Sustainability

Our Commitment to No-Deforestation, No-Peat and No-Exploitation (NDPE)

As one of the North America’s leading suppliers of fats and oils to the food service, retail, and food-ingredient industries, Stratas commits to building a traceable and transparent supply chain that protects forests worldwide. 

Stratas is not a grower of crops, but we will work independently and with industry partners and other stakeholders to improve the quality of crops in the global supply chain, the lives of farmers and communities that grow them, and the environment we share. We view the protection of forests and High Conservation Value areas as important business and societal issues and believe our role is not just to avoid negative impacts, but to promote responsible production that benefits people, communities and the planet. We believe that an effective approach to address deforestation will require strong collaboration between governments, civil society and the private sector. We will continue to actively engage with a variety of stakeholders to identify and protect High Conservation Value areas and High Carbon Stock forest areas within our supply chains and work with suppliers, governments, producers and other corporate and non-governmental organization partners to achieve this commitment.

Palm Supply Chain Policies

Stratas is not a producer of palm oil and does not own palm plantations. All of our palm oil is sourced through other companies. We will nonetheless work closely with customers and industry stakeholders to help develop a more sustainable supply chain for palm oil, palm kernel oil and their derivatives. Stratas hereby commits to the following standards in our palm oil supply chain:

  1.  No Deforestation of High Carbon Stock (HCS) Forests or High Conservation Value (HCV) Areas
  2.  No Development on Peatlands, regardless of depth
  3.  No Exploitation of People and Local Communities
1. No Deforestation

No Development in High Carbon Stock Forests (1)
Our commitment classifies primary forests as well as High, Medium, Low Density and Regenerating forests as High Carbon Stock Forests. Young Scrub, Cleared/Open Land areas, existing plantations or other land already in agricultural production may be developed.

No Development in High Conservation Value Areas (2)
We commit to preserving High Conservation Value land. Stratas recognizes that in some instances, non-forest areas — particularly those with significant cultural or historical value — may also be considered High Conservation Value land. Such areas would fall within the scope of this policy. 

No Burning
We maintain a no-burn policy as outlined in RSPO Principles & Criteria section 7.11 (3) Within this framework, we will not accept the use of fire for the purpose of clearing land for palm production.

2. No new development on peatland, regardless of depth

Stratas will not accept new development of peatland, regardless of depth, for palm production. We are committed to supporting RSPO Principles & Criteria Section 7.7 (3) and the standards set forth in the RSPO manual on best-management practices for existing plantations on peatlands.

3. No exploitation of people and local communities

We require that stakeholders in the Stratas supply chain:Comply with all applicable laws and regulations;

  • Respect Human Rights according to the U.N. Guiding Principles for Business and Human Rights
  • Application of the principles of Free, Prior and Informed Consent (FPIC) to ensure protection and promotion of the rights of indigenous peoples and vulnerable communities. This includes but is not limited to respecting legal and customary land rights and prevention of land grabbing activities.
  • Respect Indigenous and Local Community rights to land and resources in accordance with the UN Declaration on the Rights of Indigenous Peoples
  • Respect labour rights as set out in the International Labor Organization (ILO) Declaration on Fundamental Principles and Rights at Work
  • Facilitate the inclusion of smallholders into the supply chain;
  • Work collaboratively with stakeholders to improve working, environmental and safety conditions in our supply chains.

This policy applies to all supply chains in which Stratas operates.

Implementation and Reporting: This policy is effective immediately. We understand that our palm suppliers may need time to implement the provisions described. We therefore expect our suppliers to develop action plans to achieve compliance by Dec. 31, 2020. We will partner with our suppliers to improve the performance of those suppliers who do not adhere to these policies, but who are willing to commit to taking appropriate, immediate action to correct their violations. We will not conduct business with suppliers who violate this policy repeatedly and refuse to take action to comply.

Responsibility for implementation of this Commitment lies with Stratas’ commercial and quality teams and suppliers with oversight from Stratas’ legal department. We will develop and further define the verification, measurement and reporting process for palm oil as needed.

Stratas will begin mapping our palm oil supply chain and expeditiously develop appropriate action plans to create a more sustainable, traceable supply chain. We will engage directly with our suppliers to identify any opportunities for improvement throughout our immediate supply chain. Stratas will make available, at least once per year, reports detailing our efforts and progress towards full implementation of this policy.

Grievance Process: While Stratas will engage with its direct supply chain partners to ensure compliance with this policy, it recognizes that there may be some instances where stakeholders or the general public would like to bring matters of non-compliance to our attention. To ensure that these matters are handled appropriately, Stratas commits to promptly investigate all allegations of non-compliance, resolve any grievances, and provide transparent information regarding the actions taken to resolve the situation. If you would like to report a violation of Stratas’ policy, you may do so by contacting: sustainablepalm@stratasfoods.com. We expect our suppliers to manage their own supply chains to meet or exceed Stratas’ expectations. If there is verified non-compliance with our policy, we expect our suppliers to resolve the matter. If there is continued failure to address or remediate the verified noncompliance
in a timely manner, Stratas will take steps to remove those suppliers and/or producers from our supply chain.


(1) http://highcarbonstock.org/the-high-carbon-stock-approach/
(2) https://hcvnetwork.org/
(3) RSPO P&C for the Production of Sustainable Palm Oil (2018) https://rspo.org/resources/certification/rspoprinciples-criteria-certification/rspo-principle-criteria-for-the-production-of-sustainable-palm-oil-2018
Stratas will begin mapping our palm oil supply chain and expeditiously develop appropriate action plans
to create a more sustainable, traceable supply chain. We will engage directly with our suppliers to
identify any opportunities for improvement throughout our immediate supply chain. Stratas will make
available, at least once per year, reports detailing our efforts and progress towards full implementation
of this policy.
 

To download a copy of our Sustainable Palm letter click here.