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Sustainability

Sustainability at LIPSA

LIPSA works to guarantee a supply chain for its raw materials that is safe and sustainable in social, environmental and economic terms.

Why sustainable?

Environment

With our Sustainability Policy we are committed to protecting high carbon stock (HCS) reserves and areas with high conservation value (HCV), as well as avoiding peatland planting and incentivising programmes to reduce greenhouse gas emissions.

The purchase of sustainable raw materials adhering to a No Deforestation, No Peat, No Exploitation (NDPE) Policy contributes to the protection of the environment towards the goal of zero deforestation.

Promoting change

LIPSA works with its clients, suppliers and partners, promoting change throughout the supply chain. We believe that it is crucial to work together on an industry level to build sustainable supply chains.

Engaging with our suppliers is key to ensuring that they are working according to our NDPE policy as well as ensuring that they have an action plan in place to guarantee sustainable supply.

Working conditions

Protecting human and worker rights throughout the supply chain is one of our goals. As established in our NDPE policy, ensuring a free and equal working environment, as well as respecting the rights of indigenous peoples and local communities in the countries of origin, is part of our roadmap to ensuring responsibility throughout the supply chain.

Action plan

LIPSA develops its Responsible Sourcing Policies through periodically defined action plans that establish specific actions designed to achieve its objectives of protecting the environment and improving social conditions throughout the supply chain.

  • 01

    Policy

    Palm Oil Sustainability Policy

    Download
  • 02

    Action plan

    Sustainability Action Plan for the period April 2025 to March 2026 to implement our Sustainable sourcing commitments on key commodities of our supply chain.

    Download
  • 03

    Progress report

    Sustainability Progress Report 2024

    Download
  • 04

    Palm Oil Dashboard

    Palm Oil Dashboard 2025

    Download
  • 05

    Policy

    Environmental and energy policy

    Download
  • 06

    Policy

    Responsible sourcing policy

    Download
  • 07

    Policy

    Coconut Oil Sustainability Policy

    Download

Transformation:
a bet for the future

To promote change and work towards a sustainable supply chain, collaboration between supply chain stakeholders in the implementation of projects and tools that contribute to the improvement of environmental and social conditions in the countries of origin is essential.
For palm oil, as Guatemala is one of our main sourcing countries, since 2019 we have been supporting a Social Performance project in Guatemala. The project aims to improve social performance to reduce social risk derived from the palm oil industry operations. The multi-stakeholder project coordinated by Earthworm Foundation brings together the Guatemalan industry, GREPALMA, international peer companies, and civil society.

Since 2019 the project has focused on:

Phase 1: Priority topics identified and stakeholder engagement.

1. Free, Prior Informed Consent (FPIC). 2. Freedom of Association and Collective Bargaining (FOACB). 3. Health and Safety of Communities. 4. Human Rights Defenders.

Phase 2: Strengthening Capacities in the Palm Oil Sector.

Build capacity on the first four issues identified as a key issues by the palm oil companies.

Phase 3: Strengthening capacities/processes at the sector level and supplier-specific engagement.

In 2023, the project entered Phase 3: Focus at the Supplier level: Specific engagement with suppliers and definition of an action plan according to their gaps and needs identified during Phase 2. Focus at the Sector level: Palm Oil Producers Association (GREPALMA ) Capacity Building Strategy.