Sukanto Tanoto and Asian Agri: Commitment for Environment

As the owner of RGE Group, Sukanto Tanoto emphasizes the importance of preserving the environment for the next generation. Since his companies operate mostly in natural resource utilization, he maintains that all of the companies under RGE Group, such as Asian Agri, APRIL, RAPP, Pacific Oil & Gas, Apical Group Ltd, and Sateri Holdings Limited operate by taking environmental sustainability into account. This is evident in the way the companies operate, make use of the natural resources in a sustainable way, and educate the local community on how to maintain the environment.

Asian Agri Commits to Oil Palm Legality in Its Operation

Asian Agri – one of RGE Group companies established by Sukanto Tanoto – proves its commitment for environmental sustainability by signing the Indonesia Palm Oil Pledge (IPOP) in September 2014. This is a manifestation of its commitment for sustainable oil palm production in Indonesia by protecting the ecosystem and empowering the surrounding communities. With this certificate, the company commits to promote green business practice. The signing of IPOP was conducted along with two other palm oil producing companies.

As stated by the Chairman of Asian Agri, Joseph Oetomo, this collaboration is essential as a joint effort to produce palm oil in a sustainable way and an effort to improve the living standard of surrounding community. To achieve this target, the company also designs many programs to improve the farmers’ productivity and, eventually, to eliminate poverty from this country.

Asian Agri only receives certified oil palm

As a part of its commitment for sustainability and legality, the RGE Group company has announced that it would refuse oil palm from illegal plantation areas in its supply chain. This aims at minimizing the risk of illegal encroachment and utilization of protected forests by the surrounding communities. This way, the independent farmers and oil palm supplies are required to include legality document with the fresh fruits they send to Asian Agri.

In line with this policy, the company has also terminated partnership with illegal suppliers. This is a corrective action for the existing suppliers. They would be given a chance to correct their operation and get certification; otherwise, the partnership will be discontinued. This policy has been in effect since April this year.

Actually, company has aggressively socialized the importance of legality for both the plantation land and the fresh fruit bunches since 2011. As stated by Sukanto Tanoto, the founder of RGE Group and Tanoto Foundation, which is involved in the corporate social responsibility (CSR) programs, all of RGE companies must comply with the same principle, and this is proved from a number of certifications, which the companies have, including ISO 9011, ISO 14001, as well as Roundtable on Sustainable Palm Oil (RSPO).