Anti Slavery Policy

Year: 2026

1. Introduction

PT Sri Makmur Abadi is deeply committed to preventing modern slavery, human trafficking, and forced labor across all our corporate activities and supply chains. As a producer in the coconut processing industry, we ensure that our business operates ethically, transparently, and in full compliance with global human rights standards.

2. Our Business and Supply Chain

We operate a high-quality desiccated coconut manufacturing facility located in Asahan, Indonesia. Our business is heavily integrated into the global food supply chain, with 99% of our total production dedicated to international export markets.

Given the unique characteristics of our industry, our supply chain includes:

• Raw Material Sourcing: Procurement of fresh coconuts from local smallholder farmers and coconut traders.
• Processing & Packaging: Standardized manufacturing processes, drying, quality grading, and packaging of desiccated coconut.
• Logistics: Land transportation and international maritime shipping to various export destination countries.

We recognize that the agricultural sector presents unique labor risks. Therefore, we strictly demand that our coconut suppliers and logistics partners uphold the same rigorous ethical standards that we enforce in our processing plant.

3. Our Policies on Anti-Slavery

We implement strict internal policies to maintain a fair, safe, and legally compliant working environment:

• Anti-Forced and Child Labor Policy: Absolute zero-tolerance for any form of forced labor, bonded labor, or child labor, particularly in coconut harvesting and processing activities.
• Ethical Supplier Code of Conduct: Requiring our coconut suppliers to guarantee that no exploitative labor practices are utilized on their farms.
• Fair Compensation and Recruitment: Ensuring all factory workers are recruited legally, retain full custody of their original identity documents, and receive wages meeting or exceeding statutory minimums.
• Whistleblowing Mechanism: Providing secure reporting channels for factory employees and supply chain workers to report grievances without fear of retaliation.

4. Due Diligence and Risk Assessment

To mitigate human rights risks across our export supply chain, we execute the following measures:

• We map and assess our raw coconut sourcing supply chains to detect potential labor vulnerabilities.
• We actively utilize the Sedex platform to continuously share transparent labor and ethical compliance data with our global buyers.
• We conduct regular internal social compliance checks inside our manufacturing facility.

5. Approval

This statement has been officially approved by the Board of Directors of PT Sri Makmur Abadi and will be reviewed and updated annually.

 

Signed by:

Ong Soo Wei
President Director
July 17, 2026