Unilever to build new Indonesian palm oil processing plant

Unilever broke ground for its palm oil processing plant in the Sei Mangkei Special Economic Zone (SEZ) in North Sumatera. The plant is operated by PT Unilever Oleochemical Indonesia, a subsidiary of Unilever NV and it will enable further traceability and segregation of sustainable palm oil to support Unilever’s business, accelerating the transformation of the industry in implementing sustainable business practices.

Pier Luigi Sigismondi, Chief Supply Chain Officer Unilever Global said, “Unilever has set itself an ambitious goal to double the size of its business whilst reducing its environmental impact and increase our positive social impact”.

The Unilever Sustainable Living Plan was launched in 2010 with three main targets; to halve the environmental footprint of its products; to source 100% of its agricultural raw materials sustainably and; to help a billion people take action to improve their health and well-being.

“In 2010, we set ourselves the target of sourcing 100% of the palm we use sustainably by 2015. We reached this target three years early and then set ourselves a more stretching target – to purchase all palm oil sustainably from certified, traceable sources by 2020,” Sigismondi explained.

Maurits Lalisang, President Director of Unilever Indonesia said, “The 1.4 trillion Rupiah investment in the plant is part of Unilever’s sustainable investment programme in Indonesia. The plant will complement the additional capacity being built in the Home Care, Refreshments and Personal Care categories that was begun 2011.

The PT Unilever Oleochemical Indonesia plant is planned to start commercial production in 2014 and will being the number of factories Unilever operates in Indonesia to ten.