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Cargill’s new palm kernel plant in Indonesia receives RSPO certification

Published 04 November 2016

Cargill’s new palm kernel crushing plant at its PT. Hindoli oil palm plantation in South Sumatra, Indonesia, has been certified by the Roundtable of Sustainable Palm Oil (RSPO), reinforcing Cargill’s pledge of providing sustainable palm oil.

The kernel crushing plant is fully renewable-energy powered by a new biomass plant which converts oil palm waste into electricity for the crushing plant as well as employee housing units within the area.

Cargill Tropical Palm Holdings chief operating officer Richard Low said: “The RSPO certification is a testament to Cargill’s continuing efforts to produce more sustainable palm oil for the world.

“We believe that palm oil and its derivatives must be produced sustainably for the good of our planet and its people, and we will uphold this responsibility as we meet the growing global demand for sustainable palm oil.”

The plant will cater to growing local demand for certified-sustainable crude palm kernel oil by specialty fats and oleochemicals manufacturers, whilst the palm kernel expeller by-product will serve as a quality feedstock for the local animal husbandry sector.

Drawing its palm kernel supplies from Cargill’s other RSPO-certified mills in South Sumatra – Sungai Lilin, Tanjung Dalam and Mukut – the PT. Hindoli kernel crushing plant can produce up to 98 metric tonnes of sustainable palm kernel oil and 124 metric tonnes of palm kernel expeller daily.

According to 2015 data from industry researcher Oil World, global demand for palm kernel oil continues to increase, growing by about seven per cent since 2011. Coupled with vigorous sustainability commitments made by global consumer goods companies, the demand for sustainably produced palm kernel products is expected to continue to grow.

PT. Hindoli will begin selling its RSPO certified palm kernel oil and palm kernel expeller in the international and domestic markets respectively, starting January 2017.

Source: Company Press Release