by Jennifer L. Thompson

Created on: February 20, 2011   Last Updated: February 21, 2011

Golden Agri-Resources and its auxiliary company, SMART (Sinar Mas Agro Resources and Technology), the second largest producer of palm oil in the world, has been a target of environmentalists. Greenpeace and other organizations have insisted that the company change its harvesting methods. These environmentalists have alleged that the methods used to date have been destroying tropical forests. Thus, GAR has been under pressure to utilize more sustainable methods.

Until recently, Golden Agri-Resources had maintained its stance, and has even misrepresented itself in certain instances. Hence, some of its largest clients, including Kraft Foods, Nestle, Burger King, Unilever, and more, then became aware that it would be best to use another source of palm oil. This was, by and large, thanks to the campaign efforts of environmentalists and activists. These things, and more, then led to the most recent turn of events.

Now, GAR has signed an agreement with the environmentalist group called The Forest Trust. With this, Gar promises to change its ways, and to become leaders in sustainable practices for the palm oil industry. In the agreement, GAR pledges to refrain from developing plantations in areas of High Carbon Stock forests and other areas of importance.

These areas are of great significance to the earth, and their destruction is believed to be directly connected to climate change. Along with this, habitat for creatures such as the orangutan is just as directly affected.

Not only will these changes help the environment and the entire planet, they are also projected to help the economy of Indonesia. This is a primary location for GAR’s plantations as well as others. The sustainable practices will help to create a sustainable economy.

Still, this agreement is taken with some trepidation. Though it is a huge step, the following through of these promises is what environmentalists are now waiting to see happen. Palm oil is widely used, found in things such as soaps, cosmetics, and a large percentage of foods that one would buy in a supermarket. Hence, it is a widely profitable industry, and these changes are an important factor to sustaining its success.

The Forest Trust has asserted its track record of success in cleaning up other companies, and is confident that this too, will work.

In the meantime, Greenpeace has agreed to put a temporarily hold on its campaign, in order to allow time to see changes begin. Still, this and other groups are keeping a close eye on things.

Sources:

Rhett A. Butler, Breakthrough? Controversial palm oil company signs rainforest pact, Mongabay.com
Bangkok Post, Palm oil giant vows to save forests
Radio Netherlands Worldwide, Indonesian palm oil giant vows to save forests
Jakarta, Indonesian palm oil hulk vows to save forests, ScitechBOX
Author has also followed this Greenpeace campaign

Learn more about this author, Jennifer L. Thompson.
Click here to send this author comments or questions.