"Court stopps EDEKA’s misleading marketing of “sustainable” palm oil"

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. [...]

See also: Coverage from German technology and consumer portal 'Chip' including company comment (in German), 18 February 2026