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BA 530 Global Issues of Social Responsibility & Law Team Assignment - 2

Anglo Eastern Plantation
C9C Cohort 9-Consortium

Sandip Kundu -Joseph Anand - Amitabha Nath - Mukesh Kumar

Report Structure
• • • • • Overview Issues with Palm Oil Industry How Industry is handling them What is recommended for AEP How will this impact AEP business

Report Structure • Overview .

Report Structure • Issues with Palm Oil Industry .

Report Structure • How Industry is handling them .

Report Structure • What is recommended for AEP .

Report Structure • How will this impact AEP business .

Report Structure • Preface • Overview • Gap Analysis • Recommendations • Implementation plan • Conclusion • Appendixes .

Social and environmentally responsible Enhancement of Shareholder value Business opportunities • CSR issues in Plantation Industry       Sustainability Business Ethics Environmental Concerns Human Rights Community Economic Development Stakeholders engagement .Overview • CSR’s importance for AEP business ( Economical. Legal & Ethical)      Business operation brief Impact of AEP operation on Environment and Society Public image .

4 million Pretax profit $ 88.6 million Market Cap $ 274. Number of Employees 13831.• • • • • • • • • • Overview Incorporated in London in 1985 Listed in London Stock Exchange All operation concentrated in Indonesia and Malaysia for palm oil and rubber production Operated and managed by regional staff Total revenue in 2012 $237.0 million Planted Area 58977 h. as on end of 2012 Crude Palm Oil Production 260500 MT. .a.

Overview .

Overview Oil Palm Plantations : 40.000 ha of recently planted immature plantations Palm Oil Production Five palm oil mills in Indonesia Mill at Northern Sumatera with advanced waste management treatment for biomass disposal and biogas emission capture. .000ha of mature oil palm at 12 plantations across Indonesia and Malaysia Oil Palm Development 18.

produced 857mt of raw latex and rubber lumps. .100mt of fresh fruit for processing through own mills Rubber Plantations The Group has 678 ha of established rubber plantations which. in 2012.Overview Third party Palm Oil Processing Purchased approximately 537.

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Overview .

Overview .

electricity and clean water • Smallholder scheme – Plasma Scheme • Community development – Schooling etc • Member of RSPO ( Roundtable on Sustainable Palm Oil ) .Overview • AEP’s current CSR practices • Biomass waste disposal • Employee Welfare .Staff housing.

CSR issues in Plantation Industry  Sustainability .

CSR issues in Plantation Industry  Sustainability  Deforestation  Endangering the wild life ( Sumtran Tiger and Orang Utan )  Transparency  Compliance to laws and regulations  Use of best practices Business Ethics  Land Clearing  Corruption  .

CSR issues in Plantation Industry  Environmental Concerns  Bio diversity  Greenhouse gas emission  Haze and Forest Fire  Waste Management  Draining and Use of Peatland ( Carbon Rich Forest )  Water Management  Soil fertility Management  Natural pest control and pesticide use Human Rights  Communities dislocation  Appropriate Labor and Work Practices (Minimum Wages)  Working conditions Community Economic Development  Research & Development  Housing and Schooling Stakeholders engagement    .

Recommendations • • • Recommendations from Gap Analysis Feasibility for implementation Personal insight .

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