Pulp and paper company
With combined pulp, paper and packaging capacity of 7 million tonnes in Indonesia, it ranks number one in Asia, excluding Japan.
Company Ownership
Asia Pulp & Paper Company Ltd
SGP
Sinar Mas Group
owns 100% of Asia Pulp & Paper Company Ltd
IDN
Pulp & paper, food, agri-business & financial services
This Indonesian conglomerate has extensive interests in both the palm oil and pulp and paper sectors. It is Indonesia's largest palm oil producer and the second-largest globally. Controlled by the family of Indonesian tycoon Eka Tjpta Widjaja.
Company Assessment
(Last updated Aug 2024)
Praise
Criticism
Information
Asia Pulp & Paper Company Ltd
Praise
Criticism
Information
CDP Climate Change score of A-
In 2023, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts to reduce greenhouse gas emissions and mitigate climate change risk. Responding companies are scored across four key areas: disclosure; awareness; management; and leadership. This company received a CDP Climate Change score of A-.
Source: CDP
(2023)
CDP Forests score of A-
In 2023, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts towards removing commodity-driven deforestation and forest degradation from its direct operations and supply chains. Responding companies are scored across four key areas: disclosure; awareness; management; and leadership. This company received a CDP Forests score of A-.
Source: CDP
(2023)
CDP Water Security score of B
In 2023, the Carbon Disclosure Project (CDP) asked companies to provide data about their efforts to manage and govern freshwater resources. Responding companies are scored on six key metrics: transparency; governance & strategy; measuring & monitoring; risk assessment; targets & goals; and value chain engagement. This company received a CDP Water Security score of B.
Source: CDP
(2023)
Rainforest destruction
A 2019 report found that this company violated their zero-deforestation commitments in 2018 by taking wood from a controversial supplier owned by Djarum Group, who are yet to adopt a policy to refrain from deforestation, peatland destruction, or exploitation of local communities.
Conflict with local communities
A 2019 report found that this company is involved in hundreds of conflicts with communities across the Indonesian islands of Sumatra and Borneo. The research results show that in just five provinces of Indonesia, at least 107 villages or communities are in active conflict with APP affiliates or its suppliers. The controversial expansion of APP's pulpwood plantations has had vast social impacts on local communities, including land-grabbing and displacement of local populations, sometimes involving brutal violence.
0/20 in Social Benchmark
The 2024 Social Benchmark assesses the world's 2,000 most influential companies on their responsibility in meeting society's fundamental expectations towards three measurement areas: respecting human rights, providing decent work, and acting ethically. This company was assessed in 2023 and received a score of 0/20. The average score was an alarmingly low 4.6/20 and the highest score was 15.5/20.
Supply chain practices in China
The Green Supply Chain Corporate Information Transparency Index (CITI) evaluates consumer-facing companies that have a sizeable supply chain in China. The evaluation uses government supervision data and public information to assess the environmental management of their supply chains in China. This company received a score of 15.16/100 (retrieved 24 Nov 2023).
Source: IPE
(2023)
Companies end supply contracts
A number a companies cut ties with APP in 2008 on environmental grounds including Office Depot, Walmart, Staples, Ricoh and Australian retailer Woolworths Ltd.
Source: Wikipedia with links
(2008)
Illegal logging, corruption
'The company has profited from a corporate ethic founded on corruption and environmental exploitation. In Indonesia's Riau province, where APP has fed paper mills for some two decades, forests have been devastated, while the local population has remained one of the poorest in the country.' Multinational Monitor article outlining criticisms. [Listed under Information due to age of report]
Source: Multinational Monitor
(2005)
Paper Tiger, Hidden Dragons report, 2001
This 2001 report by Friends of the Earth UK examines the responsibility of international financial institutions for Indonesian forest destruction, social conflict and the financial crisis of Asia Pulp & Paper.
Source: Friends of the Earth UK
(2001)
Rainforest destruction
Asia Pulp & Paper and APRIL are among Indonesia's most destructive corporations. Between them, they produce 80 percent of Indonesia's pulp and paper. This comes from clear cutting rainforests and replacing them with monoculture acacia pulp wood plantations grown on these cleared rainforests and peatlands.
Source: RAN
(2010)
Illegal logging in Indonesia
A 2012 Greenpeace investigative report exposed how APP pulp mills were riddled with ramin, an internationally protected tree species. The logging and trade in ramin is banned under Indonesian law. Greenpeace was calling APP's customers to stop doing business with APP until they clean up their act. APP has since announced a moratorium on further forest clearance and a range of measures to stop its role in deforestation.
Source: Greenpeace
(2012)
WWF report - APP Misleads Customers
'Four years ago, APP made a public pledge to protect some of the high conservation value forests within its holdings... APP is now touting a hollow commitment to conservation in an elaborate public relations and advertising campaign at the same time they are accelerating the clearing of rainforests.' [Listed under Information due to age of report]
Source: WWF
(2006)
Sustainability Consortium member
This company is a member of The Sustainability Consortium, an organization of diverse global participants that work collaboratively to build a scientific foundation that drives innovation to improve consumer product sustainability. They develop transparent methodologies, tools, and strategies to drive a new generation of products and supply networks that address environmental, social, and economic imperatives.
Source: Sustainability Consortium
(2019)
BankTrack profile
BankTrack is a global network of civil society organisations and individuals tracking the operations of the banking sector and the activities they finance. Banktrack aims to promote fundamental changes in the banking sector so that banks adopt just and sustainable business practices. BankTrack also has profiles on companies, such as this one, which have been the subject of civil society campaigns for damaging the environment or society. Follow the link to see this company's profile.
Source: BankTrack
(2018)
Sinar Mas Group
Praise
Criticism
Information
7.4% in Nature Benchmark
The Nature Benchmark ranks 816 companies across 20 industries on their efforts to protect our environment and its biodiversity. Companies were assessed in three phases between 2022 and 2024 using three measurement areas: governance and strategy; social inclusion and community impact; and ecosystems and biodiversity. This company was assessed in 2023 and is ranked #589/816, with a total score of 7.4/100.
32.2% in Forest 500 Rankings
Forest 500 identifies the 350 companies and 150 financial institutions with the greatest exposure to tropical deforestation risk, and annually assesses them on the strength and implementation of their deforestation and human rights commitments. This company received a score of 32.2%.
Source: Forest 500
(2023)
Deforestation & Palm Oil Plantations
Criticisms in this Greenpeace report include illegal logging, large-scale deforestation and expansion of palm oil plantations into previously forested areas. [Listed under Information due to age of report]
Source: Greenpeace
(2008)
Friends of the Earth report
A 2008 report on the sustainability claims of Malaysia's palm oil lobby, with a special focus on the state of sarawak.
Source: FOE
(2008)
Pulping the Planet
This Greenpeace report reveals how Sinar Mas is engaged in clearing rainforests and destroying peatlands. The group also has significant interests in palm oil and coal mining, amongst other sectors.
Source: Greenpeace
(2010)
Most controversial companies of 2010
This company appeared ninth on RepRisk's top ten "most environmentally and socially controversial companies of 2010". Companies on the list were severely criticised during 2010 by the world's media, governments and NGOs. Criticisms of Sinar Mas include excessive deforestation to make way for palm oil production in Indonesia, destroying the habitats of endangered orangutans and Sumatran tigers, illegally burning forests, damaging rivers and fish stocks, destroying indigenous ways of life, and creating social conflict through land rights and resources disputes. [Listed under Information due to age of report]
Source: RepRisk
(2010)
Wikipedia profile
Follow the link to see Wikipedia's profile on this company
Source: Wikipedia
(2020)
BankTrack profile
BankTrack is a global network of civil society organisations and individuals tracking the operations of the banking sector and the activities they finance. Banktrack aims to promote fundamental changes in the banking sector so that banks adopt just and sustainable business practices. BankTrack also has profiles on companies, such as this one, which have been the subject of civil society campaigns for damaging the environment or society. Follow the link to see this company's profile.
Source: BankTrack
(2018)
Company Details
Type:
Private company
Subsidiaries:
Nippecraft Ltd
(64% owned)
Office supplies
Founded in 1977
Collins Debden Pty Ltd
Diaries and stationery
Sales offices in Australia, UK and Singapore. Based in Australia.