Apical wins the Sustainable Supply Chain Partnership Award - Malaysia for two consecutive years
This award is a testament to Apical's commitment to sustainability, empowering suppliers and driving positive change throughout the supply chain.
Apical, a leading vegetable oil processor, has proudly secured its second consecutive win in the Sustainable Supply Chain Partnership Award - Malaysia category at the prestigious ESGBusiness Awards 2024. This accolade highlights Apical’s dedication to fostering collaboration with stakeholders to create a responsible and sustainable supply chain.
The company's strategy of working closely with suppliers to optimise its supply chain is firmly anchored in robust governance practices, proactive engagement with suppliers, compliance with regulatory standards and policies, and commitment to smallholder inclusivity. Here’s how the company exemplifies this approach:
Upholding traceability and transparency
Apical is committed to the No Deforestation, No Peat, No Exploitation (NDPE) policy in the palm oil industry. The company’s A-SIMPLE framework ensures effective execution of its sustainability policy and aligns sustainable practices throughout its operations and supply chain. Apical’s implementation of Supplier Anchor Programmes has strengthened relationships with suppliers and reinforced adherence to traceability and the NDPE policy, in line with its sustainability management practices. Today, Apical has achieved a 93% verified NDPE Implementation Reporting Framework (IRF) score for the Crude Palm Oil (CPO) Delivering category in its Indonesian palm oil supply chain.
Collaborative engagements with stakeholders
Apical collaborates closely with various stakeholders to systematically identify and implement sustainability commitments. The company has established partnerships with various organisations, including the Roundtable on Sustainable Palm Oil (RSPO), Palm Oil Collaboration Group (POCG), NGOs, and local communities to steer positive environmental and social impacts throughout its supply chain. Customers are also actively engaged in Apical’s sustainability progress, initiatives, and adherence to new regulations such as the European Union Deforestation Regulation (EUDR). Apical is ready to deliver EUDR-compliant palm oil to its customers in the European Union.
Empowering smallholder for inclusive progress
Apical empowers smallholders through two key initiatives: the Smallholder Inclusion for better Livelihood & Empowerment (SMILE) programme and the Sustainable Living Villages (SLV) programme. The SMILE programme aims to enhance smallholders' livelihoods by boosting productivity through sustainable and good agricultural practices whilst promoting environmental stewardship in accordance with sustainable palm oil standards. To date, Apical, in collaboration with Asian Agri and KAO Corporation has engaged 3,436 independent smallholders, out of which 1,373 smallholders are RSPO certified. The long-term SLV programme initiated in Aceh Singkil, Aceh and East Kutai, Kalimantan, seeks to alleviate poverty and uplift communities by implementing targeted initiatives tailored to the unique needs of each community. It focusses on four key priorities: enhancing community livelihood resilience, promoting forest protection and conservation, driving supply chain transformation, and fostering collaboration with local governments and relevant stakeholders. At present, this programme is being conducted across nine villages in these two locations.
For Chandramohan Nair, Head of Sustainability at Apical Group, this achievement marks a significant milestone in the company’s sustainability journey. “Sustainability has always been integral to our business and we are driving positive environmental and social transformation throughout our supply chain. It is a privilege to receive this award, which validates our collaboration and relentless pursuit of sustainable palm oil production and trade. We look forward to further advancing our sustainability commitments in partnership with stakeholders across the industry.”
Apical is a leading vegetable oil processor with an expanding global footprint. Its vertically integrated mid-stream refining and value-added downstream processing make it an integral supplier that supports the needs of various industries, including food, feed, oleochemicals, and renewable fuels such as sustainable aviation fuel (SAF), which significantly reduce CO2 emissions. With strategically located integrated assets in Indonesia, China, and Spain, Apical operates numerous refineries, oleochemical plants, renewable fuel facilities, and kernel-crushing plants. Through joint ventures and strategic partnerships, Apical maintains processing and distribution operations in Brazil, India, Pakistan, the Philippines, the Middle East, Africa, the USA, and Vietnam.
The ESGBusiness Awards 2024 celebrates companies that are leading the way in building a sustainable future. It also highlights businesses that demonstrate outstanding commitment and achievement in environmental, social, and governance practices.
The ESGBusiness Awards is presented by ESGBusiness. To view the full list of winners, click here. If you want to join the 2025 awards programme and be acclaimed for your company's outstanding commitment and achievement in environmental, social, and governance (ESG) practices, please contact Julie Anne Nuñez at [email protected].