THEME
- SUSTAINABLE MARKETS
A question of ethics
The Rabobank Foundation:
helping the poor to help
themselves
Striking a balance between long-term commercial interests
and CSR is no easy task. The Rabobank Ethics Committee
offers advice on how to handle dilemmas arising front
commercial situations. Francoise Rost van Tonningen front
the Secretariat of the Ethics Committee explains: 'We have
drawn up a code of conduct and guidelines to offer support
and a point of reference in changing times. The Palm Oil
Code, which governs our activities as a financer of palm
oil plantations in Indonesia, is a good example. While we
recognize the importance of palm oil for global food pro
duction and for the Indonesian econonty, we are also
aware of the industry's detrimental effect on tropical rain
forests. The Palm Oil Code sets out criteria which we expect
our clients in this sector to meet. For instance, they must
respect the ecological values of the rain forest and avoid
illegal capping.' The code also addresses the social aspects
of ecological sustainability, following guidelines issued by
the World Bank and the International Forestry Council.
'We prefer to finance plantations linked to government
programs which allow local people to buy and develop the
land themselves,' says Rost van Tonningen. 'The palms
they cultivate can then be sold to the plantations at a fair
price. Our investment decisions are also based on environ-
mental and social impact reports from our clients.'
In addition, Rabobank Group works together with non-
governmental organizations such as Amnesty International,
Greenpeace and Friends of the Earth to produce guidelines
Francoise Rost van Tonningen - a point of reference in changing times
The Rabobank Foundation bas been involved in non
prof it development work in the rural sector for 30
years. The foundation is deeply rooted in cooperation,
literally giving money away, expecting nothing in re
turn except the satisfaction of helping the poor to help
themselves. Some examples from around the world
follow:
India
Following a disastrous flood in the Madras region in
the 1970s a group of women organized themselves
into a credit group to alleviate poverty. They contacted
the Rabobank Foundation for a small loan. From
early initiatives such as basket weaving or selling tea
and snacks on the streetswith help from the Rabobank
Foundation, the network has grown into the Indian
Cooperative for Women, with 47,000 female members
running small busitiesses all over India.
The Philippines
The Vizcaya project trains local people to organize
building cooperatives, alternative agriculture and
savings and credit systems.
Peru
A donation from the Rabobank Foundation has given
small farmers the opportunity to improve their income
potential by cultivating worms to sell to fishermen on
the shores of lake Titicaca.
The Netherlands
The Rabobank Foundation supports projects to im
prove the quality of life for the handicapped, such as
sheltered housing and work communities for handi
capped adults. It has also provided funding to imple-
ment an improved mailing service of spoken and
Braille books for the blind and partially sighted.
12 Rl The Word I