Riau Andalan Pulp & Paper

Last updated

Riau Andalan Pulp & Paper (RAPP) is the main pulp and paper subsidiary of Asia Pacific Resources International Holdings Limited, or APRIL Group. Operating in Riau Province, Sumatra, Indonesia, RAPP runs one of the largest pulp mills in the world. [1]

Contents

Operations

The pulp and paper mill located at Pangkalan Kerinci in Riau Province, Sumatra, Indonesia is capable of producing up to 2.8 million tonnes of pulp and 1.15 million tonnes of paper per year. [2]

Sustainability

RAPP’s parent company APRIL Group became the first Indonesian forest company to receive the sustainable forest management certification from the Programme for the Endorsement of Forest Certification (PEFC) in June 2015. [3]

It was later accepted as an International Stakeholder member by PEFC in February 2016. [4]

APRIL’s operations are also certified under OHSAS 18001 (Safety Management Systems), ISO 9001 (Quality Management Systems), and ISO 14001 (Environment Management Systems). [5]

Economic impact

RAPP employs approximately 5,800 people in Indonesia. [6]

A 1999-2014 analysis by the Institute of Economic and Social Research – Faculty of Economics and Business, University of Indonesia estimates APRIL’s historic contribution to Riau province’s GDP at 5.2%. [7]

Fire prevention

In 2015 APRIL launched the Fire Free Village Program, a community-level program to provide alternatives to clearing land using fire, one of the main causes of forest fire in Indonesia. [8] By providing training, equipment and economic incentives to prevent burning, FFVP cut fire by 97% in partner villages from 2014 to 2017. [9]

Through APRIL, in 2016 RAPP became a founding member of the Fire Free Alliance, a voluntary group of companies and organisations who share information and resources to fight forest fire in Southeast Asia.

RAPP is also one of several private sector companies working with the Indonesian government to apply the lessons of community programs such as FFVP on a national level. [10]

Controversy

In 2016 NGOs Greenpeace and WWF suspended partnership with APRIL Group after RAPP dug a canal through peat forest in breach of government regulation. [11] APRIL’s independent Stakeholder Advisory Committee accepted that the incident was the result of unintentional mistakes in interpreting and implementing government regulation. [12]

Related Research Articles

Pulp and paper industry Industry involved in the manufacture of paper and paperboard

The pulp and paper industry comprises companies that use wood as raw material and produce pulp, paper, paperboard and other cellulose-based products.

Illegal logging harvest, transportation, purchase, or sale of timber in violation of laws

Illegal logging is the harvest, transportation, purchase or sale of timber in violation of laws. The harvesting procedure itself may be illegal, including using corrupt means to gain access to forests; extraction without permission, or from a protected area; the cutting down of protected species; or the extraction of timber in excess of agreed limits.

Forest Stewardship Council organisation promoting and certifying responsible management of forest

The Forest Stewardship Council (FSC) is an international non-profit, multistakeholder organization established in 1993 that claims to promote responsible management of the world's forests.

Sinar Mas is one of the largest conglomerates in Indonesia. It was formed in 1938. It has numerous subsidiaries including Asia Pulp & Paper and palm oil producer PT SMART. The company also acquired Berau Coal Energy from Asia Resource Minerals PLC, a major mining group founded by Nathaniel Philip Rothschild, in a takeover initiated by Fuganto Widjaja.

The Programme for the Endorsement of Forest Certification (PEFC) is an international, non-profit, non-governmental organization which promotes sustainable forest management through independent third party certification. It is considered the certification system of choice for small forest owners.

Resolute Forest Products Canadian pulp and paper manufacturer

Resolute Forest Products, formerly known as AbitibiBowater Inc., is a pulp, paper, tissue, and wood products manufacturer headquartered in Montreal, Quebec, Canada, formed by the merger of Bowater and Abitibi-Consolidated, which was announced 29 January 2007. At the time, AbitibiBowater was the third largest pulp and paper company in North America, and the eighth largest in the world. On 1 July 2012, the company name changed to Resolute Forest Products. Resolute Forest Products is a member of the Forest Products Association of Canada and the American Forest & Paper Association.

Asia Pulp & Paper Indonesian pulp and paper company

Asia Pulp & Paper (APP) is an Indonesian pulp and paper company based in Jakarta, Indonesia. It is one of the largest pulp and paper companies in the world. It was founded by Eka Tjipta Widjaja. With 14 major companies in Indonesia and China, APP has a current annual combined pulp, paper, and packaging-grade capacity of more than 20 million tons per year, and markets its products to more than 150 countries across six continents.

The Sustainable Forestry Initiative (SFI) is a North American 'forest certification standard' and program of SFI Inc., a non-profit organization. The Sustainable Forestry Initiative is the world's largest single forest certification standard by area. The SFI is headquartered in Ottawa, Ontario Canada and Washington D.C. USA.

Sukanto Tanoto is an Indonesian businessman involved primarily in the lumber industry. As of 2013 he was considered to be one of Indonesia's wealthiest individuals with a net worth of US$ 2.3 billion. After starting as a supplier of equipment and materials for the state-owned oil firm Pertamina, Tanoto moved into the forest industry in 1973. Tanoto's business interests are represented by the Royal Golden Eagle (RGE) group of companies.

Asia Pacific Resources International Holdings

Asia Pacific Resources International Holdings Limited, or APRIL, is a developer of fibre plantations and the owner of one of the world's largest pulp and paper mills with operations mainly in Indonesia and China. APRIL mainly produces bleached hardwood kraft pulp and uncoated, wood-free paper, including its Paperone brand of office paper. Founded in 1993, APRIL is managed by Royal Golden Eagle and owned by Indonesian business man Sukanto Tanoto living in Singapore. Royal Golden Eagle also manages companies in paper, palm oil, construction, and energy business sectors.

Wilmar International Limited founded in 1991, is Asia's leading agribusiness group. It ranks amongst the largest listed companies by market capitalisation on the Singapore Exchange, being the second largest as of September 2010. It is a Singaporean investment holding company that provides management services to its 400+ subsidiary companies. It was also ranked 248th in the Fortune Global 500 list in 2018. It was ranked 3rd in the World's Most Admired Company by Fortune Magazine in 2019.

Deforestation in Indonesia

Deforestation in Indonesia involves the long-term loss of forests and foliage across much of the country; it has had massive environmental and social impacts. Indonesia is home to some of the most biologically diverse forests in the world and ranks third in number of species behind Brazil and the Democratic Republic of Congo.

Royal Golden Eagle is an integrated, resource-based industrial group in Asia Pacific, with businesses in paper, palm oil, construction and energy, property, asset management. Owned by Indonesian businessman Sukanto Tanoto, the group employs 60,000 people worldwide with assets exceeding US$20 billion.

Giam Siak Kecil-Bukit Batu Bioreserve

Giam Siak Kecil-Bukit Batu Bioreserve is a peatland area in Riau Province of Sumatra, covering 705,271 hectares (2,723.07 sq mi) and large parts of Bengkalis Regency and Siak Regency. It is a declared UNESCO Man and the Biosphere Reserve and supports a sustainable timber industry. It is home to two wildlife reserves, namely Giam Siak Wildlife Reserve and Bukit Batu Wildlife Reserve; flagship species include the Sumatran elephant and Sumatran tiger.

Pangkalan Kerinci is a town or Sub-district in Pelalawan Regency, of Riau province of Indonesia. The town is principal (capital) of Pelalawan Regency.

Anderson Tanoto is a member of the Board of Trustees at Tanoto Foundation, a philanthropic organization involved in poverty alleviation through education, "empowerment" and "the enhancement of the quality of lives". Tanoto is the youngest son of businessman and philanthropist Sukanto Tanoto. He received his education from University of Pennsylvania, Wharton School, where he graduated with a Bachelor of Science in Economics.In October 2017, he was named to The Wharton School's "40 Under 40" list, which seeks to recognise impressive young Wharton alumni. Tanoto also sits on the Wharton Executive Board of Asia.

Asian Agri

Asian Agri is one of Asia's largest palm oil producers, with an annual production of 1 million tons of palm oil.

The Fire Free Alliance (FFA) is a multi-stakeholder group initiated for the management of recurrent haze and fire problems occurring in Indonesia. The group was founded in 2016 by APRIL and Asian Agri, Musim Mas, Wilmar, and NGOs including PM.Haze, Rumah Pohon, and IDH. The FFA seeks to achieve fire prevention mainly via community engagement. As of 2017, FFA’s initiatives are being implemented in more than 200 villages in Indonesia, covering more than 1.5 million hectares of land.

Riau Ecosystem Restoration

Riau Ecosystem Restoration is a multi-party project to restore and conserve an area of ecologically important peat forest in Indonesia's Sumatra island. The project consists of 130,000 ha on the Kampar Peninsula, and another 20,000 ha on the nearby Padang Island.

Asia Pacific Rayon (APR) is one of the largest viscose-rayon producers in Asia, with annual capacity of 240,000 tons of viscose-rayon. The company is based in Pangkalan Kerinci, Riau, Indonesia. The company produces natural and biodegradable viscose-rayon, which is made from wood cellulose, and serves as an alternative to fossil-based synthetics in the textile industry. It is one of Royal Golden Eagle's business groups.

References

  1. ↑ "RAPP eyes for bigger market with 30% production hike in 2017". The Jakarta Post. 17 November 2016. Retrieved 14 June 2018.
  2. ↑ "Sustainability Report - 4.0 Kerinci Mill". www.aprilasia.com. Retrieved 14 June 2018.
  3. ↑ "Indonesian paper giant APRIL Group commits to ending deforestation". Packaging News. 11 June 2015. Retrieved 14 June 2018.
  4. ↑ "PEFC welcomes APRIL Group as International Stakeholder member". pefc.org. Retrieved 14 June 2018.
  5. ↑ "Certification". aprilasia.com. Retrieved 14 June 2018.
  6. ↑ "Pulp and Paper Industry Fosters Local Entrepreneurship". Jakarta Globe. 1 May 2017. Retrieved 14 June 2018.
  7. ↑ "Analisis Dampak Ekonomi & Fiskal PT. RAPP: Update 2014" (PDF). aprilasia.com. Retrieved 14 June 2018.
  8. ↑ "Clearing the smoke: The causes and consequences of Indonesia's fires". Center for International Forestry Research. Retrieved 14 June 2018.
  9. ↑ "FFVP No Burn Reward Success | Fire Safety Focus Turns To Resilience | APRIL Dialog". APRIL Dialog. 5 April 2018. Retrieved 14 June 2018.
  10. ↑ "Govt, Private Sector in Pilot Project for Fire Prevention Procedures | Jakarta Globe". Jakarta Globe. 25 May 2016. Retrieved 14 June 2018.
  11. ↑ "WWF and Greenpeace break with Indonesia's pulp and paper giant". the Guardian. 16 December 2016. Retrieved 18 June 2018.
  12. ↑ "Eighth Stakeholder Advisory Committee (SAC) Meeting". APRIL Dialog. 16 December 2016. Retrieved 18 June 2018.
This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.