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Utilities
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HomeStudy on the environmental impact of palm oil consumption and on existing sustainability standards
Final report and appendices
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This report reviews environmental, social and economic aspects of palm oil production and consumption, and evaluates existing palm oil sustainability initiatives. There is clear evidence that the expansion of oil palm cultivation has resulted in deforestation, biodiversity loss, and net greenhouse gas (GHG) emissions. Oil palm has in some instances expanded onto land traditionally used by indigenous and local communities. Labour abuses, including child and forced labour, are reported on a regular basis, but the evidence on how commonplace such practices are remains incomplete. Oil palm cultivation often provides a higher income for smallholders than other livelihoods, and thus contributes to the development of rural economies and to the overall economy of producing countries through its linkages. These economic benefits must be set against potential conflicts and the loss of ecosystem benefits, such as non-timber forest products. These environmental and social impacts are not exclusive to oil palm. They would apply in differing degrees to other crops planted on the same land. Furthermore, other sources of vegetable oils, among which the most important is soybeans, occupy much larger areas per tonne of oil produced, and have their own environmental and social impacts. Among certification schemes, the ISCC (EU) certification system generally addresses the environmental objectives of a range of EU and UN policies, principally because of its stringent definition of High Carbon Stock forests. The RSPO certification system addresses to the largest extent policy objectives relating to human, land, and labour rights. The current ISPO standard least addresses the policy objectives under consideration in this study, with limited protection for forest, and MSPO occupies an intermediate position. The governance and transparency of those four schemes, hence their level of independence vis-à-vis relevant interest groups, also vary. Although most producer countries have introduced environmental and social regulations relating to palm oil, enforcement is often selective, incomplete or ineffective. Europe remains the leading market for sustainably sourced palm oil, but progress on the growing number of voluntary initiatives and commitments has been slow. There is limited penetration of sustainable palm oil in India and China
- Published:
- Themes: Conservation of resources , Environment policy and protection of the environment
- Subject: deforestation , economic consequence , environmental impact , environmental standard , forest conservation , greenhouse gas , report , social impact , sustainable development , vegetable oil
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| ISSN | ISBN 978-92-79-80226-3 | DOI 10.2779/530244 | Catalogue number KH-02-18-208-EN-N |
- Released on EU publications website: