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Sustainability assessment of Astra Agro Lestari

Astra Agro Lestari is Indonesia’s second largest palm oil producer by area. It controls 298,000 hectares of fully developed plantations in Sumatra, Kalimantan and Sulawesi.

 

Astra is majority owned by the Bermuda-based company Jardine Matheson Holdings Ltd., which is controlled by the Scottish Keswick family. Astra has been expanding quite aggressively over the past eight years with around 10,000 ha of new plantings annually. It has recently acquired new plantations in West and Central Kalimantan. Astra’s main customers are Kuala Lumpur Kepong (KLK), Musim Mas, Wilmar and Golden-Agri Resources. These four companies accounted for 71% of Astra’s revenue for 2014.

 

Astra Agro Lestari supports the Indonesian Palm Oil Pledge (IPOP), designed to advance Indonesia’s sustainable palm sector. IPOP was established in September, 2014 in pursuit of sustainable palm oil that is deforestation free, respects human and community rights and delivers shareholder value. For more information about Indonesian Palm Oil Pledge (IPOP) click on this link.

 

Click here to read the full report, written by Albert ten Kate and Adriani Zakaria, Aidenvironment Asia.

For this report, a comprehensive sustainability assessment was performed that focused on Astra’s policies and practices on the ground with regard to deforestation, peatland conversion, biodiversity and land disputes.

For more information contact Adriani Zakaria.