Unilever uses cellphones to track palm oil sourcing

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Consumer goods maker turns to geolocation technology to make the controversial industry more transparent

Palm oil industry labourers at work. Picture: 123RF/TAN KIAN YONG

After a pilot test in Indonesia, Unilever is scaling up that approach to cover all palm facilities in Southeast Asia, including farms, refineries and processing plants, and is looking into whether the technology can be applied to other regions. Environmental concerns have spurred the adoption of sustainable palm oil, but complex supply chains that begin with estates spanning millions of hectares make it difficult for the industry to be fully traceable. What’s more, the credibility of certified-sustainable palm oil, such as that of the Roundtable on Sustainable Palm Oil, has been questioned by environmental groups who say greenwashing and bad practices still take place, albeit hidden from the public.

Providing granular visibility into Unilever’s palm-supply chains is Orbital Insight, a California-based Big Data company that uses geolocation data, satellites, drones and balloons to track what is happening on the planet. Orbital will use a combination of geofencing, anonymous mobile data and satellite imagery to monitor movement of trucks and their deliveries, and to identify any deforestation that has taken place in the past, or recently, at suppliers’ sites.

It is consumers that are driving manufacturers to seek better visibility into where raw materials are sourced from, especially if it involves commodities associated with farming practices that are not sustainable, Crawford said.

 

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