Coconut

Creating sustainability momentum for the "tree of life"

Better sourcing of coconut

Coconut oil is a key raw material for AAK. Indonesia, the Philippines, and India are the three biggest producers of coconuts, making up more than 70 percent of the global production.

Coconut grows mainly in extensively managed plantations and can reach an age of 60–70, taking about 12–15 years to fully mature. More than 90 percent of coconut farmers are smallholders. 

Priorities for coconut oil

Following a risk assessment with our partner Proforest, the main priorities for coconut oil are to: 

  • Improve traceability
  • Improve farmer livelihoods and maintain their interest in growing coconuts
  • Rejuvenate the coconut industry 

A founding member of The Sustainable Coconut Partnership network

AAK is a member of The Sustainable Coconut Partnership network which aims to improve farmer livelihoods, lessen the carbon footprint of coconuts and boost supply to meet rising global demand.

Key desired impacts of the charter

  • Increase smallholder farmers' income
  • Enhance smallholder farmers' livelihoods by improving access to resources
  • Enhance supply chain traceability
  • Prevent deforestation, and mitigate climate change 

More information about the partnership is available on www.sustainablecoconutcharter.com. 

Contributes to the following Sustainable Development Goals (SDGs):

Commitments and ambitions

For better sourcing of coconut, our 2025 ambitions are: 

  • 100 percent traceability to subnational level 
  • 100 percent volumes engaged by bilateral engagement
  • 10,000 coconut seedlings distributed 

Key achievements 2023

  • 100 percent traceability to crushing plant and 27 percent traceability to municipality
  • 100 percent of volumes engaged by bilateral engagement
  • More than 7,820 seedlings in nursery since 2020 (78 percent of our 2025 target)
  • 100 percent of coconut sourcing from Philippines is covered under deforestation risk assessment
  • 100 percent supply chain Human Right risk assessed
  • 48 percent of suppliers on-boarded to SEDEX platform

More about responsible sourcing of coconut

More than 90 percent of coconut farmers are smallholders. Learn more about how we are engaging with suppliers and farmers in our supply chains and how we are working to drive impact beyond our supply base through the Sustainable Coconut Charter.

Sustainability reports

AAK’s sustainability reports demonstrate how sustainability is firmly anchored within our organization and how we progress on our commitments and ambitions – from plant to brand. The aim is to provide insight and understanding of our efforts, impacts, and contribution to sustainable development.

Questions about our sustainability work?

More about our responsible sourcing

Better sourcing of shea

AAK has been sourcing shea kernels from West Africa for more than 60 years. We source from traditional shea traders as well as women’s groups, to help improve their lives and livelihoods and to ensure good business practices throughout the supply chain.

Better sourcing of palm

As palm oil is the most produced and consumed plant-based oil in the world, it is an important raw material for AAK. With palm, responsible sourcing is crucial. Find out how we support the move towards full sustainability in the palm oil industry.

Better sourcing of rapeseed and sunflower

Rapeseed and sunflower are key soft oils for food production that bring important health benefits. Learn more about how we are engaging with suppliers and farmers in the supply chains and how we work to deeply understand our supply base.

Better sourcing of soy

Soybean oil is one of the most versatile commodities with a large number of applications ranging from margarine to solutions in Special Nutrition. Find out more about how AAK is driving progress on a fully verified deforestation-free and conversion-free soy supply chain.