AAK, a palm oil trader based in Sweden, processes various vegetable oils, including 1.7 percent of the world’s palm oil. The company handles, trades, and processes 1.3 million tonnes of palm oil.
AAK is committed to sourcing 100 percent RSPO-certified palm oil. In addition, the company has committed to refrain from sourcing palm oil produced through conversion of High Conservation Value or High Carbon Stock areas, through destruction of peatland, or without the free, prior, and informed consent of local communities. In addition, the company publishes and regularly updates a list of supplying mills.
Yet, the implementation of its No-Deforestation, No-Peat, and No-Exploitation (NDPE) policy falls short of sector best practices. Consequently, AAK may inadvertently be part of the leakage market. For instance, actors tied to deforestation, such as Felda Global Ventures, TH Plantations, United Malaaca, among others, continue to supply AAK.
AAK is a founding member of the Roundtable on Sustainable Palm Oil (RSPO). Its top shareholder, with 31 percent ownership, is the Sweden-based Schorling family. Vanguard and BlackRock are the top American shareholders. The Norwegian Government Pension Fund, which has excluded 30 palm oil companies from its portfolio, is the 11th largest investor.