In the light of environmental and social sustainability concerns in relation to palm oil from Southeast Asia, several Latin American countries see the opportunity to open export markets as they present palm oil from the region as a more sustainable option. However, social and environmental sustainability concerns are also prominent in the Latin American sector and require ongoing due diligence. In Brazil, specifically, oil palm growers have argued that palm oil production is a "green solution" to safeguard the Amazon as a result of planting on areas already degraded and cleared only before 2008. While palm oil production in the Brazilian Amazon has relatively lower environmental impacts than soy and beef, palm oil expansion has been linked to deforestation, fires, exploitive labor conditions, and land disputes. Our recent report on Brazil assessed three palm growers: Brasil BioFuels, Agropalma, and Palmaplan. We will also discuss how financiers of plantations, traders, FMCGs, and biofuel companies face financial and reputation risk if palm oil is linked to deforestation.
Please join CRR analysts for this webinar to discuss the impact of palm oil expansion in Latin America