Olam Food Ingredients is taking a proactive stance against deforestation, employing cutting-edge satellite tools and AI to monitor environmental impact while fostering close ties with farmers. Roel van Poppel, the chief sustainability officer, emphasized that the company's strategy hinges on establishing systems that not only verify environmental claims but also support broader agricultural goals. This dual approach underlines the necessity of protecting both forests and the livelihoods of farmers who depend on them.
Who Is Affected
The Singapore-based agribusiness, which supplies a variety of products including cocoa, coffee, and dairy, has committed to becoming "forest positive" by 2030. This goal sets a higher bar than simply being deforestation-free, as it seeks to reverse forest loss rather than just halt it. According to Olam's Choices for Change Impact Report 2025, the company has already planted 16.9 million "beneficial trees," surpassing its target by nearly 2 million trees. This commitment not only addresses environmental concerns but also supports farmers whose livelihoods are increasingly jeopardized by climate change and market volatility.
The Policy Gap
As regulations tighten, Olam is preparing for the EU Deforestation Regulation, which will take effect at the end of 2026. This law will require large companies to provide verifiable due diligence statements, confirming their efforts to mitigate deforestation risks. Van Poppel noted that compliance will necessitate detailed perimeter maps for land exceeding four hectares, which must be precise to six decimal places. This regulatory framework is crucial for holding companies accountable and ensuring that their practices align with environmental protection goals.
Olam collaborates directly with farmers, using in-field polygon mapping to delineate land boundaries and monitor forest cover through advanced satellite tools. By the end of this year, Olam aims to supply its customers with comprehensive geolocation data, enhancing traceability and transparency in their supply chains. Such measures empower farmers, whose productivity and sustainability are closely tied to the health of the ecosystems they work within.
Despite these advancements, Van Poppel acknowledged challenges remain. The management oversight required for monitoring is significant, with each of the approximately 730,000 mapped farms typically needing hours of physical surveys and travel. While satellite systems offer valuable data, they are not infallible, with false positives necessitating additional on-the-ground verification. This reality underscores the importance of human insight in complementing technological approaches to sustainability.
Civil Society Reacts
The integration of artificial intelligence into Olam's operations presents both opportunities and risks. While AI can enhance data analysis across disconnected datasets, Van Poppel cautioned that it cannot solely drive anti-deforestation efforts. Regulatory bodies will require ongoing verification to ensure compliance with established standards. He advocates for a collaborative approach, urging companies to engage farmers and avoid isolating data systems that could limit the potential for broader sustainable agricultural practices.
Olam's development of the Farmer Information System allows farmers to collect data beyond forest cover, equipping them with tools to improve various aspects of their agricultural practices. The AtSource platform, launched in 2018, provides essential data for customers to meet sustainability objectives, demonstrating how technology can foster accountability in supply chains.
Why This Matters:
The fight against deforestation is critical not just for environmental health but for the millions of farmers whose lives depend on sustainable practices. As Olam Food Ingredients pushes forward with its digital tools, it highlights the urgent need for corporate responsibility and regulatory frameworks that protect both forests and vulnerable communities. The success of these initiatives relies on cooperation between industry, regulators, and the farmers on the ground, ensuring that sustainability is not merely an abstract goal but a tangible reality that benefits all stakeholders involved. The push for comprehensive deforestation-free requirements globally can help create a level playing field, essential for addressing the systemic challenges posed by climate change and environmental degradation.