Neste resumes sourcing from palm oil company IOI

20.12.2017

Neste resumes raw material sourcing from Malaysian palm oil company IOI after approximately 1.5-year-long suspension.

On April 12 in 2016, Neste announced that it had suspended raw material purchasing from IOI after the Roundtable on Sustainable Palm Oil (RSPO) suspended IOI Group's certification for the company's palm oil production due to environmental issues.

Neste's decision to resume purchases is a result of progress IOI has demonstrated. Neste has been pleased to see IOI's efforts to resolve the environmental issues detailed in the RSPO grievance, as well as to change and develop its working practices, particularly on foreign migrant worker conditions and their treatment in the workplace. Thanks to IOI's progress, RSPO reinstated IOI's certification on 8 August, 2016. Certification is one of the requirements Neste's has for all its palm oil suppliers. IOI has also received positive feedback for its sustainability progress, for example, from Rainforest Action Network and Finnwatch.

Throughout the suspension period, Neste continued engaging with IOI, RSPO, several NGOs, third party auditors, and other companies sourcing palm oil from IOI to support the company's efforts and to monitor its progress. Like with all its palm oil suppliers, Neste will continue close engagement with IOI also in the future to understand the company's plans, monitor their performance, and to support the company in its continuous development.



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