The Palm Scribe

AAK Uses Satellite Monitoring to Support Zero Deforestation of its Palm Oil Supply

Swedish-Danish vegetable oils and fats producer AAK AB (publ.) has taken a major step forward in delivering on its sustainability commitments by partnering with market-leading sustainability tech companies Earthqualizer and Satelligence that provide high-resolution satellite data that will make it possible to detect signs of deforestation in its palm oil supply chain earlier and take the required  immediate action.

“This new innovative monitoring technology is an important part of AAK’s sustainability strategy and by 2025, our goal is that 100 percent of the palm oil that we source should be 100 percent verified deforestation-free”, said Johan Westman, President and CEO, AAK Group, in a statement posted on the company’s official website.

The company said that the partnership will allow the monitoring of  its global supply base for palm oil with great accuracy and in real time.

“As co-founders of the RSPO (Roundtable on Sustainable Palm Oil), AAK’s ambition is to play a leading role in transforming the palm oil industry towards sustainability. By investing in these partnerships, we will contribute to the full visibility and verification of deforestation-free supply chains,” Westman added.

Earthqualizer deploys a widely recognized and credible risk management tool that screens and monitors compliance with No Deforestation, No Peat, No Exploitation (NDPE) policies among palm oil refineries, mills, and plantations. The tool is particularly effective because of its scope which includes the verifying of parent company ownership.

Satelligence helps companies achieve a deforestation-free sourcing and production of palm oil, cocoa, coffee, soy, and other commodities. Building on artificial intelligence, satellite technology, and supply chain data, the company provides daily insights into the global performance of agricultural production and supply chain risks. Satelligence maps and monitors forests, planted palm areas, deforestation, and fire impact.

“With insights from satellite monitoring and compliance data from risk assessments, we are able to more quickly identify risks of deforestation and conversion of peatlands so that we can engage with suppliers to take appropriate actions leading to measurable progress towards our commitments”, said Anne Mette Olesen, Chief Strategy & Sustainability Officer at AAK, in the same statement.

Olesen said that the two systems covered the company’s global supply base for palm, and she added that AAK was “already seeing the benefits of our monitoring activities,” without elaborating further.

Listed on Nasdaq Stockholm, AAK specializes in plant-based oils that are the value-adding ingredients in many products. Based in Malmo, Sweden, it has 25 regional sales offices, 15 dedicated Customer Innovation Centers, and more than 20 production facilities.

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