What is ASD?

 

Action for Sustainable Derivatives (ASD) is an industry-led platform which brings together companies in the cosmetics, home and personal care, and oleochemicals industries to collectively tackle environmental and social supply chain issues around palm oil and palm kernel oil derivatives, and expanding into other derivative commodities.

ASD is a collaborative initiative co-managed and co-facilitated by BSR and Transitions, two organizations with extensive experience and expertise in supply chain sustainability and business collaborations.

 
 
 

The challenge

 

The production and distribution of palm oil derivatives present significant environmental and social challenges.

Corporate users of palm oil derivatives are seeking solutions to accelerate compliance of their supply chains with deforestation-free and responsible sourcing principles, and growing regulations. Independently, these companies face barriers navigating and influencing the supply chain. These barriers include:

  • Limited transparency in the long, ramified and fragmented palm derivatives supply chain

  • Small purchasing volumes, resulting in limited leverage when negotiating with upstream suppliers

  • Duplication of supplier engagement efforts

 

Our mission

 

Our mission is to achieve a palm derivatives supply chain that upholds No Deforestation, No Peat, No Exploitation (NDPE) principles, respects human rights, and supports local livelihoods.

By harmonizing requirements, standardizing tools and methodologies, and mutualizing efforts, ASD intends to increase the transparency of the global derivatives supply chain, collectively monitor risks and activities along the supply chain, and implement collective action projects to address social and environmental issues on the ground.

What we want to achieve

 
  • Create a global, transparent mapping of the palm derivatives supply chain

  • Maximize ability to comply with NDPE principles and regulations

  • Harmonize approaches on transparency, risk monitoring, and evaluation

  • Explore and action opportunities for multilateral collaboration and collective action, including on pilots of tools, methodologies, and sustainable field projects

  • Unite as a sector to increase external recognition of the singular complexity of the palm derivatives supply chain and to leverage influence over major upstream supply chain players

  • Expand scope of work to other derivative commodities, including coconut and soy derivatives

BSR is a global nonprofit ogranization that works within its network of around 300 member companies to build a just and sustainable world. It develops sustainable business strategies and solutions through consulting, research, and cross-sector collaboration. BSR has 30 years of experience in designing, implementing and scaling effective business-led collaborations. Our powerful global network of member companies, cross-sector collaborative initiatives, and grant-funded partnerships ensures that no company is alone in addressing sustainability challenges.

Visit the BSR website to find out more.

 

Transitions is a consultancy specialized in building sustainable supply chains for a range of key commodities. With long experience working in the palm derivatives supply chain for the cosmetics and oleochemicals sectors, Transitions benefits from a strong understanding of its complexities, a good reputation among its players and external stakeholders, as well as a deep expertise in build sustainable procurement models that deliver positive impacts in the field. As an independent third-party, Transitions acts as a facilitator to build dialogue with direct and indirect suppliers, as well as internal and external stakeholders in order to enhance win-win improvements along the chain.

Visit the Transitions website to find out more.

 
 

Get in touch

We invite new companies to join us and interested stakeholders to co-build and co-implement solutions with us.