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Blockchain Technology
One of the many alert We believe collaboration is key to establishing a transparent
systems is GLAD alerts, and sustainable supply chain. Apical is a pioneer member of
which are updated the Sustainability Assurance & Innovation Alliance (SUSTAIN),
every eight days. This which aims to:
system analyses the
most recent satellite • Improve data collection and communication NDPE progress
images and compares • Work towards greater smallholder inclusion in the sustainable
them to historical data palm oil supply chain
to identify where trees • Avoid duplication of efforts and resources through an integrated
have been lost or cut. collaborative system built on blockchain

Our Sustainability team Members and partners of SUSTAIN include palm oil producers,
receives GLAD alerts technical service organisations, palm product buyers, system
periodically. Apical and technology providers and other interested parties. In 2019,
started using both SUSTAIN conducted a pilot traceability programme with one of our
GLAD alerts and GFW suppliers located in the Batanghari Regency of Jambi, Indonesia.
Pro since 2019. This pilot project was conducted as part of a User Acceptance
Testing (UAT) and change management, involves data collection
using an application and is still on-going. Outcomes of this pilot
programme will be shared in our next sustainability report.

Handling Grievances Against Suppliers
103-3, 308-2
Apart from our own monitoring activities, issues within our supply chain
may also be identified by our stakeholders. Concerns can be raised through
the Apical Grievance Procedure outlined in the section on Our Approach to
Sustainability.

Suppliers who are suspended are required to provide clear evidence of
compliance with our NDPE commitments and grievance resolution for
re-inclusion into our supply chain. For suppliers where evidence of
deforestation has been identified, we will review our transactions with them
on a case-by-case basis depending on the nature and significance of the
impacts.
In 2020, there were six grievances raised against our suppliers related to the
clearing of forests and peatland. About 12.4% of our total supplying mills
were implicated in grievance issues as reported in our Grievance Tracker on
our website. A full list of our grievances, their status and progress toward
resolution is published on our website.

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