Traceability is of utmost importance to our business where supply chains run across our Plantation sector and KLK OLEO division. It is to ensure that our end products are sustainably sourced and produced, which is an increasingly important consideration for our stakeholders.
Traceability at Plantation
Since March 2020, KLK has achieved 100% Traceability to Plantation (TTP) for all KLK Palm Oil Mills (POM). We have also achieved 100% Traceability to Mills (TTM) for KLK Refineries and Kernel Crushing Plants.
The next challenge is to close the traceability gap of its third-party POMs suppliers, which include Smallholders, Small Growers, and FFB Dealers. We have actively taken steps to engage and understand the practices of these third-party suppliers to ensure they are traceable and sustainable. This is a long-term process and KLK will strive to convince its third-party suppliers of the importance of adopting traceability requirements.
% of traceability for the period of Oct 2021 to Sep 2022
Traceability at KLK OLEO
All sustainable produce must be traceable to its source of origin. Oleochemicals produced from KLK OLEO has a highly traceable palm oil supply chain which supports long-term ecological balance of the environment.
To further improve transparency towards traceable palm products, KLK has made available the GPS coordinates of its POMs, KCPs, Refineries and their respective supply bases below:
The percentages disclosed were tabulated based on the calculation methodology shown below:
Traceability % calculation steps per operating centre:
The information is gathered through sources from the following which includes but are not limited to:
i. Submission by suppliers
ii. Publicly available resources, e.g. supplier website traceability disclosure*, Palm Oil Mills’ audit report, etc.
iii. Information provided by 3rd party TTP Platform’s subscribers
*Traceability information does not necessarily match the sourcing period.