Conserve biodiversity through sustainable palm production

The Colombian palm oil sector faced increasing scrutiny over deforestation and biodiversity loss linked to agricultural expansion. As one of the country’s key agricultural industries, it recognized the need to balance economic productivity with environmental responsibility.

To address this, the sector—represented by the National Federation of Oil Palm Growers (Fedepalma)—adopted a comprehensive sustainability approach to monitor and conserve biodiversity across palm-growing landscapes. This initiative aims to demonstrate that palm cultivation can coexist with ecosystem protection while contributing to rural development and climate resilience.

Location of the Initiative: Colombia (nationwide, with focus areas in La Palma, Meta, and Santander regions)

The palm oil sector in Colombia has implemented a real-time satellite deforestation monitoring system, the first of its kind in the country’s agricultural sector. This system monitors approximately 18.5 million hectares, allowing early detection of land-use changes and helping ensure that palm cultivation remains deforestation-free.

Key components of the initiative include:

1. Deforestation Monitoring: Near-real-time satellite surveillance confirming that 99% of palm plantations are deforestation-free, validated by IDEAM (Colombian Institute of Hydrology, Meteorology, and Environmental Studies).

2. High Conservation Value Areas (HCVAs): Identification and protection of 25,000 hectares of palm-growing areas classified as HCVAs, ensuring coexistence between production and conservation.

3. Sustainability Index (SDI): Evaluation of environmental, social, and economic practices across 4,710 producers, representing 61% of national producers, achieving an SDI score of 49% as of December 2023

4. Certifications and Best Practices: Promotion of sustainability certifications such as RSPO (Roundtable on Sustainable Palm Oil) and APSColombia, which encourage compliance with strict environmental and social standards.

5. Habitat Banking: Establishment of biodiversity conservation areas, such as the Poligrow Habitat Bank, ensuring long-term protection (20+ years) of natural ecosystems within palm-growing landscapes.

6. Community Engagement: Involvement of local communities in biodiversity monitoring, birdwatching, and ecosystem restoration activities, fostering local stewardship of natural resources.

Sustainability impact

Climate

By ensuring deforestation-free production and protecting conservation areas, the initiative reduces land-use change emissions and strengthens the role of palm landscapes in climate regulation. The integration of good agricultural practices enhances resource efficiency and mitigates carbon emissions throughout the value chain.

Nature

• Protection of 25,000 hectares of High Conservation Value Areas

• Satellite monitoring of 18.5 million hectares, ensuring early detection of deforestation

• Restoration and protection initiatives under the Habitat Bank promote habitat recovery for species such as the puma, ocelot, and vulnerable native flora

• Encouragement of biological corridors and pollinator-friendly practices to enhance biodiversity within plantations

Social

• Strengthened community ownership of biodiversity through participation in flora and fauna monitoring

• Training and engagement in sustainable practices, promoting environmental awareness

• Shared value generation through improved livelihoods, eco-tourism (e.g., birdwatching programs), and local employment in monitoring and conservation initiatives

Business Impact

Benefits

• Improved global market access through compliance with sustainability certifications (RSPO, APSColombia).

• Enhanced reputation and positioning of Colombian palm oil as a sustainable commodity.

• Increased productivity —

  Fresh Fruit Bunch (FFB) yield improvements between 25% and 54%

  from the adoption of good agricultural practices.

• Risk mitigation through compliance with deforestation-free standards and regulatory frameworks.

Costs

Implementation requires investment in monitoring technologies, technical training, and certification processes. Costs are balanced by:

• Long-term productivity gains from efficient practices.

• Access to premium markets for certified sustainable palm oil.

• Partnerships with research institutions and NGOs that share technical and financial resources.

Typical Business Profile

Most relevant for:

• Agricultural producers managing large land areas or supply chains with biodiversity impacts.

• Sectors seeking to ensure deforestation-free production and strengthen traceability systems.

• Organizations aiming to align with national or international biodiversity conservation frameworks.

Approach

• Mapping and Zoning: Identify areas of high conservation value and define agricultural boundaries

• Technology Integration: Deploy satellite-based deforestation monitoring for real-time data collection

• Sustainability Assessment: Measure adoption of best practices using the Sustainability Index (SDI)

• Capacity Building: Provide technical assistance and training to close performance gaps

• Certification and Verification: Implement RSPO/APSColombia certification processes

• Community Engagement: Facilitate biodiversity monitoring and conservation education

• Continuous Improvement: Use performance data to refine practices and scale successful approaches

Stakeholders Involved

• Project Leads: Fedepalma (National Federation of Oil Palm Growers)

• Company Functions: Sustainability, production, and environmental management teams

• Partners: IDEAM, APSColombia, RSPO, Poligrow, CECODES, and local conservation NGOs

• Communities: Local farmers, cooperatives, and residents participating in biodiversity monitoring

Key Parameters to Consider

• Initiative maturity: Established and expanding nationally

• Average lifetime: Long-term (20+ years for habitat conservation commitments)

• Technical requirements: Satellite data access, GIS tools, certification audits

• Subsidies/Support: Supported by national environmental institutions and international cooperation

Implementation and Operations Tips

• Ensure cross-sector collaboration (government, industry, academia) to maintain transparency

• Integrate monitoring tools with local knowledge for improved accuracy and community buy-in

• Promote certifications that link producers to sustainable markets

• Leverage biodiversity data to guide land-use planning and restoration priorities