on the SPOTT map. However, ZSL is currently unable to ascertain if the maps disclosed constitute 100% of the company's' palm oil estates.

    • N
      0 / 1

      2.3.2.. Are all of the company's scheme smallholders' concession maps publicly available for all countries in which it operates?

      No information could be found using the research protocols.

  • Environmental management Environmental management
    6 / 14 42.9%
    • Y
      1 / 1

      3.1.1.. Does the company have a publicly available statement to address deforestation resulting from its operations?

      Yes, Asian-Agri is committed to zero deforestation and commits to 'building an integrated forest management plan'.

    • Y
      1 / 1

      3.1.2.. Does this statement apply to all its scheme smallholders and independent FFB suppliers?

      Yes.

    • N
      0 / 1

      3.2.1.. Does the company have a publicly available commitment to undertake Free, Prior and Informed Consent (FPIC) prior to any new planting taking place?

      No, the company only commits to 'respect and recognise' the right to FPIC.

    • N
      0 / 1

      3.2.2.. Does the company make its Free, Prior and Informed Consent (FPIC) process publicly available?

      No information could be found using the research protocols.

    • Y
      1 / 1

      3.3.1.. Does the company have a publicly available commitment to conduct SEIA (Social and Environmental Impact Assessments) assessments prior to any new planting taking place?

      Yes.

    • N
      0 / 1

      3.3.2.. Are all SEIA assessments conducted after November 2005 publicly available?

      There is public availability of some SEIA assessments:

      Sumatra: PT Usaha Sawit Unggul

      No further SEIA assessments could be found.

    • Y
      1 / 1

      3.4.1.. Does the company have a publicly available commitment to conduct High Conservation Value (HCV) assessments prior to any new planting taking place?

      Yes.

    • N
      0 / 1

      3.4.2.. Has the company publicly committed to only using licensed High Conservation Value (HCV) assessors accredited by the HCV Resource Network's Assessor Licensing Scheme (ALS)?

      No information could be found using the research protocols.

    • N
      0 / 1

      3.4.3.. Are all of the company's High Conservation Value (HCV) assessments conducted after November 2005 publicly available?

      There is public availability of some HCV assessments:

      Sumatra: PT Usaha Sawit Unggul

      No further HCV assessments could be found.

    • N
      0 / 1

      3.4.4.. Does the company make its High Conservation Value (HCV) management and monitoring plans for all of its estates publicly available?

      There is public availability of some HCV management plans:

      Sumatra: PT Usaha Sawit Unggul

      No further HCV management plans could be found.

    • Y
      1 / 1

      3.5.. Has the company publicly committed to applying a High Carbon Stock (HCS) methodology to all of its landholdings and not developing on HCS areas?

      Yes.

    • N
      0 / 1

      3.6.. Does the company have a publicly available Water Management Plan or equivalent for its operations?

      No. Asian Agri only states information on its practices regarding water management on peatland.

    • Y
      1 / 1

      3.7.. Does the company have a publicly available Integrated Pest Management Plan for its operations?

      Yes.

    • N
      0 / 1

      3.8.. Does the company have a publicly available commitment to not use WHO Class 1A and 1B pesticides and paraquat, or time-bound plan for phasing out their use?

      No information could be found using the research protocols.

    • N
      -

      3.9.. Has the company been mentioned in any relevant media stories and/or reports that make reference to wildlife conflict or deforestation within the company's plantation estates and/or its scheme smallholders' or independent FFB suppliers' plantations?

      Please find the relevant media stories listed in the media monitor below.

  • Fragile, marginal and peat soils Fragile, marginal and peat soils
    2 / 2 100%
    • Y
      1 / 1

      4.1.1.. Does the company have a publicly available statement stating that it is committed to a strict 'no new development on peat' policy?

      Yes. Asian Agri has a policy of no development on peatland, regardless of depth, and commits to conducting peatland mapping and assessments.

    • Y
      1 / 1

      4.1.2.. Does this policy apply to all its scheme smallholders and independent FFB suppliers?

      Yes.

    • N
      -

      4.2.. What percentage of the company's landbank for oil palm cultivation is located on peat?

      The company states "Our existing peatland estates are distributed in North Sumatra and Riau. We are currently managing eight peatland estates. These represent around 17 percent of the total area under our management".

  • Zero burning Zero burning
    2 / 2 100%
    • Y
      1 / 1

      5.1.1.. Does the company have a publicly available statement stating that it is committed to a strict policy of zero burning?

      Yes. Has a commitment to strict enforcement of a zero-burn policy.

    • Y
      1 / 1

      5.1.2.. Does this policy apply to all its scheme smallholders and independent FFB suppliers?

      Yes.

    • N
      -

      5.2.. Has the company been mentioned in any relevant media stories and/or reports that make reference to fires found within the company's plantation estates and/or its scheme smallholders' or independent FFB suppliers' plantations?

      Please find the relevant media stories listed in the media monitor below.

  • Greenhouse gas emissions Greenhouse gas emissions
    0 / 6 0%
    • N
      0 / 1

      6.1.1.. Does the company have a publicly available time-bound plan to reduce greenhouse gas (GHG) emissions?

      Asian Agri has a commitment to reduce GHG emissions but no time-bound plan could be found using the research protocols.

    • N
      0 / 1

      6.1.2.. Does this time-bound plan apply to all its scheme smallholders and independent FFB suppliers?

      No information could be found using the research protocols.

    • N
      0 / 1

      6.2.. Does the company publicly report on progress made towards achieving its time-bound plan?

      No information could be found using the research protocols.

    • N
      0 / 1

      6.3.. Does the company publicly report its GHG emissions from land use change associated with new planting?

      Asian Agri reports some GHG emissions but does not specify emission levels from land use change associated with new planting.

    • N
      0 / 1

      6.4.. Has the company made a public commitment to report and to reduce effects from Palm Oil Mill Effluent (POME)?

      No information could be found using the research protocols.

    • N
      0 / 1

      6.5.. Has the company made a public commitment to eliminate methane emissions from all of its palm oil mills?

      No, however 5 of Asian Agri's mills are equipped with methane capture facilities and the company has a commitment to build 20 biogas plants by 2020.

  • Traceability Traceability
    5 / 12 41.7%
    • N
      0 / 1

      7.1.. Are all of the company's mill locations publicly available for all countries in which it operates?

      Mill locations have been made available previously, which are viewable on the SPOTT map. However, ZSL is currently unable to ascertain if the maps disclosed constitute 100% of the company's palm oil mills.

    • Y
      4 / 4

      7.2.. What percentage of the company's total palm oil mills is RSPO-certified?

      94.74 - 94.74% of Asian Agri's palm oil mills are RSPO-certified

      Calculation: 18 (stated number of palm oil mills RSPO-certified) divided by 19 palm oil mills (stated number of palm oil mills operated) x 100.

    • N
      0 / 4

      7.3.. What percentage of the company's total fresh fruit bunches (FFBs) purchased from independent suppliers (not including outgrowers and scheme smallholders) is RSPO-certified?

      No information could be found using the research protocols.

    • N
      0 / 1

      7.4.. Does the company have a public commitment to move towards Segregated and/or Identity Preserved certified sustainable palm oil (CSPO)?

      No information could be found using the research protocols.

    • P
      1 / 2

      7.5.. Does the company prioritize certified sustainable palm oil (CSPO) from Segregated or Identity Preserved supply chain models over Mass Balance or GreenPalm?

      Book & Claim, Mass Balance, Identity Preserved.

Media monitor: Asian Agri Group

SPOTT monitors global media sources for coverage of assessed companies. The media monitor gathers reports about specific activities related to the assessment indicator categories. ZSL does not assess or score the validity of media coverage, but users can explore the media monitor to provide context on implementation, and infer risks associated with reported operations on the ground. The media monitor undergoes a full update at the time of publishing an assessment round, with ad-hoc updates throughout the year. This is not an exhaustive list of all media reports relevant to the company.

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