Palm oil plantations are under pressure to prove they're sustainable - Business Insider

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Palm oil plantations are under pressure to prove they're sustainable — but the process can have devastating effects on local communities and the plantations themselves

, or RSPO, has set worldwide standards for what is considered "sustainable" palm oil, which includes tracking impact on local communities.But some of the company's practices have caused some to question about what the sustainable label really means. found that the plantation used intermediaries, or "coyotes," to pressure small-scale farmers into selling them their land.

The practice has led to increased socioeconomic and food insecurity, Oxfam said, as the purchases result in less land being available for farming. In an email to Business Insider Weekly, the plantation denied through Grepalma pressuring the locals to sell their land. Meanwhile, the high costs of going sustainable cost another palm plantation a huge contract with Walmart.

For Las Palmas, the path to sustainability started with an ultimatum. In 2015, its biggest customer, Walmart, said the plantation would need to obtain a sustainability certificate to continue supplying for it. The American retail giant had pledged to use only sustainable palm oil in its private-label products by the end of 2020.

Molina said he had to research local laws, hire personnel, and work closely with local communities to work toward certification, which the plantation obtained in August 2016.

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The simple answer is they're not sustainable.They are responsible for accelerated deforestation, loss of biodiversity and clashes with local populations that can even sometimes be deadly.

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