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RSPO Principles & Criteria Public Summary Report
Main Audit. 13/03/2015. Audit report. 22/06/2015
Palm Oil Mill: Latin America Agrialim Mill S.A
Country: Costa Rica.
Certificate number: CA6037/15 Report prepared by the lead auditor: David Ogg FICFor. Certification decision date: 29/06/2015 Certification expiry date: 28/06/2020
IBD CERTIFICAÇÕES LTDA Rua Dr. Costa Leite, 1351 CEP: 18.602-110 Botucatu – SP – Brasil Tel / fax: +55 14 3811-9800 www.ibd.com.br – [email protected]
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Contents
Part 1. Scope of the Certification Audit 1.1 Normative references 1.2 Company and Contact Details 1.3 RSPO Membership Details 1.4 Audit type 1.5 Location of the Palm Oil Mill 1.6 Palm Oil Mill Output and Approximate Tonnages Certified 1.7 General Description of Supply Base 1.7.1 Location of the Supply Base 1.7.2 Statistics of the Supply Base and Estimated Tonnes of FFB produced per year 1.7.3 Biodiversity (Total Conservation & HCV Area for the respective Supply Bases) 1.7.4 Calculation of the Number of Production Units (N) to Sample for the Mill 1.8 Progress of associated Smallholders or Out-growers towards Compliance with relevant Standards 1.9 Location Map for this Certification Unit
Part 2. Partial Certification 2.1 Management Organization 2.2 Time-bound plan 2.3 Progress made on the time-bound plan 2.4 Non-conformities
Part 3. Audit Process 3.1 IBD - The Certification Body 3.2 Audit Team 3.3 Audit Methodology 3.3.1 Audit Agenda 3.3.2 List of stakeholders consulted prior to and during the audit. 3.3.3 Outline of how stakeholder consultation was managed. 3.3.4 Issues that arose during stakeholder consultation and company responses.
Part 4. Audit Findings 4.1 Summary of findings 4.2 Non conformity register 4.2.1 Verification of previous assessment non-compliances 4.2.2 New non-compliances raised at this audit 4.3 RSPO Principles & Criteria management of non-conformities. 4.4 Lead Auditor Recommendations for the RSPO Principles & Criteria certification. 4.5 Comments for next audit.
Part 5. Formal signing of audit findings 5.1 Acknowledgment of internal responsibility by the Client 5.2 Signing by the Lead Auditor.
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PART 1: SCOPE OF THE CERTIFICATION AUDIT
1.1 Normative references The Palm Oil Mill and the supply base was audited against the following documents: RSPO International Principles and Criteria (April, 2013 version) National Interpretation (approved version XX/20XX) Local indicators (approved version 08/2011 and updated by IBD according to 2013 version) RSPO Supply Chain Certification Standard 2014 version. New Planting Procedures (September, 2009 version)
1.2 Company and Contact Details Company name: Compañia Industrial Aceitera Coto Cincuenta y Cuatro S.A. Business address: Guaycara, Golfito, Puntarenas, Costa Rica The production and sale of RSPO Certified Sustainable Palm Oil and Palm Kernels Scope: through the Identity Preserved RSPO supply Chain Model. Products: Crude Palm Oil and Palm Kernels Contact person: Alfredo Villavicencio Telephone: +506 2284 1320 E-mail: [email protected] Web site: www.gruponumar.com Other certifications held (ISO…) Global Gap. Version 4.1.
1.3 RSPO Membership Details RSPO membership number: - Compañia Industrial Aceitera Coto Cincuenta y Cuatro S.A. Parent company as applicable: 1-0112-12-000-00. 12th January 2012.
1.4 Audit type Date of previous audit: n/a Date of this audit: March 9th 2015 to March 13th 2015. (audited along with Naranjo mill) Main or ASA (1 to 4): Main audit. Date of next surveillance audit Within 12 months after date of certification.
1.5 Location of the Palm Oil Mill Palm Oil Mill (POM) Mill Capacity GPS Reference Location Address Name MT/Hour Longitude Latitude Latin America Agrialim. Parrita, Parrita, Puntarenas. Costa Rica 30mt/hr -84.283963 9.533781
1.6 Palm Oil Mill Output and Approximate Tonnages Certified The 12 month output is the average over any 12 month period and the actual production for the 12 months from the date of certification will be included in the annual summary. These figures exclude any output product from non-certified suppliers. For the 12 month period ending March 2015 the mill received 190.107 mt of FFB. Projection for last 12 Months (MT) Actual Production for last 12 months (MT) Production for next 12 Months (MT) [State of IP or MB] (ASA audits). [State of IP or MB] Identity Preserved. CPO PK PKO CPO/ PK/ PKO/ CPO/ PK/ PKO/IP 42.319 9.890 n/a Notes: Whilst the POM produced PKO, it is not possible for them to sell PKO under the new RSPO rules for the supply chain certification. The kernels are “transferred” to the internal kernel crushing plant and that plant is audited against the RSPO SCC and the PKO figures are applicable to that audit only.
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1.6.1 Location of the Supply Base Oil Palm Plantation (OPP) GPS Reference Location Address Name Longitude Latitude Palma Tica S.A. Damas Region. Parrita. -84.214097 9.408671 Associated Growers. See maps. AGRICOLA GASZU S.A. Pueblo Nuevo AGRICOLA NACAR SAN ISIDRO S.A Paquita AGRICOLA SAVEGRE S.A. Cerros AGROINDUSTRIAL LOS VIKINGOS S.A. Las Vueltas AGROP INDUSTRIAL LA LUCIA Montelimar AGROPECUARIA JERSEY S.A. Las Vueltas AGROPECUARIA MAGUAMA S.A. Sardinal ALEX JIMENEZ DELGADO Las Parcelas ALEXIS ALFARO PEREZ Las Parcelas ANA MELIDA BERMUDEZ Valeria ANGEL MARTIN MURILLO Rio Seco ARADURA DE OROTINA S.A. Herradura ASEPATIQUE Valeria y Cerritos BRISAS DE CANJILONES S.A. Rio Seco CIA AGRICOLA SAN LUIS DE PARRITA S.A. Sardinal CIA GANADERA GUACIMAL Chomes COOPECALIFORNIA R.L. Los Angeles COOPEGAMALOTILLO Gamalotillo DAPASA S.A. La Ligia ELIECER MIRANDA CASTRO La Gloria Puriscal ELIECER MURILLO FERNANDEZ Rio Seco FAMILIA TORRES Rio Seco FERNANDO PORRAS CAMPOS El Rey De Puriscal FLOR MARIA MONTERO DELGADO La Gloria Puriscal FRUTAS DE LA COLINA S.A. Rio Seco GERARDO SOTO SALAZAR Rio Seco GUILLERMO PICADO MONGE Cerritos HNOS GUERRERO ZAMORA Rio Seco HNOS HERNANDEZ MONGE Las Vueltas HUGO CASCANTE MADRIGAL Las Vegas INDALIA VARGAS VARGAS Playon Sur INVERSIONES AGROP. FUDIFUL S.A Las Vueltas INVERSIONES ALTA GRACIA DE BELEN Gamalotillo INVERSIONES INDUSTRIALES BARBAL Lourdes S.A. COMPAÑÍA AGRÍCOLA VALVERSAN Río Seco ISAIAS MESEN MESEN Gamalotillo JAVIER JENKINS ARTAVIA La Gloria Puriscal JORGE CALDERON QUIROS Gamalotillo JUAN CAMACHO PICADO La Valeria JUDITH CHAVARRIA PORTUGUEZ Cerritos LA TURUBAL Esterillo LEONEL FERNANDEZ ACUÑA Las Vegas LEONEL FERNANDEZ ACUÑA Las Vegas LOS DIAMANTES DE LA COSTA S.A. Rio Seco MARIA DE LOS ANGELES FLORES ARAYA Gamalotillo MARIA ESTER VALVERDE JIMENEZ Los Angeles MARIO ANTONIO ARIAS MORA La Julieta MARIO CALDERON JIMENEZ Gamalotillo MAURICIO GOMEZ GOMEZ Cerros MIGUEL ANGEL PADILLA CECILIANO Las Vegas MIGUEL CERDAS UMAÑA Cerritos NEFTALI ROJAS MENDEZ La Vasconia PALMAS MOYCO (BLANCA CÓRDOBA Bandera CHACÓN) PAPAYAS PARRITEÑAS S.A. (VALLE La Vasconia CRISTO REY) PERBRA PALMA DAMAS S.A. Damas QUILO DE NARANJAL S,A Naranjal Puriscal
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RAFAEL ANGEL JENKINS SALAZAR La Gloria Puriscal RAFAEL ANTONIO BARBOZA MORALES Las Vueltas RAFAEL CALVO SOLANO Proyecto Playon Sur RENE CHARPANTIER CESPEDES Rio Seco RULEY SEGURA FERNANDEZ Cerritos SANDIAS DE PARRITA S.A. (DANIEL DEL Las Vegas RIO) VALVERDE CORDERO S.A. Rey de Puriscal VERA VIOLETA BARBOZA SALAZAR Las Vueltas VICENTE OBANDO PORTUGUEZ Rio Seco VICTOR OBANDO COREA Sardinal WILLIAM GONZALES GOMEZ Cerros
1.6.2 Statistics of the Supply Base and Estimated Tonnes of FFB produced per year Name Area of Estimated Tonnes Age of crop at time Cycle (Years) Oil Palm FFB/Yr of audit.** (Ha) Palma Tica S.A. Damas 4.737 113.135 35 38 Palma Tica S.A. Caribbean* 1.549 5.575 2 Total 6.286 118.710 - Agricola Gaszu S.A. 95,4 1.744,90 21 Agricola Savegre S.A. 71,1 1.165,83 11 Agroindustrial Los Vikingos S.A. 19 366,13 27 Agropecuaria Maguama S.A. 179 3.340,00 17 Alex Jimenez Delgado 3 51,80 6 Alexis Alfaro Perez 3 32,24 3 Ana Melida Bermudez 16 288,00 11 Angel Martin Murillo 3,5 56,00 11 Aradura De Orotina S.A. 36 386,85 3 Asepatique 18,65 420,17 16 Brisas De Canjilones S.A. 8 126,90 5 Agrop Industrial La Lucia 14 24,50 2 Cia Agricola San Luis De Parrita S.A. 105 2.353,03 17 Cia Ganadera Guacimal 40 122,50 2 Coopecalifornia R.L. 739 12.323,59 31 Coopegamalotillo 73 720,00 15 Dapasa S.A. 163 2.667,93 10 Eliecer Murillo Fernandez 3 161,19 3 Eliecer Miranda Castro 10 107,46 3 Familia Torres 5 53,73 3 Fernando Porras Campos 30 34,30 2 Flor Maria Montero Delgado 5 53,73 3 Frutas De La Colina S.A. 16 234,52 3 Agropecuaria Jersey S.A. 41 844,62 8 Gerardo Soto Salazar 8 172,80 7 Guillermo Picado Monge 11 169,90 15 Agricola Nacar San Isidro S.A 35 420,00 29 Hnos Guerrero Zamora 7 14,00 3 Hnos Hernandez Monge 10 309,41 29 Hugo Cascante Madrigal 10 132,00 30 Indalia Vargas Vargas 11 352,00 8 Industrial La Lucia S.A. 316,48 6 Inversiones Alta Gracia De Belen 18 193,42 3 Inversiones Agrop. Fudiful S.A 12 185,40 11 Inversiones Industriales Barbal S.A. 113,1 1.966,91 30 Inversiones Valversan S.A. 75 2.041,20 7 Isaias Mesen Mesen 9 200,72 6 Javier Jenkins Artavia 5 215,61 4 Jorge Calderon Quiros 3 280,58 6 Juan Camacho Picado 2 64,47 3 Judith Chavarria Portuguez 9 128,00 15 La Turubal 5 192,27 6 Leonel Fernandez Acuña 20 128,95 3
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Leonel Fernandez Acuña 19,60 2 Los Diamantes De La Costa S.A. 5 53,73 3 Maria De Los Angeles Flores Araya 6 142,45 6 Maria Ester Valverde Jimenez 10 101,01 3 Mario Antonio Arias Mora 20 194,69 32 Mario Calderon Jimenez 8 280,58 6 Mauricio Gomez Gomez 7 128,00 15 Miguel Angel Padilla Ceciliano 10 290,14 3 Miguel Cerdas Umaña 9 144,00 15 Neftali Rojas Mendez 37,6 789,00 8 Palmas Moyco (Blanca Córdoba Chacón) 11 120,00 13 Papayas Parriteñas S.A. (Valle Cristo Rey) 26,8 578,88 7 Perbra Palma Damas S.A. 20 285,60 4 Quilo De Naranjal S,A 20 432,00 7 Rafael Angel Jenkins Salazar 5 20,00 4 Rafael Antonio Barboza Morales 8 128,00 15 Rafael Calvo Solano 75 600,00 30 Rene Charpantier Cespedes 8 85,97 3 Ruley Segura Fernandez 20 416,54 9 Sandias De Parrita S.A. (Daniel Del Rio) 50 2.325,87 4 Valverde Cordero S.A. 36,3 839,76 10 Vera Violeta Barboza Salazar 15,6 299,52 10 Vicente Obando Portuguez 4 74,62 20 Victor Obando Corea 7,4 142,64 10 William Gonzales Gomez 9 144,00 15 Total for associated growers 2.488,45 43.800,63 - TOTAL 8.774,45 162.510,63 - *For Palma Tica S.A. Caribbean, there was a NPP process announced on RSPO website in on May of 2013 and approved afterwards. **No new plantings after 2005, except when mentioned otherwise.
Considering then, the Total Oil Pam Areas and the Conservation Areas, the Total Certified Area is 8.847,45 ha.
1.6.3 Percentage (%) of Planted Oil Palm by different Age Ranges of 5 years Planting and Re-planting Years by 5 year Ranges Name of Oil Palm Plantation Prior-1995 1996-2000 2001 -2005 2006 – 2010** 2011 – 2015** Palma Tica S.A. Damas. 43,86% 33,83% 20,48% 1,68% 0,16% Palma Tica S.A. Caribbean.* 100% Associated Growers. All. 12,9% 7,1% 17,1% 27,1% 35,7% *For Palma Tica S.A. Caribbean, there was a NPP process announced on RSPO website on May of 2013 and approved afterwards. **No new plantings after 2005, only re-planting, except when mentioned otherwise.
1.6.4 Biodiversity (Total Conservation & HCV Area for the respective Supply Bases) Oil Palm Plantation Biodiversity.(Total Conservation & HCV Area) Hectares. Name Conservation HCV Comments Palma Tica S.A. Damas. 17 Palma Tica S.A. Caribbean. 0 Associated Growers. Damas. 56 Associated Growers Caribbean. 0
1.7 General Description of Supply Base History of the company. Palma Tica S.A is the principal palm oil producer in Costa Rica and considered being the original motor of palm oil cultivation in Central America. Palma Tica is operating in the Central Pacific (Quepos and Parrita) and South Pacific (Coto, Golfito, Corredores) region. The company has always been known for its innovative character and benefits from that until today as not only modern techniques and best practices are used but also production rates are recognized all over the world. The company´s name exists since 1990 when the “Compañía Bananera de Costa Rica” (CBCR, subsidiary of the United Fruit Company in Costa Rica) decided to change names due to the total abandon of banana cultivation in the country in 1984. The first oil palms however were planted already in 1944 in Quepos division. In the beginning oil palms were cultivated for investigative purposes but when experiments and results turned out to be promising, palm oil cultivation took off and went hand in hand with the continuous abandon of banana cultivation. In 1996 Palma Tica, owned by Chiquita Brands Int., decided to sell its oil palm branch to the present owners of the company. Despite Palma Tica’s independence from banana business nowadays, it is sometimes still associated with the famous United
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Fruit Company and its paternalism. Therefore, the company has been working with a strong focus on sustainability and its certification in order to strengthen and reinforce positive impacts that the company stands for, now and in the past.
A supply base of 67 associated smallholders also provides the FFB to the mill. Although the company helps them with technical and management support, and they are considered as associated, these growers have autonomy to plant whatever crops they desire within their lands, however, concerning oil palm, they need to commit themselves with Palma Tica’s and RSPO’s requirements. The growers have a written contract to supply FFB, however it considers part of the harvest and the main intention is to include the requisites of RSPO, so Latin America Agrialim’s supply base, especially the associated growers, would comply with RSPO requirements as well. RSPO membership is under Compañia Industrial Aceitera Coto Cincuenta y Cuatro S.A. which is also the company name under which all 3 mills operate.
Palma Tica S.A. An agricultural company responsible for the growing of all Oil Palm and for the Associated Growers. There are 3 regions for the management of Oil Palm. Coto Division. (South Pacific Region). Quepos Division. (Central Pacific Region). There are 3 Districts within the regions. Damas. There are 5 owned farms managed as one unit. The division into farms is for management purposes with a supervisor responsible for each farm (Finca), and 67 associated growers. Naranjo. There are 7 owned farms, also managed as one unit, and 28 associated growers. Caribbean. 2 owned farms, managed as one unit. 1 association of independent growers and 119 associated growers who are not yet producing FFB. They will be brought into the certified supply base at such a time as they start producing FFB – anticipated in November 2015 – and will be included in the ASA 2016. This is in accordance with the audit procedure below for associated growers. All the farms, association and associated growers were included in a complete NPP and full HCV assessment in May of 2013. No HCV was identified.
Compañia Industrial Aceitera Coto Cincuenta y Cuatro S.A. There are 3 mills (all of them going through certification): CIA Coto 54 S.A. Main Mill. Located at Coto in the South Pacific Region of Costa Rica. CIA Coto 54 S.A Secondary – Naranjo Mill. Located at Quepos in the Central Pacific Region. Latin America Agrialim. Located at Parrita in the Central Pacific Region about 40 km from Naranjo Mill. The Coto Division supply base comprises 3 Districts covering 14.743 ha of oil palm. Palmar. 6.381 ha total area. 9 farms. Coto North. 4.741 ha total area. 7 farms. Coto South. 3.621 ha total area. 7 Farms.
Palma Tica S.A. and Compañia Industrial Aceitera Coto Cincuenta y Cuatro S.A. are both companies owned by Numar Group, RSPO membership number 2-0403-13-000-00. RSPO Management. The corporate manager is Alfredo Villavicencio and he has a team headed by Carlos Playa for the Quepos Division and Huascar Blanco for the Coto Divison. Each division has a team of 5 people covering health and safety, social management, environmental management and 2 field managers. Specific manuals have been prepared for RSPO covering: The policies and their implementation. The corporate policies are prepared by Alfredo and the teams then make the plans for their dissemination and implementation. They are published in many locations around the farm. Quality manuals including, SOPs, Records, External documents and management plans. The teams work with the agronomists of the company to prepare very practical and instructive SOPs, which include photographs and diagrams. The 2 field managers make field observations and report any areas of concern to the head of their team who then reports to Afredo and the General Manager of each division as appropriate. This work is complimentary to the supervision carried out by Palm Tica managers and supervisors. Training of all workers and contractors. All the workers are trained and informed about the policies and SOPs as an induction and at least once a year. This is also in support of additional training by the Palma Tica managers – which is more intensive and over a longer period of time. Regular internal audits for all working sites. The audit results are used to decide on future continual improvement (Principle 8). The financial and control department have an agronomist to do internal audits every 3 months. They audit both MQ III IBD Revisão 03.02.2015 GED/DOCUMENTOS/MODELOS E REFERENCIAS/2-SETOR DE INSPEÇÕES/2_2-RELATÓRIOS DE INSPEÇÃO/2_2_30_1_3_En – RSPO P&C Public Summary Report Página 7 of 26
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the sites and the work of the RSP teams. Social plan. The housing is managed in accordance with legal requirements. i.e. Cleanliness, secure and safe structure, water- tight, windows, doors, concrete or wooden floor, running water, energy and sanitary services.
Summary of the findings regarding management and RSPO compliance of the Associated Growers. *The audit was conducted along with Naranjo mill’s audit, due to their similarity and shared processes (it shares a part of the supply base as well, Palma Tica S.A.), however, they are getting their own certification.
Damas and Naranjo Districts. A random selection of a representative sample of the associated growers from the Damas and Naranjo Districts were selected by the lead auditor and arrangements were made for the audit team to meet with the owners and to conduct a compliance audit. They were audited using the methodology shown below. The SOPs and best practice demonstrated and used by Palm Tica are replicated and used for the Associated Growers.
Caribbean District. There are two agronomist who are responsible for all the associated growers as well as the association. Rogelio Coto Castillo is in charge and he is assisted by Hector Ortega Coto. There is an office for all accounts and administrative work applicable. It was decided not to visit this area as the crop is only now coming into production and the NPP was fully implemented and concluded satisfactorily. However the applicable documents were reviewed as part of the Principle & audit and full compliance was found.
Open Stakeholder meeting. 42 Associated Growers attended the open stakeholder meeting on Tuesday 10th March, representing 45% of the associated growers of the Damas and Naranjo Districts. A summary of their comments can be seen in 3.3.5 below.
Due to the management system of the Associations, it was possible to interview up to 20 individual owners at one time and to conduct reviews of documents common to many individuals and to carry out field inspections of contiguous oil palm under the management of a single association in a very efficient way.
Interviews were conducted on the farms of all the associated growers selected and observations made of oil palm operations such as herbicide applications, harvesting and fertilising. It is worthy of note that, almost without exception, oil palm is just one of many agricultural crops grown with other crops on the farms. Black Pepper, Cattle grazing, Rice and other crops were evident and interviews revealed that oil palm is just considered to be another crop. Best practice is being demonstrably implemented at all farms included in the audit and there Is no reason to suspect that this is not repeated at all farms.
Recycling. Palma Tica collect all empty chemical containers, empty fertiliser bags and other waste and arranges for legal disposal.
Audit procedure. The following approach was used:
The following was required of Palma Tica: 1. Demonstration of sufficient resources to ensure that all associated growers are managing their oil palm plantations in accordance with the applicable indicators of this local interpretation. Findings: Palma Tica has a Manager responsible for the Associated Growers (Andres Quesada) based at Damas Head office. He has a team of two agronomists (Ronald Calvo and Rogelio Coto) and one assistant for payments and fertiliser supplies and claims. For sustainable advice, there are two inspectors to visit each grower at least 4 times per year. For the Caribbean District, there are two agronomist who are responsible for all the associated growers as well as the association. The agronomists give advice on best practice, harvesting, fertilisers, pest controls and other agronomy as required to grow the oil palm as efficiently as possible in accordance with the SOPs that are provided. The sustainable advisors have expertise in chemical use, health and safety, training, environmental management and produce a report for each visit to the grower and to Andres Quesada.
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The team was interviewed and observed in the field and it is considered that the team is sufficient as the associated growers consider oil palm to be just another agricultural crop. The relationship between the associated growers and the team was very positive.
2. A training matrix and training programme is in place for all Associated Growers. Findings: There is a training matrix to ensure that all associated growers receive regular training. Each Associated Grower is given training for all aspects of best management practice, including RSPO requirements, health and safety etc., Training is given in an annual basis but the agronomists always ensure that the growers are fully up to date with best practice and they help to ensure that it is implemented in the plantations.
3. Records are kept of all training. Findings: Records are maintained of all training. For example: Land preparation on 27th August 2013. Attended by 22 growers. (This is considered to be a small attendance). Photographic records are also kept of on-site practical training, which is always attended by up to 80% of all growers. Interviews confirmed that training takes place as indicated and growers were able to demonstrate an understanding of the RSPO requirements. Each grower is given an A5 size laminated signs that illustrate environmental and social imperatives. (Principles 5 and 6).
4. Records of all visits to the Associated Growers with any advice given are maintained. Findings: A report is prepared for each visit from the agronomic engineers or agricultural technicians. A carbon copy is left with the grower. These were available for each associated grower visited.
5. Provide documents to Associated Growers to include as a minimum: Legal requirements and implementation. SOPs for best management practice covering all applicable operations. Fertiliser and herbicide regimes. Integrated pest management. Water management. Health and safety. Environmental criteria. HCV and ERT species. Social criteria. New planting procedures. Provide associated growers with copies of all relevant documents, policies and procedures. Findings: A technical manual is given to all associated growers which include all best practice (Principle 4) and applicable laws (Principle 2). These were seen at all associated growers interviewed and include all the requirements.
6. Demonstrate that prior to accepting FFB as being RSPO certified, that Palma Tica has conducted training and on site supervision and has verified and recorded that the Associated Grower is in compliance with the applicable indicators of the National Interpretation. Findings: Palma Tica conducts full training prior to accepting the associated grower as a supplier of FFB.
7. Keep records of all Associated Growers that are included in the RSPO certified supply base and the dates that they became part of that supply base. Findings: All FFB purchased is recorded according to the farm of origin and associated growers have copies of weighbridge tickets. It is possible to print out full records of FFB delivered by farmer.
8. Inform the Certification Body on at least a 3 monthly basis as to any increase in the RSPO supply base with details of the new Associated Growers.
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Findings: The 119 associated growers in the Caribbean District will be included in the supply base when they start producing FFB late in 2015. IBD will be informed at that time.
9. Provide agronomic support to all Associated Growers. Findings: All associated growers are visited as explained above and agronomic advice is available at any time outside the normal planned cycle of visits. It was explained by the associated growers that the agronomists and sustainability advisors often call in between the scheduled visits, and this is welcomed.
10. Ensure that there are records of any fertilisers, pesticides and herbicides that are applied. Findings: Palma Tica gives a record book to record all use of fertilisers, pesticides and herbicides to all associated growers. Review of books on site confirmed their use. Fertiliser applications are made in accordance with the recommendations of the agronomist if the grower does not arrange their own foliar analysis. About 5% of the associated growers do not use any herbicides or pesticides.
11. Have the authority to remove Associated Growers from the RSPO certified supply base if they do not comply with the RSPO requirements. Findings: Palma Tica have a signed and written agreement with the Associated Growers which includes the understanding that they must manage in accordance with the RSPO and the implication is that failure to do so, will result in FFB not being purchased. Palm Tica acknowledges that the first action to correct any non-compliance is to conduct more training and to increase the supervision.
12. Take responsibility for ensuring that any conditions on which certification is dependent, including any corrective actions raised by the certification body are fully implemented. Findings. RSPO is of great importance to Palma Tica and they will ensure that any non-compliances raised will be implemented.
*the audit was conducted along with Naranjo mill’s audit.
Associated Growers shall: 1. Have an agreement to manage their oil palm in accordance with the agronomic advice given by the Palm Oil Mill and in accordance with the applicable indicators of the National or Local Interpretation. Findings: All associated growers have a written contract for the supply of FFB and the management of their farms in accordance with best practice. This includes all contact details and an agreement to manage: In compliance with national legislation. To be a transparent and responsible grower. To protect the environment. To protect co-workers. To implement best practices as given during training and in the hand book. To keep a register of products used in the book provided. To implement all technical recommendations as given by the agronomist to be an RSPO certified grower. I have read, I have understood, I have accepted and I agree to comply with the 7 pints stated above. Signed by the Associated Grower. The agreement includes a summary of the farm and lot numbers with areas of oil palm.
2. Attend training as requested by Palma Tica. Findings: All associated growers interviewed confirmed attendance of training and records show this has taken place.
3. Implement all requirements as directed by the Palm Oil Mill. MQ III IBD Revisão 03.02.2015 GED/DOCUMENTOS/MODELOS E REFERENCIAS/2-SETOR DE INSPEÇÕES/2_2-RELATÓRIOS DE INSPEÇÃO/2_2_30_1_3_En – RSPO P&C Public Summary Report Página 10 of 26
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Findings: A copy of each and every visit report is left with the partner and observations and interviews confirmed that they all act on the advice given.
1.7.1 Calculation of the Number of Production Units (N) to Sample for the Mill N = 0.8√Y, where “Y” is the number of units, with the result always to be rounded “up” to the next whole integer. Where only a sample of the supply base is assessed, units not previously assessed, or assessed earlier in the certification program, are to be preferred over those more recently assessed. For the Mill, how many units make up the production base? District Owned N = 0.8√Y Associated Growers. N = 0.8√Z estates (Y) Damas 1 Sq rt of 3 = 1.73. (2) 67 Sq rt of 93*0,8 = 7,83 Naranjo 1 The fincas of Damas and 28 rounded up to 8. Caribbean 1 Naranjo were visited. 1 13 were visited. Explanation as to the selection of estates sampled Whilst the sampling formula shows 8 to be visited, the sampling was calculated for each district, giving a higher sample of 13. Associated growers were chosen at random and an audit was conducted on site at each location. It should be noted that at the open stake holding meeting, 42 associated growers were present and they all talked positively about the growing of oil palm and the work of the company. It was decided not to visit this Caribbean District as the crop is yet to come into production and the NPP was fully implemented and concluded satisfactorily. However the applicable documents were reviewed as part of the Principle & audit and full compliance was found.
1.8 Progress of associated Smallholders or Out-growers towards Compliance with relevant Standards – should be in accordance to the 3 year implementation plan All smallholders were included within this very certification audit, and a sample was taken in accordance to RSPO standard.
1.9 Location Map for this Certification Unit Note: Individual maps of the group members are available but it is not practical to reproduce them here. Each area of oil palm is individually managed as an integral part of a farm holding and the adjacent crops are all agricultural. Over view map of the supply base showing the Quepos Division location in Costa Rica.
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Over view map of the supply base showing the location of the Damas and Naranjo Regions in Costa Rica.
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Map of the supply base for the mill. The squares show the Palma Tica Fincas and the dots relate to the Associated Growers. Damas and Naranjo Districts.
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Map of the supply base for the mill. The squares show the Palma Tica Fincas and the dots relate to the Associated Growers. Caribbean District.
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Map showing the neighbouring properties.
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PART 2: PARTIAL CERTIFICATION The rules for partial certification allow organizations that have a majority holding in and / or management control of more than one autonomous company growing oil palm to certify individual management units and / or subsidiary companies subject to certain rules. 2.1 Management Organization Item Criteria Description (if applicable) Compliance (Yes/No) Is the operation conducting a 2.1.1 No. partial certification? Is any company of the group, 2.2.2 member of the RSPO? Which n/a one? Is there a clear relationship between the companies, where 2.2.3 one company has the majority n/a ownership or the management control of others? Is there a clear and achievable 2.2.4 time-bound plan prepared and n/a in place? Does the plan include all 2.2.5 n/a subsidiaries? 2.2 Time-bound plan. n/a 2.3 Progress made on the time-bound plan Please report upon adherence or deviation: n/a 2.4 Non-conformities n/a
PART 3: AUDIT PROCESS
3.1 IBD - The Certification Body IBD takes pride in being the largest certifier in Latin America and the only Brazilian certifier of organic products with accreditation through IFOAM (international market), ISO Guide 65 (European market regulation CE 889/07), Demeter (international market), USDA/NOP (North-American market), COR (Canadian market) and INMETRO/MAPA (Brazilian market), making its certificate global.
Located in Botucatu-SP, Brazil, IBD has been in operation since 1992. Initially focused exclusively on the certification of organic product, after 2004, IBD began including certification services in the social-environmental area through the EcoSocial, Integra, RSPO and UEBT (Union for Ethical BioTrade) programs. Today, IBD certifies over 5,000 producers, covering an area of approximately 520 thousand hectares in cultivation and 3 million hectares under wild harvest management, throughout 16 countries.
For more information regarding IBD Certificações, access www.ibd.com.br. RSPO Membership No: 8-0090-08-000-00. Approved since 11/2014. 3.2 Audit Team David Ogg FICFor. (Local translator: Lara Pusch – a master student in sustainability economic from the University of Oldenburg. She was Lead auditor: present on all occasions as necessary and in particular when the lead auditor audited for RSPO SCC and criteria not covered by other team members, although there was always present along, a member of the audit team who could speak English, when auditing P&C requirements) Assistant Assessor: Ana Maria Uribe Has experience with quality system management under ISO 9000, internal quality audit, fertilizers and inputs for agriculture. Audit team:
Assistant Assessor: Cuauhtemoc Cedillo Has experience with management of natural resources, productive projects in rural areas, MQ III IBD Revisão 03.02.2015 GED/DOCUMENTOS/MODELOS E REFERENCIAS/2-SETOR DE INSPEÇÕES/2_2-RELATÓRIOS DE INSPEÇÃO/2_2_30_1_3_En – RSPO P&C Public Summary Report Página 16 of 26
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environmental laws and regulations.
Assistant Assessor: Kurt Schneider Has 25 years of experience in programs management, human resources management and cooperation projects in Latin America. Expertise in Postharvest handling of grains. Proficiency in the use of conflict management instruments and gender equity.
Expert: Ingrid Ayub Has experience as an auditor leader to the rules of the Sustainable Agriculture Network (SAN), auditor leader in Integrated Management Systems ISO 19011: 2011 certified inspector organic farms.
CVs for all auditors are available at IBD.
3.3 Audit Methodology 3.3.1 Audit Agenda Date Time Location Program Auditor(s) 9th March 0800 Damas District head office. Opening meeting All 2015 Presentation by client detailing the oil palm production 9th March 0830 Damas District head office. All figures for the Damas, Naranajo and Caribbean Districts. 1986 planting of oil palm. 26 harvesters. 5 oxen for extraction of FFB to roadside. Diego Rojaas. Nafranjo District Finca Capital Lot 104. 9th March 1000 Manager. 22 mt FFB per ha per year. All 69 ha. Harvesting inspected. PPE. Technique. Training. Worker interviews. Extraction of FFB. Single oxen and cart. Transfer of FFB into 14mt container that is lifted onto tractor pulled trailer for 9th March 1030 Finca Capital Lot 104. removal to Mill. All Counting system for FFB by worker. Payment on output discussed. Worker interviews. 2,800mt capacity over 30 days. Mesocarp Fibre from mill mixed with up to 30% of the POME. 27,000mt per year. th Composting site for Naranjo Closed waste water system. 4 lined ponds to treat 70% of 9 March 1105 All District. POME. 60 days from input to discharge. Discussion on water management and legal parameters for discharge POME.
th Compost application. Dump trucks and back hoe. 30mt per 9 March 1145 Finca Mona. Lot 134 All ha. Spread on piles of palm fronds. 9th March 1230 Lunch 1230 to 1300. All Introduction by the Mill Manager. Built in 1966. Original capacity of 12mt FFB / hr. 1 press. th 1987. 2 presses. 24mt FFB/hr. 9 March 1315 CIA Coto 54 mill. All 2001. 3 presses. Running at 30mt GGB per hour. 2012. Improved boiler to allow full capacity of 36mt FFB per hour to be reached. Full mill and workshop tour. 9th March 1400 CIA Coto 54 mill. Weighbridge to CPO and PKO tanks. All FB price clearly stated. Health and Safety. RSPO SCC for kernel crush. David. Principle 1 and 2. Ingrid. 9th March 1530 CIA Coto 54 mill. Principle 3 and 6 Kurt. Principle 5 Cuahtemoc. Principle 6 Ana. 9th March 1800 CIA Coto 54 mill. Summary of day. All 10th March 0800 Meeting with stakeholders. Open stakeholder meeting. All. Kurt, Ingrid, Ana and th Interviews of individual stakeholders. Union representative. 10 March 1115 Damas District head office. Cuahtemoc. Review of management of associated growers. David. 10th March 1215 Lunch 1215 to 1245 All Jonathan Rodriquez Morales 350ha of oil palm. Previous crop: rice. 10th March 1245 All and family. 140ha of pasture. MQ III IBD Revisão 03.02.2015 GED/DOCUMENTOS/MODELOS E REFERENCIAS/2-SETOR DE INSPEÇÕES/2_2-RELATÓRIOS DE INSPEÇÃO/2_2_30_1_3_En – RSPO P&C Public Summary Report Página 17 of 26
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10th March 1400 Omar Quesada. 97ha oil palm. Family business. David and Ingrid.
th 130ha of oil palm. 160ha pineapple to be planted with oil 10 March 1500 Roran S.A. David and Ingrid. palm. 55ha wetland. 600ha of shrubbery. Ana, Kurt and 10th March 1400 Juan Barbosa El Silencio Cuahtemoc.
th Ana, Kurt and 10 March 1500 Walter Esteller Finca Zaregre Cuahtemoc. 10th March 1800 Guest house Team discussion on day’s events. All
th Clinic and Damas District Interviews with medical staff. Discussion of medical check- 11 March 0730 Ingrid. office. ups and injuries. Principles 1, 2 and parts of 6. Herbicide operations. Pre-mixing in 2,000l tank. MSDS David, Ana, Kurt and 11th March 0730 Farm Cerros. Lot 57 leaflets in field. Well managed operation. Cuahtemoc. Worker interviews. Application of fibre. 30mt / ha. 11th March 0820 Farm Cerros. Lot 65 David and Cuahtemoc. Discussion and explanation on IPM controls.
th Planting of Saragund plant as beneficial for IPM. Review of 11 March 0840 Farm Cerros. Lot 64 David and Cuahtemoc. retained tree and shrub cover. 11th March 0855 Nursery. Young palms. David and Cuahtemoc. Housing for workers. Recycling household waste. Fertiliser 11th March 0910 Finca Nicoya. Lot 23 David and Cuahtemoc. application. Worker interview. IPM. 4km bund to protect fragile soils from flooding. Protection 11th March 0935 Finca Palo Seco. Lot 3. David and Cuahtemoc. area. Riparian zone management. 11th March 0945 Finca Palo Seco. River Parreto. Riparian zone management. David and Cuahtemoc. Planting of Teak in riparian zone. 11th March 1005 Palo Seco compost plant. David and Cuahtemoc. Stable fly controls. Preparation of audit report documents. David. Principle 4. Ana 11th March 1100 Damas District head office. Principles 1 and 2 and part 6. Ingrid Principle 5. Cuahtemoc. Principle 6. Kurt 11th March 1200 Lunch 1200 – 1300. All Documents and assistance with team. David + transator Principle 4. Ana 11th March 1330 Damas District head office. Principles 1 and 2 and part 6. Ingrid Principle 5. Cuahtemoc. Principle 6. Kurt 0730 to CIA Coto 54 S.A Secondary RSPO SCC audit. David Ogg + translator. 12th March 1030 (Naranjo) Mill Mill office. 1400 to Latin America Agrialim. RSPO SCC audit. David Ogg + translator. 12th March 1700 Mill office. Ana th 0730 to Ingrid 12 March Visits to associated growers. 13 associated growers visited. 1230 Cuahtemoc. Kurt 13th March 0745 Damas District head office. Final preparation of documents. All 13th March 1400 Damas District head office. Closing meeting. All
3.3.2 List of stakeholders consulted during the audit. Name Type of activity Site Date Interviewed by Rafael Hernandez Castillo Cortador Field, Lote 104, 9.3.2015 Kurt & Cuhautemoc Isaac Delgado Colillero Harvesting control Field, Lote 9.3.2015 Kurt & Cuhautemoc Juan Carlos Hayes Machine operation Planta Coto 54 Naranjo 9.3.2015 Kurt William Jimenez Cocinador Planta Coto 54 Naranjo 9.3.2015 Kurt & Ana David Chávez Fruta de repaso Planta Coto 54 Naranjo 9.3.2015 Kurt & Ana Adrian Garita Fosero / Trapiche Planta Coto 54 Naranjo 9.3.2015 Kurt & Ana Jashimir Villareal Rampla Planta Coto 54 Naranjo 9.3.2015 Kurt & Ana Juan Carlos Hayes Operario maquinaria Planta Coto 54 Naranjo 9.3.2015 Kurt & Ana Eduardo Villagra Cortador Lote 104 9.03.2015 Ana , Ingrid Guillermo rodriguez Productor Asociado Agricola Pilona 9.03.2015 Ana Mujer Colillera Lote 136 9.03.2015 Ana Juan Sandi Alvarado Trade Union Secretary Planta Coto 54 Naranjo 10.3.2015 Kurt & Ana
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Jonathan Rodriguez Morales Associated grower 10.3.2015 Kurt & Ana & Cuahautemoc Juan Barbosa Associated grower El Silencio 10.3.2015 Kurt & Ana & COOPESILENCIO Cuahautemoc Walter Esteller Administrator / Associated Finca Zaregre 10.3.2015 Kurt & Ana & grower Cuahautemoc Omar Quesada Productor Asociado Constructora Quepos S.A. / 10.03.2015 Ingrid Ayub Saavegre. David Ogg Randolph Lutz Productor Asociado Camposol S.A 10.03.2015 Ingrid Ayub (se entrevistó al Saavegre. David Ogg administrador) Rudy Stancel Superviser Pesticid Field: Lote 63, C85 11.3.2015 Kurt & Ana & operations Cuahautemoc Rafael Parracampos Control Fruit Bunch Field 11.3.2015 Kurt & Cuhautemoc colection Ester Picado Solis Health security Chemical store 11.3.2015 Kurt & Ana Omar Hernandez Subcontractor Fruit picker Field: Lote 53, C19 11.3.2015 Kurt Fabian Miranda Superviser Fruit pickers Field: Lote 53, C19 11.3.2015 Kurt Santos Gabriel Fruit picker Field: Lote 53, C19 11.3.2015 Kurt Roxana Gomez Fruit picker Field: Lote 53, C10 11.3.2015 Kurt Luisa Carmen Brene Leiva Fruit picker Field: Lote 53, C15 11.3.2015 Kurt Erwin Schmidt Superindenent Farm Office 11.3.2015 Kurt operation Arnoldo Batalla Associated grower Farm, Parrita SA 12.3.2015 Kurt Nelson Monjes Ortega Employee Associated Farm, Parrita SA 12.3.2015 Kurt grower (Arnoldo Batalla) COOPECALIFORNIA: Fernando Associated grower Office COOPECALIFORNIA 12.3.2015 Kurt Arraya Francisco Alfaro Encargado Agroindustrial los Vikingos 12.03.2015 Ana
Joaquin Barquero Productor asociado Palmas la rosa 12.03.2015 Ana Guillermo Salas Valverde Productor asociado Valversan S.A. / Río Seco 12.03.2015 Ingrid Ayub Byron Obando Productor asociado Byron Obando / Damas 12.03.2015 Ingrid Ayub Leonel Fernández Acuña Productor asociado Las Vegas de Parrita 12.03.2015 Cuauhtémoc Cedillo Sandías Rony Ramírez (administrador Productor asociado Sandías 12.03.2015 Cuauhtémoc Cedillo de la finca Sandías de Parrita Parrita S.A. S.A. del Sr. Daniel del Río)
3.3.3 Outline of how stakeholders consultation was managed. During the field audits, individual interviews were conducted of workers and managers. They were interviewed by the Spanish speaking members of the team with the lead auditor present to help with any queries. The Palma Tica managers present were kept at least 50m away from the interviewee. An open stakeholder meeting was held on Tuesday 10th March. This was advertised and promoted by Palma Tica and 66 stakeholder attended. David Ogg (lead auditor) made an introduction to the meeting in English with immediate translation to Spanish by one of the auditors, in which the objective of the meeting was explained to the participants. Following, there was an invitation for the participants to openly comment their perception about Palma Tica company regarding any positive and / or negative impacts in social aspects, environmental aspects and health aspects. The participants started to comment on different aspects. The subjects raised are summarized below. After the meeting an individual interview were held with the Labor Union.
3.3.4 Issues that arose during stakeholder consultation and company responses. Subject raised Company response and proposed Audit team findings action to be taken. We are confused: There are so An explanation will be given on the No further action. many names involved, Coto 54, website. Palma Tica etc. Trees were cut in LLorona due to There was a response within 10 days. No further action. waste water treatment system repairs.(resident of LLorona communitie). MQ III IBD Revisão 03.02.2015 GED/DOCUMENTOS/MODELOS E REFERENCIAS/2-SETOR DE INSPEÇÕES/2_2-RELATÓRIOS DE INSPEÇÃO/2_2_30_1_3_En – RSPO P&C Public Summary Report Página 19 of 26
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Positive Issues that arose during stakeholder consultation that require no company responses. Subject raised Type of stakeholder Good communication between the company and the growers. Advise to growers. Source of jobs. Economic and familiar stability (before, with other crops, it was an Associated Growers (various). unstable income) Very grateful. Engineers to help the growers. Development engine for the area. The amount the company do not pay in taxes (free zone) is paid in excess in help for the communities (help with staff engineers, Municipalidad de Quepos architects, heavy machinery, construct bridges, acantarillados, build schools, repair roads). Company is the right hand of the ASADA (help with materials) N. 1 ally. Help with water quality analysis ASADA A permanent crop is better for the water cycle than non-permanent crops. Gave me advice on how to protect water sources. Before I had cattle and the terrain was eroded, oil palm came to Associated Growers improve the soil (less agrochemicals, less erosion). We have received training in first aid response. The company has a good enterprise medical program. Seems to have high number of accidents but is due to high number of workers. Good job in health and safety. Very important help for the community providing teams to control, dengue. Big help recollecting residues/domestic trash in internal communities. Ministerio de Salud (directora) Waste waters comply. Operating licenses up to date. Good response to sanitary orders Deficiency in sanitary infrastructure in some housing plots but they are repairing it. People complaint about odours but mill emissions comply with requirements We sign a collective labor agreement every three years Big advantage with Sergio (the manager) as he likes to hear from us. Union (SITRADIQUE) Good captain of the ship Salaries are way above the minimum Company has lent the house were the social security EBAIS operate. Donated a lot for the construction of a social security clinic (not Community members build yet)
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PART 4 AUDIT FINDINGS 4.1 Summary of findings Principle 1: Commitment to transparency. It was found through document review, interviews with different stakeholders and information compiled during a stakeholder meeting organized during the audit, that the Company provides relevant information to stakeholders and has documented and implemented procedures to receive complaints and request of information, analize these complaints/request of information, respond in a timely manner and store the cases in a way to have them available for consultation. Also, corrective actions are taken, if required. The company has a Código de Conducta Empresarial that rules the ethical company performance that every administrative worker has to understand and sign. Principle 2: Compliance with applicable laws and regulations It was found though document review, interviews and field observations that the 4 legal entities related with the two mills and plantation complies with national in force and pertinent legislation. The above includes, between others, land titles and land use, operational permits, licenses, labour law, environmental and social assesments and health and safety related aspects. Principle 3: The company has an actualised Business plan with a projection perod from 2014 to 2019. The plan covers: Production of fruits (mt), productivity (mt/ ha), area planted (ha), Industrial productivity (mt oil / ha), Oil production (mt), Operational costs: Agriculture (plantation), Mill and Administration. There is a comparative table analysing cost – benefit with different oil prices taking as reference the last 15 years. There is a replanting programme in place with a production projection of 38 years of production life per tree. The plan covers the period of 2015 to 2046 with a total of 9,284 of replanting. Principle 4: The company maximises the production capacity of plantations and mills whilst safeguarding the status of the resources required to maintain the fertility of soils, the quality of water and the safety of the workers by implementing best practices and so achieving economic viability.
All mill and field operations are covered by SOPs and best practice is fully implemented and monitored. Soil fertility and structure is maintained with the use of compost and fertilise regime prepared by soil and foliar analysis. Water management is well organised and ensures the efficient use of water by calculating moisture deficits and targeting irrigation in scientific way. Pesticide use is minimised by IPM techniques and all pesticides are applied in a safe way with correct waste disposal. Health and safety is organised in an exemplary way. All operations are risk assessed and PPE is issued and used. Training is conducted and recorded and is seen to be effective. Principle 5: The company complies with Principle 5, which demonstrates its environmental responsibility and conservation of natural resources and biodiversity, under which: a) An Environmental and Social Impact Assessment, performed by a certified consultant for RSPO, which identifies the aspects related to the operation of the mills and plantation management, including the renovation, which have environmental impacts, have developed plans to mitigate negative impacts and promote the positive and prove the existence of continuous improvement processes. b) Have been identified and assessed the status of rare, threatened or in danger of extinction and other habitats of high conservation value within the own plantation and small associated producers who might be affected by crop management or of the processing plant and have established and developed measures to help ensure its preservation and / or improvement. c) They have a Waste Management Plan for each of its operating units that were successfully implemented to reduce waste, recycle, reuse and dispose of an environmentally and socially responsible manner. d) They have a plan and a monitoring system to improve efficiency in the use of fossil fuels and to optimize renewable energy. e) It prevents and prohibits the use of fire for land preparation or reseeding and have clear guidelines in this respect for all staff. Include brigades trained and equipped for fire-fighting if necessary. f) The company has developed plans, implemented measures and established a monitoring system to reduce pollution and emissions including greenhouse gases, both for its operations in the field and in the mills.
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Principle 6: The Company realized a social Impact Assessment consulting main stakeholders in 2012 which was actualized in 2015 including an action plan covering community development, respect of legal aspects, Good relation with employees, producers and all stakeholders. A good communication to all stakeholders should be guaranteed. The company has an actualized internal as well as an external communication strategy with a person in charge for implementation and follow up. All communications are systematically registered and there is a completed list of the stakeholder actualized in Feb. 2015 and classified in 11 categories. A documented systems for depositing complaints is in place, made public and accessible for all affected parties. In the initial training the system is presented and explained. Public boxes are posted in the different departments. There is also a phone number for complaints. A procedure for identifying local rights is in place and was confirmed in a public consultation in Jan. 2015. There are no land disputes There is a contracting system in place respecting all International law (ILO) and national law. This is reinforced through Ethical codes containing: Freedom of association, Discrimination, Sexual harassment, child labor, reproductive rights, etc. Access to a housing program and access to medical checks are additional benefits. A detailed Human Resource policy and procedures sustain a fair recruitment and selection process respecting equal opportunities. Interviews confirm that people (employees, associated growers, communities, stakeholders in general) is informed about the policy, the rules and the activities of the company. They have access to public information of the company. Payment conditions are respected and completed in due time. associated farmers have a fair contract with a long term perspective. The company incentivize good quality of the products with additional benefits. Principle 7: There were no new plantings after 2005, only re-plantings, although, for Palma Tica S.A. Caribbean, there was a NPP process announced on RSPO website in on May of 2013 and approved afterwards. The soils of the region are suitable for oil palm and the company has extensive experience of the agronomy of oil palm to ensure that only suitable sites are selected. The associated growers are all farmers who have a good knowledge of their soils and oil palm has simply replaced other agricultural crops such as pineapples and rice. The size of the individual plantations can vary from less than one ha and rarely exceed 50ha. These are the original field patterns. The layout of the plantations observed confirmed that their planning takes into account drainage and irrigation as well as roads as required. All planting is covered by SEIAs and is done in accordance with best practice. There are no land disputes and as the planting is being done by associated growers on their own land, there are no customary rights applicable. Land preparation is by cultivation only with no burning. No high carbon stocks are disturbed. Principle 8: The ethos of the company is to implement best management practices and to be as efficient as possible. It is important to distinguish between improvements that are expected within the principles and improvements that can be included under principle 8. The company is demonstrably improving their performance in relation to reduction of herbicides and pesticides, improved recycling of all waste and green-house gas emissions. The approach of the company to social communities is commendable and the work they do with associated growers ensures that the supply base is fully optimized.
RSPO Supply Chain Certification (according to 2014 version) Supply Chain Module (D or E) Module D for Identity Preserved. Description Processing of FFB and the production of CPO and PK. The mill manager has the role or ensuring that RSPO SCC requirements are implemented in the Mill. Documented Procedures MP-13-04-02-01. General SOP for supply chain. This SOP covers all aspects of the COC requirements. Purchasing and goods in Only FFB from approved suppliers. Record keeping Sales of CPO to Numar company, Inolasa, International exportation. Processing In accordance with SOPs. Non-conformities found Full compliance was found.
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4.2 Non conformity registers. This section gives an over view of new or revised non-conformities raised during this assessment and of action taken to close out non-conformities raised during the previous assessments. Major non-conformities raised during a main assessment will prevent the certification body from making a positive certification decision for the concerned units/products. The NC number is comprised of 2 parts to include the year in which the NC is raised as well as a sequential number. 4.2.1 Verification of previous assessment non-compliances
Non-compliance: N/A Date raised: Major or Minor: Correction at this audit Full: Partial: Not corrected:
4.2.2 New non-compliances raised at this audit
NC number: 2015/001 Date raised: 13th March 2015 Major or Minor: Minor Reference of standard: 4.6.9 Maintenance of employee and associated smallholder knowledge and skills on pesticide handling shall Standard requirement: be demonstrated; including provision of appropriate information materials (see Criterion 4.8). Associated growers were not fully aware of the active ingredients and were recording the commercial Evidence of non-compliance: name of the pesticide only. Date of closing:
Observations. Date raised:
Date: 14th March 2015 Number settled n/a Number outstanding 1
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4.3 RSPO Principles & Criteria management of non-conformities.
Nonconformities were not found - the procedure can continue.
Nonconformities were found.
In case of Minor non-conformities:
In the next audit: The final proof of the effectiveness of the corrections and corrective actions will be reviewed in the next regular audit.
In case of Major non-conformities*:
Follow-up Audit: On-site review and evaluation of the introduction, implementation and effectiveness of guided correction and corrective actions for previously identified non-conformities. or Action Plan: The action plan is a scheduled plan of action with the serial number of the finding, root cause analysis, the corrections (to stop the error), and corrective action (for retraction of the fault) to be submitted to the lead auditor and certification body.
Verification of effectiveness: On a Follow-up Audit:
By submission of documents: Evidence of the effectiveness of correction and corrective action is to explain to the deadline set by the Audit Team Leader submission of documents.
*Must be addressed within 60 days if it is a surveillance audit.
Auditor in Charge: The audit team leader along with the certification body directs the non-conformities as needed for processing and closure.
MQ III IBD Revisão 03.02.2015 GED/DOCUMENTOS/MODELOS E REFERENCIAS/2-SETOR DE INSPEÇÕES/2_2-RELATÓRIOS DE INSPEÇÃO/2_2_30_1_3_En – RSPO P&C Public Summary Report Página 24 of 26
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4.4 Lead Auditor Recommendations for the RSPO Principles & Criteria certification. Grant/ Renewal/ Extension* Maintenance* Suspension Refuse / Withdrawal Certificate
*) Grant / Renewal / Extension / Maintenance, in the case of open Minor nonconformities, assumes that the nonconformities will be cleared as agreed OBS: The final decision whether the company will be granted with the RSPO P&C certification or not, shall rely upon the certification body, after reviewing the audit documentation and taking in account the lead auditor’s recommendation.
4.5 Comments for next audit. In the next audit the corrective actions, findings and opportunities for improvement will be discussed again. For the next audit it is preliminarily agreed: Within 12 months of the date of certification being awarded.
MQ III IBD Revisão 03.02.2015 GED/DOCUMENTOS/MODELOS E REFERENCIAS/2-SETOR DE INSPEÇÕES/2_2-RELATÓRIOS DE INSPEÇÃO/2_2_30_1_3_En – RSPO P&C Public Summary Report Página 25 of 26
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PART 5 FORMAL SIGNING OF AUDIT FINDINGS
MQ III IBD Revisão 03.02.2015 GED/DOCUMENTOS/MODELOS E REFERENCIAS/2-SETOR DE INSPEÇÕES/2_2-RELATÓRIOS DE INSPEÇÃO/2_2_30_1_3_En – RSPO P&C Public Summary Report Página 26 of 26