watermark-light

Grievance Procedure

 

How it works

This Grievance Procedure has been established for Wilmar to address grievances from parties, including individuals, government organizations and non-governmental organizations concerning the implementation of Wilmar’s No Deforestation, No Peat, No Exploitation (NDPE) Policy. We recognise that providing this feedback mechanism for stakeholders is important because it helps in the monitoring of compliance with Wilmar’s NDPE policy throughout our operations and supply chain.

The Grievance Procedure also promotes transparency and accountability, through disclosure of our full list of grievances, with updates on our actions to address them. 

Submit Grievance

Grievances can be submitted through any of the following channels:

By email to
grievance_procedure@wilmar.com.sg

By telephone to
+60 3 2119 9000

By fax to
+60 3 2026 2142

By messaging the following local mobile numbers via SMS or WhatsApp
Malaysia: +60 1 3551 6930 
Indonesia: +62 812 1378 7839 
These hotlines are available during and outside office hours

In writing to
Wilmar Trading Pte Ltd 
28 Biopolis Road 
Singapore 138568
Attention: Sustainability Department (Grievance Coordinator)

Ineligible Grievance List

As per Wilmar Grievance Procedure, we investigate all cases which are received. Based on the evidence received to date, the cases listed here are those that are classified as ineligible grievances and will not be further investigated. 

Updated: April 2024

XX grievances found

Company Received Grievance Report Stakeholders Subject Matter and Progress Progress Update
Runding Putra Persada 2022091919 Sep 2022 Report can be found here. Rainforest Action Network (RAN) Status: Case closed

Non-compliant palm products from Mr. Mahmudin, a smallholder operating in the Rawa Singkil Wildlife Reserve (RSWR) area allegedly enter Wilmar’s supply chain through its supplier, PT Runding Putra Persada (PT RPP) via a Fresh Fruit Bunch (FFB) dealer CV Buana Indah (CV BI).

Non-compliant palm products from Mr. Mahmudin, a smallholder operating in the Rawa Singkil Wildlife Reserve (RSWR) area allegedly entered Wilmar’s supply chain through its supplier, PT Runding Putra Persada (PT RPP) via a Fresh Fruit Bunch (FFB) dealer CV Buana Indah (CV BI).

Wilmar does not source from CV BI. However, our supplier, PT RPP was allegedly sourcing from CV BI. Wilmar immediately initiated engagement with PT RPP when allegations of their non-compliant sourcing within RSWR was brought to our attention in September 2022.  According to the report, Mr. Mahmudin was operating illegally within RSWR and was supplying to PT RPP via CV BI. 

On 31 October 2022, RAN published additional information on the case titled “Major Indonesian Palm Oil Suppliers Falsely Deny Sourcing Illegal Palm Oil” on the issue linked to Mr. Mahmudin’s farm that allegedly extends beyond the boundary of the RSWR. 

A series of meeting and engagement with PT RPP was carried out thereafter. A field verification from 7 to 15 November 2022 has been carried out to verify the allegation and to support the development of an action plan to address the issues identified. The field visit concluded that Mr Mahmudin has a certificate of ownership (SHM) covering an area of 29 hectares. However, he has further claimed ownership of additional 4 hectares within RSWR which has not yet been allocated SHM. In addition, Mr Mahmudin’s FFB collection point also lacks adequate traceability mechanism to map the FFB that are sourced from the local community farms around Mr Mahmudin's farm. It has been confirmed that CV BI is indeed PT RPP’s supplier, which they have started sourcing since April 2022.

The outcome of the investigation and the action plan were discussed with RAN on 1 December 2022. The final field verification report has also been shared with RAN on 21 December 2022.

In March 2023, a verification field visit was undertaken to assess the progress of the action plan.  It was found that PT RPP has made improvements to the traceability system but the supply chain data collection at CV BI and the handover of 4 hectares of Mr. Mahmudin's land inside RSWR were progressing slower than expected. In order to accelerate progress to meet the action plan targets by June 2023, further assistance will be extended to PT RPP on its traceability programme and our team will engage with Mr. Mahmudin and CV BI in May 2023.  The full report is available here.  

In May 2023, a follow up field visit was carried out.  PT RPP has achieved 94% Traceability to Plantation (TtP) and its staff have been trained on the traceability system.  After a delayed start on the traceability mapping process due to unforeseen circumstances, Koltiva began the traceability work on CV BI’s and Mr Mahmudin’s suppliers in March and May 2023 respectively. Thus, Koltiva has revised timeline for 100% TtP to September 2023. During this visit, the field team also discussed with Mr. Mahmudin on the progress of the land release of the 4 hectares. 

In early June 2023, our team met with Balai Konservasi & Sumber Daya Alam, BKSDA (Agency of Conservation and Natural Resources) as the authority for management and monitoring of RSWR, and Balai Pemantapan Kawasan Hutan, BPKH (Agency of Forest Area Consolidation Center) as the authority for boundary marking of RSWR, with the aim to understand the management and monitoring of RSWR, and process of releasing land occupied by community within the RSWR. 

In June 2023, another follow up field visit was carried out.  Mr. Mahmudin was not available to meet with field team during this field visit.  The field team was later informed that Mr. Mahmudin was not willing to sign the commitment letter to release the 4 hectares. Consequently, PT RPP and CV BI have issued a statement on 13 July 2023 to exclude Mr. Mahmudin from their supply chain. With this latest development, Wilmar has also included Mr. Mahmudin on its list of “high risk” FFB supplier, where all Wilmar direct suppliers operating within the 50km radius of the Leuser Ecosystem will be notified on the development of this case. Mr. Mahmudin’s FFB will only be allowed to enter their supply chain when the case is resolved to our satisfaction. 

A verification visit was carried out in October 2023 to assess PT RPP and CV BI’s progress in achieving 100% traceability.  The documents and traceability data provided by PT RPP and CV BI, developed with support from Koltiva, showed that the 100% TtP has been achieved.  The traceability data also indicated that neither PT RPP nor CV BI has sourced FFB from Mr. Mahmudin since 13 July 2023, when both PT RPP and CV BI issued a statement to exclude Mr. Mahmudin from their supply chain. In addition, PT. RPP has also carried out an evaluation of all CV BI suppliers to ensure that all FFB supply is sourced from outside of the RSWR. 

Considering that PT. RPP has completed the required activities as per the agreed action plan, the case on PT. RPP can be considered resolved. The summary of the outcome of the investigation and key milestone are available in this Joint Closing Statement.  


AA Sawit, a company allegedly linked to our supplier Jernih Kemboja. 2022072626 Jul 2022 Report can be found here. Mighty Earth Status: Case closed

Alleged deforestation by AA Sawit, a company allegedly linked to our supplier Jernih Kemboja.

AA Sawit is not a supplier to Wilmar. Our supplier, Jernih Kemboja, however is implicated due to their association with AA Sawit.  

Wilmar immediately initiated engagement with Jernih Kemboja when allegations of deforestation at PTD 4882, 4085, 4963, 4118, 4177 and 4121  by AA Sawit was brought to our attention in July 2022. A field investigation was carried in August 2022 to verify the allegations. Our field investigation as well as LUCA analysis on their concession maps thereafter has confirmed that there is non-compliance to the No Deforestation commitment to the NDPE Policy.

Wilmar’s last purchase from this supplier was in September 2022.

As of October 2023, Jernih Kemboja has met all the requirements stipulated in our re-entry criteria. This includes their commitment to the development of a Recovery Plan for Non-Compliant Land Clearing to the NDPE policy at group level, for activity that has taken place from January 2016 onwards. Based on the detailed review of documentation, reports and a letter of commitment from Jernih Kemboja, the Wilmar Suspension Committee has given due consideration of this progress and lifted the suspension of Jernih Kemboja in October 2023. 

Dewa Rencana Perangin Angin 2022012424 Jan 2022 Report can be found here Wilmar Status: Case closed

Alleged labour rights violation in PT Dewa Rencana Perangin Angin’s (PT DRPA) operation.
Wilmar immediately reached out to Dewa Rencana Perangin Angin (PT DRPA) in January 2022 for clarification when the allegation of forced labour in PT DRPA was brought to our attention. However, despite several engagement attempts made since January 2022, we were unable to establish engagement with PT DRPA. We have therefore ceased sourcing from PT DRPA since January 2022.
Gilford Ltd, a subsidiary of Rimbunan Hijau (PNG) Group 2021100707 Oct 2021 Report can be found here  Global Witness Status: Case in progress

Alleged deforestation, land rights and labour rights violations by Gilford Ltd, a subsidiary of Rimbunan Hijau (RH).
In July 2021, a letter was sent to Wilmar’s customers from the NGO Global Witness (GW), alleging environmental and social non-compliance incidents by Rimbunan Hijau (RH). A summary of the allegations in the letter were as follows:
  • Environmental degradation and deforestation activities;
  • Violence and harassment against community members, through local police;
  • Lack of Free, Prior, Informed Consent (FPIC) prior to development of land;
  • Decent accommodation and facility for employees living in company housing; and
  • Workers’ health and safety.
Wilmar immediately reached out to RH for clarification on the issues raised by GW, and has been actively engaging with the company since. RH has rebutted the allegations and provided us with all relevant documents which include:
  • A field visit report by an independent consultant;
  • Evidence of engagements between RH and GW since 2017;
  • Landowner consent forms to ascertain FPIC and identify cultural sites that require protection;
  • Voluntarily written statements by a landowner, contents of which were further corroborated by a statement given by a local ward councillor;
  • Correspondence between Gilford Ltd and the Royal Papua New Guinea (PNG) Constabulary;
  • Board meeting minutes by landowner companies; and
  • A mediated agreement between Gilford Ltd and a landowner company issued by the PNG National Court.
The extensive supporting documents shared by RH has generally clarified the issues raised in GW’s letter, except on the matter of Personal Protective Equipment (PPE) provision to its workers, which still warrants further investigation and engagement with RH in order to close the issue.

On the allegation of lack of FPIC, RH has reaffirmed that landowners’ consent (i.e. FPIC) is a legally stipulated requirement in PNG to obtain a Special Agricultural Business Lease (SABL), which they are in adherence to. Further to this, a voluntary statement by one of the landowners which was shared with us has also indicated that FPIC was in order, prior to land development. With regards to the allegation of violence and harassment, RH informed us that any reported police presence was sanctioned by the Royal PNG Constabulary and that no malpractice was proven, following investigations by high-level authorities, including the Ombudsman Commission.

On the allegation of deforestation and environmental issues, RH has clarified that their operational planning and execution are compliant with all legal requirements. In fact, such compliance was monitored by the PNG Forest Authority Project Supervisor onsite, to ensure protection of all culturally important sites, and other specific protected areas such as buffer zones along rivers and streams; village reserves; conservation zones for fauna and flora; as well as sites of historical importance such as old village sites and caves. Since project commencement, they have not received any specific complaints from any affected landowners, ward councillors, village court officials, or any government officials on environmental matters. In addition, it is also important to note that Wilmar has engaged with Gilford Ltd since 2018 on their compliance to NDPE, where Gilford has committed to carrying out HCV-HCS assessments prior to any new land clearing. A moratorium on new land clearing has been imposed since 2018. For more information related to this case, please refer to Wilmar’s Grievance List, the case registered in 2018 under Gilford Ltd.

On the matter of PPE provision, Wilmar will be working closely with RH to ensure that their practices are fully aligned with our NDPE Policy. This includes improvements to their PPE Policy and socialisation of the policy to all levels of management and operations, with effective on-the-ground implementation.

On 7 October 2021, GW released a public report titled ’The True Price of Palm Oil’. The allegations on RH in this report are largely similar to the letter that was sent to Wilmar’s customers in July 2021. The Report however contains additional information related to RH’s health and safety practices.

Wilmar continues to monitor and investigate the remaining issues related to worker PPE Provision and RH’s safety and health practices, and will guide RH towards resolution of this case.
IOI Corporation Berhad (IOI) 2021063030 Jun 2021 Report can be found here Finnwatch Status: Case closed

Alleged labour rights violations at IOI’s Mekassar Estate, Pahang, Malaysia 

Wilmar immediately initiated engagement with IOI when the allegations were brought to our attention in June 2021. Full details of this case is available on IOI’s grievance list.

We understand that Finnwatch has engaged with IOI since August 2020, where they have informed IOI of several allegations highlighted by a grievance raiser on behalf of five workers, consisting of:

On 2 June 2023, RSPO Complaint Panel who investigated the case has dismissed the case.

For more information on RSPO’s deliberation, please refer to the case tracker

  1. Mistreatment from the estate’s supervisor
  2. Inconsistency in issuance of Personal Protective Equipment (PPE)
  3. Not allowing workers to speak to auditors
  4. Dissatisfaction regarding housing facilities
  5. Disagreement in wage payments
  6. Alleged payment of recruitment fees

Following this, IOI immediately formed an internal investigation team to address the allegations.

On 11 September 2020, IOI updated Finnwatch on the matter of mistreatment, issuance of PPE and the worker being disallowed from speaking to auditors. In the update, IOI included explanations on the regular issuance of PPEs, and that in IOI, there was no restriction placed on auditors with regards to who they choose to interview during audits. IOI also disputed the allegation that workers were not allowed to speak with auditors. IOI further acknowledged that there was an incident of mistreatment of a worker by an estate employee and clarified that action had been taken by IOI management against the employee in question.  

On 14 October 2020, IOI provided supporting documents, photos and videos from its internal investigations to Finnwatch on the issue of wage disagreement, and dissatisfaction regarding housing facilities.

On 13 November 2020, IOI informed Finnwatch that on the issue of illegal payments made during recruitment by the aggrieved workers, IOI had made several attempts to contact the person involved but was not successful.

On 16 December 2020, IOI presented its “Guideline for Providing Basic Amenities to Workers” which ensures uniform implementation of amenities provided to all estate workers, and a guideline on “Worker’s Work Verification”, which enables workers to verify their working hours. IOI also shared updates with Finnwatch on progress made with regards to workers’ repatriation back to India. On the issue of recruitment fee, IOI provided reassurance to Finnwatch that investigations were ongoing on the matter, in line with IOI’s No Recruitment Fee policy.

On 23 February 2021, IOI informed Finnwatch that it had no way of confirming transactions that had occurred in India relating to recruitment fees. In response to the issue however, IOI suspended the recruitment agency involved as well as recruitment of workers from India, and added that it would be reporting the findings to authorities in India for further formal investigation.

On 28 June 2021, IOI reiterated that the issue of illegal monies collected from workers in India for recruitment was beyond their jurisdiction and would require cooperation from the Indian government.

On 2 July 2021, IOI published a Statement in Response to Finnwatch’s Report addressing the allegations. In the Statement, IOI also reaffirmed commitment to its “No Recruitment Fees Policy” since 2017, highlighted its “Guideline for Minimum Wage & Leave Pay” and “Worker’s Work Verification Guideline”, and mentioned that it will be undergoing an audit on its plantation operating units to ascertain non-compliance with its labour policies or unsatisfactory working conditions. 

On 21 July 2021, IOI published an update on its first virtual Sustainability Consultation Forum. IOI engaged BSR (Business for Social Responsibility) to develop and facilitate the Forum, which was held in May 2021 and attended by 40 of IOI’s internal and external stakeholders. Discussions at the Forum were centred around efforts to address current labour challenges faced by IOI and the Malaysian palm oil sector, with a specific focus on Responsible Recruitment Practices especially in Peninsular Malaysia and legalisation of undocumented workers in Sabah. An Executive Summary of the Forum can be found here.

On 13 January 2022, IOI published a further update on outcomes and action plans arising from the Forum, which includes active engagement with relevant stakeholders such as RSPO and ILO to develop solutions for responsible recruitment practices, and the setting up of a working group to discuss approaches to legalise undocumented workers in Sabah. Further details are available here.

On 2 June 2023, the RSPO Complaints Panel concluded its investigation into the allegations and dismissed the case.  For more information on RSPO Complaints Panel's deliberation, please refer to the case tracker

Mitra Abadimas Sejahtera, subsidiary of Chora Agro Resources 2021060202 Jun 2021 Report can be found here Lembaga Bentang Alam Hijau (LemBAH) Status: Case closed

Alleged land rights, labour rights violations and environmental pollution by PT Mitra Abadimas Sejahtera (PT MAS), a subsidiary of Chora Agro Resources
Wilmar immediately reached out to PT Mitra Abadimas Sejahtera (PT MAS) to seek clarification on the allegation, and held its first meeting with the supplier on 14 June 2021. We were informed that PT MAS is currently under management takeover. The takeover process has hampered the investigation of the case due to changes in management during the interim period, where the company will take more time to conduct the investigations and compile relevant documentation to be shared with Wilmar.

Following ongoing engagements, PT MAS has refuted the allegations and provided clarification to Wilmar on all the issues raised by LemBAH. Wilmar has reviewed PT MAS' response and shared the outcome of our review with the grievance raiser in December 2021. We have also proposed a meeting with the grievance raiser for further discussion on the case. The grievance raiser did not provide further comments to PT MAS’ response.

In June 2022, Wilmar carried out a field visit to PT MAS to investigate the allegations. The grievance team conducted document review, as well as interviews with PT MAS and surrounding communities to verify the allegations. The outcome of the field investigation corroborated the clarifications provided to Wilmar.

In general, PT MAS is operating legally as they have already obtained all legal permits, including location permit, plantation business permit (IUP) and land use permit (Hak Guna Usaha, HGU). They have also fulfilled their plasma obligations as well as provided compensation for land acquisition to the previous landowner.  It is important to note that there are no community settlements, buildings, graves and community houses within the boundaries of PT MAS’s IUP and HGU. On the matter of labour conditions, majority of workers are from local communities of Subah sub-district and they appeared to have good relationship with PT MAS. PT MAS has also provided documentation proof that their workers welfare is protected, including insurance coverage.
Putra Lirik Domas, a subsidiary of KPN Corporation 2021060202 Jun 2021 Report can be found here  Lembaga Bentang Alam Hijau (LemBAH) Status: Case closed

Alleged land rights, labour rights violations and environmental pollution by PT Putra Lirik Domas, a subsidiary of KPN Corporation
Wilmar immediately initiated engagement with KPN when the allegation was brought to our attention in June 2021. KPN has since published an initial response on the case, clarifying their investigation approach and action plans in resolving the issues highlighted. We understand that PT Putra Lirik Domas (PT PLD) has initiated site verification on 4 June 2021 and identified that the community facilities are within their land use permit (HGU) of PT PLD, in which PT PLD will apply for a permit change of the area with Badan Pertanahan Nasional (BPN), the national land agency. On 2 July 2021, PT PLD engaged directly with LemBAH for further discussion of the case. On 14 October 2021, PT PLD met with LemBAH, AMAN Bengsibas and representatives of the local communities, cooperative and the the local government to discuss the allegations raised and steps towards resolution of the issues identified.

To support the investigation of the case, PT PLD has  established an internal task force to look into the allegations and to develop resolutions to address the issues identified. The task force has subsequently developed an action plan to guide PT PLD in implementing corrective measures. During the investigation process, PT PLD has transparently shared all relevant documentations with us for our review, including copies SOPs for grievance handling, water test results, worker’s promotions and training programme, improvement of their environment, health and safety (EHS) practices. In addition, they have also shared with us activities related to plasma programme and engagement with government related to HGU revision.

Wilmar continues to engage with PT PLD and monitor the implementation of the remaining action plan, which is primarily related to the revision of the HGU.  

Niah Palm Oil Mill, owned by Sarawak Plantation Berhad  2021032525 Mar 2021 Report can be found here Anonymous Status: Case in progress

Alleged act of violence by the staff of Niah Palm Oil Mill (NPOM), owned by Sarawak Plantation Berhad (SPB), against a former employee for physically assaulting the company’s security guard.
The incident occurred on 7 February 2021, involving, Neileson Digat Anak Regi, a former employee of Niah Palm Oil Mill (NPOM), Sarawak Plantation Berhad (SPB).

Nieleson Digat Anak Regi used to work at NPOM as an apprentice mechanic but was dismissed in January 2021. His dismissal was related to several prior incidents. On 18 January 2021, NPOM management found Nieleson Digat Anak Regi, who was absent without leave from work, at staff quarters. During a discussion that ensued between both parties, Nieleson Digat Anak Regi threatened management staff with a knife. Through mutual agreement with management staff, Nieleson Digat Anak Regi went to the police station to turn himself in and a report was filed. In a separate incident, a regular urine screen test that was conducted earlier by the company for work compliance found Nieleson Digat Anak Regi had tested positive for Methamphetamine (syabu), an illegal narcotic. Nieleson Digat Anak Regi was dismissed from work thereafter.

Due to the COVID-19 pandemic, since 9 January 2021, NPOM was put under lockdown. SPB issued a memo to all staff on the lockdown of its estates and mills; the memo included a directive prohibiting all visitors from entering estate/ mill compounds.

On 7 February 2021, auxiliary police (AP) received a call from NPOM’s on-duty staff informing him that Nieleson Digat Anak Regi had entered staff quarters after a verbal confrontation and despite being informed that no visitors were allowed on the premises. Nieleson Digat Anak Regi at the time was wanting to visit his relatives that also worked at NPOM. Company staff who later intervened were able to convince him to leave; this action taken was in line with the memo issue by the company earlier. However, company staff later received a call that on his way out of NPOM premises, Nieleson Digat Anak Regi physically assaulted a guard. Company staff and AP rushed to the location of the call to find Nieleson Digat Anak Regi and the said guard engaged in a fight. AP and company staff intervened to break up the fight. Nieleson Digat Anak Regi was handed over to the police station and a report was filed against him. On the same day, he also lodged a police report claiming that he was beaten without reason, resulting in bodily pain.

Following this incident, local community members and Nieleson Digat Anak Regi’s grandfather imprisoned and beat up company security guards at the main entrance of a SPB estate on 9 February 2021. The said guards proceeded to lodge a police report on 10 February. In line with due processes, police investigations have been completed and the case will be deliberated in court. The date of the hearing has been fixed for 11 to 15 April 2022.

The police department, Polis Diraja Malaysia (PDRM) has issued a media release on the case. PDRM has also made several arrests and the cases are still under investigation. 

One of our stakeholders who requested for anonymity, officially lodged the case with Wilmar in March 2021.

During the course of investigation of this case, SPB shared extensive supporting documents with us, including a clear chronology of events, copies of police reports, as well as internal memos, policies and SOPs. They have provided sufficient clarification on the allegations highlighted in this case, and have committed to enhancing their Code of Ethics and developing procedures to strengthen their commitment to non-violence at the workplace, including detailed SOPs for their security personnel, with assistance from Wilmar. SBP will be translating these SOPs into local languages and has also committed to actively socialise their SOPs with all relevant personnel in the organisation. Following the incident, SBP has continued to engage with members of the surrounding community and maintains cordial relationships with them. 

Wilmar continues to monitor the issue and engage with SPB, to guide them in improving their practices.
Astra Agro Lestari 2021030202 Mar 2021 Report can be found here Procter & Gamble Status: Case in progress

Alleged land grabbing by the following companies, which are subsidiaries of PT Astra Agro Lestari (AAL):
I. PT Mamuang
II. PT Lestari Tani Telada (LTT)
III. PT Agro Nusa Abadi (ANA)

In October 2020, we received information from Procter & Gamble that WALHI Central Sulawesi submitted a complaint regarding land conflict at PT AAL’s subsidiaries; PT Mamuang, PT LTT and PT ANA.

The allegations are as follows:

  • PT Mamuang allegedly seized 50 ha of land belonging to local farmers. The company has criminalised farmers from Panca Mukti Village. One community member was wrongfully criminalised on three occasions, and imprisoned as a result.
  • PT LTT has allegedly seized approximately 100 ha from farmers in the villages of Rio Mukti and Tawiora. The company also implements an outsourcing system, mismatches working hours and fails to follow a wage system in accordance with Indonesian labour law, whereby the price of palm oil fruits produced by the farmers are determined by the company alone.
  • PT ANA has allegedly seized 5,000 ha of land belonging to farmers of Molino Village, Bungintimbe Village, Tompira Village and Bunta Village, and is operating without a land use permit (HGU). The company is alleged to have only location permits, thus being in violation of local laws concerning taxation and regional income.

Wilmar immediately reached out to PT AAL to investigate the above allegations, where AAL has clarified accordingly. In November 2020, Wilmar also held a meeting with AAL for further discussion on the matter.

  • PT Mamuang: PT AAL explained that since the 1990s, PT Mamuang has established and maintained a harmonious relationship with the surrounding community, especially because its existence has provided benefits to the community. Several media articles had also reported the positive relationship between PT Mamuang and the local community. News clippings available here and here.

With regards to the allegation of criminalisation, here is the summary of events that led to the arrest and imprisonment:

  • In 2006, a claim was made against PT Mamuang for ownership of 8 ha of land. Albeit PT Mamuang is the legal owner of the land, and have obtained legal operating permits, PT Mamuang’s management was still willing to engage with the complainant from 2006 to 2016 via negotiations and mediation processes with local authorities; their efforts however yielded little success.
  • Between 2017 to 2019, the complainant and his son allegedly engaged in activities that resulted in his son being convicted for criminal charges. As a result of this, he was imprisoned.

PT ALL reiterated that these were decisions made by legal authorities and the courts, with no influence from the company.

  • PT LTT: The alleged land grab of 100 ha from local farmers has not been verified and PT AAL has sought for further information from the complainant in order to investigate the allegation. PT LTT clarified that it does not use outsourcing mechanisms or individual outsourcing for its operational activities. Determination of the price of Fresh Fruit Bunch (FBB) at PT LTT is carried out in accordance to the Regulation of the Minister of Agriculture of the Republic of Indonesia, Number 01 / Permentan / Kb.120 / 1/2018. PT LTT added that it has not received complaints from its farmers or farmer group institutions regarding pricing.
  • PT ANA operates in accordance with all relevant legal permits. In the plantation development process, PT ANA always respects the rights of the community and ensures that each land tenure has gone through a process agreed upon with the community concerned.

Procter & Gamble (P&G) officially lodged the case with Wilmar in March 2021. P&G has played a pivotal role in our repeated attempts to engage with WALHI to better understand the details of the allegations raised. We understand that P&G are also working closely with the international non-profit and land rights advocacy organisation, Landesa. The purpose of this collaboration is to further strengthen P&G's grievance mechanism and resolution approach related to land rights cases, with a specific focus on ongoing concerns raised by WALHI in relation to PT AAL.

To accelerate progress, Landesa recommended an independent field verification to establish the facts on the ground. In March 2022 P&G commissioned and funded EcoNusantara (ENS), an independent advisory and consultancy expert to conduct field verification of the grievances submitted. The selection of ENS was made in consultation with and alignment of WALHI with local communities, PT AAL and Wilmar. ENS conducted the verification using an “open investigation” approach where every relevant party was informed in advance about the purpose of these activities. In addition to reviewing documents, in-depth interviews were conducted with key stakeholders, such as, WALHI National Executive and Sulawesi Central Regional Office, TUK Indonesia, PT AAL, the Sulawesi Plantation Department and Land Agency, Donggala District of Central Sulawesi Plantation Department and Land Agency and North Morowali District of Central Sulawesi Plantation Department. Direct face to face discussions were also held with community representative at six villages, including Panca Mukti, Tawiora, Bunta, Bungintimbe, Tompira, and Molino villages. All discussions were held in appropriate relevant local languages. ENS confirmed that all the stakeholders demonstrated goodwill, acted collaboratively during the interviews, and shared key information transparently in a way that is vital for the assessment and ultimate grievance resolution. ENS has transparently shared their findings in unilateral meetings with P&G, WALHI (held in Bahasa Indonesia), Wilmar and PT AAL. The final report was shared with Wilmar in September 2022. For more information on the outcome of the verification process commissioned by P&G, please refer to the executive summary report on the verification process prepared by P&G.

PT AAL on the other hand has engaged with the Conflict Resolution Unit (CRU) to evaluate their current human rights related practices. Incubated through the Indonesia Business Council for Sustainable Development (IBCSD) in 2015, CRU is a conflict resolution service agency that provides independent support for resolving conflicts in the management of agrarian and natural resources.

During the grievance investigation and verification process, we have closely engaged with all related parties, including PT AAL, P&G and ENS, where our last meeting was on 22 September 2022. PT AAL is committed to work towards the resolution of the case and more information related to their action plan will be provided in due course.

On  31 March 2023, PT AAL released their public statement on the appointment of ENS to carry out comprehensive independent verification on the issues raised.  The terms of reference (TOR) was finalised jointly with key stakeholders and supported by PT AAL’s sustainability consultant Robertsbridge Group. During the course of investigation, ENS will also open a complaint channel to capture issues raised by affected parties.  

On 12 May 2023, PT AAL published their progress update; where ENS will carry out the field assessment on the third week of May 2023 for initial set of interviews with community members, WALHI as the communities' advocate, and AAL related staff. On broader engagement level, ENS will be engaging with WALHI at local and national level, while Robertsbridge will be engaging with Friends of the Earth (US). 

ENS began the field verification process in late May 2023.  A kick off meeting between ENS and WALHI was scheduled; unfortunately, WALHI did not participate at the last minute.  Nonetheless, ENS commenced the field visits to affected communities of PT LTT, PT ANA, and PT Mamuang and the needs assessments in Toviora village, as planned.  By early June 2023, ENS had completed the field visits and the initial interviews with local government officials and community representatives, with the aim to identify locations of disputed land claims.

ENS conducted second phase of on-the-ground interviews starting from late June 2023 to verify findings from the initial interviews and to conduct further interviews with community members. The needs assessment with targeted communities at PT LTT was carried out with support from Tadulako University. 

ENS completed the field verification process by mid-August 2023 and commenced on the process of data analysis thereafter. 

In mid-September 2023, ENS highlighted that a government mediation process is taking place in two villages in the PT ANA area.  ENS will monitor the outcome of the mediation process to assess the implications for its reporting.  PT AAL, together with ENS, released the verification report on 27 November 2023.  The report has been shared to the stakeholders and PT AAL has released their response to stakeholders who have raised queries about the report.   

On 2 January 2024, PT AAL published its response on the alleged intimidation and coercive action by PT AAL security staff against community members in Rio Mukti Village, which was reported by WALHI and FoE on 8 December 2023.  PT AAL stated that it will carry out an internal fact-finding to gather all information related to the alleged coercion against two community members on signing a letter regarding land conflicts in PT. LTT.  The findings of the internal investigation was published in the statement released on 9 February 2024.  PT AAL clarified that the visit to the village by its CSR team was carried out at the invitation of the village head to discuss individual support measures for community members and to dispel rumours from unknown sources of criminalization, and that the visit was misconstrued as an act of intimidation.  

In the same statement released on 9 February 2024, PT AAL announced that it has re-appointed ENS to assist in developing an action plan to implement the recommendations of ENS’s independent verification of allegations raised by FoE in 2022. PT AAL will publish the finalized action plan and keep stakeholders updated with a monthly progress report. 

For more information related to the activities, please refer to the reports as follow:

In the meantime, Wilmar continues its engagement with PT AAL and all other relevant stakeholders in working towards resolution of the case.
Value Greenworld Sdn Bhd, a subsidiary of Bunga Group  2021011414 Jan 2021 Report can be found here Mighty Earth Status: Case closed

Alleged deforestation by Value Greenworld Sdn Bhd, a subsidiary of Bunga Group. 
Wilmar immediately initiated engagement with Bunga Group when allegations of deforestation at Value Greenworld was brought to our attention in January 2021.

We were informed by Bunga Group that they acquired Value Greenworld in late 2016, where the purchase agreement categorised the land as ‘shrubs’ and suitable for immediate planting. Due to this, Bunga Group proceeded with land clearing without conducting any HCV-HCS assessments. An immediate moratorium was imposed by Bunga Group on the Value Greenworld concession and all other plantations under Bunga Group in December 2020 when the non-compliance to NDPE was brought to Bunga Group’s attention prior to our engagement with them. Since then, Bunga Group has released their Sustainable Palm Oil Policy in January 2021. 

Based on the concession maps shared by Bunga Group with Wilmar, we have confirmed that the deforestation has indeed happened inside their concession area. As there was no HCS/HCV assessment conducted prior to land clearing, we considered this act of land clearing at Value Greenworld as non-compliant to our NDPE policy.  

Wilmar’s last purchase from this supplier was in March 2021

As of July 2021, Bunga Group has met all the requirements stipulated in our re-entry criteria. This includes their commitment to the development of a Recovery Plan for Non-Compliant Land Clearing to the NDPE policy at group level, for activity that has taken place from January 2016 onwards. Based on the detailed review of documentation, reports and a letter of commitment from Bunga Group, the Wilmar Suspension Committee has given due consideration of this progress and lifted the suspension of Bunga Group in July 2021. 
Teupin Lada, a subsidiary of Blang Ketumba 2020082020 Aug 2020 Report can be found here Rainforest Action Network (RAN) Status: Case closed

Non-compliant palm products from PT Indo Alam allegedly enter Wilmar’s supply chain through its supplier, PT Teupin Lada.
Wilmar does not source from PT Indo Alam. However, our supplier, PT Teupin Lada was allegedly sourcing from PT Indo Alam.

Prior to the publication of the RAN report on 20 August 2020 on the allegation of PT Teupin Lada’s sourcing of non-compliant palm products from PT Indo Alam, Wilmar has already initiated engagement with PT Teupin Lada since 18 August 2020 when we detected the issue through our Leuser Supplier Reporting Tool (LSRT) programme. In our meeting with PT Teupin Lada on 25 August 2020, the supplier has confirmed that they had started to procure from PT Indo Alam since Q1 2020, and they have already ceased sourcing from PT Indo Alam with immediate effect from 25 August 2020.
LKPP Corporation Sdn Bhd 2020080606 Aug 2020 Report can be found here and here Mighty Earth Status: Case closed

Alleged deforestation by PKPP Plantation Sdn Bhd, a company allegedly linked to our supplier LKPP Corporation Sdn Bhd

Wilmar and our supplier LKPP Corporation Sdn Bhd do not source from PKPP Plantation Sdn Bhd, the company that’s allegedly involved in deforestation.

Our supplier LKPP Corporation Sdn Bhd clarified that, PKPP Plantation Sdn Bhd is a different entity from LKPP Corporation Sdn Bhd.

Wilmar has therefore established direct engagement with PKPP Plantation Sdn Bhd to seek their clarification on the alleged deforestation. While the case is still undergoing investigation in verifying the allegation, PKPP Plantation Sdn Bhd has committed to cease any new clearing and published their NDPE commitment. In the meantime, PKPP Plantation Sdn Bhd has decided to reserve two lots of land from their landbank for potential recovery site, while continues to embark their conservation project to replanting rare wild jungle fruit trees and wild herbs trees in a secondary jungle area at Paya Bungor, Kuantan, in collaboration with local University, UiTM. The project with UiTM which involved 40 acres is still going and now entering Phase 2.

Wilmar’s last purchase from LKPP Corporation Sdn Bhd was in November 2020.

As of March 2024, LKPP Corporation Sdn Bhd has met all the requirements stipulated in our re-entry criteria. This includes their commitment to the implementation of a Recovery Plan for Non-Compliant Land Clearing to the NDPE policy at group level, for activity that has taken place from January 2016 onwards. Based on the detailed review of documentation, the Wilmar Suspension Committee has given due consideration of this progress and lifted the suspension of LKPP Corporation Sdn Bhd in March 2024.

Amanah Saham Pahang Berhad (ASPA)  2020080606 Aug 2020 Report can be found here Mighty Earth Status: Case closed

Non-compliant palm products from Amanah Saham Pahang Berhad (ASPA) was allegedly enter Wilmar's supply chain through its suppliers.
Wilmar does not source from Amanah Saham Pahang Berhad (ASPA). However, several Wilmar’s suppliers are sourcing directly from ASPA.   

Prior to publication of the Mighty Earth 30 Rapid Response Report on 6 August 2020, our suppliers had already initiated engagement with ASPA since June 2020 when the alleged deforestation in ASPA was brought to their attention.

ASPA has committed to adopt NDPE commitment and  imposed a moratorium on land clearing. A copy of their NDPE Policy was shared with our suppliers on 9th July 2020, the NDPE policy has also been extended to Wilmar.
YP Plantation Holdings Sdn Bhd (YPPH) 2020080606 Aug 2020 Report can be found here Mighty Earth Status: Case closed

Non-compliant palm products from YP Plantation Holdings Sdn Bhd (YPPH) allegedly enter Wilmar's supply chain through its suppliers.
Wilmar does not source from YP Plantation Holdings Sdn Bhd (YPPH). However, several Wilmar’s suppliers are sourcing directly from YPPH.  

Prior to publication of the Mighty Earth 30 Rapid Response Report on 6 August 2020, our suppliers had already initiated engagement with YPPH since June 2020 when the alleged deforestation in YPPH was brought to their attention. YPPH clarified that they have received approval from the local authorities and have adhered to the state regulations before developing the area. EIA has also been conducted prior to land development and received approval from Department of Environment.

YP Plantation has committed to adopt NDPE and imposed a moratorium on land clearing with effective from 17th August 2020. A copy of the NDPE policy is available here.
IJM Plantations 2020071010 Jul 2020 Report can be found here Chain Reaction Research (CRR) Status: Case closed

Alleged sourcing of non-compliant FFB from Aspirasi Kristal Sdn Bhd
Wilmar does not source from Instant Star Holdings Sdn Bhd/ Aspirasi Kristal (M) Sdn Bhd / Satria Eramaju.

However, our supplier, IJM Plantations sources directly from the above companies. 

Aspirasi Kristal (M) Sdn Bhd
Prior to the publication of the Chain Reaction Report on 10 July 2020 on the allegation of IJM’s sourcing of non-compliant palm products from Aspirasi Kristal (AK), IJM Plantations has already initiated engagement with AK since 24 June 2020 when the alleged deforestation were brought to their attention. A physical meeting was conducted between IJM Plantations and AK on 6 July 2020, where IJM Plantations has followed up with an official letter requesting AK to cease all land clearing.  AK responded officially on 20 July 2020 to IJM Plantations agreeing to cease all land clearing activities until investigation is completed.

Another stakeholder, The Mighty Earth had also released a report on this above case in August 2020.

In September 2020, Mighty Earth alerted Wilmar that suspected land clearing activities in AK’s concession were detected. Wilmar has immediately engaged with IJM Plantations seeking clarification on the matter. AK claimed that the areas were cleared in 2019 and the recent activities involved construction of terraces and road development on the cleared areas. AK reiterated no new clearing activities were conducted since 30 July 2020. IJM Plantations decided to suspend the FFB supply from AK while investigation is ongoing.

Satria Eramaju
No active land clearing was detected at Satria Eramaju (SE). SE has also acknowledged NDPE commitment and assured that relevant assessments will be conducted prior to any land clearing.

In the meantime, IJM Plantations has also registered this case on their grievance listing to publicly report their grievance resolution process 
https://www.ijmplantations.com/grievances-compliance-matters.php
Sime Darby Plantation Berhad 2020070606 Jul 2020 Report can be found here Liberty