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Achieving a high-productivity, sustainable palm oil sector in Indonesia: a landscape management approach

Published: June, 2015

Goal

A growing number of government, business, and civil society organizations, including Unilever and IDH, have a goal of transforming the Indonesian rural economy by 2020, to deliver net positive environmental impacts and improve smallholder farmer livelihoods. This requires a focus on transforming the oil palm sector from being a driver of deforestation, to one that is highly productive and sustainable.

Challenge

This transformation will require collective action from government, business and community actors to address the following key challenges:

  • How to achieve the goal at least cost, while ensuring supply chain security for business investors
  • How to engage a critical mass of government, business, smallholder farmers and civil society actors to share both the burden and the benefits of transformation
  • How to demonstrate to consumers and civil society whether the goal has been achieved

Climate Policy Initiative is supporting Unilever and IDH to develop a landscape management strategy and implementation pathway to address these challenges.

The steps of a landscape management approach:

The key steps for taking a landscape management approach include the following:

  1. Define the landscape boundaries.
  2. Partner with business, smallholder farmers and government within the landscape area.
  3. Map and allocate land within landscape to its highest value or best use.
  4. Increase productivity and support community and government to protect valuable ecosystems.
  5. Monitor and report results.

We walk through each of these steps, including some examples of how they apply to Unilever’s supply chain.

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