Since January 2016, UN has set the 17 global goals for sustainable development. The Indonesian government also set an agenda with 169 indicators related to sustainable development, integrated into the Medium-Term National Development Planning (2020-2024) as mentioned by Mr. Bambang Brojonegoro, the Minister of National Development Planning in 2017. For ease of implementation and communication, Prof. Dr. Emil Salim—a senior economist—simplifies the 17 goals into 5 P (People-Planet-Prosperity-Partnership- Peace). In line with the company vision statement on sustainable business practice, Indesso has initiated various programs to join the global effort. Indesso works on People, Partnership, and Planet as the relevant platforms in supporting the global goals for sustainable development.
People at Source and at Sites
As reflected in Indesso membership in SEDEX and compliance to SMETA requirement, Indesso has conducted several programs to enhance the livelihood of the communities who reside nearby Indesso factories and the communities related to the raw material source. The programs focus on education, health, and women empowerment.
Considering the fact that supply chain traceability is very important to sustainability, Indesso has initiated a traceable, transparent, and fair business model since a few years ago. In this program, Indesso connects all the value chain, starting from farmers to the end users. One of the successful programs is the sustainable sourcing of patchouli oil in Java, Sulawesi, and Sumatera. This model differs with the traditional model in terms of the price mechanism, transaction, and community development. In the sustainable model, the price is mutually agreed upon by each party in a long-term contract agreement instead of spot business. Apart of it, there is community development funding allocated for training and grants related to the welfare of the communities. Awareness of protecting the nature and its biodiversity are emphasized in the program. Indesso set a target to embrace more than 3000 farmers of aromatic plants such as patchouli, citronella, ginger, and vanilla through sustainable model by 2020.
Reduce the Environmental Impacts to Save the Planet
Indesso regularly measures the energy, water consumption, and the carbon footprint in manufacturing its products. This consumption is carefully monitored per kilogram of products sold. Besides that, Indesso has also conducted various efforts to reduce the environmental impacts. Fossil energy resource has been partly replaced with energy generated by the solar photovoltaic system, natural gas, and terpenes (clove oil by-products). Provision of the relevant data for Carbon Disclosure Program (CDP) is prepared. Moreover, Indesso also recycles the tea extract biomass waste into natural compost.