Asian Agri: A Case Study on Responsible Investment into Palm Oil in Indonesia

Erin Sweeney, Chrissa Borja
Grow Asia

This case study outlines the journey of Asian Agri in their investment into their palm oil smallholder partnership program in Indonesia.

Watch the video summary.

As an investor, Asian Agri’s aim was to support 30,000 smallholder households to meet a range of sustainability targets, including achieving sustainability certification and premium sharing for farmers, clearing land without burning, and replanting new palm oil trees. Each of these targets aims to improve productivity and therefore ensure steady oil palm supply for the company and farmer household incomes, while reducing extensification of agricultural land under palm oil cultivation. 

Read the full case study to learn more about how Asian Agri sees financial returns on their investment, following principles of the ASEAN Guidelines.

This case study is part of a four-part series that showcase how recent agribusiness investments in food, agriculture and forestry sectors retroactively align with the ASEAN Guidelines on Responsible Investment in Food, Agriculture and Forestry (ASEAN RAI). Critically, these case studies showcase:

  1. Social, environmental and financial results of these investments
  2. Business case for responsibly investing in supply chain projects 
  3. How agribusinesses ensure long-term sustainability and viability of their investments 
  4. Key policy recommendations and learnings for the future