DWS pulls out of the multinational palm oil company Wilmar

Mar 25, 2011

According to our colleagues from Robin Wood, DWS, the Deutsche Bank fund management company, has eliminated all stock from the palm oil conglomerate Wilmar. In doing so, DWS has finally reacted to the criticism from environmental organizations like Robin Wood and Rainforest Rescue, which had called on the financial services provider to stop investing in Wilmar.

According to our colleagues from Robin Wood, DWS, the Deutsche Bank fund management company, has eliminated all stock from the palm oil conglomerate Wilmar. In doing so, DWS has finally reacted to the criticism from environmental organizations like Robin Wood and Rainforest Rescue, which had called on the financial services provider to stop investing in Wilmar.

The palm oil company runs huge plantations in Indonesia and Malaysia and is criticized by local Indonesian organizations like Save our Borneo and Walhi Jambi for an aggressive expansion strategy path at the expense of the local population and the environment.

The criticism from Robin Wood referred specifically to DWS AgriX, a financial product offered by DWS. Previously, this product had contained shares from the palm oil company Wilmar International which is listed on the Singapore Stock Exchange.

Criticism of Wilmar is still continuing internationally as well. The Jakarta-based organization Greennomics recently published a study indicating that Wilmar and numerous other palm oil concerns in the Indonesian province of Central Kalimantan were operating their plantations without valid licenses. As a result of illegal practices like this, the Indonesian state is deprived of high revenues.

Rainforest Rescue highly appreciates the decision of the Deutsche Bank fund management company, but we still demand strict observance of environmental and social standards by DWS in the future.