Palm and Palm Kernel Oil Derivatives

Innospec recognize that palm products are a valuable natural resource sourced from high-yielding and land-efficient plantations. Increasing demand for palm oil and palm kernel oil has led to the rapid expansion of palm oil plantations, which in turn has had an adverse effect on the environment and the local communities living in these areas.

Relatively small volumes of palm and palm kernel oil derivatives are used in some of our product ranges. However, as an active participant in the palm oil supply chain and an ordinary member of RSPO (Round Table on Sustainable Palm Oil) since 2013, Innospec understand the importance of our role in encouraging the transition to more sustainable practices.


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We continue to work with our suppliers to ensure that all the palm-based materials we procure will be from sustainable sources that comply with our Principles for Sustainable Palm and Palm Oil Derivatives Sourcing, as outlined in our Sustainable Sourcing of Palm and Palm Kernel Oil Derivatives Policy:

Sustainable Sourcing of Palm Oil and Palm Kernel Oil Derivative Policy

Details of our action plan, timeline and progress against meeting these policy commitments can be found in our annual progress report.

Implementation Action Plan and Progress Report

RSPO Mass Balance Supply Chain Certificate

To enable us to achieve our commitment, all applicable Innospec manufacturing sites are RSPO mass balance (MB) supply chain certified and as such we are able to offer our customers RSPO MB versions of our products on request.

Our RSPO mass balance supply chain certificate is available below:

Innospec Inc. - BMT-RSPO-000459

Increased Transparency

In 2018, we began work to increase the transparency and understanding of our palm-based raw material supply chain. We engaged the support of an independent, third-party company to investigate, identify and risk-map the origins of palm-based materials in our supply chain. Using a methodology that is endorsed by a number of external stakeholders, rating agencies and coalitions, we analyzed our 2017 palm and palm kernel derivatives raw material volumes. Following the analysis, we achieved 99% transparency at refinery level and 95% at mill level connected to our palm derivatives supply chain. We also completed a risk assessment* of the deforestation, social and regulatory risks at geographical level (provinces, districts and mills).

Increasing the transparency of our supply chain helps us to highlight any differences and potential opportunities for improvement between our commitments and those of our suppliers. The program will help us to develop a roadmap towards deforestation-free and responsible sourcing of palm-based raw materials.

In 2019, we committed to conducting the transparency and risk-mapping exercise on an annual basis. For 2018 palm volumes, we achieved 99% transparency up to the refineries, 92% transparency up to the Mills and 11 % Transparency up to the plantations. We also updated our risk assessment* at geographical level based on 2018 volumes.

In 2020, we will be working with our direct and indirect suppliers initially targeting full transparency at mill level by 2020.

Action for Sustainable Derivatives

In 2020, Innospec have joined the collaborative initiative; Action for Sustainable Derivatives (ASD) which aims to develop a harmonized approach to supply chain transparency, risk monitoring and evaluation.

Action for Sustainable Derivatives

Palm Supply Grievance Procedure

Innospec’s Palm Grievance Policy provides a clear process for the identification, investigation and resolution of external grievances concerning the implementation of Innospec’s Sustainable Sourcing of Palm and Palm Kernel Oil Derivatives policy. We aim to provide a clear, appropriate and prompt response to any applicable grievance raised.

Innospec Palm Grievance Procedure