The German supermarket chain EDEKA misleads consumers by marketing palm oil products that are supposedly produced in a "sustainable" manner. This was the ruling of the Hamburg Regional Court in Germany, which upheld a lawsuit brought by foodwatch, supported by the European Centre for Constitutional and Human Rights (ECCHR). The ruling concerns margarine and vegetable fat sold under EDEKA's own brand "Gut & Günstig", which EDEKA promotes with the Round Table on Sustainable Palm Oil (RSPO) label. In the court's opinion, EDEKA does not explain the specific RSPO standards clearly or in an easily accessible manner. In doing so, the retail group is violating the German Law Against Unfair Competition.
"EDEKA's palm oil greenwashing is illegal. Supermarkets and food manufacturers are not allowed to advertise products as sustainable across the board or rely on corresponding seals. They must disclose the specific standards behind them," said Rauna Bindewald of foodwatch.
However, foodwatch and ECCHR also see the ruling as a missed opportunity: the court did not examine whether the palm oil in question actually came from sustainable production. The organisations explained that both the human rights violations along Edeka's palm oil supply chain and the structural deficits of voluntary sustainability certifications are sufficiently documented.
EDEKA sourced palm oil for its products from the supplier NaturAceites in El Estor, Guatemala. Indigenous communities living next to the palm oil plantations have been demanding recognition of their traditional land rights for years. Security forces repeatedly use violence to suppress protests against land grabbing and environmental destruction and criminalise those who oppose the company. In addition, workers and residents report excessive working hours, inadequate pay and the suppression of trade unions. The use of pesticides also contaminates the drinking water of local communities. These people suffer from the consequences of production that EDEKA has presented as sustainable and labelled with a RSPO certification.
Under the Supply Chain Due Diligence Act (LkSG), Edeka is obliged to exercise human rights and environmental due diligence in order to prevent or at least minimise risks in its supply chain. Especially when there are indications of fundamental and systematic human rights violations, as is the case in the palm oil sector, companies must not hide behind sustainability labels.
We welcome the decision, which sends a strong signal to EDEKA and other companies that rely on sustainability labels. However, the ruling also shows that even if consumers are better protected against misleading advertising, there is still a risk that production practices which violate human rights and harm the environment will continue to be declared sustainable. The protection of human rights and the environment must not be reduced to a formal 'tick-the box' exercise and outsourced to certification initiatives," says Felipe Bley-Folly of ECCHR.
EDEKA had been aware of human rights violations at NaturAceites since 2019, but continued to rely on RSPO audits instead of taking effective action. At the beginning of 2024, ECCHR and foodwatch filed a complaint under the LkSG. Together with affected communities on the ground, the organisations are demanding that Edeka take appropriate and effective measures to remedy the human rights abuses in its palm oil supply chain to Guatemala.
Sources and further information:
- Judgment of the Hamburg Regional Court: https://www.foodwatch.org/fileadmin/-DE/Themen/Werbeluegen/Dokumente/2026-2-5_Urteil_LG_Hamburg_RSPO.pdf
- Further information on the case: https://www.ecchr.eu/fall/edeka-taeuscht-verbraucherinnen-mit-nachhaltigkeits-siegel/
- Photos of the products concerned: https://foodwatch.org/fileadmin/-DE/Themen/Werbeluegen/Bilder/Edeka_Palm%C3%B6l/Produktfotos_Edeka_Palmoel.zip
- Position paper and study by ECCHR and other organisations on the human rights fitness of audits and certifiers: https://www.ecchr.eu/publikation/menschenrechtsfitness-von-audits-und-zertifizierern/ and https://www.ecchr.eu/publikation/menschenrechtsfitness-von-audits-und-zertifizierern-1/
