To: Ms. Michelle Edkins, Global Head, BlackRock’s Investment Stewardship Team
Tell BlackRock to stop funding rainforest destruction and conflict palm oil!
Dear Ms. Edkins,
The news coming out of Liberia is troubling.
I understand that you hold shares in the Asian agribusiness firm Golden-Agri Resources (GAR). Several years ago, GAR established a policy to eliminate deforestation and exploitation from its operations, including “all upstream and downstream palm oil operations that we own, manage or invest in, regardless of the stake.” However, despite GAR’s commitment, it has been increasingly clear that GAR’s investment in Golden Veroleum Liberia (GVL) has led to great environmental destruction and human rights violations.
An investigation conducted by Friends of the Earth has found that GVL is responsible for clearing dense forests, including chimpanzee habitat, without the consent of local communities. Furthermore, a 2018 RSPO Complaints Panel decision affirmed ongoing violations by GVL, including the failure of the company to implement adequate free, prior, and informed consent (FPIC) procedures, destruction of sacred sites, coercion and intimidation of community members to sign agreements with the company, and continued development of disputed land.
As one of the world’s most reputable investment firms, it is reasonable to expect that your investment approach complies with international business frameworks such as the UN Guiding Principles on Business and Human Rights, and the OECD Guidelines on Responsible Business Conduct. You have a fiduciary responsibility to ensure that your investments are not destroying high-carbon stock forests, dispossessing communities of their traditional lands, and contributing to greater impoverishment –- all of which contribute to operational, reputational, and legal risks.
I therefore urge you to use your leverage to engage with GAR and urge the company to suspend its Liberian operations until GVL comes into full compliance with international business norms, including the recent recommendations of the RSPO Complaints Panel. If GAR continues to disregard international norms, Liberian national laws, and its own company policies, you should recognize the risks associated with this company, and seek to eliminate your exposure to GAR. There is no room for conflict palm oil in responsible investments.
Sincerely,
The news coming out of Liberia is troubling.
I understand that you hold shares in the Asian agribusiness firm Golden-Agri Resources (GAR). Several years ago, GAR established a policy to eliminate deforestation and exploitation from its operations, including “all upstream and downstream palm oil operations that we own, manage or invest in, regardless of the stake.” However, despite GAR’s commitment, it has been increasingly clear that GAR’s investment in Golden Veroleum Liberia (GVL) has led to great environmental destruction and human rights violations.
An investigation conducted by Friends of the Earth has found that GVL is responsible for clearing dense forests, including chimpanzee habitat, without the consent of local communities. Furthermore, a 2018 RSPO Complaints Panel decision affirmed ongoing violations by GVL, including the failure of the company to implement adequate free, prior, and informed consent (FPIC) procedures, destruction of sacred sites, coercion and intimidation of community members to sign agreements with the company, and continued development of disputed land.
As one of the world’s most reputable investment firms, it is reasonable to expect that your investment approach complies with international business frameworks such as the UN Guiding Principles on Business and Human Rights, and the OECD Guidelines on Responsible Business Conduct. You have a fiduciary responsibility to ensure that your investments are not destroying high-carbon stock forests, dispossessing communities of their traditional lands, and contributing to greater impoverishment –- all of which contribute to operational, reputational, and legal risks.
I therefore urge you to use your leverage to engage with GAR and urge the company to suspend its Liberian operations until GVL comes into full compliance with international business norms, including the recent recommendations of the RSPO Complaints Panel. If GAR continues to disregard international norms, Liberian national laws, and its own company policies, you should recognize the risks associated with this company, and seek to eliminate your exposure to GAR. There is no room for conflict palm oil in responsible investments.
Sincerely,
Why is this important?
A new investigation by Friends of the Earth has revealed that a palm oil company in Liberia continues to drive deforestation, habitat destruction, and human rights violations in some of the most dense rainforests in West Africa. These findings show that Golden Veroleum Liberia (GVL) is actively destroying rainforests that are home to chimpanzees, hippos, and thousands of people who have lived and worked upon these lands for generations.
BlackRock, the multi-trillion dollar Wall Street asset manager, is invested in the company that backs GVL. BlackRock has recently proclaimed itself a leader in responsible investing. We need to let them know that their support of this abuse and environmental destruction is unacceptable.
BlackRock, the multi-trillion dollar Wall Street asset manager, is invested in the company that backs GVL. BlackRock has recently proclaimed itself a leader in responsible investing. We need to let them know that their support of this abuse and environmental destruction is unacceptable.