The inclusion of smallholders in a sustainable supply chain represents a significant challenge for which Wilmar recognises it will need assistance. Wilmar will identify partner organisations and develop programmes aimed at facilitating the inclusion of smallholders into its sustainable supply chain.
In April 2014, we signed a Memorandum of Understanding (MoU) with Wild Asia, a Malaysian social enterprise to help independent smallholders towards RSPO certification. This is a five-year programme to start up a series of smallholder certification schemes to help increase the volume of RSPO-certified sustainable products from independent producers to the market.
Another important partner on this smallholder certification programme is The Sustainable Trade Initiative (IDH). IDH, based out of the Netherlands, is a public investor in supply chain sustainability programmes in critical commodity sectors, such as cocoa,
coffee, timber, soy and now palm oil. They will help fund this project. If successful, IDH will support scaling up the scope of the project to enrol more independent smallholders into this sustainability programme.
More information about Wild Asia’s smallholder programme – Wild Asia Group Scheme (WAGS) can be found here
We are exploring similar project opportunities in Indonesia.
Honduras is the third largest palm oil producer in Latin America and an important palm oil supplier to Europe. In particular, smallholders play an important role in the country’s total palm oil production; they made up close to more than 40% of total oil palm planted area in Honduras. In this regard, Wilmar and The Industrial Association of Palm Oil Producers in Honduras (AIPAH) have established an alliance to help strengthen good agricultural and environmental practices of palm oil smallholders.
The WISSH Programme (Wilmar Smallholders Support in Honduras) was therefore created with the aim to enhance smallholder’s knowledge and technical capacity on best agricultural management practices that incorporates principles of environmental stewardship which will eventually lead to improved crop yields and income of smallholders.
More information on the WISSH Programme below: