The AFi and CDP examined tons of of firm disclosures and revealed their findings in Time for Transparency. The report supplies the primary clear and quantitative take a look at the extent to which main corporations have been capable of eradicate deforestation from their provide chains.
Primarily based on disclosures made final 12 months by way of CDP, eight corporations in Southeast Asia say they’ve achieved a minimum of one deforestation and conversion-free commodity provide chain, based mostly on a high-quality disclosure. These provide chains are two for timber merchandise, 5 for palm oil, one for soy, and one for cocoa.
Of 37 corporations in Southeast Asia that reported on their administration of deforestation in the course of the earlier 12 months, solely 21 corporations disclosed info by way of CDP in response to questions on deforestation and conversion-free provide chains. Of those, 10 corporations made a high-quality disclosure, reporting that a minimum of one in all their commodity provide chains was lower than 90% free from deforestation and conversion.
“We recognise that over half of corporations positioned in Southeast Asia had been clear concerning the extent to which their provide chains are free from deforestation and conversion,” mentioned Tomasz Sawicki, Head of Land, CDP. “However the evaluation reveals that the variety of disclosures from the area continues to be low and that that almost all of corporations stay removed from reaching deforestation- and conversion-free provide chains by 2025, which is the instant goal.”
Globally, 881 corporations disclosed, and about half of the businesses (445) disclosed on deforestation- and conversion-free progress. Nevertheless, solely 186 corporations supplied clear and acceptable info to justify their claims. 64 corporations worldwide say they’ve achieved deforestation and conversion free provide chains.
“Corporations should eradicate deforestation and conversion from their provide chains to fulfill near-term local weather and nature targets, in addition to to adjust to rising legal guidelines just like the EU Deforestation Regulation,” mentioned Leah Samberg, Lead Scientist, AFi. “These new information exhibit that corporations have to spend money on efficient monitoring and management methods to handle deforestation and conversion related to their operations and suppliers, nonetheless few are doing so.”
A wide range of points undermined the reliability of data corporations disclosed, reminiscent of reliance on certification packages and threat assessments that can’t assure commodities are deforestation-free. Moreover, some disclosures had been lacking essential info on firm actions, merchandise, areas, or suppliers.
“Corporations want to supply stronger proof to assist claims that their commodity provide chains are freed from deforestation and conversion,” Sawicki mentioned.
The report calls on corporations that produce or supply agricultural or forestry commodities to speak publicly and to suppliers their intentions to attain deforestation- and conversion-free provide chains. Importantly, they need to contemplate the impacts of their provide chains on all pure ecosystems, not solely forests. To attain compliance with polices, corporations also needs to monitor and have interaction their suppliers.
“Making no-deforestation or no-conversion intentions clear by way of public insurance policies, commitments, and provider engagement helps disclosure and helps speed up the transition to accountable manufacturing and commerce,” Samberg mentioned.
The report concludes that it’s crucial that corporations not solely pledge to deforestation- and conversion-free operations but additionally take concrete steps in direction of this purpose. Complete responses to disclosure requests, clear communication of insurance policies, an intensive understanding of certification processes, and a proactive strategy to threat evaluation are all essential. By specializing in these areas, corporations could make important strides in preserving pure ecosystems and making certain the integrity of their provide chains, finally contributing to a extra sustainable future for all.
The CDP forests questionnaire tracks firm efficiency on eliminating deforestation from agricultural and forestry provide chains. A record-breaking 1,152 corporations disclosed by way of it in 2023. It was the first-year corporations disclosed on deforestation- and conversion-free provide chains in a standardised format utilizing indicators developed in partnership with the Accountability Framework initiative.
The World Forests Report 2024, titled “Time for Transparency: Deforestation-and Conversion-Free Provide Chains,” is out there in each English and Bahasa Indonesia.
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About CDP
CDP is a world non-profit that runs the world’s environmental disclosure system for corporations, cities, states, and areas. Based in 2000 and dealing with over 700 monetary establishments representing greater than US$142 trillion in property. CDP pioneered utilizing capital markets and company procurement to encourage corporations to reveal their environmental impacts, and to scale back greenhouse gasoline emissions, safeguard water assets and shield forests. Over 24,000 organizations all over the world disclosed information by way of CDP in 2023, together with greater than 23,000 corporations price two thirds world market capitalization, and over 1,100 cities, states, and areas. Totally TCFD aligned, CDP holds the biggest environmental database on the planet, and CDP scores are extensively used to drive funding and procurement selections in direction of a zero carbon, sustainable and resilient financial system.
In regards to the AFi
The Accountability Framework initiative (AFi) is a collaborative programme to guard forests, different pure ecosystems, and human rights by making moral manufacturing and commerce the brand new regular. To attain this important transformation, the AFi promotes and helps implementation of the Accountability Framework, an in depth roadmap for setting targets, taking motion, and reporting progress in direction of moral provide chains. The initiative is led by the AFi Coalition: a various group of 24 environmental and human rights organisations from all over the world that developed the Accountability Framework and work to drive optimistic impression within the agriculture and forestry sectors. Go to us at accountability-framework.org.