Is Edeka deceiving consumers with its sustainability seal?

Human rights violations in palm oil cultivation in Guatemala

Guatemala – Supermärkte – Supply chains

Palm oil cultivation in Guatemala causes significant environmental damage and human rights violations, particularly for indigenous communities. The plantations concerned also supply to Germany, more specifically to a Walter Rau GmbH factory, where store brand products for the Edeka supermarket chain are produced. Despite this, EDEKA markets these products with the seal of the Round Table for Sustainable Palm Oil (RSPO). Together with those affected and the consumer organization foodwatch, ECCHR warned Edeka by means of a complaint under the Unfair Competition Act (UWG) that it must remove the misleading RSPO label from its products. 

After EDEKA ignored the warning, a lawsuit was filed at the Karlsruhe Regional Court. Additionally, an internal corporate complaint under the German Supply Chain Act (LkSG) urged EDEKA to identify its indirect suppliers and take measures against human rights violations. Since EDEKA responded inadequately, affected members of the Guatemalan community Chapin Abajo submitted a complaint to the Federal Office for Economic Affairs and Export Control (BAFA) in February 2025. The BAFA is to determine whether EDEKA failed to meet its due diligence obligations by not conducting meaningful consultations with those affected and not implementing effective remedial measures.

Case

Research by ECCHR, foodwatch, and Guatemalan partner organizations confirms systematic labor rights violations on palm oil plantations, including excessive working hours, low wages, and the hindering of efforts to form trade unions. Additionally, pesticide use contaminates the drinking water of neighboring communities. The company NaturAceites is the focus of the criticism. This company cultivates palm oil in monocultures on plantations whose land was traditionally used by the indigenous population. Reports indicate that protests against land grabbing have been violently suppressed by security forces.

Edeka sells products that are manufactured in the Walter Rau Lebensmittel GmbH factory in Hilter, such as “Die Leichte” low-fat margarine, along with vegetable oil, margarine and cream spread from Gut & Günstig. For years, this factory has sourced palm oil from Guatemalan plantations run by NaturAceites. 

Back in 2019, EDEKA was informed of human rights violations by NaturAceites through research conducted by the Christian Initiative Romero (CIR) but refused to improve its supply chain. Despite a renewed complaint under the German Supply Chain Act to the corporation, EDEKA remained inactive, leading the affected communities to file a BAFA complaint.

From the perspective of those affected and local partners, the RSPO seal has proven to be an inadequate means of preventing human rights violations and environmental destruction in the supply chain. The RSPO, founded by WWF, has long been criticized for allowing certified companies to repeatedly violate labor and human rights standards. Consumers are also misled into believing they are purchasing sustainable products while severe violations persist in the supply chain.

In 2024, the RSPO reviewed allegations against NaturAceites and revoked all of its certifications due to serious human rights violations.

Context

Palm oil is the most widely used vegetable fat in the world and is contained in many of Edeka's food products. Germany is one of the most important importers of palm oil cultivated in Guatemala. Importation has experienced a veritable boom in recent years, which has led to high export figures but also severe social conflicts and environmental damage.

In October 2023, together with partner organizations ASTAC, Oxfam and Misereor, ECCHR filed a complaint with the Federal Office of Economics and Export Control (BAFA) against Rewe and Edeka, as the supermarket chains have thus far failed to take effective and appropriate steps to prevent human rights violations in their banana supply chains. It is not only in the food industry that European companies disregard human rights violations within their supplier operations: additional complaints concern the German car manufacturers BMW, VW and Mercedes, which use raw materials and components produced under forced labor, as well as the risky working conditions in the textile industry in Bangladesh, where serious safety deficiencies were found in the factories of Tom Tailor, Amazon and IKEA.

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Definition

Due diligence

A company's s human rights due diligence obligations reguire it to manage potential risks to human rights.

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Insight

Corporate responsibility

Both in economic and legal terms, transnational corporations are the winners of the globalized economy. They are often caught up in a borad range of human rights violations, but the people running the firms are only rarely called before the courts, and even more rarely convicted for their wrongdoing.

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