FOE welcomes UN scrutiny over palm oil industry's abuses

On Global Human Rights Day, Friends of the Earth groups welcome United Nations scrutiny over palm oil industry and Astra Agro Lestari’s human rights abuses

Newly-public letters from UN Special Rapporteurs and Working Groups detail widespread violations in palm oil industry, add to growing concerns over Indonesian palm oil giant AAL’s destructive operations

WASHINGTON/JAKARTA/AMSTERDAM – Friends of the Earth groups welcome letters sent by seven United Nations Special Rapporteurs and two UN working groups to Astra Agro Lestari (AAL), its parent companies Jardine Matheson and Astra International, and representatives of the governments of Indonesia and China, raising concerns over land grabbing, violations of Indigenous Peoples’ rights, environmental degradation, intimidation and criminalization of environmental Human Rights Defenders, restricting farmers’ access to land for cultivation, and operating without required legal permits. The letters detail widespread abuses in the palm oil sector, reaffirming decades of documentation by scientists, civil society organizations and impacted communities.

The UN letters were sent in October 2024 and made public this week and reveal that AAL may be in violation of “rights to housing, land and property, adequate food, safe drinking water and the human right to a clean, healthy and sustainable environment of affected farmers communities and Indigenous Peoples.” They state that “violence, intimidation, criminalization of demonstrators and the overall impunity have generated an atmosphere of fear and violence, which deters communities from continuing to actively defend their land and rights.” Neither AAL nor its parent companies responded despite requests by the UN to do so within two months.

 

“AAL’s land grabbing, environmental destruction, and intimidation and criminalization of Human Rights Defenders must stop immediately and be investigated. The company should be held accountable for its abuses,” said Uli Arta Siagian, Forest and Plantation Campaign Manager at WALHI (Friends of the Earth Indonesia). “Communities on the forefront of AAL’s violent operations are calling for the return of their land taken without consent and restitution for harm done. The Government of Central Sulawesi and relevant federal agencies should establish a taskforce to remediate conflicts and deliver justice long overdue to communities. A permanent, nationwide moratorium on palm oil expansion is required to prevent deforestation and greater land conflicts between companies and communities.”

Last month, Friends of the Earth groups published an update on new reports of violence, intimidation, and threats of criminalization linked to AAL’s operations. The update included reports that Indonesian paramilitary forces fired shots to suppress protests, while AAL subsidiary PT Agro Nusa Abadi (ANA) harvested palm oil fruit on contested lands. The update highlighted how community members were issued summons for palm oil theft, detailed several regional demonstrations against AAL’s controversial operations, and exposed dubious claims of progress made by AAL toward resolving conflicts and redressing grievances.

Over the past years, cases of violence, intimidation, and criminalization have been regularly raised with global consumer brands and financiers. In addition to the UN, these cases have also been raised with Indonesia’s National Human Rights Commission (Komnas HAM). 

“Violence, intimidation, and environmental destruction are endemic to industrial palm oil operations,” said Danielle van Oijen, Forest Program Coordinator at Milieudefensie (Friends of the Earth Netherlands). “Palm oil production involves grabbing land, deforesting it, and proceeding to degrade the environment causing flooding and damaging watersheds. The UN recognizes the threats posed by the industrial palm oil production and AAL, which is an important step toward communities receiving redress and remedy. The best solution is to return land to communities and promote community based agriculture and forest management over the damaging model of industrial palm oil production.” 

In addition to growing concerns over AAL’s human rights impacts, the company was named in an ongoing government investigation into alleged corruption and money laundering in the palm oil industry. A November news report identified three AAL subsidiaries operating in Central Sulawesi – PT ANA, PT Rimbunan Alam Sentosa (RAS), and PT Sawit Jaya Abadi (SJA) – as part of the investigation. According to the report, numerous current and former AAL executives and staff have been called for questioning by the Central Sulawesi High Prosecutor’s Office. 

Notably, all three of these subsidiaries – PT ANA, PT RAS, and PT SJA – were identified as lacking the required cultivation permit (HGU) in a June 2024 report published by Friends of the Earth groups examining AAL’s governance violations and permitting irregularities. The June 2024 report indicated that PT RAS and PT SJA overlap with Indonesia’s protected forest estate, identified permitting irregularities by each company, and questioned the legality of operations. 

“Every month a new report emerges implicating AAL in violence, repression, or corruption,” said Gaurav Madan, Senior Forest and Land Rights Campaigner at Friends of the Earth US. “Despite the repeated warning signs, companies such as Procter & Gamble, Unilever, and General Mills insist on maintaining AAL’s conflict palm oil in their supply chains. These companies tout their commitments to human rights, while the UN is raising the alarm about widespread abuses. Companies and investors should sever all ties with AAL and Jardine Matheson until conflicts are resolved and land taken without consent is returned.”

In November, Indonesian civil society organization TuK filed a lawsuit against Indonesian bank Bank Mandiri, AAL, and AAL subsidiary PT ANA for environmental and human rights abuses. 

Communications contacts:
Brittany Miller, Friends of the Earth US, [email protected], (202) 222-0746
Uli Arta Siagian, WALHI (FOE Indonesia), [email protected], +628 2182 61 9212
Danielle van Oijen, Milieudefensie (FOE Netherlands), [email protected], +31634019215

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