Case ID: 9B12M062
Solution ID: 23599

Of Orangutans and Chainsaws Cargill Inc Confronts the Rainforest Action Network Advocacy

Case Solution

Cargill, Inc., the privately owned, U.S.-based agribusiness company, was one of the largest sellers of palm oil in the world. Starting in 2007, the company was targeted by the Rain forest Action Network (RAN), a non-governmental organization (NGO) that advocated environmentalism. RAN targeted Cargill because the production of palm oil in countries such as Indonesia and Malaysia destroyed rain forests. Pressure was put on Cargills customers, including Nestle, to demand palm oil produced by sustainable farming. Palm oil producers formed an industry-monitoring body called the Round table on Sustainable Palm Oil (RSPO). A September 2011 announcement of Indonesia's withdrawal from the RSPO warranted a response from Cargill to combat the strident protest of RAN. Cargills CEO had to come up with a plan of action to respond to RANs demands.


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