PT Permata Sawit Mandiri (PSM)
The Allegation
Analysis conducted by Chain Reaction Research shown a recurring deforester , PT Permata Sawit Mandiri (PSM) still continued clearing forest in Ketapang , West Kalimantan since 2018
Timeline
14 Dec 2022
Analysis conducted by Chain Reaction Research shown a recurring deforester , PT Permata Sawit Mandiri (PSM) still continued clearing forest in Ketapang , West Kalimantan since 2018 In the first half of 2022, PT PSM cleared 1,300 ha and in total has cleared around 5,400 ha between 2018 to July 2022
14 Dec 2022
PT PSM sold Fresh Fruit Bunches (FFB) to Bumitama Agri Ltd through Bukit Belaban Jaya mill in West Kalimantan Although Bumitama Agri Ltd remains as Permata direct supplier, Permata does not source Crude Palm Oil or Palm Kernel from Bukit Belaban Jaya mill. Permata has also suspended PT PSM from its supply chain
14 Dec 2022
On November 24 2022, Bumitama Agri Ltd released a statement clarifying their commitment to NDPE Policy and confirm that PT PSM has indeed source FFB to Bukit Belaban Jaya mill Due dilligence study from Bumitama Agri ensure that PT PSM had sufficient legality (ILOK, AMDAL, IUP and HGU), while also being an RSPO member Despite PT PSM already signing an NDPE commitment to comply with Bumitama's sourcing policy, a further investigation uncovered that PT PSM is no longer an RSPO member and that its land development does not comply with RSPO NPP requirements As a result, Bumitama has stopped sourcing FFB from PT PSM since August 2022 and will remain blacklisted from Bumitama's future supply chain
Current Status / Resolution
Based on the findings and response above, we consider this case closed. Following this, Permata Group has also placed PT PSM on its suspension list.
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