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Our
                               About This   President’s   About    2023    Apical2030   Approach to   Transformative
                                Report  Statement  Apical  Highlights  Highlights  Sustainability  Partnerships

          APICAL GROUP
          SUSTAINABILITY REPORT 2023
          INCLUSIVE PROGRESS








          SUPPORTING SMALLHOLDERS
          A significant portion of Indonesia’s palm oil production
          is attributed to smallholder farmers, who are key
          to the industry. Smallholders face considerable
          challenges in boosting production while adhering to
          strict sustainability criteria.







          Smallholder Inclusion for better Livelihood &
          Empowerment Programme
                                                                   SMILE Programme
          The  ‘Smallholder  Inclusion  for  better  Livelihood  &
                                                         The second phase of the SMILE Programme
          Empowerment Programme’ (SMILE) was launched
                                                         is to maintain engagement with smallholders,
          in 2020 by Apical Group, KAO Corporation, and
                                                          applying insights from the first phase and
          Asian Agri to support Indonesian Smallholders (ISH).
                                                                conducting gap analyses.
          This 10-year initiative aims to enhance smallholders’
          livelihoods by improving their productivity through
          sustainable farming practices and by fostering   The Programme aims targets smallholders
          environmental stewardship in line with sustainable   in North Sumatra, while continuing efforts
          palm oil standards.                                      in Riau and Jambi.
          The SMILE programme has assembled a team of
          experts in agronomy and plantation management       SMILE has positively improved
          to  train  5,000  ISH  overseeing  around  18,000  ha  of   3,083 smallholders.
          plantations across North Sumatra, Riau and Jambi.
          The programme has introduced specific strategies to   We ensure that every aspect of the SMILE programme
          achieve its goals, including:              adheres to the RSPO framework and aligns with the
                                                     UN SDGs. Central to this commitment is our focus on
          •  Educating  farmers  on  increasing  yields  using
                                                     empowering community-driven initiatives.
           sustainable management practices and the
           significance of adhering to NDPE policies;
                                                     Apical Group, KAO Corporation and Asian Agri
                                                     consistently interact with community leaders and
          •  Assisting   smallholders   in   obtaining   RSPO
           certification by 2030;                    NGOs to offer training and pinpoint potential areas
                                                     for enhancing engagement effectiveness.
          •  Providing training on safety practices and the use
           of safety equipment like fire extinguishers, helmets,
           and gloves.




          108  SUSTAINABILITY REPORT 2023                                                                                                                                            APICAL GROUP  109
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