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We are committed to sustainable sourcing of palm products and we are working with others to improve practices across the supply chain.

Our Palm Products Standard requires that all vendors of palm products within Fonterra’s supply chain are publicly committed to policies that give equivalent effect to “No Deforestation, No Peatland Development, and No Exploitation” and have business processes in place to enact these commitments.

We continue to engage vendors and work with our partners to support transformation of the palm industry towards a sustainable supply. Since 2009, Fonterra has been a member of the Roundtable on Sustainable Palm Oil (RSPO), which is a non-profit, multi-stakeholder, organization to promote the use of sustainable palm oil products through credible standards and engagement with stakeholders.

Heavy global demand for vegetable oil has made palm oil the most widely used vegetable oil across the world.

Palm oil is the most widely used vegetable oil across the world.  We believe that advocacy, and helping improve the practices and structure within the industry is the best approach to create lasting change. 

We support the production of certified sustainable palm oil and Fonterra is a member of the Roundtable on Sustainable Palm Oil (RSPO). For all Fonterra products sold in Australia, we only use RSPO Certified Palm Oil. RSPO Certification provides improved transparency and “chain of custody” to minimise the likelihood of poor practices in our supply chain. 

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Palm Kernel Expeller is a by-product of the processing of palm oil. It is used for stock feed, including for dairy cows. PKE use is limited in Australia as dairy farmers have much more locally grown supplementary feed options. 

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