P&G changes palm oil policy following protests

The company has adopted a "no-deforestation" policy for its palm oil supply

The Procter & Gamble Co has updated its policy on palm oil following high-profile protests by Greenpeace at its Cincinnati headquarters.

The world's largest consumer products company said today that it has adopted a "no-deforestation" policy for its palm oil supply. The new goals go beyond its existing policy and aim to ensure its products do not contribute to deforestation.

The company said it will work with suppliers and others to ensure it meets this goal by 2020. It will also establish traceability of its palm oil related supply by 2015.

The moves came after weeks of pressure from Greenpeace, which unfurled huge banners from the company's corporate offices last month. Police arrested the activists on burglary and vandalism charges. The group later took its message worldwide with protests in five more countries.

Greenpeace said that P&G's announcement is a huge step toward protecting Indonesia's rainforests and the communities that depend on them but warned that much work still remains.

The group wanted P&G to take action after finding that some of its suppliers were linked to deforestation in areas that are home to the endangered Sumatran tiger and orangutan, among other species.