Permata Group
Permata Group facility
GR03-2024-01
In Progress

PT Aceh Trumon Anugerah Kita (ATAK)

Mar 2024
Illegal Sourcing

The Allegation

RAN flagged that PT. Aceh Trumon Anugerah Kita (ATAK), may become the new driver for the increased deforestation inside the Rawa Singkil Wildlife Reserve Area.

Timeline

  1. 14 Mar 2024

    Permata Group received information from RAN's report titled "New Rogue Actor Documented Destroying the Leuser Ecosystem" stating that the establishment of new palm oil mills around the Singkil Area, namely PT. Aceh Trumon Anugerah Kita (ATAK), may become the new driver for the increased deforestation inside the Rawa Singkil Wildlife Reserve Area

  2. 14 Mar 2024

    Permata Group engaged with PT. ATAK and raised the alert of potential deforestation occuring nearby its mill PT. ATAK took notice of RAN's report and agreed to attend a meeting with Permata Group on 18th March 2024 to discuss the issue

  3. 18 Mar 2024

    PT. ATAK clarified that it does not source any FFB from Rawa Singkil Wildlife Reserve Area From Permata internal investigation and engagement with PT. ATAK, Permata found that PT. ATAK has: 1. Signed Permata's Code of Conduct when it first joined in 2021 2. Has its own Sustainability Policy containing NDPE commitments 3. Signed Permata's "No Buy List Plantation" that comprises of deforestation actors inside the Leuser Ecosystem area 4. Has included NDPE clauses in their contract with FFB suppliers 5. Has obtained ISPO certification 6. Is working on achieving 100% Traceability to Plantation

  4. 16 May 2024

    On 16 May 2024, PT. ATAK attended workshop held by Wilmar, GAR and Musimmas in Subulussalam about NDPE commitments, sustainability practices and importance of Aceh Landscape

  5. 27 May 2024

    On 13-17 May 2024, Permata Group conducted a field visit to evaluate PT. ATAK's Traceability System and provide NDPE training to PT ATAK's team and its FFB suppliers. To help raise PT. ATAK's Traceability to Plantation (TTP) progress, Permata Group also assist in mapping out the farms of its suppliers The results of the field visit can be seen below: 1. PT. ATAK and its FFB Suppliers fully supports traceability initiatives and NDPE commitments. 2. There is still a lack of traceability mechanism that explains the process of due dilligence in FFB procurement and no written agreements are in place that enforces the requirement of its FFB suppliers to provide traceability information. 3. There is a grievance handling procedure that explains the flow process of receiving and investigating grievances logged, however it still lacks in implementation. 4. The TTP level is relatively low but PT ATAK has appoint an internal team that will continuosly help in traceability efforts.

  6. 27 May 2024

    Given the results of the field visit, Permata has develop a timebound implementation plan for PT. ATAK as follows below: 1. Communicate regularly with Agent/Dealer to not source FFB from Rawa Singkil Wildlife Reserve and other protected areas. 2. Develop a traceability mechanism and includes the clear process of due dilligence during FFB procurement, and also the agreement to collect geolocation from its suppliers. 3. Organized a grievance handling team, socialize the grievance procedure with relevant stakeholders and facilitate the implementation by building a whistleblowing system or a telephone hotline. 4. Regularly increase its TTP level and achieve 100% TTP.

  7. 11 Nov 2024

    RAN published a new report titled "Orang Utan Capital Under Siege," revealing additional evidence of illegal deforestation and the development of new palm oil plantations within the Rawa Singkil Wildlife Reserve According to RAN’s field investigations, illegally harvested Fresh Fruit Bunches (FFB) from within the Rawa Singkil Wildlife Reserve were transported to a collection point operated by a dealer named RAM UD Iqbal Jaya, which subsequently supplied these FFB to PT. ATAK

  8. 22 Nov 2024

    Permata Group engaged with PT. ATAK about the new report and updated the previous action plan

  9. 11 Jan 2025

    After thorough discussion and consideration, Permata has requested PT ATAK to cease sourcing from UD Iqbal Jaya, to which PT ATAK has agreed. Permata also put UD Iqbal Jaya on its no buy list and requires them to follow Permata's re-entry procedure for future collaboration.

  10. 20 Jan 2025

    Permata visited PT ATAK to provide Supplier Training and a refreshment on NDPE and Grievance Handling, accompanied by the Earthworm Foundation (Consultant for PT ATAK). PT ATAK is currently developing its GIS team and supporting tools to conduct deforestation monitoring and traceability. PT ATAK has appointed a Person in Charge (PIC) for the Traceability and Sustainability Team.

Current Status / Resolution

The case remains under monitoring, with the corrective action plan submitted and on track. ATAK has stopped sourcing from the non-compliant dealer and is implementing enhanced traceability and grievance handling with Permata support.

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