BASF is stepping up efforts to advance the responsible sourcing of renewable raw materials, with its Care Chemicals division reporting continued progress in improving environmental and social standards across global supply chains.
The company’s Responsible Sourcing Report 2025 highlights how BASF is expanding supply chain transparency, applying internationally recognized ESG standards, and working closely with partners to support customers in their transition toward more sustainable solutions.
A key milestone is the company’s improved traceability of palm-based raw materials. In 2025, BASF traced around 98 percent of its global palm oil, palm kernel oil and palm derivatives volumes back to the oil mill level. Meanwhile, 79.2 percent of its palm (kernel) oil was sourced from RSPO-certified sources.
However, due to limited market availability, BASF has revised its timeline for achieving full certification of palm-based intermediates, moving the target to 2030.
BASF is also reinforcing its commitment to protecting forests and human rights through its Forest Protection Policy, which aims to prevent deforestation and the conversion of high-value ecosystems. The policy includes support for the principle of Free, Prior and Informed Consent (FPIC) in relevant supply chains.
Smallholder farmers remain a central focus of BASF’s responsible sourcing strategy. The company is supporting projects across Asia and Latin America that involve palm, coconut and castor oil supply chains, promoting sustainable farming methods, improved working conditions, higher incomes and better livelihoods.
Despite ongoing economic and geopolitical challenges — along with constraints in the availability of RSPO-certified palm kernel oil — BASF said it remains committed to making responsible sourcing a core element of its sustainable business approach.
The Responsible Sourcing Report, launched in 2023 as an evolution of the Palm Progress Report first published in 2016, provides annual updates on BASF’s progress in implementing and advancing responsible sourcing practices for renewable raw materials within its Care Chemicals division.
