“You Cut Trees, We Do Not Buy From You,” Food and Drink Giant Tells Palm Oil Producers

PepsiCo Inc has announced its plans to apply a greener policy for palm oil used in its products – and enforces the same rules for all firms in the world working directly or indirectly with the U.S. company, in a first for the consumer goods industry.

“These updates to our policy and approach reflect our ongoing determination to have a positive impact through additional actions that contribute to a sustainable palm oil system by working with peers, suppliers, civil society and others,” says PepsiCo in an emailed statement to the Thomson Reuters Foundation.

The new rules include a ban on associating with any palm oil businesses linked to deforestation, as part of the multinational company’s aim to help protect, monitor, and repair forests and wetlands.