We are very excited to launch our Transform Platform, the digital dashboard that house our sustainability solutions and services to some of the most complex sustainability challenges in the palm oil sector. One particular issue that has been faced by the industry players is is the role of smallholders in the NDPE value chain.
A 2021 research by Earthqualizer Foundation found that smallholders make up 41% and 20% of the oil palm planted areas in Indonesia and Malaysia. Moreover, they are intricately linked to palm oil millers and even major refiners and processors through a network of intermediaries (e.g. agents, dealers). Therefore, if we are to change the sustainability risk profile of the industry, smallholders must be included in any relevant discourses.
A critical component of Earthqualizer’s approach is comprehensive mapping and verification of smallholder-owned land plots, starting in Indonesia and expanding to Malaysia and other regions later. This would enable the delineation of smallholder presence in the complex oil palm supply base and provide actionable data for stakeholders. The verification will also support the initiatives from downstream industry players to achieve full traceability to supply base (plantations, estates, out-growers, etc.).
Our approach also complements the AFi’s Core Principles in providing incentives for smallholders to transform and enabling companies to fulfill their commitments in their responsible sourcing.
Find out more: https://transform-platform.org/smallholder
