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Smallholders trading platform

Smallholders Announcement | March 18, 2016
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On April 11 2013, RSPO made an announcement stating that Group Smallholders can trade their certified FFB using only ONE of the following systems:

  • the Greenpalm system, or

  • physical trading system

The policy for Group Smallholders was that the Group Manager had to choose to either sell all the certified FFB via GreenPalm certificates (note: the physical FFB is then sold as non-certified to any mill), OR to sell 100% of the physical certified FFB to a certified oil mill. This is a choice the group makes for the full license year. The reason for this was to prevent double selling (Certificates AND Physical).

We are pleased to announce that the two trading systems of GreenPalm (certificates) and eTrace (physical) are now linked. The smallholder group can now choose at any time to sell through GreenPalm (certificates) or physical FFB to a certified oil mill, interchangeably.

The system must be done based on the following condition:

  1. The Group Manager must ensure that over selling does not occur. The total tonnage of the physical FFB sold and the sale through Greenpalm certificates cannot be higher than the total certified tonnage of FFB. Otherwise, the group risks non-compliance and suspension or withdrawal of certificate.
  2. Supply from the Group Manager will not be considered as part of the Mill’s supply base. FFB received by the mill from any Independent Smallholders Group (who is RSPO certified) will be labelled as from “other 3rd party supplier”. As this volume of FFB is certified, this will not change the supply model (IP, or MB) of the mill.
  3. The certified mill which will buy the certified FFB, or part of it, will need to inform its CB to request for a volume extension, because the FFB will not be included as part of the certified tonnage of the mill.
  4. In the situation where the Group Manager is selling all its physical certified FFB, or part of it, to a mill, the mill is responsible to register the traded volume of CSPO onto eTrace.
  5. The Group Manager, who chooses to trade its products via GreenPalm certificate, will need to register with Greenpalm.

CB will audit the above and ensure that members are in compliance with the above requirements. CB may extend its audit verification works to all mills where applicable.