Creating sustainability momentum for the "tree of life"

Better sourcing of coconut

Coconut oil is a key raw material for AAK. Indonesia, the Philippines, and India are the three biggest producers of coconuts, making up more than 70 percent of the global production.

Coconut grow mainly in extensively managed plantations and can reach an age of 60–70, taking about 12–15 years to fully mature. More than 90 percent of coconut farmers are smallholders. 

Priorities for coconut oil

Following a risk assessment with our partner Proforest, the main priorities for coconut oil are to: 

  • Improve traceability
  • Improve farmer livelihoods and maintain their interest in growing coconuts
  • Rejuvenate the coconut industry 

A founding member of the first Sustainable Coconut Charter

In November 2020, AAK signed the coconut industry’s first global Sustainable Coconut Charter, which aims to improve farmer livelihoods, lessen the carbon footprint of coconuts and boost supply to meet rising global demand.

Key desired impacts of the charter

  • Increase smallholder farmers' income
  • Enhance smallholder farmers' livelihoods by improving access to resources
  • Enhance supply chain traceability
  • Prevent deforestation, and mitigate climate change 

More information about the charter is available on

Contributes to the following Sustainable Development Goals (SDGs):


At AAK, we work hard for making better happen for people and the planet. For better sourcing of coconut, our 2025 ambitions are: 

  • 100 percent traceability to subnational level 
  • 100 percent volumes engaged by bilateral engagement
  • 10,000 coconut seedlings distributed 

Key achievements 2020

In 2020, we progressed with the following key achievements: 

  • 95 percent traceability to crushing plant
  • 96 percent of volumes engaged by bilateral engagement
  • 2,100 seedlings distributed

Questions about our sustainability work?