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 Impact Vision

We aim to achieve a palm derivatives supply chain that is:

Environmentally Resilient: Palm oil production secures a resilient future defined by: verified no deforestation in relation to the collective sourcing areas of ASD members, conserved and some restored landscapes, and regenerative agriculture practices.

Respects Human Rights and Supports Smallholders: The human rights of the people related to the derivatives supply chain are respected and upheld, and the livelihoods of independent smallholder farmers are supported through expanded access to sustainable economic opportunities.

Sector-Aligned and Future-Oriented: The palm derivatives supply chain is transparent and accountable, defined by strong relationships, open dialogue, trust and alignment among peers, suppliers, and the broader palm oil sector to drive lasting change.

What we want to achieve

  1. Achieve value chain transparency down to refinery, mill, and plantation levels

  2. Maximize the potential for success in reaching NDPE goals by sharing solutions specific to the constraints of the derivatives supply chain

  3. Harmonize requirements for supply chain players on transparency, risk monitoring, and evaluation to better support commitments to deforestation-free and responsible sourcing

  4. Participate in multilateral collaboration on various fields of action, including development and launch of new tools, methodologies, and field projects

  5. Increase the leverage of influence of the derivatives supply chain by joining to amplify the sector’s voice

Get in touch

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