Sustainability issues of a wood pulp giant: Indonesian Royal Golden Eagle Group
Amsterdam, 20 June 2022. The global operations of the wood pulp giant Royal Golden Eagle (RGE) come with several sustainability issues, such as deforestation, pesticide use and land disputes. This is the conclusion of a review, as released today by the not-for-profit organisation Aidenvironment. The Indonesia-based RGE-conglomerate is among the largest producers of wood pulp in Indonesia, China, and Brazil, and also a large producer of paper and textile fibers. Aidenvironment recommends companies buying palm oil, pulp, paper or textile fibers from RGE to increase pressure on the company, to improve its sustainability performance.
RGE’s largest business groups in the pulp, paper and textile fiber sectors are: Asia Symbol and Sateri (both located in China), APRIL (located in Indonesia) and Bracell (located in Brazil). Compared to the other three companies, Asia Symbol scores significantly worse on accountability and transparency regarding the sourcing of raw materials. The Brazilian company Bracell stands out in its abundant use of pesticides on eucalyptus plantations. The Indonesian APRIL company has sustainability issues concerning deforestation, land disputes and drainage of peatlands.
RGE has responded in length to a draft-report sent for review by Aidenvironment. It stated that most of the issues raised have been clarified and/or addressed earlier. Aidenvironment disagrees, mainly concerning RGE’s Indonesian deforestation record.
For more information, please reach out to Chris Wiggs.