Wilmar Uplevels Sustainable Palm Oil Sourcing, with BanQu
Indonesia, May 4, 2023
Wilmar International Limited (Wilmar) has partnered with BanQu to advance a sustainable palm oil value chain while further enriching the livelihoods of smallholder farmers. The palm oil traceability project, which was launched in June 2022, leverages on BanQu’s platform to support efforts by Wilmar to eliminate blind spots in its supply chain and verify sustainability progress while achieving audit-proof compliance.
Wilmar, among the world’s leading agri-commodity companies, is committed to a traceable and transparent supply chain, aiming to achieve 90% traceability to palm oil plantations across their global operations by 2023 and 100% by 2025 as part of its ongoing efforts to address climate change while striving to be more sustainable and responsible throughout its global operations.
BanQu is an advanced end-to-end supply chain compliance software that provides brands and suppliers with source-level visibility – through real-time, verifiable data – into procuring their ingredients and materials. Central to BanQu’s mission is creating an equitable economy by providing smallholder farmers with digital receipts of their transactions via SMS messaging, boosting bankability by enabling them to prove their identity in the value chain.
Wilmar and BanQu pilot-tested palm oil traceability through BanQu’s secured, blockchain-based platform in June 2022. BanQu’s global support team connected with farmers, cooperatives, and mills in Indonesia to test user acceptance, measure feasibility, and understand complexities in remote operational environments. Since then, the project has expanded with increased users and transactions recorded on the platform.
Ashish Gadnis, CEO of BanQu, explained, “The Wilmar partnership with BanQu checks all the boxes for our profit-with-purpose model because it is a real-world example of traceability and transparency deeply rooted in climate action and equitability across the supply chain. Right from the smallholder farmers growing or harvesting their fresh fruit bunch to the cooperative to the mill and refinery, we are transforming how palm oil supply chains work. This has a positive impact upstream as Wilmar customers can now meet their sourcing compliance objectives, and downstream as Wilmar can enable a truly sustainable sourcing strategy. Lastly, and most importantly, it shows our collective responsibility and commitment to smallholder farmer ecosystems which are the heart of food security globally.”
Commenting on the project, Joshua Lim, Sustainable Supply Chain Global Lead at Wilmar, said “Smallholders are integral to the palm oil industry and we need to support and equip them with the right tools, so they do not get left behind by the expectations of the growing complexities surrounding sustainable palm oil. We remain committed to provide support and access to smallholders on best practices in order for them to enhance their livelihoods.”
Palm oil is an essential, high-demand ingredient found in nearly 50% of the packaged products in supermarkets. But there are two sides to palm oil. Unsustainable oil palm plantations harm forests and damage communities. On the other hand, sustainable palm oil production preserves the environment, requiring four to ten times less land than other vegetable oil crops, and supports the livelihood of smallholder farmers.
About Wilmar
Wilmar International Limited, founded in 1991 and headquartered in Singapore, is Asia’s leading agribusiness group. They are ranked 285th on the 2020 Fortune Global 500 and 3rd in the Food Production Industry on Fortune World's Most Admired Companies 2021.
As a leading agribusiness group, Wilmar recognizes that we have a fundamental role to play in developing quality products required by the world while ensuring we have a responsible and sustainable manner of production. We adopt a holistic approach to sustainability that is fully integrated with our business model.
Guided by the philosophy that our business must enhance stakeholder value while minimizing our environmental footprint, our business practices are aligned with universally acceptable social and environmental standards. Wilmar’s No Deforestation, No Peat, No Exploitation (NDPE) Policy and NDPE Sugar Policy, introduced in 2013 and 2021 respectively, underpin our aspiration to make a positive impact and drive transformation across the palm oil and sugar sectors.
For more information, please visit www.wilmar-international.com/sustainability.
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About BanQu
BanQu is an advanced traceability and supply chain compliance software that helps brands and suppliers worldwide track their sustainability and ensure compliance with international regulations, certifications, and industry standards. With real-time, verifiable data down to the source, BanQu can help suppliers and brands track carbon offsets, gain source-level visibility, prove sustainability, and achieve audit-proof compliance.
Schedule a discovery call with the BanQu team here!
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