Producer

IOI Group

1961HQ MYwebsite ↗

Malaysian palm oil company (Bursa Malaysia: IOI, HQ Putrajaya; ~RM 14B revenue); one of the world's largest palm oil producers and refiners; Loders Croklaan specialty fats division (sold to IOI from Unilever in 2002) produces high-quality specialty vegetable fats for infant nutrition, bakery, and confectionery. IOI's Loders Croklaan produces specific palm olein fractions and specialty fat blends used by infant formula manufacturers requiring certified sustainable palm oil (RSPO certified) with documented supply chain traceability. IOI was briefly delisted from RSPO (Roundtable on Sustainable Palm Oil) in 2016 for deforestation violations — creating a supply chain crisis for international food companies requiring RSPO-certified palm oil, including infant formula brands that had made sustainability commitments to consumers.

2

Inputs supplied

2

Goods downstream

1

Facilities

0

Stories

What they make

2 inputs IOI Group supplies

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Goods downstream

Essential goods that depend on something IOI Group makes — pick one to see the full supply chain.

What else they do

Business segments

The company's full revenue map — where this supply-chain role fits within their broader business.

  • Oil Palm Plantations

    45%
  • Oleochemicals

    30%
  • Specialty Oils and Fats (Post-Loders)

    25%

Intelligence

What's known

Sourced claims about this company's role in supply chains — chokepoints, concentration, incidents, dual-use connections.

  • Did you know2016

    IOI Group was briefly delisted from RSPO (Roundtable on Sustainable Palm Oil) in January 2016 for deforestation violations in Sabah, Malaysia — the first time a major palm oil producer had been expelled from the certification body. This created a supply chain crisis for international companies that had publicly committed to using only RSPO-certified palm oil. Unilever, Johnson & Johnson, and other companies that had IOI as a supplier faced a choice: continue sourcing from IOI (violating their sustainability pledges) or rapidly find alternative certified suppliers (creating supply disruption). IOI was reinstated to RSPO within months after remediation commitments. The incident demonstrated that a non-governmental certification body (RSPO) could functionally impose supply chain consequences on a major industrial producer by making their product unsellable to companies with sustainability commitments — without any government regulatory action. The RSPO delisting of IOI is the first case study in how certification governance can become de facto supply chain regulation for multi-billion-dollar commodity flows.

    Roundtable on Sustainable Palm Oil
  • Incident2016

    IOI Group (Malaysia, Loders Croklaan specialty fats) was delisted from the Roundtable on Sustainable Palm Oil (RSPO) certification in March 2016, following findings by the RSPO complaints panel that IOI had failed to prevent deforestation and land-clearing fires on its plantation concessions in Sarawak, Borneo. The RSPO delisting created an immediate supply chain crisis for international food companies that had committed publicly to sourcing only RSPO-certified palm oil — including major infant formula brands (Nestlé, Danone) that had made consumer-facing sustainability pledges. These companies had to urgently find alternative RSPO-certified palm olein suppliers (primarily AAK and other Malaysian RSPO-certified refiners) or face consumer and investor backlash for using deforestation-linked palm oil in infant formula. IOI was reinstated to RSPO in August 2016 after remediation commitments. The episode demonstrated that RSPO certification — a voluntary industry sustainability program — had real and material supply chain consequences when violated: a Malaysian palm company's deforestation practices in Borneo disrupted European infant formula supply chains within weeks.

    Roundtable on Sustainable Palm Oil (RSPO)