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United Plantations Bhd

  • Parent company:
    United International Enterprises Ltd
  • Landbank (oil palm):
    59,484 hectares
  • Palm cultivation revenue:
    28.81%
  • Market cap:
    1,367,087,744 USD
  • Thomson Reuters ticker:
    UTPS.KL
  • Bloomberg ticker:
    UPL MK
  • ISIN:
    MYL2089OO000
  • RSPO member?
    Yes
  • Website:

Company assessment: United Plantations Bhd

SPOTT assesses companies against over 100 indicators across ten categories. Click on the icons or bars below to expand each category for further details, scoring and links to reports and sources.

71.4% 90 / 126 Total:
  • Sustainability policy and leadership Sustainability policy and leadership 4.5 / 6 75%
    • Companies should publish sustainability policies or similar covering their entire supply chain — including third party suppliers — implemented and enforced through high-level leadership that engages with wider industry schemes.

    • Yes
      1 / 1
      Source

      1. Sustainable palm oil policy or commitment for all its operations?

      The company states it aims to produce palm oil in a sustainable manner and has a Environment and Biodiversity Policy that relates to sustainable development.

    • Partial
      0.5 / 1
      Source

      2. Policy or commitment applies to direct and third-party suppliers?

      The company states it strives to commit contractors, suppliers and trading partners to adhere to its Environment and Biodiversity Policy, but does not reference third party suppliers.

    • Yes
      1 / 1
      Source

      3. High-level position of responsibility for sustainability?

      The company has a Group Sustainability Committee.

    • Yes
      1 / 1
      Source

      4. Sustainability report published within last two years?

      The company's Sustainability Report is contained within its Annual Report.

    • No
      0 / 1
      No source

      5. Member of industry schemes or other external initiatives to improve palm oil sustainability or transparency?

    • n/a
      -
      No source

      6. Verification report on compliance with POIG Charter, if a POIG member?

      This indicator is disabled as it is not applicable to this company.

    • Yes
      1 / 1
      Source

      7. Activities with government and/or NGOs to improve palm oil sustainability?

  • Landbank, maps and traceability Landbank, maps and traceability 14 / 19 73.7%
    • Companies should publicly report figures on their total landbank and details of different areas under their management. They should also disclose maps of their management areas and provide details on traceability of their products, both to mill and plantation level.

    • Yes
      1 / 1
      Source

      8. Total land area managed/controlled for oil palm (ha)?

      59,484 - Includes land for coconut production. Also report 55,802 ha in 2016 RSPO ACOP.

    • Yes
      1 / 1
      Source

      9. Total oil palm planted area (ha)?

      46,836

    • Yes
      1 / 1
      Source

      10. Plasma/scheme smallholders planted area (ha)?

      752 - Also note that 2016 RSPO ACOP states 552 ha still uncertified under scheme smallholders, but the total land under scheme smallholders is not reported.

    • No
      0 / 1
      No source

      11. Unplanted (areas designated for future planting)(ha)?

    • Yes
      1 / 1
      Source

      12. Conservation set-aside area, including HCV area (ha)?

      8,414 - 6,000 ha of HCV areas and 2,414 ha of conservation areas set aside.

    • Yes
      1 / 1
      Source

      13. Area for infrastructure (ha)?

      1,797 - Figure described as "buildings, roads, drains, air-strip, nurseries, toddy tapping areas, railway, etc".

    • Yes
      1 / 1
      Source

      14. Number of company owned mills?

      5 - New Optimill due to be completed before the end of 2017.

    • Partial
      0.5 / 1
      Source

      15. Maps of company owned mills?

      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. The company also has a map image of mill locations on the last page of its 2016 annual report.

    • No
      0 / 1
      No source

      16. Number and names of supplying mills?

    • Partial
      0.5 / 1
      Source

      17. Maps of estates/management units?

      Concession boundaries have been made available to the RSPO, but not all are publicly available due to ongoing legal issues. The company also provides an image of estate locations on its website.

    • No
      0 / 1
      No source

      18. Maps of scheme/plasma smallholders?

    • Yes
      1 / 1
      Source

      19. Time-bound commitment to achieve 100% traceability to mill level?

      Already fully traceable to mill level.

    • Yes
      1 / 1
      Source

      20. Time-bound commitment to achieve 100% traceability to plantation level?

      2019 - The company is committed to states "Full certification and production and use of segregated and traceable palm oil is expected to be reached in 2019, including any outside crop that is purchased".

    • Yes
      2 / 2
      Source

      21. Percentage of supply traceable to mill level (is 100%)?

      100% - All supply is already traceable to mill.

    • Yes
      2 / 2
      Source

      22. Percentage of fresh fruit bunches (FFB) from own mills traceable to plantation level (is above 75%)?

      100%

    • Partial
      1 / 2
      Source

      23. Percentage of fresh fruit bunches (FFB) from supplying mills traceable to plantation level (is above 75%)?

      The company states that "Today approximately 67% of UP's total production is RSPO certified and segregated and traceable palm oil back to the mills and plantations." It also states for its downstream operations that 100% of CPO is traceable to plantation and 23% of CPKO. It is unclear what the overall percentage of traceability to plantation is.

  • Deforestation and biodiversity Deforestation and biodiversity 9 / 12 75%
    • Companies should commit to address deforestation and to set aside areas for conservation. They should report on any activities to manage or restore habitat in their conservation areas, or monitor deforestation in their supply chains. They should also provide evidence of species conservation and biodiversity protection.

    • Yes
      0.5 / 0.5
      Source

      24. Commitment to address deforestation?

    • Yes
      1 / 1
      Source

      25. Commitment to zero deforestation?

    • Partial
      0.5 / 1
      Source

      26. Commitment applies to scheme smallholders and independent suppliers?

      The company states in its Environment and Biodiversity Policy: "We strive to commit our contractors and suppliers to adhere to this policy", which includes commitments not to clear primary, HCV and HCS forests. It does not clearly state it applies to smallholders and only states that strive to commit.

    • Yes
      1 / 1
      Source

      27. Criteria for defining deforestation?

      The company state that in relation to deforestation the company have a No primary forest clearing, no HCV forest clearing policy, and conduct high carbon stock assessments. The company also provides a definition of deforestation in its glossary.

    • Partial
      0.5 / 1
      Source

      28. Evidence of monitoring deforestation?

      The company provides details of controlling illegal activities in conservation areas in one of its subsidiaries PT SSS, including monitoring illegal logging and illegal land clearing, and using SMART software.

    • Yes
      1 / 1
      Source

      29. Commitment to set aside areas for conservation?

    • Yes
      1 / 1
      Source

      30. Evidence of habitat management and/or habitat restoration of set-aside areas?

    • Partial
      0.5 / 1
      Source

      31. A landscape-level approach?

      The company's states its policy is to "maintain and manage the ecological integrity of the landscape in which UP operates its palm oil plantations as well as to provide necessary habitat for endangered and critically endangered species that are found in or adjacent to UP properties" but does not clearly show it is implementing a landscape approach.

    • Yes
      0.5 / 0.5
      Source

      32. Commitment to biodiversity conservation?

    • Yes
      1 / 1
      Source

      33. Commitment to not endanger species of conservation concern, referencing international or national system of species classification?

      The company states it "Protect and conserve Endangered, Rare and Threatened Tree species and Animals." and elsewhere separately refers to the IUCN Red List and National Regulations.

    • Partial
      0.5 / 1
      Source

      34. Commitment to no hunting or only sustainable hunting of species?

      The company only states it has "a policy of "zero tolerance" to the killing of endangered and protected species" including the orang-utan.

    • No
      0 / 1
      No source

      35. Commitment not to operate within internationally and nationally designated protected areas?

    • Yes
      1 / 1
      Source

      36. Evidence of species conservation?

  • HCV, HCS and impact assessments HCV, HCS and impact assessments 7 / 8 87.5%
    • Companies should commit to the High Conservation Value (HCV) and High Carbon Stock (HCS) approaches, and to conduct social and environmental impact assessments (SEIA). They should develop and publish monitoring and management plans, and provide evidence through SEIA, HCV and HCS assessments, typically published in summary form due to the sensitive nature of certain sites.

    • Yes
      1 / 1
      Source

      37. Commitment to High Conservation Value (HCV) approach?

    • Partial
      0.5 / 1
      Source

      38. Commitment applies to scheme smallholders and independent suppliers?

      The company states in its Environment and Biodiversity Policy: "We strive to commit our contractors and suppliers to adhere to this policy". It does not clearly state it applies to smallholders and only states that strive to commit.

    • Partial
      0.5 / 1
      Source

      39. Commitment to only use licensed High Conservation Value (HCV) assessors accredited by the HCV Resource Network's Assessor Licensing Scheme (ALS)?

      The company does not specify ALS, but are an RSPO member and commit under the RSPO NPP.

    • Yes
      1 / 1
      Source

      40. High Conservation Value (HCV) assessments undertaken between November 2005 and December 2014, and management and monitoring plans?

      There is public availability of the following HCV assessments:

      Central Kalimantan: PT Surya Sawit Sejati.

    • n/a
      -
      Source

      41. High Conservation Value (HCV) assessments for all estates planted since January 2015?

      This indicator is disabled as no new planting reported in 2015 or 2016 RSPO ACOP.

    • n/a
      -
      Source

      42. High Conservation Value (HCV) management and monitoring plans for all estates planted since January 2015?

      This indicator is disabled as no new planting reported in 2015 or 2016 RSPO ACOP.

    • n/a
      -
      Source

      43. Satisfactory review of all High Conservation Value (HCV) assessments undertaken since January 2016 by the HCV ALS Quality Panel?

      This indicator is disabled as no new planting reported in 2015 or 2016 RSPO ACOP.

    • Yes
      1 / 1
      Source

      44. Commitment to the High Carbon Stock (HCS) approach?

    • Yes
      1 / 1
      Source

      45. High Carbon Stock (HCS) assessments?

    • Yes
      1 / 1
      Source

      46. Commitment to conduct social and environmental impact assessments (SEIAs)?

    • Yes
      1 / 1
      Source

      47. Social and environmental impact assessment (SEIAs) undertaken since November 2005, and management and monitoring plans?

      There is public availability of the following SEIA assessments:

      Central Kalimantan: PT Surya Sawit Sejati.

  • Peat, fire and GHG emissions Peat, fire and GHG emissions 13 / 17 76.5%
    • Companies should commit to protect peatland and undertake best management practices for soils and peat. They should also have policies on zero burning and to reduce their greenhouse gas (GHG) emissions. Companies should report their GHG emissions, as well as any fires that occurred in or around their estates, along with plans for managing and monitoring fires.

    • Yes
      1 / 1
      Source

      48. Commitment to no planting on peat of any depth?

      The company commits to no new planting on peat for new planting. For existing plantings on peat the company only replants on peat which is less than 3m in depth.

    • Partial
      0.5 / 1
      Source

      49. Commitment applies to scheme smallholders and independent suppliers?

      The company states in its Environment and Biodiversity Policy: "We strive to commit our contractors and suppliers to adhere to this policy". It does not clearly state it applies to smallholders and only states that strive to commit.

    • Yes
      1 / 1
      Source

      50. Commitment to best management practices for soils and/or peat?

    • Yes
      1 / 1
      Source

      51. Landbank or planted area on peat (ha)?

      11.2%

    • Partial
      0.5 / 1
      Source

      52. Evidence of best management practices for soils and/or peat?

      The company only details best management practices for soils.

    • Yes
      1 / 1
      Source

      53. Commitment to zero burning?

    • Partial
      0.5 / 1
      Source

      54. Commitment applies to scheme smallholders and independent suppliers?

      The company states in its Environment and Biodiversity Policy: "We strive to commit our contractors and suppliers to adhere to this policy". It does not clearly state it applies to smallholders and only states that strive to commit.

    • Yes
      1 / 1
      Source

      55. Evidence of management and monitoring fires?

    • Yes
      1 / 1
      Source

      56. Details/number of hotspots/fires in company estates?

      The company report the hectares burnt in fires from 2014 to 2016.

    • No
      0 / 1
      No source

      57. Details/number of hotspots/fires within surrounding landscape/smallholders?

    • Yes
      1 / 1
      Source

      58. Time-bound commitment to reduce greenhouse gas (GHG) emissions?

      2018 (50%) - The company has a target to reach a reduction of 50% vs the 2004 figures before the end of 2018.

    • Partial
      0.5 / 1
      Source

      59. Commitment applies to scheme smallholders and independent suppliers?

      The company states in its Environment and Biodiversity Policy: "We strive to commit our contractors and suppliers to adhere to this policy", which includes reducing greenhouse gas emissions although a time-bound plan is not referenced. It does not clearly state it applies to smallholders and only states that strive to commit.

    • Yes
      1 / 1
      Source

      60. GHG emissions?

    • Partial
      0.5 / 1
      Source

      61. GHG emissions from land use change?

      Only report emissions from indirect land use change.

    • Yes
      1 / 1
      Source

      62. Methodology used to calculate GHG emissions?

      ISO 14000 International Standards.

    • Yes
      1 / 1
      Source

      63. Progress towards commitment to reduce GHG emissions?

    • Partial
      0.5 / 1
      Source

      64. Percentage of mills with methane capture (is above 75%)?

      4 (80%)

  • Water, chemical and pest management Water, chemical and pest management 8.5 / 12 70.8%
    • Companies should commit to managing water use and water quality, providing evidence through time-bound reduction plans, policies on toxic chemical use and treatment of palm oil mill effluent (POME).

    • Yes
      1 / 1
      Source

      65. Commitment to manage water use and water quality?

    • Partial
      0.5 / 1
      Source

      66. Time-bound commitments to improve water use and water quality?

      Water Footprint reduction by 5% compared to 2015 level of 80 gallons per capita by 2018. No targets set for water quality improvement.

    • Yes
      1 / 1
      Source

      67. Progress towards commitment on water use?

    • No
      0 / 1
      No source

      68. Progress towards commitment on water quality?

    • Yes
      1 / 1
      Source

      69. Protection of natural waterways through buffer zones?

    • Yes
      1 / 1
      Source

      70. Evidence of treating palm oil mill effluent (POME)?

    • Yes
      1 / 1
      Source

      71. Commitment to minimise the use of chemicals, including pesticides and chemical fertilisers?

    • Yes
      1 / 1
      Source

      72. No use of paraquat?

    • No
      0 / 1
      Source

      73. No use of World Health Organisation (WHO) Class 1A and 1B pesticides?

      The company states "We are committed to reduce and phase out chemicals that fall under the WHO 1A & 1B category when effective and suitable alternatives are available", but does not specify a time to phase them out by. The company states it is still seeking to phase-out monocrotophos, a class 1B insecticide, but is having difficulty finding suitable alternatives. It reports reduced use of 40-50% for most years since 2006.

    • No
      0 / 1
      No source

      74. No use of chemicals listed under the Stockholm Convention and Rotterdam Convention?

    • Yes
      1 / 1
      Source

      75. Integrated Pest Management (IPM) approach?

    • Yes
      1 / 1
      Source

      76. Chemical usage per ha or list of chemicals used?

      The company reports fertiliser and pesticide/herbicide usage per tonne of oil palm.

  • Community, land and labour rights Community, land and labour rights 13.5 / 18 75%
    • Companies should commit to respect human rights, including those of indigenous peoples and local communities, consulted with free, prior and informed consent (FPIC). Companies should respect the rights of workers, report relevant workforce data, and comply with health and safety legislation.

    • Yes
      1 / 1
      Source

      77. Commitment to human rights, referencing the UN Declaration of Human Rights or UN Guiding Principles on Business and Human Rights?

    • Yes
      1 / 1
      Source

      78. Commitment to respect legal and customary land tenure rights?

    • Yes
      1 / 1
      Source

      79. Commitment to respect indigenous and local communities' rights?

    • Yes
      1 / 1
      Source

      80. Commitment to free, prior and informed consent (FPIC)?

    • No
      0 / 1
      Source

      81. Commitment applies to independent suppliers?

      The company states in its Environment and Biodiversity Policy: "We strive to commit our contractors and suppliers to adhere to the environment regulations and thereby focus on traceability within our supply chain". However, this does not clearly state that the company's policy and commitments apply to suppliers.

    • No
      0 / 1
      No source

      82. Free, prior and informed consent (FPIC) process?

    • Yes
      1 / 1
      Source

      83. Process for addressing land conflicts?

      The company have a Standard Operating Procedure for Land Dispute Settlement.

    • No
      0 / 1
      No source

      84. Commitment to ensure food security for local communities?

    • Yes
      1 / 1
      Source

      85. Commitment to respect workers' rights, including all workers (i.e. direct, indirect, migrant, temporary, casual, etc.)?

    • Partial
      0.5 / 1
      Source

      86. Reference to Fundamental ILO Conventions or Free and Fair Labour Principles?

      The company refers to the fundamental ILO conventions, however, it does not mention equal remuneration.

    • Yes
      1 / 1
      Source

      87. Total number of employees?

      5,926

    • No
      0 / 1
      Source

      88. Percentage or number of temporary employees?

      Only refer to "guest workers" which are foreign workers.

    • Yes
      1 / 1
      Source

      89. Percentage or number of women employees?

      In Indonesia 20.25% female workers and in Malaysia 12.93% female workers.

    • Yes
      1 / 1
      Source

      90. Minimum wage that the company pays?

    • Yes
      1 / 1
      Source

      91. Commitment to address occupational health and safety?

    • Yes
      1 / 1
      Source

      92. Lost time accident rate?

      14.3

    • Yes
      1 / 1
      Source

      93. Number of fatalities as a result of work-based accidents?

      1 - Total fatalities in 2016.

    • Yes
      1 / 1
      Source

      94. Provision of personal protective equipment and pesticide training?

  • Certification standards Certification standards 10 / 18 55.6%
    • Companies should become members of credible certification standards and report in accordance with all appropriate categories of membership. The Roundtable on Sustainable Palm Oil (RSPO) requires members registered as growers to submit data relating to certification targets for their estates, scheme smallholders and independent fresh fruit bunch (FFB) suppliers, via an annual communications of progress (ACOP) report.

    • Yes
      1 / 1
      Source

      95. Member of the Roundtable on Sustainable Palm Oil (RSPO)?

    • Yes
      0.5 / 0.5
      Source

      96. Submitted most recent RSPO Annual Communication of Progress (ACOP)?

    • Yes
      0.5 / 0.5
      Source

      97. Listed all countries and regions in which operates in most recent RSPO Annual Communication of Progress (ACOP)?

      United Plantations states all of the countries and regions in which the company operates: Malaysia (Perak, Selangor), Indonesia (Central Kalimantan).

    • Yes
      0.5 / 0.5
      Source

      98. Time-bound plan for achieving 100% RSPO certification of estates within 5 years or achieved 100% RSPO-certification of estates?

      2019

    • Yes
      0.5 / 0.5
      Source

      99. Time-bound plan for achieving 100% RSPO certification of scheme/associated smallholders within 5 years or achieved 100% RSPO-certification of scheme/associated smallholders?

      2019

    • Yes
      0.5 / 0.5
      Source

      100. Time-bound plan for achieving 100% RSPO certification of all supply chains?

      2022

    • Yes
      0.5 / 0.5
      Source

      101. RSPO-certified within three years of joining the RSPO or by November 2010, for companies joining prior to finalisation of the RSPO certification systems in November 2007?

      2008

    • Yes
      2 / 2
      Source

      102. Percentage of mills RSPO-certified (is above 75%)?

      4 (80%)

    • Partial
      1.5 / 2
      Source

      103. Percentage of area (ha) RSPO-certified (is above 75%)?

      35,309 (59.4%)

    • No
      0 / 2
      Source

      104. Percentage of scheme/associated smallholders (ha) RSPO-certified (is above 75%)?

      0 (0%)

    • No
      0 / 2
      No source

      105. Percentage of FFB supply (tonnes) from independent FFB suppliers that is RSPO-certified (is above 75%)?

    • Partial
      1.5 / 2
      Source

      106. Percentage of all palm oil and oil palm products handled/traded/processed (tonnes) that are RSPO-certified (is above 75%)?

      156,215 (61%)

    • Yes
      1 / 1
      Source

      107. Sells or processes/trades RSPO-certified palm oil through Segregated or Identity Preserved supply chains?

      Mass Balance, Segregated, Identity Preserved.

    • No
      0 / 1
      Source

      108. Indonesia Sustainable Palm Oil (ISPO) certified (100%)?

      The company has a time bound plan for 2017 to achieve ISPO certification for its new Indonesian estates.

    • No
      0 / 1
      No source

      109. Malaysia Sustainable Palm Oil (MSPO) certified (100%)?

    • No
      0 / 1
      Source

      110. Certified under voluntary sustainability certification scheme (e.g. ISCC, SAN, RSB, etc.)?

      The company has previously been audited by ProForest in 2003 and became a certified producer and processor of sustainably produced palm oil in accordance to the Swiss supermarket chain, Migros' principles and criteria on sustainable palm oil. The company plans RSPO Next certification by 2018.

  • Smallholders and suppliers Smallholders and suppliers 4.5 / 9 50%
    • Companies should report details of any programmes or schemes to support both schemed and independent smallholders, as well as criteria to assess suppliers on compliance with company policies, and in what cases suppliers should be suspended or excluded due to non-compliance.

    • Yes
      1 / 1
      Source

      111. Programme to support scheme smallholders?

    • Yes
      1 / 1
      Source

      112. Details of support programme for scheme smallholders?

      "The Company provides the smallholders with sufficient resources and is committed to buying their FFB at government determined rates. To assist them, we provide vital training on plantation management practices and financial arrangements".

    • Partial
      0.5 / 1
      Source

      113. Number or percentage of scheme smallholders involved in programme?

      The company states "To date 752 Ha of Plasma have been developed for 425 smallholders" but not clear how many smallholders supported.

    • Yes
      1 / 1
      Source

      114. Programme to support independent smallholders?

    • Yes
      1 / 1
      Source

      115. Details of support programme for independent smallholders?

      Invited farmers from local districts to visit our plantations to get a better understanding of good agricultural practices, sustainability initiatives and environmental protection. The smallholders were given training sessions in safe handling of pesticides, integrated pest control, nursery upkeep, optimal harvesting procedures and fertilizer application in order to assist them with their agricultural interests.

    • No
      0 / 1
      No source

      116. Number or percentage of independent smallholders involved in programme?

    • No
      0 / 1
      Source

      117. Process used to prioritise, assess and/or engage suppliers on compliance with company's policy and/or legal requirements?

      The company only states it has raised awareness of the company's sustainability commitments with suppliers through engagement survey and one-to-one meetings.

    • No
      0 / 1
      No source

      118. Suspension or exclusion criteria for suppliers?

    • No
      0 / 1
      No source

      119. Number or percentage of suppliers assessed and/or engaged?

  • Governance and grievances Governance and grievances 6 / 7 85.7%
    • Companies should operate in an ethical manner at all levels, providing accessible channels and clear procedures for both employees and external stakeholders to raise any grievance or complaint with the company, as well as allowing for whistleblowing.

    • Yes
      1 / 1
      Source

      120. Commitment to ethical conduct and prohibition of corruption?

    • Yes
      1 / 1
      Source

      121. Whistleblowing procedure?

    • Yes
      1 / 1
      Source

      122. Own grievance or complaints system?

    • Yes
      1 / 1
      Source

      123. Accessible to internal stakeholders (i.e. employees)?

    • Yes
      1 / 1
      Source

      124. Accessible to external stakeholders?

    • Partial
      1 / 2
      Source

      125. Grievance details, if anonymity not requested?

      The company details a summary of land dispute cases from 2014-2016, but not other types of grievances.

Media monitor: United Plantations Bhd

SPOTT gathers reports and stories from global media sources, covering specific company activities related to the assessment indicator categories. ZSL does not assess the validity of these reports.

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Map of concessions: United Plantations Bhd

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Use the map search bar to find specific company concessions or locations. Click the concession sites marked by pins to zoom in for more information, then go to the company pages of featured concessions to view their assessments.

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