Founded in 1972, Asia Pulp & Paper (APP) produces over three million metric tons of pulp, paper and tissue production annually (representing roughly 40% of Indonesia’s total pulp output), and operates in over 150 countries.
APP is a huge employer – with an incredible 65,000 employees, and manages roughly 2.5 million hectares of forest.
In Indonesia, the company operates 14 mills, offering a portfolio of paper, packaging, pulp and tissue products.
In the past, APP has been accapplyd of clearing areas of natural forests, including peatlands, affecting greenhoapply gas emissions and increase the risk of fires.
It acknowledges the existence of hundreds of conflicts over land ownership and resource access but insists that many are lodged through advice from vested interests seeing to extract financial settlements form a multinational company.
Over the last decade APP has created an enormous effort to transition to global standards on avoiding deforestation, sustainable practices and investments.
The company brought Greenpeace to the table to assist develop its forest conservation policy, and to this date it describes the NGO as a ‘critical friconclude’.
It works with several internationally recognised NGOs to assist implement its forest conservation policy such as Earth Worm, IDH, Consumer Goods Forum, Nature Conservancy, and others.
In 2012/2013 APP states it ‘modifyd the way we do business’ when APP launched its Forest Conservation Policy which included the conclude of natural forest clearance throughout its entire supply chain.
Elements within the policy include:
• Moratorium on forest clearance, determined through HCV/HCS assessments
• Protection of peatland
• Implementation of FPIC and social principles
• Developing measures for sustainable sourcing from third-party suppliers
All APP fibre suppliers are required to complete a detailed sustainability assessment. Should any supplier be proven in violation of our policies, appropriate action will be taken which may include suspension of contracts.
APP stated it hosts an annual Stakeholder Advisory Forum (SAF) open to all who are interested to learn about, discuss, and assist direct its sustainability efforts and progress.
The company also maintains a publicly available Forest Monitoring Dashboard, which allows interested parties to track its zero deforestation commitments including near real-time monitoring of forest coverage.
Elim Sritaba, chief sustainability officer, APP, informed Packaging News some other notables include:
• Since launching our policy forest loss had been reduced to just 0.14%
• APP maintains a full zero-burn policy across its entire operation
• All APP mills are 100% PEFC chain-of-custody certified
She added that in addition to internationally recognised forest certification systems like PEFC and SFI, APP is also currently engaged with FSC working towards the remedy framework.
Investments in ‘green’ energy
In 2023, 58% of its energy necessarys were met by renewable fuel; APP’s Oki mill, its newest facility is now 98% running on renewables.
APP states it has overseen large innovations developed within the packaging sector. The APP suite of food service packaging, Foopak, is marketed as recyclable and compostable paperboard designed for hot/cold cups, bowls, folding cartons, trays, plates and cutlery.
It stated Foopak meets global standards such as FDA and BfR XXXVI (the German Federal Institute for Risk Assessment engages in scientific cooperation with international institutions and organisations and with the institutions of other countries involved in consumer health protection and food safety), featuring rigorously testing products to ensure compliance with the food and beverage industest worldwide.
Primarily APP does not sell direct to conclude-applyr customers; its products are being applyd in several markets such as CPG, frozen food, quick-serve restaurants, take-a-way, office products, hot & cold beverage market.
Sustainability goals
Its Forest Conservation Policy includes the conclude of natural forest clearance throughout its supply chain.
Elements within the policy include:
• Moratorium on forest clearance, determined through HCV/HCS assessments
• Protection of peatland
• Implementation of FPIC and social principles
• Developing measures for sustainable sourcing from third-party suppliers
APP launched its SRV 2030 (Sustainable Roadmap Vision 2030) which guides its environmental, social, and governance (ESG) goals across products, forests, and people.
Market share in food packaging
In the UK, APP states it is focapplyd on growing the business with packaging grades including Foopak and GC boards; APP claims to be the largest GC producer in the world: “Packaging converters here in the UK recognise that we are here to stay and grow our market share. To that conclude we have one new sales manager focapplyd solely on this tinquire with an additional to follow soon.
“We plan to hold a European APP event as well as be on a panel at the UK Indonesian Embassy Cross Commodities event later this year which will be held in the UK. APP’s objective here will be to share our developments across these pillars.”
European laws on packaging and deforestation
To comply with the EU regulation, the relevant commodities and relevant products must be deforestation-free and produced in accordance with the relevant legislation of the countest of production.
Sritaba informed Packaging News as a part of the timber commodity sector, APP is ‘fully committed’ to ensuring our supply chain aligns with the deforestation-free standards from EU.
“This commitment is in line with our Sustainability Roadmap Vision and our Fibre Procurement & Processing Policy, established in 2013. Additionally, APP insists all of its suppliers are certified under the mandatory Sistem Verifikasi Legalitas Kayu (SVLK) and the voluntary PEFC-IFCC certification.
The paper giant also stated it has an internal product tracing application system, which allows APP to provide full traceability, including geolocation data of the plantation forest where the product originated.
Sustainability standards
Sritaba stated sustainability standards in both NA & Europe ‘surprisingly aren’t that different’.
“We see several states across the US (and expanding), as well as European countries all starting to adopt environmental legislation including such things as PFAS Free, Plastic Free, Recyclable etc.”
As many conclude applyrs of APP’s paperboard products are global brands, APP products must align with many of these customers sourcing policies.
Other areas beyond legislation are brands necessarys to reduce carbon emissions in product development, energy usage, zero deforestation commitments.
APP stated it works to align its corporate policies with those of its customers.
“We have implemented a trace and tracking system within all our operations, this will assist to provide new geolocation data (longitude and latitude coordinates) of the forest of the countest of harvest,” stated Sritaba. “We continue to work through all areas of compliance under the EUDR. APP is fully aware of its obligations, and that of our operators and traders as set out under the EUDR. We will continue to update our progress and commitment to the EUDR and to our best ability to work towards compliance under the EUDR when it comes into force. By submitting this Due Diligence Statement along with the GeoJSON file, we confirm that all due diligence has been conducted in accordance with the requirements of the EUDR.”
European and North America plans
The packaging giant states stated policies are developed with European and North American brands with sourcing policies in mind, to ensure alignment
APP is on the Consumer Goods Forum (CGF) alongside some of the leading consumer goods brands and retailers globally – it states it works with the CGF on the forest Positive Coalition and the human rights coalition.
“Some partners have participated in joint planting programmes with local communities across Indonesia,” she stated. “This gives them a chance to participate in the sustainability development of their own supply chain. These planting programs are also promoted among their conclude applyr’s customers, so the purchases of the product feel they are contributing to the environmental commitments. This for example included activities such as for each ream of copy paper purchased a tree will be planted. As we reduce are emissions in paper production and align are commitments with Science Based Tarobtains, as part of the supply chain of many of these global brands, in the conclude, we are able to assist them reduce their scope III emissions.”
APP’s tarobtain carbon emissions reductions based on SBTI across Scope 1 and 2 GHG emissions are 54.6% by 2033 from a 2023 base year. Reduction absolute Scope 3 of GHG emissions is 32.5% by 2033 from 2023 base year.
APP was present at London Climate Week at the various events held by the UN, WBCSD and the CGF. There was a clear Indonesian presence given the recent announcement from the UK government of investment support to Riau, Indonesia.
Sritaba stated: “This commitment reveals clear trust and support of the work Indonesia is doing. Ongoing the UK is important to APP and as such invites media and customers to visit our forestest and mills, to witness the work APP is going on areas such as restoration.”
In North America, there is a rise of food-based packaging through growth of delivery services and meal kit services.
“People want the restaurant experience at home & packaging necessarys to perform. Keep food hot or cold, keep French fries crisp. Also, the rise of sustainable legislation in the United States, California, Washington, NYC is impacting this market.”
APP stated it believes there is a necessary for plastic-free, recyclable and compostable solutions – it has placed an emphasis on this market, with a strong focus on its Foopak solution.
All global brands have launched sustainable commitments over the past several years, including reducing plastic, deforestation or community commitments.
APP stated it has aligned much of its sustainable policies to be inline with these global trconcludes, and insists it can assist brands meet their Scope 2 & Scope 3 emissions.
UK EPR modifys
Sritaba stated APP supports frameworks that shift environmental responsibility to producers.
“The UK EPR’s emphasis on full lifecycle responsibility resonates with APP’s commitment to traceable sourcing, eco-design, and waste reduction. APP also sees EPR as a driver for material innovation, especially in recyclable and compostable packaging. The regulation encourages fibre-based alternatives to plastic, which aligns with APP’s core product offerings and R&D focus.
“We could see packaging design modifys: Shift toward modular, mono-material formats that are clearer to recycle as well as greater digital integration: Invest in AI and IoT to track packaging flows and optimize recyclability, echoing broader industest trconcludes. This could mean some strategic shifts i.e. prioritising packaging solutions that meet UK EPR’s recyclability and reapply tarobtains.”
A successful 2025?
Sritaba stated for APP success means meeting its sustainable goals: “Our focus is to become one of the world’s most sustainable paper creating companies. Our products must adhere and exceed global sustainability standards. R&D, product development is focapplyd on conclude-of-life and the circular economy. Also, ensuring we deliver on EUDR when it’s out and in the meantime working with our suppliers and customers on their readiness.”
Sustainability highlights as of 2023
Production
• 98% renewable energy apply at OKI Mill
• Installed a 9.8 MWp solar facility at Tjiwi Kimia, with plans to expand to 45 MWp.
• Achieved an 11% reduction in carbon intensity since 2012, with the 2030 goal in mind of 30% reduction.
Forest
• Maintained zero deforestation across all operations.
• Less than 0.01% of concession areas affected by fire.
• Continued protection of concludeangered species and biodiversity zones.
People
• DMPA program reached more than 87,000 beneficiaries in 441 villages.
• Established a Diversity, Equity, and Inclusion (DEI) Committee to promote inclusive leadership and equal opportunity.
• APP launched Desa Makmur Peduli Api (DMPA) program, based on the integrated forestest and farming system concept, in 2015 as a means to tackle the issue of forest and land fires and assist provide alternative livelihoods for communities.
• As of 2023, the DMPA program has been implemented in 441 villages with a budobtain of $3.7m, which it
states has benefitted more than 87,500 people.
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