Fonterra statement backs up Greenpeace's accusations on rainforests

Greenpeace is condemning dairy giant Fonterra’s weak ‘claim’ that “it believes” its palm kernel animal feed comes from sustainable sources.

The wording was contained in a Fonterra statement released this afternoon, which was prompted by Greenpeace entering Fonterra’s corporate headquarters in Auckland this morning to communicate to the company’s staff the damage done by the cultivation of palm kernel.

Fonterra’s statement speaks of the palm products industry as being one which “we believe follow[s] industry best practice in responsible sourcing.”

“That statement shows quite clearly that Fonterra does not know where its palm kernel comes from,” says Greenpeace Senior Climate Campaigner Simon Boxer.

“Fonterra does not present its claims of sustainability as fact because it knows the basic maths would prove any such claim a lie.

“The Roundtable on Sustainable Palm Oil – an industry governed body – concedes that only six per cent of the world’s palm kernel is grown sustainably. But almost a quarter of the world’s palm kernel trade ends up on Fonterra’s farms - making Fonterra’s claims an impossibility,” says Boxer.

“The overseas palm industry describes palm kernel as being one of its three main products, a far cry from Fonterra’s ‘byproduct of a byproduct’ argument. Further, a recent Fonterra carbon-footprint report describes palm kernel expeller as representing 13 per cent of the value of all palm products.

“Fonterra’s statement on the sustainability of its feed is completely undermined by palm industry figures that show that NZ$230 million – the value of the feed New Zealand buys – is likely to end up in the pockets of the companies carrying out the sort of destruction Greenpeace’s documentation team found in Indonesia last weekend,” Boxer says.

Ends

For details of Greenpeace’s research, please go to:

http://www.greenpeace.org/new-zealand/en/reports/Palm-Kernel-Expeller-Q--A1/