18 January 2023, Aceh Singkil – Apical, a leading global vegetable oil processor with an expanding global footprint, together with Yayasan Inisiatif Dagang Hijau (IDH), has officially signed a Memorandum of Understanding (MoU) for the Sustainable Living Village (SLV) Programme.
The SLV Programme is a stakeholder-inclusive programmethat nurtures sustainable livelihood models through collaboration with partners, communities, and villagers, towards improving community resilience and livelihood sustainability. The SLV focuses on creating positive environmental impact, bridging knowledge gaps, and reducing inequality through 4 key tailored initiatives in enhancing livelihood, forest protection, driving supply chain transformation and supporting landscape collaboration through Production, Protection, and Inclusion (PPI) Compact.
The MOU represents a mutual commitment to drive positive social impacts for the community and environment, and marks the beginning of a three-year partnership. The MoU was signed by the Program Director of IDH, Nassat Idris and the Director of Sustainability of Apical Group, Bremen Yong Kin Kong. The signing of the MoU was witnessed by the District Secretary of Aceh Singkil, Drs Azmi MAP and Head of the Planning Agency of Aceh Singkil, Ahmad Rivai S.H.
Aceh Singkil plays a crucial role in protecting the Leuser Ecosystem, 2.6 million hectares of tropical forest and the home of Sumatera species such as orang utan, rhino, Sumatera tiger, and elephant. In Singkil, rapid illegal conversion for oil palm plantations poses a challenge to this vital ecosystem’s sustainability. However, deforestation did not directlybring sustainable economic growth and trickled down the impact on smallholders’ livelihoods.
“The Government of Aceh Singkil welcomes and appreciates all parties- IDH, Apical and the communities that initiated and are activelyinvolved in the SLV programme. We hope that the SLV Programme will help to elevate positive socio-economic welfare for all,” explained Azmi.
In February 2022, centered on creating positive social, environmental and business impact, Apical launched its sustainability roadmap, Apical2030. Under the fourth strategic pillar of Apical2030, Inclusive Progress, the SLV programme aims to nurture communities by empowering livelihoods.
The SLV programme strives to alleviate poverty, uplift and nurture communities by fostering inclusion and enhancing livelihoods where at the same time ensuring environmental sustainability. Tailored initiatives suited to different communities will be developed with the aim of enhancing capacity building and empowering the community by collaborating with local partners – Yayasan Ekosistem Lestari and Forum Konservasi Leuser.
“We are grateful to be given this opportunity to collaborate with IDH and the communities to implement custom-made programmes that are suited to the locals’ specific needs. We understand that different communities have different concerns and that CSR programmes are not a one-size-fits-all. With the SLV, we hope that we are able to alleviate poverty, enhance and nurture the community’s livelihood by bridging knowledge gaps and capacity building,” said Pratheepan Karunagaran, Executive Director of Apical Group.
“Efforts to ensure environmental sustainability, and social and economic equity are vital in fostering positive long-term changes that will lead impact to better environment and better income. We look forward to working with Apical as part of coalition in promoting sustainable palm oil with some focus on smallholder inclusions. This pilot will be extended to contribute the Provincial targets of sustainable palm oil,” added Nassat Idris.
The SLV programme is focused on nurturing communities by empowering livelihoods via creating positive environmental impact, bridging knowledge gaps and generate socio- economic opportunities to reduce inequality gaps in the society, thus spearheading positive changes in the landscape and the lives of the communities. “We are planning to roll-out the tailor-made programmes under the SLV initiative in several Aceh communities by Q2 2023, with a goal of supporting 30 villages through the program by 2030,” added Bremen Yong.
IDH puts people, planet, and progress at the heart of trade by leveraging the power of markets to create better jobs, better incomes, a better environment, and gender equity for all. To catalyze change at scale, IDH innovates, convenes, and invests in inclusive and sustainable solutions that enable businesses to create value for people and planet, while improving their own performance. To create the greatest impact in the shortest amount of time, IDH focuses on empowering people within corporations the global financial sector and governments that have the most influence over value chains.
Headquartered in the Netherlands, IDH has around 380 employees globally, operating in 20 landscapes and 12 commodities and sourcing regions with over 1000 public and private partners. In 14 years of operation, IDH has generated over 390 M in private sector investment and support for new business models that create better jobs, better incomes, a better environment, and gender equity for all.
For more information, go to www.idhsustainabletrade.com.
Apical is a leading vegetable oil processor with an expanding global footprint. Our vertically integrated mid-stream refining and value-added downstream processing makes us an integral supplier that supports the food, feed, oleochemicals and renewable fuel needs across industries.
With integrated assets in strategic locations spanning Indonesia, China and Spain, Apical operates numerous refineries, oleochemical plants, renewable fuel plants and kernel crushing plants. Through joint ventures and strategic partnerships, Apical also has processing and distribution operations in Brazil, India, Pakistan, Philippines, Middle East, Africa, USA and Vietnam.
Apical’s growth is built on the foundations of sustainability and transparency, and motivated by our strong belief that we can make a more meaningful impact even as we continue to grow our business and deliver innovative solutions to our customers.
For more information, please visit the Apical website: www.apicalgroup.com
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Communications Manager, Indonesia
Corporate Communications, Apical Group