From left: Daniel Siew, head of sustainable finance business development, CIMB Bank; Tania Davina Yoganathan, head of sustainability MY, CIMB Bank; Reza Azmi, executive director and founder, Wild Asia; and Lim Ying Ying, general manager, Wild Asia, at the MoU signing between CIMB and Wild Asia
KUALA LUMPUR: CIMB Bank Bhd has signed a memorandum of understanding (MoU) with Wild Asia Sdn Bhd to drive the transition toward more sustainable practices in the palm oil sector.
In a statement today, CIMB said the partnership aimed to strengthen supply chain transparency and uphold sustainability standards by working closely with its clients and industry stakeholders through Wild Asia’s Small Producer Inclusivity & Resilience Alliance Programme (Spiral).
"By facilitating credible certification for mills, their supply chains and independent producers, which include smallholders, small growers and estates, it aims to drive greater accountability and responsible sourcing practices across the industry.
"Through this programme, independent producers will be able to gain better market access and improve their livelihoods while supporting the broader transition to nature-positive sustainable palm oil production,” it said.
CIMB said smallholders can transition to sustainable palm oil production by reducing carbon intensity, measuring and managing greenhouse gas emissions, and adopting regenerative agricultural practices to enhance yields with minimal environmental impact.
CIMB Group
chief sustainability officer Luanne Sieh said sustainability in this sector goes beyond reducing environmental impact, as it is also about strengthening livelihoods and creating long-term economic opportunities throughout the value chain, especially for smallholders who form a large part of the ecosystem.
"Through close collaboration with Wild Asia, our clients, and industry stakeholders, we are committed to shaping a more responsible and inclusive palm oil ecosystem,” she said.
Meanwhile, Wild Asia founder and executive director Dr Reza Azmi said their on-ground initiatives have delivered tangible results, proving that inclusive palm oil production is achievable.
He said the company has also demonstrated that by adopting regenerative practices, oil palm can serve as a long‐term carbon sink.
"With Spiral partners leading the charge, we are poised to scale these efforts across the industry, paving the way for thriving communities, prosperous businesses, and a healthier planet,” he said. - Bernama
