Musim Mas

Headquartered in Singapore, Musim Mas (Musim Mas Group) operates globally across the palm oil business spectrum with an operational presence in 13 countries across Asia-Pacific, Europe, North and South America. The group owns one of the largest palm oil refinery networks in the world and is among the biggest players in the vegetable oil refining business. It also manufactures consumer goods in Indonesia, producing soap brands, and cooking oil brands such as Sunco. Musim Mas has a 37,000-strong workforce, supported by a comprehensive logistical network of chemical and costal tankers, barges, tugboats and bulk installations at major ports across Indonesia and other strategic parts of the world.[1]

Musim Mas Holdings
Industryagribusiness 
Founded1932 
FounderAnwar Karim 
Headquarters
Singapore 
Key people
Mr Bachtiar Karim (Executive Chairman)
Number of employees
37,000
Websitewww.musimmas.com

Musim Mas is the first company in Indonesia to attain the Roundtable on Sustainable Palm Oil (RSPO) certification[2], and its Executive Chairman sat on RSPO's first executive board.

The group launched a sustainability policy at end-2014, committing itself to the principles of no deforestation, respecting of human rights and social contribution to the lives of local peoples. Notably, Musim Mas is the only major southeast asian palm oil company to join the Palm Oil Innovation Group (POIG), which works to provide innovative solutions to the issues within the palm oil industry. They are also taking part in the fire-free alliance programme to work with local peoples to solve the issue to fire and haze which affects millions of people in the region annually. In 2015, Musim Mas collaborated with the International Finance Corporation (IFC) - part of the World Bank Group, to help small farmers in Indonesia to improve their farming and alleviate sustainability issues linked to oil palm small farmers' productivity and farming patterns.

Musim Mas Group is also taking active steps to reduce its Greenhouse Gas emissions by capturing methane gas – a waste gas which is 34 times more toxic than carbon dioxide –, and turning the gas into energy to power their mills and estates. The methane capture facilities (also known as Biogas plants) are fitted for all of Musim Mas' mills.[3][4]

Subsidiaries

Musim Mas merchandises and distributes its products via its marketing arm, Inter-Continental Oil and Fats Pte. Ltd. (ICOF).[1] Based in Singapore, ICOF serves all the major markets in the world, offering a comprehensive range of tropical oils and derivative products.[5]

Maschem B.V., a wholly owned subsidiary of the Musim Mas Group, has developed a state-of-the-art Ethoxylation Facility at the site of Dow Benelux B.V. in Terneuzen.[6] The facility will produce surface active agents or more commonly known as surfactants based on alcohols, oils, esters, fatty acids and amines. The surfactants produced are used as raw materials in personal care products and detergents.

Management

Mr Bachtiar Karim (Executive Chairman)[7]

Milestone

1932

1970

1972

1988

1990
  • Musim Mas commissioned its first kernel crushing plant in Medan, Indonesia.

1991
  • Musim Mas commissioned its first palm oil mill in Rantau Prapat, North Sumatra, Indonesia.

1992
  • Musim Mas was the first to be awarded Indonesian Best Exporter Award (Primaniyarta Award). Musim Mas goes on to win this award multiple times.[9]

2002
  • Musim Mas started going global. Set up its first subsidiary office, Inter-Continental Oils and Fats (ICOF) Malaysia in Malaysia.

2003
  • Musim Mas started operations for its oleochemicals plant in Medan Industrial Area II (KIM II).

2004

2007
  • Musim Mas established its first office in Europe.

2008

2010
  • Musim Mas initiated its entry into the bioenergy market.

2012

2013
  • Musim Mas established its first office in Vietnam[12]. It also became the first company to receive the Indonesia Sustainable Palm Oil (ISPO) certification.

2014

2015
  • Musim Mas joins the Palm Oil Innovation Group (POIG), deemed as the 'gold standard' of the production of palm oil. Musim Mas' membership entry to the Palm Oil Innovation Group is seen in the industry as a stamp of validation for the company, as the founding members of the group include NGOs who have been vocal about the environmental impacts of palm oil. [19]

2016
  • Musim Mas joins the Fire-Free Alliance.

Products

Biofuel, Bleaching Earth, Cooking Oil, Functional Products, Specialty Fat, Oleochemicals, Palm Wax, Personal Care and Vitamin E.

Funding

Controversies

On 11 November 2014, Rainforest Action Network (RAN) published a report “The Last Place on Earth[24] – Exposing the threats to the Leuser Ecosystem – a global diversity hotspot deserving protection”, claimed that Musim Mas Group sourced from controversial plantation in Leuser Ecosystem – a rich and verdant expanse of intact tropical lowland rainforests, cloud draped mountains and steamy peatlands swamps. They also initiated a petition exercise to convince Musim Mas Group to break its ties to the destruction of the Leuser Ecosystem. In response to this, Musim Mas released a statement[25][26] on 13 November 2014, saying that they will suspend sourcing from PT Pati Sari while actively engaging with them to have a better understanding of their supply base and find ways to exclude conflict palm oil without affecting small farmers. On 14 November 2014, they released a joint statement with PT Pati Sari[27], stating that they will remain committed to sustainability and smallholders, and will work together to address this risk in their supply chain and engage RAN on how best to address the concerns. In Central Kalimantan, 188 hotspots on three concessions of Musim Mas were detected. [28]

References
  1. "Archived copy". Archived from the original on 2014-09-28. Retrieved 2014-09-29.CS1 maint: archived copy as title (link)
  2. "PT Musim Mas | Member | RSPO - Roundtable on Sustainable Palm Oil". rspo.org. Archived from the original on 2014-06-24. Retrieved 2016-05-30.
  3. "Musim Mas | SPOTT". Sustainablepalmoil.org. 2011-10-14. Archived from the original on 2015-10-10. Retrieved 2017-04-26.
  5. "Inter-Continental Oils and Fats Pte Ltd (ICOF) | Member | RSPO - Roundtable on Sustainable Palm Oil". rspo.org. Archived from the original on 2014-10-26. Retrieved 2016-05-30.
  6. "Nieuws – Dow Benelux". dow.com. Archived from the original on 2015-09-23. Retrieved 2016-05-30.
  7. "Profile: Bachtiar Karim & family". forbes.com. Retrieved 2016-05-30.
  8. "Products". musimmas.com. Retrieved 2016-05-30.
  9. "Directorate General for National Export Development". djpen.kemendag.go.id. Retrieved 2016-05-30.
  10. "Mega calls on businesses to prepare for free trade era | The Jakarta Post". Archived from the original on 2014-10-06. Retrieved 2016-05-30.
  11. "PT Musim Mas | Member | RSPO - Roundtable on Sustainable Palm Oil". rspo.org. Archived from the original on 2013-04-06. Retrieved 2016-05-30.
  12. "Rao vặt - Báo Thanh Hóa điện tử". baothanhhoa.vn. Archived from the original on 2016-03-05. Retrieved 2016-05-30.
  13. "Musim Mas says its palm oil will be deforestation-free". news.mongabay.com. Retrieved 2016-05-30.
  14. "Sustainability Policy" (PDF). Musimmas.com. Archived from the original (PDF) on 2016-03-04. Retrieved 2017-04-26.
  15. "Musim Mas Pledges Deforestation-Free Palm Oil - Planet Experts". planetexperts.com. Retrieved 2016-05-30.
  16. "Sawit - Indonesian Palm Oil Magazine". infosawit.com. Retrieved 2016-05-30.
  17. "Singapore Palm Oil Industry | EVST 310 Organizations and the Environment Blog". sites.lafayette.edu. Retrieved 2016-05-30.
  18. "The last holdout among big palm oil businesses joins no-deforestation pledge | Grist". grist.org. Retrieved 2016-05-30.
  19. "POIG raises the bar for deforestation-free palm oil | News | Eco-Business | Asia Pacific". eco-business.com. Retrieved 2016-05-30.
  20. "NUS Business School receives gift from Musim Mas Group for Endowed Professorship in Sustainability". Archived from the original on 2013-11-22. Retrieved 2016-05-30.
  21. "The Flying Squad | WWF Indonesia". wwf.or.id. World Wide Fund for Nature. Retrieved 2016-05-30.
  22. "What is an Elephant Flying Squad - WWF UK". wwf.org.uk. Retrieved 2016-05-30.
  23. "Two More Flying Squad Soon be Implemented | WWF Indonesia". wwf.or.id. Retrieved 2016-05-30.
  24. "The Last Place on Earth" (PDF). D3n8a8pro7vhmx.cloudfront.net. Retrieved 2017-04-26.
  25. "Musim Mas Remains Firmly Committed to Sustainable Palm Oil Production". musimmas.com. Retrieved 2016-05-30.
  26. "Palm oil giant suspends supplier over deforestation allegations". news.mongabay.com. Retrieved 2016-05-30.
  27. "Musim Mas and PT Pati Sari remain committed to sustainability and smallholders". musimmas.com. Retrieved 2016-05-30.
  28. Helena Varkkey, The Haze Problem in Southeast Asia (Abingdon: Routledge, 2015), p. 141
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