Why We Require All Palm Oil Suppliers to Be RSPO Certified

Palm oil is a highly productive crop with a wide range of uses in food manufacturing. Its efficiency can help limit the amount of land needed to produce vegetable oil, yet expansion and poor management can harm forests, wildlife habitats, soils, water resources, and local communities. Responsible sourcing therefore requires clear standards throughout the supply chain.

At Fresh Del Monte, our sustainability strategy connects environmental stewardship with ethical business practices and long-term community well-being. Requiring palm oil suppliers to hold certification from the Roundtable on Sustainable Palm Oil (RSPO) gives us a recognized framework for evaluating how palm oil is produced, processed, traded, and documented.

Certification is one part of our broader due diligence process. It helps establish expectations for suppliers, supports greater supply chain transparency, and creates a basis for monitoring progress. We also recognize that responsible sourcing requires continuing engagement, credible records, and attention to conditions on the ground.

Why Palm Oil Needs Strong Oversight

Palm oil production takes place across diverse agricultural landscapes, including areas that may contain forests, peatlands, wetlands, or habitats for threatened species. Poorly planned development can result in deforestation, habitat fragmentation, greenhouse gas emissions, soil degradation, and pressure on water supplies. These impacts can extend well beyond a plantation’s boundaries.

The social risks can be equally significant. Workers may face unsafe conditions, unfair treatment, excessive recruitment fees, or restrictions on their rights. Communities can be affected when land-use decisions are made without proper consultation or when customary land rights are not respected. A responsible procurement policy must therefore address environmental protection and human rights together.

A certification requirement gives our purchasing decisions a consistent foundation. Rather than relying solely on supplier statements, we can ask suppliers to meet an established set of principles and submit to independent assessment within the RSPO system.

What RSPO Certification Covers

RSPO certification is based on principles and criteria designed to promote the production of sustainable palm oil. These include commitments related to legal compliance, environmental responsibility, labor rights, community relations, biodiversity, and responsible management practices. Certified growers and mills must demonstrate that they operate according to applicable requirements and maintain records that support evaluation.

The RSPO system also includes supply chain certification for organizations that handle or process certified palm oil. Depending on the supply chain model, certified material may be kept physically separate, tracked through a controlled mixing system, or represented through certificates and credits. These models offer different levels of physical traceability, so understanding the model used by a supplier is essential.

The model selected should reflect the product, market, and level of traceability available. Certification does not eliminate the need for supplier communication or risk assessment. It provides a structured foundation for responsible procurement and continuous improvement.

Protecting Forests, Climate, and Biodiversity

One reason we require RSPO certification is to strengthen safeguards against the conversion of valuable ecosystems. Responsible palm oil production should avoid practices that damage primary forests, areas of high conservation value, and peatlands. It should also include measures for protecting watercourses, managing soil health, reducing pollution, and conserving important species.

These safeguards support our wider environmental objectives. Agricultural supply chains are connected to climate change through land-use change, energy consumption, fertilizer use, transport, and processing. By purchasing from certified sources, we encourage production systems that apply environmental management practices and document their performance.

Certification should be viewed alongside landscape-level action and supplier engagement. A single plantation may follow good practices while wider regional pressures remain. For that reason, responsible sourcing works best when it is connected to collaboration, monitoring, remediation, and stronger traceability across mills and plantations.

Operational efficiency is another part of the environmental picture. The lessons described in our warehouse energy practices show how focused teams can identify and reduce resource use in facilities. Similar discipline is needed when managing agricultural inputs, processing energy, transport, and land-related risks.

Respecting People and Communities

Sustainable palm oil must be produced in ways that respect the people who work in the sector and the communities connected to agricultural land. RSPO requirements address issues such as safe working conditions, fair treatment, freedom of association, prohibition of forced and child labor, and respect for legal and customary rights.

Meaningful consultation is especially important where plantation development or operational changes may affect local communities. Responsible practices include transparent communication, consideration of community concerns, and accessible grievance channels. When disputes occur, companies should support fair processes for investigation and remediation rather than treating certification as a substitute for dialogue.

Our supplier expectations are aligned with the principle that environmental progress and social progress are connected. Protecting a forest while disregarding workers or local residents would not represent responsible sourcing. Effective standards must account for the full range of impacts associated with a commodity.

Making Certification Work in Practice

A certification requirement has value only when it is integrated into procurement, supplier management, and internal accountability. We expect relevant suppliers to provide valid certification information, maintain appropriate documentation, and communicate changes in their operations or supply chain structure. Procurement teams can then use this information when reviewing suppliers and sourcing decisions.

Traceability is an ongoing process. Palm oil can pass through traders, mills, refineries, manufacturers, and distributors before reaching a finished product. Each transfer can create a risk of lost information. Mapping suppliers and understanding the relationship between a company and its sources helps identify gaps that require additional attention.

Certification also needs to be supported by risk-based review. Higher-risk origins, complex supply chains, unresolved grievances, or changes in supplier status may require closer engagement. When concerns arise, appropriate responses can include corrective action plans, additional documentation, time-bound remediation, or reconsideration of the business relationship.

Building Accountability Into Sourcing

Our approach treats responsible palm oil as a continuing management responsibility rather than a one-time purchasing decision. The following practices help turn a policy requirement into meaningful action:

• Maintain a current list of palm oil suppliers and certification status.
• Confirm the applicable RSPO supply chain model for each relevant purchase.
• Review supplier documentation, audit information, and material changes.
• Track grievances, corrective actions, and remediation commitments.
• Improve traceability and certified-volume coverage over time.

Clear records allow progress to be measured and communicated more consistently. They also help identify where additional supplier training, collaboration, or regional initiatives may be needed. Performance should be assessed through evidence, not simply through declarations of intent.

Transparency strengthens credibility. Reporting on sourcing coverage, certification status, implementation challenges, and areas for improvement gives stakeholders a more complete view of progress. It also encourages suppliers and business partners to maintain high standards as expectations for sustainable commodities continue to develop.

A Long-Term Standard for Responsible Palm Oil

Requiring all palm oil suppliers to be RSPO certified reflects our responsibility to address environmental and social risks within our value chain. The policy supports better protection of forests and biodiversity, stronger labor and community safeguards, and more consistent supply chain documentation.

RSPO certification is not a claim that every risk has disappeared. It is a practical framework for setting expectations, checking performance, and encouraging continuous improvement. We will continue to connect certified sourcing with supplier engagement, environmental management, ethical business practices, and transparent reporting.

Responsible procurement depends on participation across the value chain. Suppliers, processors, customers, employees, and communities all have a role in strengthening sustainable palm oil production. By choosing certified sources and supporting credible improvements, we can help advance a more transparent, resilient, and responsible agricultural system.