McDonald's Joins Roundtable on Sustainable Palm Oil; Commits to Sourcing Sustainable Palm Oil

OAK BROOK, IL, Oct 19, 2011 (MARKETWIRE via COMTEX) -- McDonald's Corporation MCD +2.55% today announced its membership in the Roundtable on Sustainable Palm Oil (RSPO). This membership represents significant progress in the company's commitment to source palm oil only from RSPO member companies by the end of this year, and to use only RSPO-certified palm oil in restaurants and pre-cooked chicken and potato products by 2015.

"Participating in multi-stakeholder engagements such as the RSPO is one way for us to put the power and leadership of McDonald's behind commitments to continue to source sustainable ingredients such as palm oil," said Francesca DeBiase, McDonald's vice president, Worldwide Strategic Sourcing. "Sustainability issues as they relate to food are often confusing to consumers, and we can help lead the way by educating our customers on how our food is sourced."

McDonald's uses palm oil primarily within Asia-Pacific, Middle East and Africa, and Latin America as a restaurant frying oil and as a par-fry for pre-cooking of products such as French fries, chicken patties and Chicken McNuggets.

McDonald's membership in the RSPO is an extension of its Sustainable Land Management Commitment (SLMC) announced earlier this year. The McDonald's SLMC requires that, over time, its suppliers will only use agricultural raw materials for the company's food and packaging that originate from sustainably-managed lands, ensuring the food served in its restaurants around the world is sourced from certified sustainable sources. The commitment is supported by an external, third-party evaluation process.

Based on a thorough analysis conducted in collaboration with World Wildlife Fund (WWF) to identify the top raw materials which have the most potential sustainability impacts, McDonald's SLMC actions initially are focused on Beef, Poultry, Coffee, Palm Oil and fiber for Packaging.

"We are extremely pleased that McDonald's is making significant headway in showing its commitment toward the sustainable sourcing of its food ingredients. The fact that one of the world's largest consumer brands commits to the growth and use of sustainable palm oil is an important reflection of the increasing demand for sustainable palm oil in consumer markets," said Darrel Webber, RSPO Secretary General. "McDonald's membership in the RSPO reinforces the growing commitment of U.S.-based companies to sustainable palm oil. Furthermore, McDonald's pledge to source only RSPO-certified sustainable palm oil by 2015 reflects the market transformation that is currently taking place worldwide. I am convinced that McDonald's commitment will inspire other global brands to follow suit."

More information about McDonald's SLMC can be found at:

http://www.aboutmcdonalds.com/mcd/csr/about/sustainable_supply/sustainable_land_management_commitment.html .

McDonald's is the world's leading global foodservice retailer with more than 33,000 locations serving approximately 64 million customers in 119 countries each day. More than 80% of McDonald's restaurants worldwide are owned and operated by independent local men and women. To learn more about the company, please visit www.aboutmcdonalds.com and follow us on Facebook (http://www.facebook.com/mcdonaldscorp ) and Twitter (http://www.twitter.com/mcdonaldscorp )

McDonald's Corp., McDonald's, Chicken McNuggets and World Wildlife Fund are trademarks and/or registered trademarks of their respective companies.

Demand for certified sustainable palm oil surges 70%

We are extremely excited about the increase in demand for CSPO, please enjoy the article below.

By LIZ LEE 

lizlee@thestar.com.my

PETALING JAYA: Certified Sustainable Palm Oil (CSPO) saw a 70% surge in demand last month, setting off a round of cheering in the Rountable on Sustainable Palm Oil (RSPO).

It was a significant improvement from 48% a year ago. In the last two years, the demand for CSPO had increased from 25.3% in 2009 to 46.2% last year.

The positive market uptake was certainly welcomed as RSPO was recently on shaky grounds after Indonesia withdrew its membership.

Kees Vis: ‘The current number sparks hopes that a breakthrough is near.’

RSPO president Jan Kees Vis said in a statement that “the current number sparks hopes that a breakthrough is near.”

“Historically, there has always been a delay in market take-up versus production increase, as buyers of large companies have to commit as long as a year in advance to buy raw materials,” he said.

“They will only sign on to what they are sure they can actually purchase from the market in the future,” he added.

Secretary-general Darrel Webber also noted that “a significant number of retailers, consumer goods manufacturers, processors and traders have committed to 100% CSPO by 2015.”

In its efforts to further increase CSPO demand, RSPO has launched an awareness campaign. RSPO will also launch the WWF Palm Oil Buyers Scorecard 2011 next month to measure the commitment and performance of over 130 major retailers and manufacturers.

Belinda Howell from the Retailers Palm Oil Group said that “growers who have made significant investments and efforts to achieve RSPO certification have been frustrated by the lack of appetite in the market (so) it is particularly good news to see that now more than two thirds have been taken up”.

RSPO was formed in 2004 to promote the growth and use of sustainable palm oil products through global standards and engagement of stakeholders.

The association covers stakeholders from seven categories of the palm oil industry, namely oil palm producers, palm oil processors or traders, consumer goods manufacturers, retailers, banks and investors, environmental non-governmental organisations (NGO) and social or developmental NGOs.