symposium
• AT THE ZOOLOGICAL SOCIETY OF LONDON •
SUSTAINABLE PALM OIL:
CHALLENGES, A COMMON
VISION AND THE WAY
FORWARD
Thursday 5 and Friday 6 May 2011
Organised by:
Sophie Persey (ZSL)
Sarah Christie (ZSL)
Helen Crowley (WCS)
Matthew Hatchwell (WCS)
Ruth Nussbaum (ProForest)
The Meeting Rooms
The Zoological Society of London
Regent’s Park
London NW1 4RY
www.zsl.org/science/scientific-meetings
With support from Biodiversity & Agricultural Commodities
Programme of the International Finance Corporation, and
Wilmar International
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
THURSDAY 5 MAY
9.15
Welcome from Jonathan Baillie (Director of Conservation Programmes, ZSL)
SESSION I:
9.30
PALM OIL AND SUSTAINABILITY
(Chair: Jonathan Baillie, Zoological Society of London)
The business case for sustainable practice: protecting our natural assets
Duncan Pollard, Sustainability Advisor, Nestlé
Three and a half billion people live in cities, and have little opportunity to grow or gather their own
food. These consumers rely upon, and therefore trust, the global food industry to bring them food
that it safe, tasty and nutritious. The companies build that trust in many ways, but being able to
answer three questions is fundamental: ―is the food safe?‖, ―where does the food come from?‖, and
―how was the food made?‖
Strict regulation thankfully limits food safety problems, yet transparency in food sourcing and
broader issues of sustainability are less strictly regulated, meaning that efforts to improve issues,
such as traceability, working conditions and the income of the farmer, impacts on the environment,
and the efficiency of energy and water usage, are all largely voluntary in nature.
Traditionally, driving voluntary change has involved the construction of ―the business case‖ to
convince senior management in the company of the need to introduce more sustainable
performance. Yet companies that have taken the sustainability journey typically talk about three
evolutionary phases. A typical starting point is about justifying and building their sustainability
programme based around ―the business case‖. At a more mature, second level, some companies
build sustainability into their approach to risk management. Finally, and at the most sophisticated
level, some companies have built their response out of their internal values. These values often
link to the need to create societal value.
Programmes responding to the sustainability agenda that are built on this latter foundation have
the best chance of success. Therefore, collaboration between NGOs and companies can be most
fruitful when recognising these different evolutionary stages, and intervention should follow this
with three focus areas: attitude, organisational set-up and having the right tools in place.
Finally, with companies each having their own values, and competing to differentiate themselves in
the market place, progress on developing sustainable commodities (including palm oil) will not be
about all companies achieving the same end point (e.g. 100% RSPO certified), but about each
company finding a niche to create societal value. For Nestlé this is about focussing on rural
development and net farm income. We believe that thriving farmers are the first step in developing
sustainable practices and protecting our natural assets.
10.00
A global challenge: markets and oil palm expansion
James Fry, LMC International, Oxford, UK
Oilseed crops are special. Even before the advent of biofuels, the growth in demand for both
vegetable oils and oilseed meals was considerably faster than the ability of crop breeders to
increase yields; therefore, the areas planted to oilseed crops, led by soybeans, grew steadily.
Grains were different. Total areas under grains actually fell in the decades before biofuels became
a major source of demand. As a result, the combined areas under grain and oilseed crops
worldwide changed little before 2000.
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
Since 2000, biofuels have generated strong growth in the use of grains, notably maize for ethanol
in the US, as well as in the demand for vegetable oils for biodiesel. These increases outstripped
the ability of breeders to boost yields; hence, the areas under both grain and oil-bearing crops
have risen significantly in the past decade.
In the ―olden days‖ (before biodiesel), the rates of growth in demand for meals and for oils were
very similar, which meant that soybeans, containing roughly 80% meal and 20% oil, played a
crucial role in meeting the needs for both. However, soybean‘s bias towards meal meant that the
world also needed crops that are more heavily tilted towards oil content. These include oil palm
(nearly 90% oil and over 10% meal), rapeseed (40% oil, 60% meal) and sunflower (also 40% oil,
60% meal).
Today, around one eighth of global demand for vegetable oils is generated by biofuels. The growth
in this form of demand differs from that in the past in one crucial respect. Previously, rising
incomes drove growth, with consumers wanting both more meat (and thus indirectly more meal to
feed animals) and more oil as they became richer. Now, there is a major new form of end-use that
is purely driven by policy, and which craves solely oil, without any demand for meal. One crop fits
the bill better than any other, oil palm. It yields very little of the unwanted meal, but lots of oil,
especially when its productivity per hectare is compared with other oilseed crops. In this respect, it
does not actually matter whether palm oil goes to meet biofuel demand. If other vegetable oils are
diverted to biofuels, they leave a gap in the supply of oils that palm is ideally placed to fill.
The presentation will explain the dilemma created by biofuel policy and demonstrate the response
of the oil palm sector to the price signals that biofuel demand has generated.
10.30
POSTER SESSION (TEA/COFFEE)
SESSION II:
11.00
PALM OIL AND THE ENVIRONMENT
(Chair: Helen Crowley, Wildlife Conservation Society)
Reducing green house gas emissions from land use changes for oil palm development
Fahmuddin Agus1, Petrus Gunarso2, Bambang H. Saharjo3, Abdul Rashid4, K.T. Joseph5, Nancy
Harris6, and Meine van Noordwijk7
1
Indonesian Soil Research Institute, Bogor, Indonesia, 2Tropenbos Indonesia, 3Bogor
Agricultural University/Sawit Watch, Bogor, Indonesia, 4Forest Research Institute Malaysia,
Kuala Lumpur, 5University of Malaya, Kuala Lumpur, Malaysia, 6Winrock International,
USA, 7World Agroforestry Centre (ICRAF), Nairobi, Kenya
Land use changes for oil palm (OP) development has been perceived as the major source of GHG
emission, but, to our knowledge, no comprehensive analyses have been done on this aspect. This
on-going study is aimed at analyzing land use changes to oil palm plantation and predicting
entailed CO2 emission. The study covers major oil palm producing countries in South East Asia,
West Africa and South America, but the detailed work is for Indonesia and Malaysia. Land cover
types are delineated from Landsat TM images by on-screen digitizing technique and verified with
statistical data and, where available, high resolution Google Earth images. For mineral land, CO2
emission is estimated based on the changes in the above ground and soil carbon stocks while for
peatland it is based on the change in the above ground C stock and the rate of peat
decomposition, based on literature. The current analysis has not included peat fire effects on
emissions. Interim results show that oil palm plantation in Sumatra, Kalimantan and Papua of
Indonesia grows rapidly from about 1 million ha in 1990 to about 6.4 million ha in 2009 on mineral
soil and from 0.3 to 1.7 million ha on peatland. The majority (57%) of the development took place
on moderate to low above ground carbon stock lands, such as rubber plantation, scrub and
grasslands and about 27% from disturbed and undisturbed forests. In Peninsular Malaysia, oil
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
palm plantation increased from 1.2 in 1990 to 2.5 million ha in 2006 and most of the changes were
from rubber plantation and state forest lands. Change in above ground C stock, especially from
forest, is the major source of land use change related CO2 emission. Despite a consistent
increase in the development of new plantation with time, annual CO2 emissions from land
conversion to OP in Indonesia was lower for the period of 2000 to 2005 compared to that of 1990
to 2000 because of the lesser proportion of forest converted. Prioritizing the use of low C stock
lands and rehabilitation of drained and degraded peatlands to OP plantation, as well as
maintaining shallow drainage for oil palm on peatland, potentially contribute to emission reduction.
TOTAL
11.30
683,126 2,179,390
31% 2,193,123
10,054,721
22%
Can oil palm and biodiversity co-exist?
Sophie Persey, Biodiversity & Oil Palm Project Manager, Zoological Society of London, Indonesia
As the source of the world‘s most sought after vegetable oil, rapid oil palm expansion across the
tropics is set to continue. Yet, the increasing dominance of vast oil palm monocultures in regions
naturally occupied by diverse tropical rainforests is one of the greatest threats to biodiversity on the
planet. We cannot afford for our appetite for palm oil to come at the cost of biodiversity. Therefore,
it is essential that we find ways to design and manage these agricultural landscapes to ensure that
oil palm and biodiversity can co-exist.
Studies of a range of different species groups clearly demonstrate that oil palm monoculture is a
highly unsuitable habitat for a large number of species, particularly forest specialists. Despite this,
many of these species are able to persist within patches of natural habitat that remain within oil
palm concessions and the surrounding landscape, at least in the short term. This presentation will
first review the ability of various species groups to persist within both oil palm monoculture and
landscapes dominated by oil palm. The factors that influence will then be discussed in order to
identify the key characteristics of a landscape in which oil palm and biodiversity can co-exist.
12.00
Securing sustainable ecosystem services within oil palm landscapes
Jake Snaddon, Department of Zoology, Cambridge University, UK
The expansion and intensification of agriculture is the major current threat to the conservation of
biodiversity in South East Asia. Most animal taxa decrease in both species richness and
abundance on conversion of forest to oil palm, and there is usually a severe loss of forest species.
It is vital that we understand how these changes affect not just biodiversity but the ecosystem
services provided by biodiversity in these managed ecosystems. The crucial question here is
whether the documented losses in animal biodiversity associated with oil palm cultivation matter in
relation to ecosystem function. There is considerable theoretical support for the notion that
increased biodiversity has significant positive effects on ecosystem function and consequently
ecosystem services. Species diversity also provides temporal resilience for ecosystem processes
and the possibility for the system to adapt to future changes. However, we have exceptionally little
reliable information on how the nature and extent of these changes and interactions may play out
in the oil palm plantations. By intelligent manipulation of habitat complexity, it should be possible to
enhance not only the number of species that can live in oil palm plantations but also their
contribution to the healthy functioning of this exceptionally important and widespread landscape.
Here, we will discuss what is known about the ecosystem services within oil palm landscapes that
are potentially mediated by arthropods: biocontrol, pollination, decomposition and soil fertility.
12.30
LUNCH
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
SESSION III:
13.30
BALANCING ENVIRONMENTAL & SOCIO-ECONOMIC GOALS
(Chair: Tim Killeen, Conservation International)
Reconciling targets for the environment, development and oil palm expansion
John Garcia-Ulloa, ETH, Zurich & CIFOR and Lian Pin Koh, ETH, Zurich
Oil palm agriculture has expanded rapidly in the last decades. Various countries in the tropics have
expressed their plans of increasing crude palm oil production. The rapid expansion of oil palm
agriculture for both food and fuel has raised concerns over the effects on the environment, food
production and rural livelihoods. Finding ways to reconcile development, agricultural and
environmental objectives has, thus, become a priority. This presentation focuses on a modeling
exercise to explore the impacts of the expansion of oil palm agriculture on food production,
ecosystems, biodiversity and biomass carbon stocks, using Colombia and Indonesia as case
studies. We used a spatially explicit approach by, firstly, creating a database from overlaid GIS
data on land use cover, above ground carbon content, protected areas, and yield potential of oil
palm and other food crops. Secondly, we simulated the expansion of oil palm agriculture under five
different scenarios: business as usual, food production, natural ecosystem protection, biomass
carbon conservation and a hybrid scenario that combines all issues addressed in the single priority
scenarios. The model outcomes for the single priority scenarios showed tradeoffs between
development and environmental objectives. However, the combined approach resulted in lower
effects for all issues addressed. Our results suggest that the tradeoffs associated with oil palm
expansion can be largely avoided by implementing a properly planned and spatially explicit
development strategy.
14.00
Maintaining High Conservation Values in oil palm landscapes
Christopher Stewart, HCV Resource Network, UK
One of the most important functions of sustainability standards for natural resources is to ensure
that production activities do not damage or degrade outstandingly important biological, social and
cultural values of the landscape. The Roundtable for Sustainable Palm Oil has adopted the High
Conservation Value (HCV) approach as the framework for identifying and managing these critical
attributes both in existing plantations and in areas designated for expansion.
The HCV approach is based on six widely-accepted critical attributes of natural ecosystems. These
cover the range of priorities which are of greatest concern to civil society and communities,
including biodiversity, ecosystem services and social and cultural values. It was developed
originally in the context of FSC forest management, where the approach leads to HCV zonation
and management within a forest matrix. However, within RSPO (and other agriculture standards),
the HCV concept becomes a tool for ensuring that important natural areas are not converted, and
this has raised a number of significant challenges, not least a concern that poor application of the
approach could lead to so-called ―HCV islands‖ within plantation landscapes with little true longterm conservation value.
The HCV approach holds great promise as a framework for bringing together the interests of
plantation managers, local communities, NGOs and government. In order to deliver on this
promise, a better understanding of the HCV approach and its proper application in the plantation
context is essential. This presentation will outline the technical and institutional challenges that
need to be tackled by RSPO and its stakeholders in order to ensure that the palm oil industry can
deliver on the most fundamental aspects of environmental and social responsibility.
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
14.30
The challenges, costs & benefits of maintaining High Conservation Values
Simon Siburat1, Melissa Tolley2 and Calley A.Beamish3
Wilmar International Limited, No. 9 Kreta Ayer Road,Singapore 088985
1
Group Sustainability Controller, 2Conservation and Primatologist, 3Biodiversity and
Conservation Manager
Like any voluntary standard, the implementation of the RSPO P & C has its fair share of challenges
especially in the context of High Conservation Value (HCV) identification, management and
protection. The Basic Agrarian Law that governs land use for Oil Palm cultivation does not
recognize conservation set asides in line with HCV concepts which are for more than just providing
environmental infrastructure. Land set aside as corridors for connectivity are often interpreted as
idle land and before the land title is issued out to secure these areas, it can be repossessed by the
local government and passed to another Grower, who may be a non-RSPO Member, for
development. Even when the Land title has been issued, there are regulations that allow
government to take the land back if the area is deemed to be not actively managed in accordance
with the Land use provision of the land title which is for cultivation, livestock or aquaculture.
Another challenge facing the growers in Indonesia is on the government regulation that makes it
mandatory for companies to provide smallholdings to local communities based on 20% of the total
land holdings under its control. In most cases, the community uses the HCV as a bargaining tool
and want companies to include these HCVs areas as part of the 20% computation of the
smallholding areas. Therefore companies often find it difficult to comply with developing
smallholdings even on areas alienated for conservation. This is further complicated by the Current
HCV toolkit in Indonesia which is a general toolkit well suited for identification for HCV under a
Forest concession that generally has better quality forest and better chance of allowing individuals
to become progenitors of new populations. Generally speaking, land offered for Oil Palm
Cultivation usually has a relatively more degraded landscape.
The precautionary approach adopted and the varying standards of interpretation by HCV
assessors have led to a significant portion of land being not recommended for development when it
has already been alienated for agricultural purposes by the Governmental Authorities. Cost in the
context of HCVs can be divided into Cost of land acquisition, Operational cost of HCV and potential
cost of having a HCV. For the land acquisition that will include land compensation, survey, legal
cost and the cost to apply the land title, this cost can vary between USD 200/ha to USD 400/ha
depending on the location and also time. HCV operational cost can be divided into Assessment
cost and Management cost. Assessment cost varies between USD 4 – 8/ha depending on the site
location. For HCV management it varies and is in the region of USD 6 – 8/ha/year. In terms of
potential loss to companies, the amount can be substantial. Based on the average palm oil yield
per ha of 4 – 7 t/ha and based on a 10 year average CPO price of USD 497/tone, the potential loss
in return varies between USD 375 -1866/ha/year. Conserving HCV‘s in this environment includes a
number of intangible and tangible benefits among which but not limited to addressing stakeholder
concern, compliance with sustainability standards (Branding), reputational enhancement, providing
and protecting environmental services, protection of endangered species and eco-systems and
Social licence. The HCV process helps in the maintenance of cultural identity and through the
numerous processes of consultation, it ensures recognition of the community‘s rights and
galvanizes trust between the company and the community.
15.00
TEA/COFFEE
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
15.30
Sustainable practice for smallholders: the challenges
Jan Maartan Dros and Piers Gillespie, Solidaridad
Globally, millions of smallholder farmers and rural workers depend on oil palm cultivation for
subsistence and cash income. Indonesia and Malaysia are the biggest producers of palm oil but
significant numbers of smallholders exist in West Africa, and oil palms are increasingly popular in
places like Colombia, Thailand and Papua New Guinea. However, to earn a decent income many
smallholders face legal, technical and organizational constraints. A case study from Indonesia
reveals that poor road infrastructure, unclear land tenure, unclear arrangements with mills and/or
cooperatives are among the most cited problems. The financing of a long-cycle crop like oil palm
brings specific challenges to farmers without capital or secure land rights. Technical and
organizational assistance are key to develop sustainable livelihoods for smallholders in the oil palm
sector.
RSPO has come up with tailor made standards for smallholders and has a strong commitment –
including financial resources- to smallholder inclusion. However, it does not have its own farmer
support structure in place and therefore inclusion of smallholders in RSPO relies on public, private
and civil society efforts. In some countries and regions government support to smallholders is
limited, and especially independent smallholders not linked to an (RSPO) mill lack support in such
areas.
Solidaridad is a development organization working with producers, traders, manufacturers and
retail to make supply chains more sustainable. In the palm oil sector, we work with RSPO and
RSPO members to provide smallholders with technical and organizational support to improve
yields and efficiency and work towards RSPO compliance in the Palm Oil Producer Support
Initiative (POPSI). Solidaridad partners with local implementation partners from the private, public
and NGO sector to provide tailor made solutions that are scaleable if proven effective. Current
partnerships include training of trainers with NBPOL in Papua New Guinea, smallholder support in
Honduras, Colombia, Brazil and Ghana and training and High Conservation Value Area
assessment with Iban smallholders in Sarawak, Malaysia. Dedicated support staff is operating from
country and regional offices in Guatemala, Brazil, Ghana and Indonesia.
For more information contact:
[email protected]
[email protected]
www.solidaridadnetwork.org/popsi
16.00
Directing Oil Palm Expansion onto ‘Degraded Land’ in Indonesia: What is it? Where is it?
And what to do when you get there
Moray McLeish, World Resources Institute, POTICO, Indonesia
The President of Indonesia announced in April 2011 that ―Indonesia has more than 30 million
hectares of degraded land which are critical to our sustainable economic growth… my government
will grant access to degraded lands for the industries that are serious in expanding or are planning
to invest on these lands, for the welfare of our people and for the future of our planet... while
exercising best practices‖
Drawing directly from field experience, WRI‘s POTICO project has been advocating such a policy
for over two years. POTICO has been compiling and creating ideas to define, map and use
degraded land for the sustainable expansion of the palm oil industry in Indonesia - whilst clarifying
what ‗best practice‘ means.
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
This presentation will detail the factors that must be taken into account before labeling a piece of
land as ‗degraded‘. Biophysical factors such as condition of natural vegetation and presence of
HCVs are a starting point. Further questions then have to be asked to determine if the degraded
land is suitable for sustainable palm oil expansion. What is its carbon stock? Do soil type and slope
make production economically viable? The question then arises as to whether or not palm oil
expansion is socially desirable in a given area – how can a developer use community mapping
approaches to secure the free and prior informed consent of local people to a new development.
A final consideration – perhaps unique to Indonesia- will also be examined: Land status and
legality. Many areas officially designated as forest estate are in fact devoid of trees (i.e.
degraded). But without a change in legal status, using such land for agriculture is illegal. Land
swaps are a promising way to ‗unlock‘ this land.
The presentation will describe WRI‘s experiences on the ground in implementing a land swap. It
will highlight the positive steps being taken by the Government of Indonesia, through its REDD+
partnership with Norway, to create a degraded land database to facilitate further land swaps.
16.30
Panel Discussion
Tim Killeen, Conservation International
17.00
POSTER SESSION with cash bar
18.30
End of day One
19.00
SYMPOSIUM DINNER – tickets to be booked in advance
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
FRIDAY 6 MAY
8.45
Welcome from Matthew Hatchwell (Director, Wildlife Conservation Society Europe)
SESSION IV:
9.00
THE ROLE OF PRODUCER GOVERNMENTS
(Chair: Abraham Baffoe, ProForest)
Strengthening legal frameworks in Indonesia
Suer Suryadi, Noviar Andayani and Nick Brickle, Wildlife Conservation Society-Indonesia Program
Oil palm plantations have growing rapidly over the past 30 years in Indonesia. Currently at least
7.9 million hectares of oil palm plantation are already set up across Indonesia, producing a total
21.6 million tons CPO, and generating USD 14.1 billion for the country‘s GDP.
The legal framework for the establishment and management of oil palm plantation in Indonesia
falls under the remit of five ministries, including the Ministry of Agriculture , the Ministry of Forestry,
the State Ministry of Environment, the State Ministry of Land, and the Ministry of Public Works. In
addition, other aspects fall under the responsibility of provincial and district government.
Altogether, over 20 regulations define the responsibilities of each sectors and touching on issues
ranging from spatial planning to agriculture, forestry, environmental protection, and land‘s rights.
WCS reviewed all these legislation seeking to identify inconsistencies, loop holes, and
recommendation for reform.
Preliminary findings of the study showed that while many legislations were normatively good, they
often lacked integration between sectors, lacked technical guidance, lacked mechanisms to control
permitting between different government agencies, and often lacked means to punish violators.
These ―problem areas‖ were all highlighted in the review.
The analysis also focused on legal and management issues surrounding the protection of High
Conservation Value areas within plantation areas. While such areas often do not have direct legal
protection in Indonesia, there may be opportunities to consider them under several indirect
legislation, including those related to Strategic Environmental Assessment, spatial planning, and
―PROPER (a government-managed program to assess a company‘s environmental compliance).
Our presentation includes an overview of the legal review conducted by WCS and
recommendation for legal and policy reform. We will also provide an update of more recently
issued regulations, including the proposed ―Moratorium‖ on forest clearing, the Indonesian
Sustainable Palm Oil Standard, and revised procedures to release forestland for plantation
establishment. These new regulations are all expected to improve environmental governance
within the oil palm sectors. plantation and conservation governance as normatively stated on
regulations.
9.30
Spatial planning as a tool to guide responsible production in Indonesia
Dolly Priatna, ZSL Indonesia Country Co-Co-ordinator
10.00
The outlook for large scale oil palm expansion in Liberia
Chea Garley Sr, Assistant Minister for Technical Services, Ministry of Agriculture, Republic of
Liberia
Liberia is an agricultural nation; 60% of the nation exports are derived from agricultural products
and about 90% of the Liberian population earns its livelihood from agriculture. Liberia had a very
important oil palm sector with both private and state plantations, which before the war could
compete with other African countries such as Ivory Coast, Ghana and Nigeria. It is difficult to
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
establish with certainty the total planted acreage of oil palm plantations before the civil unrest,
which might have been around 27,000 Ha, the total land allocated to the various operators in the
oil palm sector for exploitation was estimated at 50,000 Ha. All the plantations in the Liberian oil
palm sector were established between the early sixties and the early eighties (1960 to 1984) and
the trees have considerably aged (above 30 years). Now, there is a review of the current situation
and investments opportunities in the oil palm sector for creating income and opportunities for
boosting Liberia economy. The stage is now set for dramatic developments in the Liberian oil palm
sector.
Four major international oil palm companies two of the largest Malaysian and Indonesian
companies, Sime Darby , Sinar Mas known locally as Golden VerOleum, Equatorial Palm Oil
Limited and Socfin/Cavalla have signed and ratified concessions agreements with the Liberian
Government.
Liberian oil palm export potential
Oil palm is widely grown on smallholder farms often for domestic or regional consumption and
represent half the country total agricultural GDP. Palm oil shows steady export growth from a very
low base, with over 90% of this being destined for north Africa, such as Algeria. Liberia crude oil
palm production is seasonal and does not satisfy domestic demand. Depending on the outcome of
the domestic harvest, import levels of refined crude palm oil range between 2,000 to 10,000
tonnes. There is an opportunity to increase local palm oil production in the county due to a high
consumer preference. Local crude oil prices are about twice as high as international prices,
indicating excess demand. Major plantations in Liberia have indicated expansions plans but land
tenure has been stated as a major constraint. Nevertheless existing plantations have ambitious
rehabilitation and expansion plans, despite low domestic yields in Liberia; palm oil production
appears to be an attractive activity. There is an unmet demand for palm oil in the ECOWAS region,
which is estimated at 360,000 tons annually. This regional demand is a potential export market.
The relatively low world market price of oil palm when compared with prices of alternative
vegetable oils plus the high costs of sea freight ensures a high demand among industrial
processors for oil palm produced in the region. Both trends seem to be structural and thus provide
a basis for expanded production, processing and marketing of oil palm and its derivatives.
Traditional marketing channels are less clear. Fresh fruit as well as crude palm oil can be
purchased in urban and rural centers, while crude palm oil can be purchased in urban centers high
percentage of palm oil is consumed on‐farm or sold on nearby rural markets. There is a net work of
itinerant, small‐scale traders who convey the produce and market it in deficit areas around urban
conglomerations. The relatively high costs of sea freight in combination with the fact that other
vegetables oils are relatively more expensive make industrial production and processing of palm oil
an economically viable option. In 2005 production was 30,000 tons (IFC figure) to 42,000 tons
(USDA figure), all consumed locally, with another 7,000 tons of refined palm oil imported from
South East Asia. ECOWAS, West African nations as a whole imported 308,000 tons in 2007, so
there is clearly already a large unmet regional demand for palm oil. The post‐ conflict
reconstruction of the oil palm sectors offers major opportunities for introducing international best
practices to be designed in from an early stage. The demand for crude palm oil (CPO) has
dramatically expanded on international markets, and interest from large companies to invest in
Liberia has increased. Although industrials operators in the country oil palm sector are yet to
achieve their full potential and export orientated marketing and processing infrastructure requires
major rehabilitation or new construction. Liberia out grower policy needs to be receptive and
positive to potential interest and demand to invest in the oil palm sector, create an enabling policy
environment to facilitate private sector support/investment thus achieving its rural development
goals.
Production potentials
The favorable agro‐climatic conditions of Liberia ensure that the potentials of the oil palm sector
are quite impressive compared to sub regional sectors with poorer soils and significant moisture
deficits. Hence, with the right investments and industrial management approach, the Liberian Oil
palm Sector is capable of easily producing 18Mt to 20Mt of FFB per hectare.
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
Large scale oil palm expansion in Liberia
As regarding large scale oil palm expansion in Liberia, the following companies are improving their
concessions areas:
Golden VerOleum(Liberia) Inc, a subsidiary of the Verdant Fund Lp whose major investors
include Golden Agri‐ Resources Ltd entered in to a concession agreement with the Government of
Liberia for the development of oil palm plantation in Sinoe, Grand kru, Maryland, Rivercess and
River Gee Counties in Southeastern Liberia. The signed and ratified concession agreement which
was awarded to GVL covers a total of Approximately 500,000 acres (220,000 hectares).The
concession agreement provides for the Government and GVL to implement a social and
community development program, which includes employee housing, education and medical care.
Additionally, a Liberian smallholder program is to develop 100,000 acres (40,000 hectares) of oil
palm in support of local Liberia oil palm initiatives. In support of biodiversity conservation in the
country, GVL is under obligation to carefully preserve original forest and areas of high bio diversity,
sacred community lands located within its project area. As part of its obligation under the
concession agreement, GVL has decided to initiate this large‐scale oil palm plantation by
beginning with the cultivation of 33,000 ha of land in three districts of Sinoe County: Greenville,
Butaw and Kpanyan. GVL has already obtained a provisional permit from the Environmental
Protection Agency (EPA) for the establishment of a 50 acres nursery, demonstration and training
site in Plusonnie, Butaw District, which is to serve as a ground for training and project initiation.
Sime Darby
The Liberian Government in a 63 years concession agreement with Sime Darby provided 120,000
hectares of land in three counties (Bomi, Cape Mount and Gbarpolu) for the planting of oil palm.
The government also promised to make available additional 100,000 hectares of land. An
estimated one million oil palm seedlings are on nurseries waiting to be planted.
Conclusions
Palm oil industry expansion in Liberia brings major potential economic benefits in the form of
revenues, employment, and investments, but the threat of forest conversion and biodiversity losses
requires strong cooperation between, industry and NGOs.Toward this end, Liberia has significant
potential in promoting sustainable practices and selling higher value certified products since all the
companies with established concessions are members of the international Roundtable on
Sustainable Palm Oil(RSPO).
10.30
POSTER SESSION (TEA/COFFEE)
SESSION V:
MECHANISMS TO ASSIST SUSTAINABLE PRODUCTION
(Chair: Melvin Gumal, Wildlife Conservation Society)
11.00
Increasing the effectiveness of the RSPO
Darrel Webber, RSPO Secretary General, Malaysia
11.30
The challenges of compensating for impacts on ecosystems & biodiversity
Kerry Ten Kate, BBOP
This presentation will start by defining biodiversity offsets and contrasting them with
‗compensation‘. It will then focus on challenges for compensation and how these might be tackled.
Technical challenges include: quantifying biodiversity impacts, losses and gains; establishing
which impacts may not be capable of being offset, and taking management measures to avoid
these; and quantifying ecosystem services. Among the political challenges are: building the
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SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
‗business case‘ and corporate will for offsets/compensation; ensuring offset and compensation
standards reflect best practice and enjoy the multistakeholder support needed to substantiate the
business case; ensuring best practice in biodiversity offsets and compensation are integrated with
parallel standards and requirements such as RSPO and IFC Performance Standard 6; and
designing a system that is workable for palm oil companies and auditors, ‗fair‘ for stakeholders and
that enjoys broad support from society. Finally, a first sketch of possible solutions for the palm oil
sector will be presented, comprising three components: compensation for clearing HCV between
2005-7 counter to Criterion 7.3, subsequent clearance counter to Criterion 7.3, and, for the future:
‗no net loss‘ landscape level planning for clearance of non-HCV biodiversity.
12.00
A review of principles, practice and stakeholder expectations for minimizing negative
impacts of oil palm on the environment
Gary D. Paoli & Philip L. Wells Daemeter Consulting, Indonesia
Controlling social and environmental impacts of oil palm (OP) plantation agriculture requires
identifying and excluding high impact areas from development (avoidance), taking measures to
minimize impacts where new plantations are developed (mitigation), and potentially contributing
voluntary positive net benefits off-site to compensate for unavoidable impacts on-site where
plantations are built (offsets). We use this framework to highlight a number of challenges and
opportunities for avoiding, mitigating and offsetting OP impacts in Indonesia, with the underlying
goal of helping to shape priorities for future action. Our analysis draws heavily on experiences from
Indonesia, but general messages will apply in diverse country settings.
The largest gains to be made through avoidance rest on effective spatial planning and licensing
procedures to prevent licenses being issued where potential impacts are too high. When spatial
planning fails, investor due diligence and Social and Environmental Impact Assessment (SEIA)
requirements in theory provide additional safeguards. In Indonesia, there is significant room (and
need) for improving spatial planning to avoid future impacts through (i) gaining access to better and
more recent high resolution data over large areas, (ii) using decision support tools for analyzing
complex trade-offs and (iii) allowing broader stakeholder participation to ensure sustainability
criteria (not just crop suitability) are incorporated and results are seen as credible. In areas where
OP development will move forward, impact mitigation becomes the primary objective. Much
creative work is being pursued on this front and, though in early stages, indicates necessary
enabling factors include (i) a supportive regulatory framework, (ii) cost effective data acquisition
and analysis to guide spatial features of plantation development, (iii) overcoming limitations of size,
where individual license areas are too small to achieve objectives on-site, and (iv) effective
engagement of diverse local stakeholders to support management efforts. Formal offsets in the OP
context are not widely discussed, but merit serious consideration where costs of on-site mitigation
are high, and do not justify potential gains. We close by drawing attention to the fact that
philosophies concerning net impacts envisaged by ‗responsible OP development‘ differ widely
among stakeholder groups. Realigning expectations will create better enabling conditions for
success through collaboration and agreement on priorities. Promoting dialogue toward this end
should be a top priority.
12.30
LUNCH
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
SESSION VI:
13.30
THE MARKET FOR SUSTAINABLE PALM OIL
(Chair: Catherine Cassagne, International Finance Corporation)
Responsible investment as a driver of sustainable production
John Laidlow, HSBC
Financial institutions can play an important role in contributing to sustainable development. Their
role of providing financial services to companies which may be involved in sensitive sectors places
them in a different role to many other parts of the traditional supply chain. HSBC explains how it
developed its policy towards the palm oil sector and some of the challenges of implementing it.
14.00
The role of media and civil society in promoting sustainable palm oil production
and consumption
Adam Harrison, WWF
The presentation sets out the achievements of the RSPO to date in promoting the production and
demand for certified sustainable palm oil but places this in the context of the much bigger task
ahead which is to see substantial change in the global demand for CSPO and in particular the
demand in Asia.
It focuses in particular on where the supply and demand for CSPO is heading in the next 4 to 5
years. Whereas it is relatively easy to see that significant volumes of CSPO will be available by
2015 it is less easy to predict what the demand will be until there is greater transparency in the
market.
There has been a clear role at least in the UK and Europe for campaigns by civil society and by the
media in raising awareness of the problems around palm oil production but it has been the
compromise and engagement facilitated by the RSPO that has helped to develop the potential
solutions to those problems. And there is a continuing role for civil society in engaging in a range
of ways with the industry as a whole in order to make sure that the solutions are implemented. This
conclusion is underscored by the experience presented by one of the most recent and most high
profile campaigns by an NGO which clearly shows that it is the diversity of how civil society can
engage which will achieve real results in the end.
The RSPO presents a valuable forum within which this diversity of approaches can sit and both
NGOs and the RSPO would benefit immensely from having more social and environmental NGO
members.
Interestingly the palm oil industry is learning from the example of civil society and is in some cases
starting to take on similar approaches. However what is needed now is not necessarily more
combative campaigning but instead more honesty and compromise from both sides of the debate.
14.30
The manufacturers’ approach to sustainable palm oil
Neil la Croix, Director of Sustainable Supply Chains, Kraft Foods
15.00
POSTER SESSION (TEA/COFFEE)
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
15.30
Consumer Governments: roles to support sustainable palm oil
Sara Eppel, DEFRA
Palm oil is the world‘s most consumed vegetable oil, and its production is an important tool to
address rural poverty in developing countries. However, conversion of natural rainforest and
peatlands to palm oil plantations can have serious consequences for climate change, through
increased greenhouse gas emissions, and accelerate biodiversity loss.
Demand-side measures to address the unsustainable production of palm oil are crucial in
encouraging wider behaviour change across the whole palm oil supply chain. The UK Government
is therefore considering a series of specific policy interventions relating to sustainable palm oil
sourcing, along with potential approaches to promote the consumption of certified sustainable palm
oil across the UK market. These approaches have been informed by an extensive mapping project
to better understand UK palm consumption and identify priority areas where government
intervention can have the greatest impact. The full results of the report will be presented on 6th
May; the headline findings show that in 2009 the UK imported about 1,650,000 metric tons of palm
oil, palm kernel oil and palm kernel meal, mainly from Indonesia, Malaysia, Papua New Guinea
and the Solomon Islands. The majority of this oil/meal was used in food products and animal feed.
Many major retailers have committed to targets for switching to the purchasing of certified
sustainable palm oil; currently about 23% of palm used in the UK is certified sustainable, mainly
through the buying of GreenPalm certificates (a similar process to buying green electricity) or
certified through the Roundtable on Sustainable Palm Oil (RSPO).
In addition to this mapping report, a detailed study exploring policy options for future government
intervention was also carried out. This involved a large element of stakeholder consultation, which
identified a particular appetite for combining awareness-raising and support with other
interventions, for example a time-bound goal for voluntary reporting. Future plans for government
intervention to promote the consumption of certified sustainable palm oil, as informed by this study,
will be presented.
16.00
Prospects and Challenges of Sustainable Palm Oil for China
Chen Ying, Chinese Chamber of Commerce of Import & Export of Foodstuffs
Along with the economic growth, China‘s demand for edible vegetable oil has been increasing in
recent years. Now China has become one of the largest palm oil importers in the world. In the
framework of China-Britain dialogue this year, the Chinese Ministry of Commerce and the British
Ministry of Countryside, Resources and Environment have jointly carried out the research on
promoting the development of sustainable palm oil in China, and entrusted China Chamber of
Commerce for Import & Export of Foodstuffs, Native Produce & Animal By-Products (CFNA) to
undertake this subject.
The objectives of the study are to (1) provide strategic policy guidance for the Chinese government
towards the development of sustainable palm oil, (2) facilitate the adoption of sustainable trade
policy with regard to palm oil in the upper levels of Chinese government and (3) provide a business
case for shifting to sustainable palm oil that is relevant for Chinese commerce. The RSPO
definition for sustainable palm oil production methods is that they should be ―comprised of legal,
economically viable, environmentally appropriate and socially beneficial management and
operations.‖
The subject of the research, ―Prospects and Challenges of Sustainable Palm Oil for China‖, is
divided into seven parts: (1) Background, objectives, approach and scope of the Study; (2)
Overview of the world palm oil industry; (3) China‘s palm oil industry situation; (4) Production,
purchase and utilization of sustainable palm oil; (5) Business case for production, procurement and
sustainable use of palm oil; (6) Policy analysis and suggestions regarding the promotion of
sustainable palm oil in China: (i) Establish a national policy objective for sustainable palm oil; (ii)
Establish a Chinese market-based sustainability certification standard for palm oil traders, food
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
processors and industrial users; (iii) Support domestic awareness-raising and demand for
sustainable palm oil; (iv) Issue guidelines governing environment and sustainable development
requirements for Chinese overseas investment and operation of Chinese enterprises abroad
(v) Initiate an international cooperation program to address China‘s expanding ecological footprint
related to estate crop commodity imports; (7) Conclusion.
In short, the production of palm oil ranks first in vegetable oil category and holds an important
position in global vegetable oil market. So it is of the utmost importance to promote the
development of sustainable palm oil in China. We should help deepen the understanding about
sustainable palm oil, especially the understanding about the importance of sustainable economic
development in China. It will allow the import firms and the public to understand that the issue
between environment and development has become a significant challenge faced by the humanity.
The constant deterioration in environment impacts on the existence and sustainable development
of the humanity directly. If China wants to realize a sustainable development in future and ensure a
sustainable use in natural resources, each firm has its responsibility and takes its action to raise
the efficiency in use of natural resources, and makes some efforts within its power in raising the
renewable ability of resources.
SESSION VII: THE WAY FORWARDS
(Chair: Ruth Nussbaum, ProForest)
16.30
Lessons learnt and the way forwards
Ruth Nussbaum, ProForest, UK
Building on the presentations and discussion of the two days of the Symposium, this final
presentation will seek to summarise what we know and don‘t know, and what options this presents
us for a sustainable way forward for the oil palm sector.
17.00
End of Symposium
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY
FORWARD
POSTER PRESENTATIONS
Towards the sustainable production of palm oil: which research do we need?
Cécile Bessou1, Emmanuelle Cheyns2, Marcel Djama2, Hubert Omont3 and Alain Rival4
1
UPR34.Cirad Persyst. Montpellier, France; 2 UMR MOISA. Cirad ES, Montpellier, France; 3DGDRS Cirad,
Montpellier, France; 4UMR DIADE. Cirad BioS-IRD-UM2. Montpellier, France.
Email: [email protected]
The cultivation of oil palm has become emblematic of the trade-off between development and conservation
that agricultural commodities have to face: matching an increasing global demand while preserving the
capacity of land to provide ecosystems services, and preserving natural forests.
Towards the aim of providing solutions to such controversial issues, the Roundtable on Sustainable Palm Oil
(RSPO) was created in 2004 as a business-to-business initiative bringing together NGOs and private
stakeholders under a voluntary certification scheme. The forces and weaknesses of RSPO are related to its
business-to-business origin and intrinsic nature. Principles and criteria were designed to provide a shared
framework for stakeholders who are willing to voluntarily commit themselves towards a sustainable palm oil
production but not as a detailed methodology and control points to actually assess the impacts. The RSPO
principles and criteria thus need to be revisited and associated with complementary diagnosis steps
integrating the broad diversity of oil palm-based cropping systems and the constraints these systems have to
face.
Our strategy is:
 To provide science-based knowledge and tools to ensure the sustainability of production systems or to
implement new sustainable systems

To involve stakeholders in the innovation process through multi-agent modeling or workshops

To identify obstacles and bottlenecks and analyze whether they are related to some inherent incapacity
of oil palm cropping systems to adapt or/and to insufficient efforts in making knowledge and tools
accessible to end-users
The generation of multidisciplinary research networks which are able to deliver science-based products of
direct interest for end-users is now of paramount importance.
Clear Labels, Not Forests: how labelling palm oil will support the drive towards sustainable
production
Helen Buckland, Sumatran Orangutan Society, The Old Music Hall, 106-108 Cowley Road, Oxford, OX4
1JE, UK
Email: [email protected]
Palm oil is in high demand as an ingredient in many food items, driving rapid expansion of monoculture
plantations, often at the expense of biodiverse forest ecosystems. Palm oil is found in up to half of all topselling grocery brands in supermarkets across Europe. Currently, there is no requirement in the EU for food
manufacturers to label palm oil or palm kernel oil on packaging, and it is usually labelled as 'vegetable oil'.
The Clear Labels, Not Forests campaign supports the mandatory labelling of palm oil, which will help to drive
demand for certified sustainable palm oil from Europe.
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
Many leading European retailers and food manufacturers have joined the Roundtable on Sustainable Palm
Oil and have made commitments to purchase palm oil only from certified sustainable sources by 2015.
Given the choice between a product containing palm oil, and one containing certified sustainable palm oil
(CSPO), environmentally conscious European consumers will choose the latter. Enabling consumer choice
through labelling will provide the impetus for other companies to make time-bound pledges to source CSPO,
ultimately supporting the palm oil industry in moving towards more sustainable production.
This will help reduce one of the primary drivers of deforestation in top palm oil producing countries such as
Indonesia and Malaysia, avoiding devastating biodiversity loss and conserving forests that play a crucial role
in climate change prevention. All stakeholders should work together to educate consumers on the benefits of
CSPO over uncertified palm oil, and the benefits of palm oil over other vegetable oils.
Assisting oil palm smallholders through commodity chains: the Solidaridad Palm Oil Producers
Support Initiative (POPSI)
Jan Maarten Dros and Piers Gillespie, Piers Gillespie, Business Development Manager Daemeter, CBSCM
SEA, Solidaridad
Email: [email protected] and [email protected].
Solidaridad is an international network organization with more than 20 years of experience creating
sustainable supply chains from the producer to the consumer in agri-commodities. The approach enables
producers in developing countries to get a better price for better quality products, whilst helping companies
in the marketplace find sustainable suppliers and implement more meaningful Corporate Social
Responsibility (CSR) initiatives on a global scale.
Solidaridad has established the Palm Oil Producer Support Initiative (POPSI). We support smallholders
implement better agricultural practices and coordinates our efforts with plantations, government agencies,
and NGOs.
There is significant potential to address some of the problems associated with oil palm expansion by
targeting existing planted areas. Investments in smallholder organizations, training, and replanting with
higher-yielding varieties are necessary. Solidaridad looks for partnerships with producers and financial
institutions to establish investment models for recuperation of low-productivity plantations. Donor funds are
matched 2:3 with contributions from RSPO members.
The Palm Oil Producer Support Initiative targets 35,000 smallholders and 100,000 plantation workers in
Central and Latin America, Asia and Africa. Projects to date have included Papua New Guinea, where a field
and practice training module was designed and an intensive classroom and field training course has been
organised for 30 OPIC agents, resulting in 7,000 small-scale palm oil farmers in Papua New Guinea trained,
and in Malaysia, where sustainable smallholder training has commenced and training materials will be
prepared and distributed to smallholder oil palm long house communities.
Evaluating the impact of palm oil on amphibian species richness and assemblage composition in
Peninsular Malaysia
Aisyah Faruk1,2, Rob Knell1 and Trent Garner2
1
School of Biological and Chemical Sciences, Queen Mary University of London, London E1 4NS and
2
Institute of Zoology, Zoological Society of London, Regent’s Park, London, NW1 4RY, UK
Email: [email protected] [email protected]
Palm oil production is a fast growing, billion-dollar industry, which is currently dominated by countries such
as Indonesia and Malaysia. Collectively, these two countries produce 80% of the world‘s palm oil, most of
which is exported for use in food production, cosmetics and soaps. Recently, palm oil has been heavily
criticised over its negative effects on the environment, responsible for mass habitat destruction and pollution.
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
In addition to this, surveys on a number of animal taxa showed reduced species diversity after conversion,
along with the loss of forest dependent species. However, amphibian surveys are lacking and as news on
global amphibian decline increases, the effects this type of agriculture has on local amphibians needs to be
addressed. Research suggests that one-third of all amphibian species are at risk from extinction, with habitat
loss and parasite infection being the two main threats to amphibian populations.
The current research focuses on the impact of oil palm on amphibian communities in Peninsular Malaysia.
Fifty-seven plots from oil palm plantations and secondary-forest sites were surveyed in the summer of 2009
for amphibians and macrohabitat variables of those plots were also noted. The number of individuals and
species found in oil palm were similar to that found in the forest; however, there were marked differences in
community structure. Disturbance-tolerant, temporary pool breeders were more common in the plantations,
while forest sites had a higher number of stream-dwelling species. Further work on this subject includes
looking at the effects oil palm has on amphibian health.
Enhancing biodiversity within palm oil: butterflies, stakeholders and the consumer
Ellie Lindsay1, Andrew Ramsey2, Ian Convery3, and Eunice Simmons4
1-3
Centre for Wildlife Conservation, 4National School of Forestry, University of Cumbria, Newton Rigg
Campus, Penrith, Cumbria, UK
Email: [email protected]; [email protected]; [email protected];
[email protected]
This interdisciplinary study examines biodiversity management approaches for oil palm plantations in Sabah,
Malaysia. Study sites within an oil palm plantation including riparian reserves, forest fragments, grazed oil
palm areas, and monoculture oil palm were sampled using butterflies an indicator of biodiversity. A
significant difference in abundance and species richness was found between all sites. When pairwise
comparisons were made there was no significant difference in abundance between the forest fragment and
the riparian reserve. A series of semi-structured interviews were conducted following on from the biodiversity
study to ascertain stakeholder‘s opinion surrounding conservation strategies within oil palm plantations in
Malaysia. Connectivity between forest fragments was the most emergent theme arising from interviews. It
was apparent that there is growing awareness from the oil palm industry of biodiversity conservation through
the work of NGOs and in particular through the establishment of the Roundtable for Sustainable Palm Oil
(RSPO). However, it is also clear that there must be economic incentives in order for plantation managers to
remain engaged in conservation. The final part of this research has looked at willingness to pay by UK
consumers. This involved an online questionnaire in the form of a choice experiment, attitudinal variables
and demographic questions. A conditional logit model was used to analyze the choice experiment data. We
found that consumers were willing to pay significant premiums for certified palm oil products particularly if
the product claimed to enhance wildlife.
Spillover from rainforest contributes to species diversity in adjacent oil palm plantations
Jennifer Lucey and Jane Hill, University of York, UK
Email: [email protected]
Conversion of natural forest to oil palm plantations is a major threat to biodiversity in SE Asia. The retention
of natural forest habitats within plantations has been proposed as a method to reduce biodiversity losses in
agricultural areas, and we examined whether forest areas resulted in spillover of species into adjacent oil
palm plantations. Ants and butterflies were sampled along two 2-km transects across an ecotone from
plantation into adjacent forest in Sabah, Malaysian Borneo.
Species richness of both taxa was reduced in plantations, but to a greater extent in butterflies (54%
reduction) than in ants (25% reduction). Butterfly diversity in plantations increased with increasing proximity
to forest, implying a spillover effect. By contrast, ants showed no spillover effects and were less sensitive to
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
land-use changes, with 40% of ant species occurring commonly in both forest and oil palm habitats but only
12% of butterflies. Our results for butterflies suggest that despite the negative impacts of plantations on
diversity, proximity to forest could improve diversity in adjacent plantations for some taxa.
Patches of natural forest are often retained within plantations in areas unsuitable for growing oil palm, and
these patches may not only increase diversity but may also facilitate dispersal of species by increasing
landscape connectivity within plantations.
GreenPalm - driving sustainable palm production
Bob Norman, GreenPalm http://www.greenpalm.org/
Email: [email protected]
In 2010 world production of palm oil stood at 46m tonnes, in 1976 it stood at 3.5m tonnes. With a huge
global population increase, the need to drive economic growth and development, palm oil has found itself as
the number one global edible oil due to its numerous advantages. This huge growth has caused
environmental issues to the major palm producing countries of Malaysia and Indonesia.
To tackle the rising demand for palm oil, a multi-stakeholder group ‗Roundtable on Sustainable Palm Oil‗
was formed to tackle the growing sustainability issues. In 2005 the principles and criteria were launched and
in August 2008 the first palm producer received RSPO certification.
GreenPalm successfully launched in September 2008. The unique Book&Claim system, an RSPOapproved supply-chain option, tackles the issues of the global palm supply chain, which puts major
challenges on companies in switching to physical sustainable palm. RSPO approved producers can register
their sustainable output through GreenPalm with 1 tonne of palm oil or palm kernel representing 1
GreenPalm certificate. Certificates are then placed on the GreenPalm trading platform with product
manufacturers that use palm in their products being able to join the programme and place bids on
certificates equal to the amount of palm oil they use—directly supporting their usage in a sustainable manner
with RSPO producers being rewarded for their sustainable output.
Since its launch 1.7m GreenPalm certificates have been traded with $13m in rewards to RSPO producers,
with a membership of over 250 companies. The number of companies involved in the initiative is increases
every week
ZSL’s Biodiversity & Oil Palm Project, Indonesia: Increasing the effectiveness of the RSPO
Biodiversity Principles and Criteria
Sophie Persey, Biodiversity & Oil Palm Project Manager, Zoological Society of London, Indonesia
Email: [email protected]
Mitigating the significant negative environmental impacts of palm oil production is an urgent challenge for
biodiversity conservation in Indonesia. Currently, the key mechanism in place to achieve this is the multistakeholder Roundtable on Sustainable Palm Oil (RSPO). The RSPO was established in 2004 and has
since developed a set of Principles and Criteria, which define a standard for ‗sustainable‘ palm oil production
and against which producers can be certified. The key provision within the RSPO P&C to mitigate impacts
on biodiversity is the requirement to identify, maintain and enhance High Conservation Values (HCVs) that
remain within established plantations (P&C 5.2) and areas allocated for new development (P&C 7.3). Whilst
good in theory, putting this into practice remains extremely challenging. In effort to overcome this ZSL is
working with palm oil producers and HCV consultants to develop practical tools and guidance to assist
practitioners to implement this standard more effectively. We are also working with the Wildlife Conservation
Society (WCS) to identify and address key policy related barriers that currently hinder effective
implementation of this standard. This two year project (October 2009 – September 2011) is funded by the
Biodiversity and Agricultural Commodities Programme, with match funding from the palm oil company
Wilmar International.
For further information, please contact: Publications and Meetings, ZSL, Regent‘s Park, London NW1 4RY, UK; [email protected]
SUSTAINABLE PALM OIL: CHALLENGES, A COMMON VISION AND THE WAY FORWARD
AN INTERNATIONAL SYMPOSIUM HELD AT ZSL ON 5 AND 6 MAY 2011
ABSTRACTS
Converting tropical forest to oil palm: a systematic review of changes in functional biodiversity
Michael J. M. Senior, University of York, UK
Email: [email protected]
Oil palm agriculture is the main current driver of deforestation in South East Asia, and has well documented
negative impacts on biodiversity. A number of recent review papers have shown that conversion of tropical
forest to oil palm reduces species richness and alters species composition, but none have quantified the
functional impacts of this land-use change.
To address this we conducted a systematic literature review of the functional impacts of converting forest to
oil palm. We focussed on birds, ants and beetles, three functionally important and reasonably well-studied
groups. Individual species data from eight datasets were extracted either from the papers or by contacting
authors. Species were classified to feeding guilds and we analysed these datasets to synthesise changes in
species richness and abundance of taxa in relation to feeding guild. Eight data sets were selected, and a
total of 484 taxa (inc. species for ants and birds and subfamilies for beetles) were used in abundance
analyses. As expected all taxa in the study decline significantly in abundance and richness in oil palm.
However, there was little difference in the sensitivity of different feeding guilds. This similar sensitivity of
different feeding guilds could suggest that there is little change in functioning in oil palm; however, declining
individual species abundances could have adverse effects on functioning. This emphasises the need for
further work to measure rates of ecosystem functioning in oil palm and to understand the mechanisms
behind species contributions to ecosystem functioning in oil palm.
Impacts of forest fragmentation on the genetic diversity and population structure of Pachycondyla
obscurans in Sabah, Malaysian Borneo
N. Tawatao1, Neil E. Harper1, Maryati Mohamed2, Chey V. Khen3, Jeremy B. Searle1,4 & Jane K. Hill1
1
Department of Biology, University of York, UK; 2Universiti Tun Hussein Onn Malaysia, Johor, Malaysia;
3
Sabah Forestry Department Forest Research Centre, Sabah, Malaysia; 4Department of Ecology and
Evolutionary Biology, Cornell University, USA
Email: [email protected]
The impact of forest fragmentation on genetic diversity of Pachycondyla obscurans, a predatory forestspecialist ant species, was investigated in six forest locations using Amplified Fragment Length
Polymorphism (AFLP) fingerprinting. There was little difference in genetic diversity between three large
forest locations (two locations in continuous forest, plus one 120,000 ha fragment) and three small forest
fragments (151–320 ha). Populations from two locations ~60 km apart in continuous forest showed little
genetic differentiation, but genetic differences between all other locations (35–164 km apart), which are
separated by oil palm plantations, were much greater. There was no significant relationship between
geographical distance and genetic distance (pairwise FST values) between locations. Overall, we conclude
that the genetic diversity of P. obscurans has not been affected by habitat fragmentation over the past 50
years, but locations separated by forest were more genetically similar than those separated by oil palm
plantation. This implies that an inhospitable intervening matrix may prevent ant dispersal, and may result in
genetic erosion of insect populations in the longer term.
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