Astra Agro Lestari Environmental and FPIC Problems Persist after Two Decades

Astra Agro Lestari logo. Credit: AwasMifee

Update March 03, 2025

Mongabay reported this day that United Nations special rapporteurs have called out Astra Agro Lestari for human rights violations and environmental degradation.

• United Nations special rapporteurs have singled out Indonesia’s second-largest palm oil company, PT Astra Agro Lestari (AAL), for alleged human rights violations and environmental degradation, marking the first time they’ve targeted a specific company rather than the industry as a whole.
• AAL and its subsidiaries are accused of operating without proper permits, seizing Indigenous and farming communities’ lands without consent, and suppressing protests with violence, intimidation and arrests, often with support from police and security forces.
• The Indonesian government has largely backed AAL’s operations, claiming compliance with legal standards, despite evidence that several subsidiaries lack necessary permits and continue operating illegally on disputed lands.
• Major brands like Kellogg’s, Hershey’s and Mondelēz have stopped sourcing palm oil from AAL, while global agribusiness giants like ADM, Bunge and Cargill still source from mills linked to the company, despite the ongoing allegations of rights abuses.

news.mongabay.com/2025/03/un-accuses-indonesias-no-2-palm-oil-firm-of-rights-environmental-abuses/

In light of the implications of RSPO members ADM, Bunge and Cargill, the obvious solution is for the RSPO to sanction palm oil supplies from AAL from the supply chains of heavy hitting members like ADM, Bunge and Cargill.

Update December 10, 2024

Astra Agro Lestari represents the worst of Indonesian palm oil companies in recent years.

As the second largest palm producer in Indonesia, the name Astra Agro Lestari has been synonymous with deforestation, land grabs and human rights abuses. All of which, the European Union, through its Deforestation Regulations (EUDR) is seeking to abolish in palm oil supplies to Europe.

Eliminating Astra Agro Lestari's palm oil from EU imports will not be easy as the supplies have been linked to EU facing exporters including some of the most prominent suppliers of sustainable palm oil to Europe. These include Golden Agri Resources, Musim Mas, Wilmar and Apical Group all of which have been identified as buyers of palm oil from Astra Agro Lestari.

​How will this affect the EUDR ready supply chains as claimed by Wilmar, Apical Group, Golden Agri Resources and Musim Mas?

New challenges to Astra Agro Lestari's sustainability is coming from external and internal sources.

-Friends of the Earth reports United Nations scrutiny on Astra Agro Lestari's operation for human rights abuses.
- Infosawit reports on illegal land acquisition and corruption in Astra Agro Lestari's subsidiaries

On Global Human Rights Day, Friends of the Earth groups welcome United Nations scrutiny over palm oil industry and Astra Agro Lestari’s human rights abuses
Newly-public letters from UN Special Rapporteurs and Working Groups detail widespread violations in palm oil industry, add to growing concerns over Indonesian palm oil giant AAL’s destructive operations

WASHINGTON/JAKARTA/AMSTERDAM – Friends of the Earth groups welcome letters sent by seven United Nations Special Rapporteurs and two UN working groups to Astra Agro Lestari (AAL), its parent companies Jardine Matheson and Astra International, and representatives of the governments of Indonesia and China, raising concerns over land grabbing, violations of Indigenous Peoples’ rights, environmental degradation, intimidation and criminalization of environmental Human Rights Defenders, restricting farmers’ access to land for cultivation, and operating without required legal permits. The letters detail widespread abuses in the palm oil sector, reaffirming decades of documentation by scientists, civil society organizations and impacted communities.

The UN letters were sent in October 2024 and made public this week and reveal that AAL may be in violation of “rights to housing, land and property, adequate food, safe drinking water and the human right to a clean, healthy and sustainable environment of affected farmers communities and Indigenous Peoples.” They state that “violence, intimidation, criminalization of demonstrators and the overall impunity have generated an atmosphere of fear and violence, which deters communities from continuing to actively defend their land and rights.” Neither AAL nor its parent companies responded despite requests by the UN to do so within two months. Friends of the Earth
--------

President Director of PT Astra Agro Lestari to be Questioned by Central Sulawesi High Prosecutor's Office Regarding Alleged Land Acquisition
 InfoSAWIT, NORTH MOROWALI – Investigators from the Central Sulawesi High Prosecutor's Office (Kejati) are scheduled to examine the President Director of PT Astra Agro Lestari (AALI) Tbk, Santosa, on Wednesday, December 11, 2024. This examination is related to the alleged takeover of the Land Use Rights (HGU) belonging to PTPN XIV in Era Village, North Mori District, North Morowali Regency, by PT Rimbunan Alam Sentosa (RAS), a subsidiary of PT Astra Agro Lestari Tbk.

Head of Public Relations of the Central Sulawesi High Prosecutor's Office, Laode Abdul Sofyan, SH, MH, confirmed the agenda to reporters on Friday, December 6, 2024. According to Laode, the alleged land takeover is suspected of causing state losses of up to IDR 79 billion based on an audit conducted by an independent auditor. "We are investigating the alleged money laundering (TPPU) that flows through PT RAS," explained Laode as quoted by InfoSAWIT from luwuktimes.id , Monday (9/12/2024).

To date, a number of PT AALI Tbk leaders have undergone examination, including Daniel Paolo Gultom (Head of Finance Division), Arief Catur Irawan (Director of Operations), Tingning Sukowignyo (Director of Finance), and Lusi Herdiyanti (Manager of Operations). In addition, Buntoro Rianto, auditor of Tanudireja Wibasana, and several other officials from PT AALI subsidiaries, have also been examined.

From PTPN XIV, investigators examined the former director for the 2019-2021 period, Ryanto Wisnuardhy, and Suherdi, the former director for the 2021-2022 period.

Responding to Santosa's planned examination, Media Manager & PR Analyst PT AALI Tbk, Mochamad Husni, stated that he had not received official information. "So far, I have not received any news about it," said Husni.

In a previous press conference in Palu, Husni emphasized that PT AALI had never evaded a summons from the High Prosecutor's Office. "Sometimes there are busy or very urgent matters so we ask for rescheduling," he said. Husni also emphasized PT AALI's contribution to regional development and improving the economy of residents.

"We respect the ongoing legal process and will provide full support," concluded Husni.

The investigation into Santosa will be of public interest because the case concerns land management and alleged violations of the law by one of Indonesia's largest companies. Info Sawit
---------

Astra Agro Case Continues, Head of Finance Division of Astra Agro Lestari to be Questioned by Central Sulawesi High Prosecutor's Office
InfoSAWIT, CENTRAL SULAWESI – The Central Sulawesi High Prosecutor's Office (Kejati Sulteng) investigation team examined the Head of the Holding Finance Division of PT Astra Agro Lestari Tbk., (AALI), Daniel Paolo Gultom, regarding the alleged flow of funds from PT Rimbunan Alam Sentosa (RAS) to Astra Agro Lestari. The examination took place from 09.20 WITA to 17.30 WITA, Thursday (7/11).

Daniel Paolo's examination was previously scheduled for Monday (4/11) but was postponed due to certain obstacles. In addition to Daniel, the Central Sulawesi High Prosecutor's Office also summoned Arief Catur Irawan, Operational Director of Astra Agro Lestari, for examination on Wednesday (6/11), but Arief did not attend.

The Central Sulawesi High Prosecutor's Office is investigating several Astra Agro Lestari subsidiaries that are suspected of having problems, namely PT SJA, PT ANA, and PT RAS. Several leaders in these subsidiaries are also being investigated, including Oka Arimbawa, the manager of PT SJA who also plays a role in PT ANA and PT RAS, and Doni Yoga Pradana, the Director of PT SJA. Info Sawit
--------

Allegations widen against Indonesian palm oil giant Astra Agro Lestari

• Subsidiaries of Indonesia’s second-biggest palm oil company, PT Astra Agro Lestari (AAL), are running illegal plantations, grabbing community land, and intimidating critics, according to a new report by NGOs.
• The report is a follow-up to a 2022 report by Friends of the Earth, and identifies at least 1,100 hectares (2,718 acres) of the subsidiaries’ concessions that lie inside forest areas that should be off-limits to plantation activity.
• The NGOs also interviewed community members who say they weren’t consulted on the plantations in their midst and never gave their consent.
• The allegations of ongoing violations should prompt buyers of AAL’s palm oil and the financial institutions bankrolling its operations to put pressure on the company, FoE says.​

Allegations widen against Indonesian palm oil giant Astra Agro Lestari

July 24, 2024

Civil society groups demand sustainable palm oil body reject Indonesian palm oil giant Astra Agro Lestari’s membership
Public letter from over 30 organizations highlights AAL’s environmental, human rights, and governance violations and charges RSPO with greenwashing conflict palm oil companies

WASHINGTON/JAKARTA/AMSTERDAM – Today, 32 international civil society groups sent a public letter to the Roundtable on Sustainable Palm Oil (RSPO), calling on the palm oil industry sustainability body to withhold membership from Astra Agro Lestari (AAL) – Indonesia’s second largest palm oil company. Two weeks ago, AAL announced that it had submitted a formal application for RSPO membership. The announcement included a statement of “full support” from the RSPO.  More Friends of the Earth

July 16, 2024

Nigerian communities reach out to RSPO to resolve complaints similar to those in Sulawesi
The host communities of oil palm companies in Edo State are alleging injustice, violations of rights and devastation of their environment by the companies.
The communities made their cases at a Roundtable on Roundtable for Sustainable Oil Palm, RSPO, organized by the Community Development Advocacy Foundation, CODAF, in Edo State.
At the roundtable on RSPO were several communities from Ovia North East, Ovia South West and Uhunmwonde local government areas; representatives from the Edo State ministry of Agriculture, civil society organizations, student environmental groups and other stakeholders.

Speaking at the event, the Director of Campaigns and Administration of CODAF, Maimoni Mariere Ubrei-Joe who facilitated the program, explained  how the RSPO principles and key criteria can be applied by local communities in holding oil palm plantations accountable, reading out the principles of the document and how the rights of the people have been violated, in respect to the provisions of the RSPO document and its deliverables. More VanguardNGR
--------

Update July 11, 2024

BREAKING NEWS ON ASTRA AGRO LESTARI

Info Sawit reports that Astra Agro Lestari has joined the RSPO

Joining the RSPO is a simple act. Getting its operations certified under the RSPO is a much more complicated matter due to the many accusations of land grabs, deforestation and human rights abuses. 

Update June 28, 2024

Is Astra Agro Lestari Operating on Protected Forestland?
Friends of the Earth says Astra Agro Lestari’s sourcing methods infringe on protected forests in Indonesia, causing deforestation. The company disputes that. More at Inside Climate News

Update June 27, 2024

Friends of the Earth's new report on Astra Agro Lestari receives wide media coverage

-Indonesia palm oil firm accused of illegal deforestation
JAKARTA (AFP) – Poor oversight and confusing regulations are allowing one of Indonesia’s top palm oil producers to operate concessions in protected forest areas, a new report alleged.

Friends of the Earth United States, Indonesia and Netherlands blame a “complex, poorly enforced and frequently changing legal regime” for a rise in deforestation linked to palm oil, as well as for growing clashes with local populations.

They single out Astra Agro Lestari (AAL), one of Indonesia’s top palm oil producers, alleging the firm is operating in protected forest areas and apparently without required government permits. Borneo Bulletin

-New Report Reveals Indonesian Palm Oil Giant’s Violations More Widespread Than Initially Documented
26 June 2024
Source: Friends of the Earth UK Agro Consult

-Indonesia Palm Oil Firm Accused Of Illegal Deforestation
By AFP - Agence France Presse
June 26, 2024 Barron's

Update June 25, 2024

New Report Reveals Indonesian Palm Oil Giant’s  Astra Agro Lestari Violations More Widespread Than Initially Documented
Household consumer brands and global financiers face mounting reputational and financial risks by enabling conflict palm oil from Astra Agro Lestari, Indonesia’s second largest producer

WASHINGTON/JAKARTA/AMSTERDAM – Today, Friends of the Earth US, WALHI (Friends of the Earth Indonesia), and Milieudefensie (Friends of the Earth Netherlands) released a new report detailing how protracted land conflicts, governance failures, and a lack of accountability define Astra Agro Lestari’s operations in Indonesia. The report reveals that AAL’s environmental and governance violations appear to be more extensive than initially documented, including: illegal palm oil cultivation inside Indonesia’s forest estate; ongoing intimidation and criminalization of environmental human rights defenders; and several AAL subsidiaries operating without required permits.
The report – Cultivating Conflict: How Astra Agro Lestari, Brands and Big Finance Capitalize on Indonesia’s Governance Gaps – also details how consumer brands and agribusiness traders that source from AAL, and financiers that bankroll AAL, all take advantage of weak governance and administrative failures in Indonesia to maintain business as usual.

Key findings include: 

17 AAL subsidiaries’ palm oil concessions overlap with 17,664 hectares of Indonesia’s forest estate. 74 percent of AAL’s concessions in the forest estate are in Sulawesi, where 7 AAL subsidiaries’ concessions overlap with more than 13,000 hectares of Indonesia’s forest estate. 
At least 1,100 hectares of AAL’s palm oil plantations in Indonesia’s forest estate appear to be illegal.
Three AAL subsidiaries in Sulawesi are operating without the required cultivation permit (HGU).
Agribusiness traders ADM, Bunge, Cargill, Olam – amongst others –  continue to source palm oil from mills associated with implicated AAL subsidiaries.
At least 18 global consumer brands, including Unilever, Barry Callebaut, and General Mills, have a recent history of sourcing palm oil from AAL.
Financiers including BlackRock, Vanguard, HSBC and Dutch pension fund ABP continue to provide substantial financing to AAL and its parent companies.​

Update March 08, 2024

Friends of the Earth groups welcome Norges Bank’s exclusion of Jardine Matheson, Astra International over environmental and biodiversity impacts
Divestment is latest signal that financiers are prepared to cut ties with palm oil giant Astra Agro Lestari and its parent companies

WASHINGTON – Friends of the Earth groups welcome Norges Bank’s announcement last week that it has excluded Jardine Matheson Holdings, Jardine Cycle & Carriage, and Astra International from the Norwegian Government Pension Fund Global (GPFG) due to negative environmental and biodiversity impacts related to the Martabe Gold Mine in Sumatra, Indonesia, and threats to the critically endangered Tapanuli orangutan and other endangered species. At the end of 2022, the GPFG owned $236 million of shares in the three companies. Read more at FOE

Update February 26, 2024

Class Action Lawsuit Against Astra Agro Lestari Initiated

PASANGKAYU – The first trial of the class action lawsuit opened on February 22 2025 at the Pasangkayu District Court. This lawsuit is based on Law No. 23 of 1997 concerning the Environment and PERMA No. 1 of 2002.

This trial occurred because of strong suspicions that PT Pasangkayu had committed unlawful acts, namely confiscating community land and not fulfilling other community rights. This initial trial began with the submission of files from the plaintiff and the defendant.

At this initial trial, only a few of the defendants were present, such as PT Pasangkayu, PT Astra Agro Lestari and BPN Pasangkayu. There are still many who have not attended this trial, for example President Jokowi or his legal representatives.

The Community Group Legal Advisor, known as Soni, said that this trial would reveal the facts as widely as possible without covering anything up.

"We are fighting for society together. Let's open up the darkness all this time. "Perhaps this is the beginning. Because we feel sorry for the community, including the Ako group...et al..," said Soni, the legal representative for the community group, firmly.

In this case all the Defendants are as follows:
1. PT PASANGKAYU
2. PT ASTRA AGRO LESTARI
3. PT ASTRA INTERNASIONAL
4. President Jokowi
5. Aswan Alias ​​Ambang
6. Head of the Plantation Department of Pasangkayu Regency
7. Head of West Sulawesi Forestry Department
8. BPN Pasangkayu
9. Head of Pasangkayu Subdistrict
10. Head of Martajaya Village
11. Head of Pakava Village
12. Head of Gunung Sari
Village 13. Head of Karya Bersama Village

This class action hearing was represented by Mr. Hata Palugu's group, represented by Mrs. Dalailah, S. Pd and the Prosperous Farmers Group. However, he was also present at the trial of the Community Group SUCCESSORS OF RI INDEPENDENCE from Ako Village.

"We are here in solidarity, for the sake of and for ecological justice and the truth so far, the facts of which must be revealed," said the representative of the Indonesian Independence Successor Group. News report in Bahasa 
 
Update February 17, 2024

Astra Agro Lestari's CEO Sentosa, claims to have "used the NDPE policy since 2015" in a media statement.

Full article can be read on Antara News.

While he focused on deforestation and the environment, Astra Agro can only claim to have "used NDP" which means no deforestation, no peat. The ongoing conflicts with villagers in Sulawesi disqualifies Astra Agro from claiming no exploitation.

As defined by Sustainable Palm Oil Choice:

"No exploitation
This part of the commitment highlights the fact that it is not only natural resources that must be protected, but also the indigenous communities who live next to them. This means they must be involved in decision making about projects which will affect them. It means smallholders and workers are supported, gender equality is promoted, and child labour is prevented wherever possible."

Update January 18,2024

Indonesian media Info Sawit published a news report stating that Astra Agro Lestari "is believed to be joining the RSPO this year (2024)

The report is seen as presumptuous as its based simply on the attendance of Astra Agro Lestari at RSPO events.

Should this report be true, Astra Agro Lestari membership in RSPO, will help to clean up the supplies of key RSPO members in Musim Mas, Apical, Golden Agri Resources and Wilmar, which have all been said to have purchased from Astra Agro Lestari.

However, the immediate task prior to audits and certification, has to be the resolution of decades old agrarian conflicts which continues to this day.

Update December 23, 2023

Astra Agro Lestari gets the dishonorable distinction of being tweeted by Mary Lawlor, UN Special Rapporteur on Human Rights Defenders

Update December 09, 2023

Friends of the Earth groups denounce recent case of intimidation by Astra Agro Lestari, call for immediate de-escalation
AAL security staff visited two Sulawesi women who recently criticized the palm oil company’s harmful operations

JAKARTA/WASHINGTON/AMSTERDAM – Friends of the Earth (FOE) groups strongly denounce the most recent instance of intimidation by Astra Agro Lestari (AAL) against community members who are calling for the return of their land taken by the company without consent. 

On December 4, staff and security agents from AAL – Indonesia’s second largest palm oil company – visited two women in Rio Mukti village in Central Sulawesi, Indonesia, insisting they sign a letter stating there was no land conflict between AAL-subsidiary PT Lestari Tani Teladan (PT LTT) and local communities. 

The visit came two days after WALHI (Friends of the Earth Indonesia) shared a video featuring the two women speaking about the adverse impacts of AAL’s operations and calling for the return of communities’ lands. FOE groups are calling on all concerned parties, including Indonesian authorities, to intervene and de-escalate the situation immediately. Friends of the Earth

Update December 01, 2023

EcoNusantara Investigations on Astra Agro Lestari Disappoints Certified Palm Oil Supplies

• Astra Agro Lestari (AAL) was accused of violations of principles and practices governing certified sustainable palm oil production
• As the second largest palm oil company in Indonesia, palm oil from Astra Agro Lestari maybe found in the certified sustainable palm oil supply chains of major Indonesian exporters that sell to Europe
• The accusations against AAL and its subsidiaries go back to the 1990s when its plantations were being developed. Under pressure from its buyers, AAL appointed an independent group, EcoNusantara to review the accusations earlier this year.

While the appointment of EcoNusantara was received with some hesitation on the part of villagers affected by AAL, there was some hope, that EcoNusantara would be fair and unbiased in reviewing the accusations. The hope was that once EcoNusantara’s field staff heard and saw what the villagers grievances were, that the group would suggest solutions or means of remediation.

The initial fears of EcoNusantara’s ability to come up with solutions, has been realized as the group published its findings.

EcoNusantara Report a Blame Shifting Exercise

EcoNusantara’s report is a shallow exercise in shifting blame for the conflicts onto anyone except AAL. It reads like a justification of the problems with AAL’s operations by claiming weak legislation, poor mapping data and the absence of standards to govern sustainable palm oil production.

It is true that the concept of sustainable palm oil was not around when AAL started developing its plantations in Sulawesi decades ago. Yet, this whole exercise was supposed to cast AAL’s operations in the light of certified palm oil as we know it in 2023.

Climate Advisers had called out Astra Agro Lestari in 2019, that AAL was problematic for certified palm oil supply chains and less likely to accept external pressures to follow the principles of sustainable palm oil production.

We found that a few common factors helped these companies sustain a market for unsustainable palm oil. All five companies are owned by majority shareholders that have no interest in adopting more sustainable practices. For instance, Astra Agro Lestari has a single shareholder with 80% of its stock. This dynamic means shareholder pressure is concentrated, and investor pressure for change is more unlikely than in companies that do not have a powerful majority shareholder.

In its 2021 report on palm oil, Mighty Earth named the following companies as traders of Astra Agro Lestari palm oil.

AAK, ADM, Apical, Bunge (indirect) Cargill, COFCO Int, Fuji Oil, GAR, IFFCO, Itochu, KLK, LDC, Mewah, Musim Mas, Olam, Pacific Interlink, Sime Darby, Wilmar

Which affected such well-known consumer brands as:

Colgate-Palmolive, Danone, Ferrero Rocher, Friesland Campina, General Mills, Hershey, Johnson & Johnson, Kellogg’s, Mondelēz, Nestlé, P&G, PepsiCo, PZ Cussons, Reckitt Benckiser, Upfield, Unilever, Vandemoortele

The list reads like a celebrity attendance at a major event as these are companies that have made big public commitments to support sustainable palm oil production through certification with the RSPO.

Where CSPO could have resolved problems

The fact that so many RSPO members in traders and consumers brands could be supporting conflict palm oil, should have been reason enough for the RSPO to engage. For the uninitiated, the group website makes bold claims like:

Making the palm oil sector sustainable involves everyone in it. That is why the RSPO represents the whole industry. With thousands of members worldwide from every link of the palm oil supply chain, we operate through consensus, ensuring all our stakeholders have a voice and share responsibility to protect our Standards.

Having zero influence on AAL, whose palm oil could be implicated in so many “RSPO certified” supply chains, makes a mockery of the RSPO. This is unfortunate as its core principles could have provided solutions.

For example:

• Free and Prior Informed Consent (FPIC) is a foundation for CSPO. Its historical absence from AAL’s supply chain does not excuse RSPO members from continued support for AAL’s productions.
• Quoting inconsistent data and maps as a long-standing issue or cause for land conflicts, is not an excuse either. CSPO is supposed to resolve these issues even if it has to drag out communities and local governments to draw the boundaries.

As it stands, EcoNusantara’s review of AAL would appear to be an endorsement of AAL’s operations so that the company can continue with “business-as-usual,” as Matt Piotrowski and Sarah Lake wrote for Climate Advisers.

The thing is, the burden of proof should not be set so squarely on the shoulders of victims, as EcoNusantara has done.

Community responses received this December 01, 2023, shows how superficial, the EcoNusantara report is.

From Rio Mukti village, on the topic of compensation for lands, one villager reported a disturbing discrepancy in EcoNusantara’s report:

“That's all not true, it's the ENS version. I was said to have received compensation in 2006, in fact I was studying in Palopo in 2005
In my understanding, ENS is siding with AAL, the public has been suspicious from the start.
In my opinion, it would be better if all parties were willing to go to the location of the dispute and re-measure the HGU to ensure that the object of the dispute between the Rio Jaya farmer group is within HGU or outside HGU, to determine whether our object is in South Sulawesi or Central Sulawesi”

Dedi Lasandindi, a vocal human rights activist, responded to the EcoNusantara review simply by asking AAL companies to publish the Hak Guna Usaha or official cultivation rights.

According to Dedi, there are major environmental discrepancies which EcoNusantara should have looked into, instead of merely investigating villagers land claims.

PT Pasangkayu obtained a forest area release permit from the Ministry of Forestry number 98/kpts-II/1996 for an area of ​​only 5,008 hectares.  However, in the field it manages almost 14,000 hectares. So there is an excess of around 8992 hectares or almost 9,000 hectares.  This is a very clear violation of human rights, namely usurping the people's territory.

As long as the decades old conflicts remain unresolved, AAL will continue to be a huge black eye for the Roundtable on Sustainable Palm Oil which has no influence on what AAL does or does not do. This renders the commitment of global companies to certified sustainable palm oil, like Cargill, almost meaningless.

In the notable absence of the RSPO, members have resorted to taking a “do-not-buy-from-AAL” position.  which is unfortunate for the credibility of the RSPO, as it was supposed to be THE instrument to right the wrongs of the palm oil industry.
​
This has to be a troubling factor for EU facing palm oil companies as EU Deforestation Regulations loom ahead. How will they meet EU criteria for palm oil exports when conflict palm oil from AAL has been traced to their supplies?

Update November 27, 2023

WALHI and Friends of the Earth US Response to Verification Report by Astra Agro Lestari and Eco Nusantara on Environmental and Human Rights Violations in Sulawesi, Indonesia
November 2023
In March 2023, Astra Agro Lestari (AAL) announced that it had hired consultant group Eco Nusantara to conduct an investigation into allegations of environmental and human rights violations by its subsidiaries and that it had finalized the Terms of Reference (TOR) for the investigation. In October 2023, AAL’s consultants shared the resulting verification report from the investigation, entitled: Verification of Complaints Against PT Mamuang, PT Lestari Tani Teladan and PT Agro Nusa Abadi, Raised by Friends of the Earth–US (FoE-US) and Walhi. This analysis illuminates the inadequacy and inaccuracies in the report’s narrow focus and findings, and reveals critical flaws in the investigation. The inadequate and inaccurate results of the investigation and verification report constitute profound missteps toward the goals of resolving protracted land conflicts, redressing grievances, and ensuring remedy for harm done to communities in Sulawesi impacted by AAL and its subsidiaries’ operations. FOE

Update September 22, 2023

Human Rights and Environmental Activists Highlight PT's Allegations. Pasangkayu Manages Forest Areas, KPH Pasangkayu: I Will Follow Up

Media Indonesia Times | Human rights and environmental activists highlighted the alleged existence of PT. Pasangkayu is a subsidiary of PT. Astra Agro Lestari Tbk. operating within protected forest areas.

This finding further confirms that the practice of developing oil palm plantation companies in the Pasangkayu Regency, West Sulawesi Province has been carried out by clearing (deforestation) and occupying and taking the proceeds allegedly in protected forest areas for decades.

This is summarized in the demands of Community Organizations (Ormas) and Farmer Groups in several villages in Pasangkayu Regency which were investigated and it was found that the age of the oil palm plantations had reached 26-27 years. This means that the garden has been in a forest area since 1997. Media Indonesia Times

---------
Update on Astra Agro Lestari's conflicts with local villagers, September 18, 2023

The farmers group, Sinar Rio Jaya, from Rio Mukti village in Sulawesi, Indonesia, have issued a public statement in response to Kellogg's suspension of palm oil from Astra Agro Lestari

Palm Oil Smallholders Urge Buyer Support to Resolve Astra Agro Lestari Conflicts
Smallholders represented by Sinar Rio Jaya, a farmers group from Rio Mukti village in Sulawesi, applaud Kellogg’s move to suspend purchases from Astra Agro Lestari (AAL).
It has been reported that Kelloggs has joined foreign buyers from Pepsico, Hershey’s and Mondelez in suspending purchases of palm oil from AAL.
Sinar Rio Jaya, as a farmers group that is impacted directly by AAL, has two concerns over the suspension of AAL.

1. AAL palm oil can still make its way into the supply chain of Kelloggs etc unless the Indonesian suppliers of palm oil to Kelloggs, including Wilmar, Golden Agri Resources, Musim Mas, Apical Group and others, implement supply verifications to exclude palm oil from AAL.
2. While this may serve to clean up supply for Kelloggs, Sinar Rio Jaya farmers are concerned that the exclusion of AAL palm oil, may also exclude them from the more profitable markets that is provided by AAL customers like Kelloggs.

With this in mind, Sinar Rio Jaya urges AAL buyers to keep AAL in suspended supply chains but not banned, as the company is important to smallholders in Sulawesi.
AAL has committed to resolving all agrarian conflicts six months after the appointment of EcoNusantara as a third party verification.
Sinar Rio Jaya expects conflict resolution process to start in October, 2023.
Our concerns have been noted by EcoNusantara. Land claims have also been mapped by EcoNusantara, copies of which are attached. Sinar Rio Jaya

​Land claims as supported by images below

Update on the problems at Astra Agro Lestari. September 15, 2023

Mongabay reported that Kellogg's has taken action against Astra Agro Lestari

 JAKARTA — U.S. food giant Kellogg’s is the latest major consumer brand to suspend its purchases of palm oil from Indonesian plantation giant Astra Agro Lestari, following reports of environmental and social violations. The cereal maker joins the likes of Hershey’s, PepsiCo, and Oreo maker Mondelēz in distancing itself from AAL, the second-largest palm oil company in Indonesia.

The challenge for these multi-national corporations is not as simplistic as suspending purchases of palm oil from Astra Agro Lestari. Astra Agro Lestari palm oil could very likely be found in the certified supply chains of RSPO members. Therefore, consumer goods companies like Kellogg's would have to work with palm oil suppliers in its entire supply chain, to verify that Kellogg's has indeed, suspended palm oil purchases from Astra Agro Lestari.

Update Statement from the Communities against Astra Agro Lestari
August 12, 2023

 1. Ako Village

 2. Jono Village

 3. Jengeng Raya Village

 4. Rio Mukti Village

 5. Polanto Jaya Village

 6. Lariang Village

 7. Kabuyu Village

From Central Sulawesi and West Sulawesi Provinces in Indonesia

●Together with this letter we urge internal and external Stakeholders of PT Astra Agro Lestari's subsidiary to return people's management areas, build Plasma plantations, return enclaves of 200 hectares each and uphold human rights.

●The subsidiaries of PT Astra Agro Lestari that we mean are PT Pasangkayu, PT Mamuang and PT Letawa

●PT Pasangkayu has not built a Plasma Plantation, deforested a protected forest area and planted oil palm in the forest and has not returned the 748 hectare people's management area

●PT Mamuang does not control according to the concession, does not develop plasma plantations, seizes people's management areas around Kabuyu and Rio Mukti and there are no enclaves

●PT Letawa has not built a Plasma Plantation, has not returned the enclave for the Lariang Village Community of 200 hectares and has managed more than the concession that has been granted by the government

●The three subsidiaries of PT Astra Agro Lestari committed nearly the same violations and the main one was never establishing a Plasma Plantation.  This is very detrimental to society and does not respect human rights

●Villagers have been in conflict for decades with a subsidiary of PT Astra Agro Lestari, whose oil palm plantation was built on disputed land, was built on an area that did not comply with government permits or did not comply with the concession, was not built with community approval and there was no information to the community (FPIC).  And so far we have never built a Plasma Plantation or built a Garden on a Protected Forest Area

●We hope that everyone will be able to give influence to help us recover and restore the people's management area which is still under the control of a subsidiary of PT Astra Agro Lestari.

●PT Astra Agro Lestari  must return community land taken without consent, provide compensation for loss of land and livelihoods and carry out environmental restoration and uphold human rights.

●PT Astra Agro Lestari must be committed to returning land to the community that has been taken without the community's consent.  This is the necessary starting point to end the protracted conflicts that have been carried out by the Company for decades and to prevent disputes and enmity as well as things that are not desirable.

●Thus we convey it to be noticed, followed up and realized.

Signed :

Division of Human Rights and Environment Farmers Center, As Community Representative

Contact Person : +6281288968381 (WhatsApp,Telegram and Signal)

Statement from the community of Rio Mukti, Sulawesi against Astra Agro Lestari
July 12, 2023

On the behalf of communities and farmers in Sulawesi, Indonesia, we urge global palm oil buyers who buy palm oil from Astra Agro Lestari, to use their influence, to force Astra Agro Lestari to recognise the land rights of communities.

As affected villagers, we do not understand why Astra Agro Lestari created a new subsidiary, PT Mamuang when its existing subsidiary, PT LTT, had a harmonious relationship with our communities since 2000. 

As for the 172 hectares of community lands granted by Astra Agro Lestari to our community under its subsidiary PT LTT, the verification company hired by Astra Agro Lestari, EcoNusantara, took GPS coordinates of the area in a ground visit accompanied by community members on May 27, 2023.

The GPS coordinates as understood by participating community members, was accepted.

It was therefore seen as suspicious, when EcoNusantara asked to revisit our communities to re-measure the contested lands under the agrarian conflict with Astra Agro Lestari. GPS markers do not lie as community members have proven documented rights to land with an agreement signed by an authorised representative of Astra Agro Lestari, with appropriate markers to show historical cultivation of these lands under the rights granted by PT LTT.

We urge the global buyers of Astra Agro Lestari palm oil, Wilmar International, Golden Agri Resources, Musim Mas, Apical Group and their buyers in Unilever, Nestle, P&G and other multinational brands identified by Friends of the Earth report on our agrarian conflict, to support our claim to the 172 hectares granted by PT LTT, which has now been mapped by EcoNusantara.

We demand compensation for the crops destroyed by Astra Agro Lestari’s PT Mamuang, who created this controversy in an attempted land grab.

We further demand that Astra Agro Lestari, rectify the environmental damage caused by its subsidiaries which includes flooding of community farms and areas that has made our communities inhospitable to farming and basic living.

Should Astra Agro Lestari continue to deny us our rights and livelihoods, we strongly urge the above named global companies, to stop buying from Astra Agro Lestari until our rights and livelihoods are returned.

Update on Agrarian Conflict between Astra Agro Lestari and villagers in Sulawesi
July 10, 2023. Mongabay
Indonesia’s No. 2 palm oil firm faces global backlash over community conflict
A growing list of global household brands, from PepsiCo to L’Oréal to Hershey’s, have suspended their purchases from Astra Agro Lestari (AAL), Indonesia’s second- largest palm oil producer.
The move comes in the wake of reports of land grabbing, environmental degradation and criminal persecution of human rights defenders by AAL and its subsidiaries operating in Central Sulawesi province.
AAL has launched an independent investigation into the matter, but NGOs say the process is unnecessary as the evidence of violations is plain.
They say the company should instead focus on returning the land it claims to the farmers and communities who were there first.
CENTRAL SULAWESI, Indonesia — Karolus Kolong, a 62-year-old villager on Indonesia’s Sulawesi island, has spent nearly two decades fighting to get his land back from palm oil giant Astra Agro Lestari.

AAL, as the company is known, is the second-largest plantation company in Indonesia, which in turn is the world’s largest producer of palm oil. AAL’s global reach means its palm oil could, until recently, be found in products made by household brands like PepsiCo and Nestlé.

In 1995, Karolus was part of a group of more than 50 families who migrated from their village in East Nusa Tenggara province to Rio Mukti village in Central Sulawesi in search of a better life. Mongabay

UPDATE on Agrarian Conflict between Astra Agro Lestari and villagers in Sulawesi
June 3, 2023. The farmers of Sulawesi whose livelihoods were impacted by Astra Agro Lestari (AAL) subsidiaries in Sulawesi are pleased to update the global stakeholders with an interest in AAL palm oil supply chains.
The agrarian conflicts started in 1997, when AAL was given licenses by the government to cultivate oil palm in Sulawesi. Despite multiple well documented protests that were published in Indonesia and in foreign press, the conflicts continued until 2023 when AAL appointed a third party, EcoNusantara, to verify all complaints and claims by Sulawesian villagers.
On May 28, 2023, the villagers and farmers met with field teams from EcoNusantara. The teams were warmly welcomed by villagers who seek a resolution to this old agrarian conflict.
During their visit to the affected villages, mapping work was conducted by EcoNusantara as well as other activities to verify villager complaints.
With the conclusion of EcoNusantara’s field visits in AAL’s Sulawesi operations, the villagers would like to share the following information.

1. Map work as conducted by EcoNusantara, will clearly show which lands are being managed by local villagers. We expect EcoNusantara to recommend that AAL recognize these lands as belonging to local farmers and villagers. We expect AAL to issue land certificates or their equivalent, to express AAL recognition of these lands as belonging to farmers. We further expect AAL to support villagers land claims should the government require this.
2. Environmental problems as caused by AAL companies. Affected villagers within AAL operation areas demand that AAL companies in Sulawesi, should do land remedial actions to prevent the regularly flooding of villages and farm areas. Several landscape problems have been identified by villagers that lead to flooding due to poor water management by AAL companies.
3. Fair Wages and human rights. We further demand that AAL companies pay their workers, especially those who live in affected villages, fair wages in return for their labor. We further demand that AAL provide training and Personal Protection Equipment (PPE) for the health and safety of their workers, especially those villagers who handle toxic agricultural chemicals or heavy machinery.
4. Compensation for Lost Profits. Farmers whose fields were lost to AAL land grabs demand fair compensation for Lost Profits when their farms were seized by AAL companies.

The villagers and farmers whose lives have been impacted by AAL companies, believe these demands are fair and should be met by AAL. Sinar Rio Jaya

Update May 26, 2023

In this case of Kabuyu village vs Astra Agro Lestari, a developing situation on the ground begs the question, are NGOs exploiting local villagers to keep their pet project burning?

Short summary: after months of pressure by local villagers for Astra Agro Lestari to resolve the decades old agrarian conflict in Sulawesi, AAL finally appointed EcoNusantara as an independent third party to verify the claims so that solutions can be sought. Private discussions held between CSPO Watch and villagers from Kabuyu and Rio Mukti showed a high level of anticipation for the arrival of EcoNusantara. This was seen as an opportunity for affected villagers, to finally prove, that their lands were wrongfully taken away when the government issued the licenses to Astra Agro Lestari.

WALHI and its foreign funder, Friends of the Earth, tried to derail the opportunity for resolutions by telling villagers to "reject EcoNusantara."

This mind-boggling call to reject solutions was repeated in a post on Friends of the Earth website ​"Friends of the Earth groups reject investigation into environmental and human rights violations by Indonesian palm oil company"

WALHI (Friends of the Earth Indonesia) refused to attend the kick-off meeting*, which was subsequently canceled.
The scheduled meeting comes after AAL published a “progress update” on its website stating that it is in communication with Friends of the Earth US and received buy-in from WAHLI on its investigation. In actuality, Friends of the Earth US has consistently stated that the substance and process of the investigation – unilaterally dictated by AAL and its consultants** – is insufficient and problematic, while WALHI has not agreed to the investigation’s terms or framing. 
AAL and Eco Nusantara also incorrectly claimed that WALHI was participating in the investigation’s kick-off meeting on May 25. WALHI rejects this characterization and the current investigation, reiterating that AAL must return land back to communities taken without their consent, issue a public apology, provide compensation for loss of lands and livelihoods, and conduct environmental restoration based on facts of the case that have emerged over the past year. 

“We continue to call on AAL to act on the evidence in the public domain to provide remedy to those that have lost their lands and livelihoods due to the company’s operations,” said Aulia Hakim, Lead Campaigner at WALHI Central Sulawesi.
“Communities have made it clear that they are not interested in endless, one-sided investigations,”*** said Uli Arta, Forest and Plantation Campaigner at WALHI. “AAL must commit to returning land back to farmers and communities that has been taken without their consent. This is a necessary starting point to end protracted conflicts that have plagued the company’s operations in Sulawesi for decades.” 

*The kick-off meeting as Friends of the Earth called it, was actually seen as a courtesy extended since Friends of the Earth had complained publicly about Astra Agro Lestari. This call to include them made sense as the company meets with villagers through an independent third party. It is regrettable overall, that Walhi refused to witness the resolution of this decades old agrarian conflict.

** Regardless of the substance and process of the investigation as understood by Walhi, our position to affected villagers in Kabuyu and Rio Mukti has always been to present the basis of their complaints and have EcoNusantara review those complaints in the field. It did not matter what "substance or process" was being brought by EcoNusantara.

*** This is an exaggeration concocted by Walhi to persuade villagers to not meet with EcoNusantara. Astra Agro Lestari's appointment of EcoNusantara should be seen as an independent party to assess the complaints of villagers against the background of an industrial plantation accused of land grabs.

The RSPO was offered a chance to show its worth in late 2022,  as Astra's palm oil supply impacts prominent RSPO member supplies. Unfortunately for the villagers of Sulawesi, the RSPO chose to "wash its hands of" the problem of Astra despite the fact that Astra's palm oil is in the 93% of RSPO certified palm oil making its way to the EU.

In the absence of credible verifications of villagers complaints, EcoNusantara should be seen as a valid apppointment by Astra Agro Lestari, to check all accusations against the company, before solutions can be achieved.

As of this writing on May 26, 2023, farmers in Sulawesi affected by Astra Agro Lestari, have chosen to reject Walhi's call to reject EcoNusantara. A meeting between farmers and EcoNusantara is scheduled for May 27, 2023 where farmers and affected villagers in Kabuyu and Rio Mukti will present their grievances as the first step towards resolving this decades old problem.

Update May 19, 2023

Friends of the Earth, UK joins the fray in Kabuyu village vs Astra Agro Lestari.
Unilever’s palm oil is harming people and planet
From Magnum ice cream to PG Tips teabags, from Dove shampoo to Persil detergent, Unilever products are everywhere. But while this consumer goods company claims to be a leader in sustainability, many of its brands contain palm oil. The UK’s consumption of palm oil is a key driver of tropical deforestation. And we’re especially concerned about Unilever’s ties to the second largest palm oil company in Indonesia, Astra Agro Lestari (AAL).

AAL and its subsidiaries are responsible for numerous environmental and human rights violations on the Indonesian island of Sulawesi. These include land conflicts with local communities, illegal deforestation, and soil, air and water pollution. Indigenous People have had their land taken. When they’ve protested, these communities have been met with paramilitary intimidation, and in several cases have been arrested and imprisoned.

Update May 06, 2023

Mongabay publishes a new report on the social conflicts between Astra Agro Lestari and villagers in Sulawesi, Indonesia.

The new report covers more specific information from villagers which should be addressed when AAL appointed EcoNusantara goes to the field next week.

Read the report

Update April 07, 2023

Under-scrutiny Indonesian palm-oil supplier launches review into abuse of power claims
Friends of the Earth and its affiliates behind the allegations, said Astro Agro Lestari should be “held accountable for its abuses”.

ndonesia’s Astro Agro Lestari has hired a third-party consultant to investigate allegations around abuse of power at its palm-oil subsidiaries in Sulawesi.

Friends of the Earth, the international NGO that lodged the allegations alongside its peer The Indonesian Forum for Environment (Wahli), said action is required now rather than another drawn out investigation. Astro Agro Lestari (AAL) said in a statement on 31 March the review by EcoNusantara, launched in April, is likely to take six months to complete.

Since the accusations were made by Friends of the Earth and its affiliates against three Astro Agro Lestari (AAL) subsidiaries in a March 2022 report, global food companies such as PepsiCo and FrieslandCampina have urged suppliers to stop sourcing palm oil from the Indonesian businesses concerned.

US-headquartered Friends of the Earth reiterated claims last month that “AAL subsidiaries were operating on communities’ land without their consent and criminalising local farmers and environmental human rights defenders” in Central and West Sulawesi.

Indonesia-based EcoNusantara has “carried out an initial verification regarding the allegations in question and is therefore deemed best equipped to deliver a verification”, AAL said in its statement. “This will be done independently and in consultation with relevant stakeholders based on the jointly agreed term of reference as work guidelines”. Just Food

Update March 31, 2023

Astra Agro Lestari has appointed EcoNusantara as an independent third party, to review the allegations against its subsidiaries. 
https://www.astra-agro.co.id/wp-content/uploads/2023/03/Joint-Statement-AAL-EcoNusantara_Appointment-of-an-Independent-Third-Party.pdf

We would like to thank Astra Agro Lestari's timeline of 6 months and look forward to the progress reports.

New Pleas from villagers asking for help against Astra Agro Lestari has been added to YouTube
​https://youtu.be/-POqoUzzp9s

Update March 25, 2023

Astra Agro Lestari's problems with communities in Sulawesi province, Indonesia, is gaining such notoriety, that even freight companies are telling their readers that canola is less problematic than palm oil.

The stench from Astra Agro Lestari's palm oil in RSPO certified sustainable palm oil supply chains can only be removed if buyers of Astra Agro Lestari's palm oil step in to clear the mess, independent of the RSPO which has said it does not have the capacity.

Update March 22, 2023

Jeff Conant from Friends of the Earth issues a new statement on Astra Agro Lestari's agrarian conflicts in Indonesia

Urgent Action Needed to Prevent Escalating Conflict by Astra Agro Lestari in Sulawesi, Indonesia
by Jeff Conant, senior international forests program manager

fter more than two years of pressure from Friends of the Earth U.S., in close alliance with WALHI/Friends of the Earth Indonesia, corporations took notice of harmful and abusive practices carried out by Astra Agro Lestari (AAL), one of Indonesia’s largest suppliers of palm oil to the world market. Beginning in the fall of 2022, a number of AAL’s customers began suspending palm oil sourcing from the company altogether, or from its plantations in the provinces of Central and West Sulawesi, which was the primary focus of our concerns. The first companies to take such action were Danone, Nestlé, Hershey’s, Colgate-Palmolive, Procter & Gamble, and L’Oreal. Earlier this month, Pepsico and FrieslandCampina followed suit.

For years, Friends of the Earth and WAHLI have drawn attention to decades of environmental and human rights abuses, illegal plantation permitting, and repression of community dissent, to restore local communities’ legally recognized land rights and end the criminalization that has destroyed the lives of the local indigenous communities. This criminalization — the use of state police and military forces — is best illustrated by the multiple arrests of one farmer who was finally awarded some of his land back after a 15 year resistance struggle. In March 2022, West Sulawesi police arrested five farmers who were involved in the struggle of the Kaili Tado Indigenous people seeking to restore their land rights.

Unfortunately, rather than pursuing a peaceful resolution following these recent business suspensions by Pepsico and FrieslandCampina, we are receiving reports that Astra Agro Lestari is fomenting further violence and intimidation, which is happening right now. In the words of one local land defender, “We were visited by a fully armed Mobile Brigade (the Indonesian military police) and other farmers. They forbade us from doing activities because they said the area belonged to the company. There have been no corrective actions from Astra Agro Lestari. Instead, the intimidation has become more massive.” Friends of the Earth US

Update March 19, 2023
Infosawit published a new report on PT Astra Agro Lestari's violations of FPIC

This is the reason why international companies refuse to absorb Astra Agro's palm oil
InfoSAWIT, JAKARTA – Previously, Forest and Garden Campaign Manager for the Indonesian Forum for the Environment (WALHI) National, Uli Arta Siagian, said that several international companies' decision to stop buying palm oil from AAL was inseparable from WALHI's report with Friends of the Earth (FOE) US on March 2022 which documented how the three subsidiaries committed various violations.

The three AAL subsidiaries referred to by Uli are PT Mamuang, PT Lertari Tani Teladan and PT Agro Nusa Abadi (ANA). PT ANA in North Morowali, he said, had been operating for 15 years without having Cultivation Rights (HGU), and had criminalized eight smallholders who were accused of stealing palm oil there. Infosawit

Update March 17, 2023
Astra Agro Ready for Dialogue with PepsiCo and FrieslandCampina About Sustainability
Managing Director of PT Astra Agro Lestari Tbk, Santosa, during the Talk To The CEO event in Semarang plays coy with Infosawit

InfoSAWIT, JAKARTA – Following the invitation from PepsiCo and FrieslandCampina to their suppliers to no longer use palm oil sourced from PT Astra Agro Lestari TBk., PT Astra Agro Lestari Tbk. is ready to invite PepsiCo and FrieslandCampina to have a dialogue and doing business while preserving nature. Not only caring for and protecting the earth, this national oil palm plantation company also invited the two companies to see first-hand the implementation of Astra Agro in upholding human rights (HAM).

"We don't want to argue about Astra Agro's commitment to the principles of sustainability, it's better if we show concrete actions that are truly beneficial," said President Director of Astra Agro, Santosa in an official statement received by InfoSAWIT,

Update March 16, 2023
Astra Agro Lestari responds to the latest round of public statements by Pepsico and Friesland Campina, asking their suppliers to stop buying from AAL
InfoSAWIT, JAKARTA –  After the publication of reports from non-profit organizations FoE and ENS, several palm oil buyers such as detergent manufacturers Tide, Procter & Gamble Co, and Nestle, the owner of Nescafe instant coffee, immediately took action against their suppliers not to use palm oil from PT Astra Agro. Lestari Tbk., which is suspected of being a subsidiary of the Astra Group, has committed human rights violations and seized community land.

Now the US-based food and soda producer PepsiCo Inc and Dutch milk producer FrieslandCampina are also pushing their suppliers not to accept palm oil from Astra Agro. Infosawit

Update March 11, 2023
PepsiCo, FrieslandCampina Halt Business With Astra Agro Lestari
US soda and food maker PepsiCo and Dutch dairy producer FrieslandCampina have asked their suppliers to cease buying palm oil from plantation owner Astra Agro Lestari,  accused by environmental groups of land and human-rights abuses.

Corporate supply chains are under scrutiny as regulators and investors increasingly consider environmental and social impacts, and as consumers worry about climate change and biodiversity loss.

Environmental groups last year found that Jakarta-based palm oil producer Astra Agro Lestari (AAL) did not obtain consent from local communities before claiming land, improperly disposed of waste and cleared areas leading to flooding in Indonesia.​ ESM/ Bloomberg

Update March 02, 2023
"We've seen many cases [in Indonesia] where community members were attacked by either police or company security personnel. It's a very common strategy to silence protesting communities." Professor Ward Berenschot from the University of Amsterdam.

This report discusses the political dynamics shaping natural resource management in Indonesia. Synthesizing a wide range of studies on the competitive struggle over control of land, timber and other natural resources in Indonesia’s forest zones, the report provides an accessible guide to the practices and incentives generated by Indonesia’s ‘forest politics’, and offers broad guidelines on how to design interventions that better engage with how the sector really operates. UVA NL

Communities in Sulawesi land conflict with Astra Agro Lestari

Update February 25, 2023

Villagers protesting against Astra Agro Lestari's palm oil plantations in Sulawesi, have sent CSPO Watch, a list of their demands.
 Translated below. Text in bracketed italics to clarify the accusations. Original in Bahasa can be downloaded here. 

1. CRIME OF PT. Mamuang ( Communities accuse PT Mamuang of having committed these "crimes" against them)
*. PT. Mamuang destroyed a public grave ( which served ) as a sign of the civilization of the Kailli topo Tado tribe in the SOULOKA area.
*. PT. Mamuang destroyed the gardens belonging to the Topo Tado Kabuyu community, between the Bayu river and the Kasonjo river.
*. PT Mamuang destroyed the community's oil palm plantation in the Paninggio area, totaling 931 palm trees.
*. PT Mamuang destroyed the GAMPIRI paddy house belonging to the Topo Tado Kabuyu community (harassment of adat).
*. The oil palm planting was carried out by PT Mamuang which was too close to the river. So that there is a decrease in surface water and river abrasion (erosion) occurs. Because the watershed and the Boundary are damaged.
*. PT Mamuang made arrests of women and children who were discarded scavengers. ( arrested for picking up loose fruits )
*. Making articles in the law a scourge that scares the public, by removing verses that are in favor of the community.

2.Public demand for consumer brands.
*. Stop buying CPO from PT Mamuang/AAL.
*. Put pressure on PT Mamuang/AAL to return the land cultivated by the Tado Kabuyu topo.
*. Support the demands of the Kabuyu community on PT Mamuang/AAL.

3. THE DEMAND of the people of Kabuyu to PT Mamuang/AAL.
*. Return agricultural land and arable land to the Kabuyu community.
*. Stabilize the watersheds and riverbanks in KABUYU.
*. Be responsible for the destruction of public graves and the destruction of GAMPIRI.
*. Be responsible for the destruction of gardens belonging to the Kabuyu community, from 1990 to the last in 2020.
*. Give compensation to the Kabuyu people who are victims of the destruction. Since 1990.

4. Forms of economic recovery.
*. Provide proper residential land for the Kabuyu people. Not a watershed nor a border.
*. Give agricultural and plantation land as a substitute for land that has been damaged. Not DAS and Boundary.
*. Follow the customary settlement provisions for burning GAMPIRI, as a tribute and honor to the Kailli topo Tado custom.
*. Resolve and provide compensation for the destruction of oil palm plantations belonging to the Kabuyu community.
*. PT Mamuang returned to its usufructuary rights in Martajaya village.

Update February 20, 2023

The RSPO Complaints Panel rejected a complaint co-filed by a villager from Kabuyu and CSPO Watch

"Upon reviewing the allegations made and following the due diligence conducted
by the Secretariat, this Complaint is rejected on the following grounds:-

a. The Complainant lodged this Complaint against the Respondent for the sole
reason that the Respondent are allegedly sourcing from PT Mamuang (a
subsidiary of PT Astra Agro Lestari) (PT AAL).

b. The Secretariat’s Membership Unit have confirmed that PT Mamuang and
PT Astra Agro Lestari are not members of the RSPO.

c. It is evident from the Complaint that the Complainant wishes to have actions
taken against the non-members and not against the Respondent.

d. It is not within the power of the Secretariat and/or the Complaints Panel to
influence or direct a Respondent on its business decisions, so long as it
complies with the relevant Key Documents and are not in breach of the
same. To note, the Complainant made no allegation against the
Respondent of any breach.

e. The Complainant has failed to show any nexus between its grievances and
the Respondent to which the complaint is made against.

As such, this Complaint is misplaced, and the Complaints Panel has no
jurisdiction over this Complaint."

Specifically, the complaint filed against Unilever, as a founding member of the RSPO and the world's biggest corporate buyer of palm oil, was based on RSPO requirement of FPIC

The primary requirement of FPIC as found in Criteria 4.4 of the 2018 RSPO P&C. Annex 2 states: “FPIC is a guiding principle and should be applied to all RSPO members throughout the supply chain”. The failure of the RSPO Complaints Panel to see the obvious connection between the villagers in Sulawesi, Astra Agro Lestari and Unilever is a weak excuse to not get its hands dirty in this controversial case.

The admittance of the RSPO that it has no influence over members supply chains, makes certified sustainable palm oil look bad overall. FPIC problems also plague RSPO members in Cameroon and Liberia also. 

CSPO Watch will be reaching out to Astra Agro Lestari in an effort to resolve FPIC problems in direct engagement with the villagers in Sulawesi.

Update February 11, 2023

Mongabay covers the land conflicts in a new report that looked at how PT Astra Agro Lestari has impacted children in its concessions.

• Kabuyu Village, located in Pasangkayu Regency, West Sulawesi , is walking around an oil palm plantation . Its subsidiary companies,   PT Astra Agro Lestari (AAL), operate in this area. When the company came, land conflicts with residents ensued, for years. The lives of residents are affected, including children.   
•  Long before the palm oil industry changed the landscape and logging companies operated, the people of Kabuyu depended on the blessings of forests, rivers and swamps . They cultivate rice—plant sago, durian, jackfruit, bananas, catch fish in the river, or go hunting.
•  People who used to live from nature, changed after the company came. The lands became oil palm plantations, some residents became company workers. When the people's land is minimal, they work odd jobs, including looking for palm kernels. Children also sometimes participate in order to seek additional income.
•  In agrarian conflicts, such as in this oil palm company, children often receive impacts that will stick with them until they become adults. Ari Moch Arif, Director of the Climate Change and Circular Economy Program, Save the Children Indonesia , said that environmental conflicts always place children as forgotten actors. Given their position as children, they are considered a group that has no voice . Mongabay ID​

​Update Jan 24, 2023

WALHI Central Sulawesi Suggests State Legalized Land Areas Managed by the People
PALU- Central Sulawesi (Central Sulawesi) Forum for the Environment (WALHI) proposes that a people's governance area be legalized by the state, through several schemes. The scheme is like social forestry and land as objects of agrarian reform (TORA). This is in light of allegations that oil palm plantation companies by ASTRA Group annexed land managed by local communities.

In addition, he urged the government to carry out evaluations and stop granting permits for companies to carry out bad practices that are not in accordance with the law.

The head of the WALHI Central Sulawesi Advocacy and Law Department, Aulia Hakim, made this suggestion after a meeting with several farmer representatives from West Sulawesi, Poso Regency and Morowali Regency during a press conference at the Central Sulawesi WALHI secretariat office on Jalan Tanjung Manimbaya, Palu City, Tuesday (24/24). 1). Media Alkhairaat

Original Post below:

• There is no shortage of news reports on transgressions of certified sustainable palm oil principles by PT Astra Agro Lestari (PT AAL), one of Indonesia’s biggest palm oil producers
• The International Federation for Human Rights published a letter from its members addressed to PT AAL’s buyers under “Astra Agro Lestari in Indonesia: Ongoing criminalisation, human rights abuses and land grabbing”
• Reuters reported that Nestle will stop sourcing from Indonesian palm oil producer AAL over the accusations of land and human rights abuses
• Unilever has decided to take a different approach and not remove Astra Agro Lestari from its supply chain
• This prompted Milieudefensie, associated with Friends of the Earth, to issue a petition demanding that Unilever cut off ties with Astra Agro Lestari.
• Astra Agro Lestari, in its defense against the accusations, has published its own statement.

AAL’s corporate response to the accusations seems to be been taken at face value by its buyers including Apical Group, Wilmar International, ADM etc.

False claims?

Indonesian media coverage of the accusations of human and land rights abuses suggest the claims made against Astra Agro Lestari are without basis.

Gatra published a report where a local resident, Wayan Sucana, said he was the head of Martasari village and proceeded to rubbish the claims.

“In Kabuyu, there are also residents who claim to own 250 hectares of land. The land was later released by the company. But unfortunately, after being released, the land was sold. Later there were those who sued again on the grounds that their land was not in the area that had been released, but in another place.
"They sued all the way to the South Sulawesi Regional Police, the High Court. I was often summoned as a witness. I answered as it was, that there was no basis for them to seize the company's land. Often I gave them views on real rights, there had to be evidence, but that's it.
Wayan himself confirmed that it was less than 15% of the residents who made demands. Most of them were outsiders who had nothing to do with land in the village.”

Kontan published its report based on the opinions of Public Relations spokesperson for PT Mamuang, Hermanto Rudi who gave a more reasonable explanation for the agrarian conflicts.

“In the past, there were only seven to ten people in Kabuyu. The land provider team did not include 250 hectares in the HGU application because they thought that in the next 30 years, the population of Kabuyu would increase. So, the 8,000 hectare HGU is net owned by the company. The boundaries between our land and the community are also clear, there are roads, ditches and other things,"

This mess is quite typical of palm oil development in Indonesia in the early years.

Overlapping licensed areas, lack of FPIC was rampant. It was indeed, problems like these, which led to the creation of the Roundtable On Sustainable Oil (RSPO) in 2004, to try and clean up the supply chain for palm oil.

Unfortunately for the residents of Kabuyu village with a grievance against Astra Agro Lestari, the company is not a member of the RSPO and therefore, not bound to operate according to the principles of the RSPO.

This explains why, the numerous NGOs that have worked on the case, sought to target buyers of PT AAL including Unilever, Nestle, Apical Group etc.

Fortunately for the residents of Kabuyu village, all these buyers of PT AAL palm oil, are members of the RSPO.

Can the influence of the RSPO be brought to bear in a situation where the accused is not a member but its goods are bought by RSPO members? This should be done as it taints the supplies of palm oil from Wilmar, Apical Group and all the companies named in the Friends of the Earth report on Astra Agro Lestari.

There is no doubt that Astra Agro Lestari has contributed to local development in Sulawesi, which makes this case of Kabuyu village such an unfortunate one. The community is only asking for the return of 250 hectares of land they claim as theirs. It goes without saying that resolving the complaints from Kabuyu village may open up a whole bunch of claims from other villages, which Mongabay ID has covered in a series of reports.

The only way forward is to ignore findings prior to 2015, which is when Astra Agro Lestari made its corporate commitment towards NDPE and re-examine all the complaints that are still boiling over in 2022. This should in no way, affect whatever happens with the mining activities of Astra International as it is a sector that has not committed to NDPE.

As communicated to CSPO Watch by Kabuyu village, "we are only asking the return of village lands. If the claims are not clear, we are prepared to work with PT Mamuang. Let's go down to the field together."

This should be done as AAL in its public statement has said that "AAL takes all allegations seriously and will work towards mutually agreeable solutions. We have no tolerance for any violation of land or human rights and will work to assure stakeholders of our compliance with company policies."
 
Stay tuned to this page as we monitor the developments of Kabuyu village vs Astra Agro Lestari

Published November 2022. CSPO Watch

Update Jan 24, 2023

WALHI Central Sulawesi Suggests State Legalized Land Areas Managed by the People
PALU- Central Sulawesi (Central Sulawesi) Forum for the Environment (WALHI) proposes that a people's governance area be legalized by the state, through several schemes. The scheme is like social forestry and land as objects of agrarian reform (TORA). This is in light of allegations that oil palm plantation companies by ASTRA Group annexed land managed by local communities.

In addition, he urged the government to carry out evaluations and stop granting permits for companies to carry out bad practices that are not in accordance with the law.

The head of the WALHI Central Sulawesi Advocacy and Law Department, Aulia Hakim, made this suggestion after a meeting with several farmer representatives from West Sulawesi, Poso Regency and Morowali Regency during a press conference at the Central Sulawesi WALHI secretariat office on Jalan Tanjung Manimbaya, Palu City, Tuesday (24/24). 1). Media Alkhairaat

Sulawesi villagers urge Unilever and RSPO to help their case with Astra Agro Lestari

Update December 12, 2022

Villagers from Sulawesi, Indonesia, with grievances against Astra Agro Lestari, have ramped up their campaign with an email to stakeholders in AAL's supply chain.

The email which was addressed to Unilever, was sent to Astra Agro Lestari and various corporate accounts as well as NGOs.

CC's in the email from the villagers included Wilmar, Nestle, Apical Group etc. A full copy of the email can be downloaded here

---

Two villagers from Sulawesi, Indonesia, have issued public statements asking for help in their fight for land rights against PT Astra Agro Lestari and its subsidiary, PT Mamuang who is being accused of land grabs.

Video quality is poor as these villagers use older smart phones to tape the video statements. 

Regardless, their message to buyers of Astra Agro Lestari is clear. They need help to recover their ancestral lands and farm lands.

Update November 28, 2022

Residents from the villages of Kabuyu, Rio Mukti and Polanto Jaya, which have on-going disputes with Astra Agro Lestari, have sent us some videos for distribution.

We have uploaded their videos on YouTube to give them a voice on social media. Please watch, Like or leave a comment on YouTube