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Social impacts of the palm oil industry have been given equal
prominence with environmental problems in a set of principles for the
sector agreed by dozens of companies around the world.

The eight principles signed off by the Roundtable on Sustainable Palm
Oil – a group of 110 organizations formed to promote the sustainable
use of palm oil – seek to address well documented concerns about
deforestation, soil erosion, land clearance and pesticide use on oil
palm plantations.

They also cover good practice in respect of indigenous peoples’ land rights and labour standards, including child labour.

Among other things, members of RSPO, who include growers and
processors, consumer goods manufacturers, retailers and investors, are
now expected to:

implement management plans for plantations, and the areas around them, ‘that aim to achieve long-term economic viability’
carry out social impact assessments prior to establishing or expanding plantations
have ‘open consultation’ with indigenous people, growers, communities and other interested parties.

Additionally, the principles require employers to allow workers on
plantations to form and join trade unions of their choice and to
bargain collectively. Where the right to freedom of association
and collective bargaining is restricted under law, employers must help
set up ‘parallel means of independent and free association’.

Asda, Boots Group, Neste Oil Corporation, Northern Foods and RWE
npower, among others, have recently joined RSPO, whose members account
for a third of world palm oil production.