Palmoil.io Newsletter - May 2024

Palmoil.io has introduced several updates and new features, a plot check update and a website redesign. We have a new webinar coming up, don't forget to register for that! We also dive into Article 11 of the EUDR, read all about it!

What’s new?

Plot Check Update

We assign EUDR ratings to each plot, using a 6 tier rating system. We start by checking for EU forest, then we look for deforestation alerts and verify them with satellite imagery. Finally we verify that the plot has not been converted. One way PIO is different from other services is that we review very-high resolution satellite images and verify whether or not oil palm has been planted on forest cleared after December 2020. A plot is deforestation-free under the EUDR until the land use is converted from forest to oil palm. EUDR ratings are currently only available to our EUDR customers, so if you would like to get started, click here

Palmoil.io New Website

We have a fresh look with a new website and an upcoming Palmoil.io version 2.0 with a focus on EUDR tools and on enhancing user experience. We have new simplified subscription tiers for EUDR, with one tier for those interested in risk assessment, and one for EU operators who need due diligence reports. It also has a new summary of our EUDR features, which you can check here.

Leo's thoughts on SPOD 2024

Last Wednesday (May 22), Leo attended the Sustainable Palm Oil Dialogue or SPOD in Brussels. Organized by IDH, RSPO, and APAC, and Fediol, SPOD is an annual meeting of primarily European companies to discuss priority sustainability topics. This year’s theme was somewhat incongruously called “inclusive pathways for climate-smart solutions”. Incongruous because really the only theme anyone seemed to be talking about on both the panels and in the coffee breaks was the EUDR.

Perhaps wisely, SPOD held the one EUDR session until the end. With the Director Sustainability for AAK, Caroline Westerik-Sikking, OFI's Head of Cocoa Sustainability, Andrew Brooks, Antonius A. Budiman, Indonesian Ambassador to the EU, and the Astrid Ladefoged, Head of Unit for Planetary Common Goods, Universal Values & Environmental Security, at the European Commission. Let's just say it was a frank discussion. Mr. Budiman listed the Indonesian government’s many EUDR grievances - discriminatory towards smallholders, developing countries, and protectionist.

Ms. Lagefoged was having none of it. She pointed out that many smallholder associations were supportive of the regulation, European and US soy and timber producers are also subject to the law, and wide-ranging support has been offered to Indonesia and other emerging countries who need to prepare. Ms Lagefoged, however, did concede that there had been a technical hiccups with the EU's due diligence pilot and assured the audience that these would be resolved quickly.

The impact of smallholders was a recurring theme across the SPOD. In an earlier session, an executive from a major FMCG, called out the upstream industry using smallholders as a cudgel to criticize the EUDR. He pointed out that the historical relationship between industrial palm companies and smallholders has hardly been a cordial one and the industry needed to accept some responsibility for the lack of traceability information available for smallholders who supply 40% of overall palm oil volumes.

Leo felt that there is a grudging acceptance that EUDR will not be delayed, as well as acknowledgment from the EU needs to step up its preparations - chiefly its own compliance system. He noted that practically every major producer was planning a segregated supply chain for the EU but also was not convinced that this was going to be feasible for Palm Kernel Oil supply chains or without sourcing from smallholders. Because of this likely reality, Palmoil.io has been preparing accordingly.

What’s coming up?

Palmoil.io EUDR Webinar 2.0 

We are pleased to announce a special Palmoil.io EUDR Webinar 2.0 coming up this June 5th at 19:00 WIB / 08:00 EST / 14:00 CET, feel free to register here. This time we will be talking about the latest updates and newest features that Palmoil.io is bringing to help you with all things EUDR. During this webinar, we will walk you through Palmoil.io's new EUDR enhanced analytical and traceability tools such as EUDR risk ratings for plots and mills.

You will also get a sneak preview of our new EUDR Risk Insight reports which document risks including cases of palm conversion - a potential violation of the EUDR. Don't miss this opportunity to learn how Palmoil.io can help you prepare for regulatory requirements and demonstrate your commitment to responsible sourcing.

Tip of the month

EUDR filter tags on news

If you haven’t noticed we have a new addition to the news section of Palmoil.io, EUDR filter tags. This allows our subscribers to easily filter through news articles specifically related to the EU Deforestation Regulation. With the increasing importance of sustainable practices in the palm oil industry, staying informed on the latest developments in regulations is crucial. By utilizing the EUDR filter tags, you can quickly access relevant news and stay up to date on how these regulations may impact your business. We are committed to providing you with the most relevant and timely information, and this new feature is just one example of how we are continuously improving our platform to better serve our subscribers.

Understanding the EUDR

Under Article 11 of the EUDR, companies must undertake additional risk mitigation measures including collecting additional data, and performing independent audits. From our perspective, here are some additional measures that you can start on today:

• Track risk levels, not just compliance, for the entire supply chain. This can also be done by region and jurisdiction.
• Compare supplier traceability data with independent datasets, like Palmoil.io’s plots and supply chain data.
• Track supplemental data at the plot level like RSPO, MSPO, and ISPO reports that often include additional information on supply chains, estate coordinates and boundaries.
• Ensure that data outputs are stored in standard formats and available to provide to competent authorities if they are requested

Last week to apply to work with us!

We are closing our job postings at the end of this week, so you would like to work with us as a Data Specialist or Data Analyst, please apply here.