The UK government has proposed to introduce a new law to prohibit large business operating in the UK from using products that are from illegally deforested land as per local laws. Businesses that fail to carry out due diligence on their supply chains and make that information public would face fines. This proposed legislation will be on consultation for six weeks. Critics say that the proposal is flawed partly because the local laws on forest protections might be absent or have loopholes.

A new report by Human Rights Watch finds that deforestation in the Brazilian Amazon is a lucrative business largely driven by criminal networks that threaten and attack government officials, forest defenders and indigenous people who try to stop them.

Around 150 Yong’an residents are suing the local government and its partner forest management company, Guangxi Lee & Man Forestry Technology Ltd, for violating a clause in contract law where a business must not damage public interests. Villagers claim the eucalyptus, a thirsty plantation species, is draining the local water supply from three mountain springs, leaving very little for farming and domestic use in the village. This is the first case of this kind in China.

A report by WWF and ISEAL has stated that standards for supply chains and businesses can help accelerate progress on the Sustainable Development Goals (SDGs) while delivering direct benefits for companies and small-scale producers. These benefits can include minimising risk, efficiency gains, and improved transparency throughout the supply chain.

In November 2016 WWF Indonesia suspended its membership of APRIL's Stakeholder Advisory Committee because of a lack of progress implementing their sustainable forest management plan, failing to abide by government policy on peatland protection, and a lack of transparency on business operations.

WWF have called on APRIL to have independent, third party verification on their progress with the forest management plan, as well as filling policy gaps to address deforestation in High Conservation Value forest and High Carbon Stock forest, as well as social issues and peat development.

A new CDP study released that a substantive portion, 24% on average, of the revenue of 187 international companies depend upon commodities linked with deforestation, which are cattle products, palm oil, soy and timber products. Moreover, only about 40% of the studied companies have evaluated how the availability or quality of these commodities can impact their business growth strategy over the next five or more years. However, on the positive side, more and more companies become to recognize the benefits in scaling up their forest-protection efforts.

Vietnam has largely succeeded in reforestation within its border. Started in the 1980s, accompanying the transition to a market-driven economy, forestry management moved to a multi-sector approach with NGOs, businesses, local communities and management boards involved from originally government control. In 2008, Vietnam become a REDD pilot country, and both Forest Trends and FAO have recorded the increase in forest cover in Vietnam. However, challenge still exits. The demand for wood products in Vietnam is high, and now the country imports much from Cambodia, where illegal and unsustainable loggings happen frequently.

The Department of Agriculture and Water Resource of Australia has decided that certified businesses are required to maintain an equivalent due diligence system under PEFC Chain of Custody standard, and also AFS (Australia’s PEFC-endorsed national forest certification system), which means that PEFC-certified companies in Australia are now recognized as automatically meeting the due diligence requirements in the illegal logging regulation of Australia, and no separate due diligence system prepared for the illegal logging regulation specifically is not required.

Greenpeace have released a publication outlining the economic exploitation issues of the Amazon rainforest and is demanding that the Brazilian government cancel hydropower projects such as the São Luiz do Tapajós (SLT) dam. This dam alone is expected to cause 2,200km2 of deforestation and to drown 400km2 of rainforest. Previous projects have led to huge habitats being wiped out causing significant impacts on the populations of fish, aquatic reptiles and the life cycles of local mammals.

According to satellite data analysed by researchers at Michigan State University, tree cover increased significantly on about 1.6% of China’s territory between 2000 and 2010, while tree cover dropped on only 0.38% of China’s land. The researchers attributed the forest gain to China’s Natural Forest Conservation Program, which has banned logging in many of the country’s forests and set up systems to prosecute illegal logging. The NFCP also compensates businesses and households for monitoring forest health and conserving trees rather than cutting them down.

The think tank Innovation Forum held a two-day conference in Washington DC entitled “How business can tackle deforestation” attended by 160 representatives from companies, NGOs and investors. Whilst multiple major consumer goods companies have declared their commitments to achieving zero deforestation in their supply chains many others have raised concerns over the term and what the policy actually means in practice.
Rainforest Alliances’ recent position paper, ‘Halting Deforestation and Achieving Sustainability’ warned that zero deforestation commitments may not be enough to protect the world’s forests, due to two reasons. Firstly, though many major companies have signed up for these commitments, many other producers and buyers will not. These companies will continue to rely on deforestation to produce their goods, unless a way is found to address underlying issues, such as growing worldwide demand for forest products. Secondly, focusing solely on deforestation risks drawing attention away from other business practices within the commodities supply chain which may deserve equally urgent attention e.g. water scarcity and labour laws. In addition, the use of ‘zero deforestation’ as a catchphrase is problematic because there remains no clear agreement over what the term means. Rainforest Alliance emphasises the need for greater education, auditing and transparency so that consumers know the impact of what they are buying and are able to trust companies’ sustainability claims. Though a commendable step in the right direction, ‘zero deforestation’ commitments need to be backed up with comprehensive action plans if they are to deliver credible results.

A study recently published in Forest Ecology and Management examines the carbon stock value of forests in Guyana, finding dramatic differences between different kinds of cover and land-use types. Tropical forests are among the most valuable in terms of carbon stocks. Globally, tropical forests sequester about 2.4 billion metric tons, according to a study published in Proceedings of the National Academy of Sciences in 2011. The new research found that carbon values differ according to forest type and usage pattern; for instance, carbon values from undisturbed forests cannot be applied in inhabited community lands.

• 2014 was the ‘year of the zero deforestation commitment’, particularly in the palm oil sector but also for agribusinesses like Cargill.
• Plantation forestry, in all of its various forms, is still seen as one of the biggest drivers of deforestation.
• APP continues to see praise for their work implementing the Forest Conservation Policy.
• APRIL continues to be criticised for their weak policy and poor performance.
• Global Forest Watch was lauded as a significant leap forward for open source forest monitoring.
• Drones made their first foray into forest conservation and are being used by Cargill, and imminently by Brazilian forest agencies, for monitoring and enforcement.
• The mood in Indonesia is quietly optimistic, with a new government in place departments have merged (Ministry of Forestry and Ministry of Environment merging), and there was a widespread crackdown on corruption.
• NGOs have turned their attention to a new aspect of the pulp and paper sector: dissolving pulp, which is used in a diverse range of products including clothing and toiletries.

British businesses from the high street and timber, construction, publishing, DIY and grocery industries are among the first UK firms committing to responsible forest trade to help end deforestation around the world with a shift to 100 per cent sustainable timber and wood products by 2020. The existing loopholes in the current legislation to combat illegal timber means some industries are exempt from ensuring that their wood or products have come from legal sources. In 2015 the timber regulation is due to be reviewed and WWF and its campaign supporters are calling on the UK government to demand the EU makes the necessary improvements to the regulation to ensure that all timber products are covered and thus end the import of illegal wood.

A new report, titled Disrupting the Global Commodity Business, published by the Climate and Land Use Alliance (CLUA) argues that a global transition could enable the world to produce more food, fuel and fibre without destroying more forests. Chris Elliot, the Executive Director of CLUA, writes: “we must not only shift commodity production away from native forests, but also protect these forests by increasing recognition of the rights of indigenous peoples and rural communities to manage them”. The report also highlights the role that activism has played in disrupting business-as-usual approaches to commodity production. However, it emphasizes that lasting change will come in moving from “disruption” to “transformation” of how commodities are produced. To the end, the report focuses on two key areas – supply chain management and commodity governance, illustrating the ingredients needed to fundamentally shift big business toward less damaging practices while at the same time supporting local communities.

An independent study by The Forest Trust and Ata Marie have found that APP has sufficient plantation resources to supply a massive new mill being built in OKI, South Sumatra. The study did however uncover one minor gap in supply in 2020. Aida Greenbury, APP’s managing director of sustainability said “The TFT report forecasts a minor gap in supply in 2020. However it is clear that with a harvesting rotation of around five years, improvements made now can bridge that gap by increasing productivity of supplier plantations through improved yield, better tree stock and reduction of waste. As such, we have been developing an action plan to ensure we have sufficient plantation fibre to meet the pulp requirements of our existing mills as well as our future mill in South Sumatra, in line with our target to become a 100% plantation business for pulp production.

Sir Jonathon Porritt, a leading environmentalist and adviser to the Prince of Wales, has suggested that poor countries should be allowed to chop down half of their forests as long as the agreed to the preservation of those containing the greatest volume of carbon. As chairman of the palm oil industry-funded High Carbon Stock Study, Sir Jonathon’s suggestion comes in response to trying to determine which forests contain the most carbon and should therefore be protected because clearing would result in massive greenhouse gas emissions. Sir Jonathon told the Times “It’s trade-off time. You can’t develop a new palm oil business in West Africa if you don’t cut down a tree. So the real story now is what kind of deforestation is acceptable within an understanding of the need to reduce emissions of greenhouse gases but secure real economic benefits for people in poor countries.” The following article by the Guardian Why zero deforestation is compatible with a reduction in poverty (8th September) explores the difficult choices that companies and countries have to make around the complex question of sustainability.

The Tasmanian government has terminated a four-year forestry peace deal to allow widespread logging in the protected 400,000 hectare area in six years’ time. The Liberal state government claims that the protection of such a large area of forest has hindered job creation. Will Hodgman, Tasmania’s premier said “For more than 30 years, environmentalists have progressively locked up hectare after hectare of productive forests, destroying businesses and jobs, regional communities and livelihoods. We took a clear plan to the election to say ‘enough is enough’ and rip up the job-destroying forest deal.” Environmentalists argue that the state’s native forests are far more valuable left standing. Tasmania’s tourism industry employs around 15% of the state’s workforce, compared to around 1% of people employed in the forestry sector.

By declaring its intention to restore and support conservation of one million hectares of natural forest and other ecosystems in Sumatra and Kalimantan, APP has substantially strengthened the Forest Conservation Policy it announced in February 2013. WWF Indonesia said “we remain cautious of these new developments but we are encouraged with the level of ambition, which is unprecedented.” WWF’s tacit support of the restoration pledge reveals the extent of this engagement. It was only last month that WWF issued a brief to paper buyers warning them to wait to resume business with APP.

Activists with Rainforest Action Network (RAN) staged a protest today at a Staples store in El Cerrito, Ca to communicate their objection to the office supply giant’s recent decision to resume purchasing paper from Indonesia’s highly controversial company Asia Pulp and Paper (APP).
“Given APP’s track record of broken commitments and the fact that APP has yet to finish environmental studies, put forest conservation plans in place or get independent verification that they are actually working, Staples is jumping the gun by renewing business with APP.” said Lafcadio Cortesi, Asia director at Rainforest Action Network.

Greenpeace has reported that Asia Pacific Resources International Limited (APRIL) faces expulsion from the World Business Council for Sustainable Development (WBCSD) if it fails to stop clearing rainforests and peatlands on the island of Sumatra. APRIL has twelve months to comply or face expulsion from the WBCSD. APRIL is one of the largest deforesters in Sumatra, with 60% of its wood coming from natural forests. Campaigns against APRIL have been stepped up a notch since its biggest competitor – Asia Pulp & Paper (APP) – signed a comprehensive forest conservation policy last February.

Plantation farming is expanding rapidly in Burma and is emerging as the main driver of deforestation, according to a new report released on Thursday. The report, by the US based Forest Trends research centre, claims that politically connected businessmen are receiving government licenses to log swathes of natural forest in ethnic minority regions, ostensibly to plant rubber and oil palm.

Data released this week by Terra-i, a collaborative mapping initiative, shows that deforestation in Ecuador for the first three months of 2013 was pacing more than 300 percent ahead of last year's rate. The report comes shortly after Ecuadorean President Rafael Correa killed off a proposed plan to prohibit oil drilling in Yasuni National Park in exchange for payments equivalent to half the value of the park's unexploited oil reserves.

Terra-i, a collaboration between the International Center for Tropical Agriculture (CIAT) in Colombia, The Nature Conservancy (TNC), the School of Business and Engineering (HEIG-VD) in Switzerland and King’s College London (KCL), uses NASA satellite data to detect deforestation in Latin America on 16-day basis. The system shows that between Jan 1 and Mar 7 this year, some 9,075 ha of Ecuador's forests were cleared. By comparison, 2,931 ha of forest were chopped down during the year-earlier period.

The UK government is backing the Tropical Forests Alliance (TFA) 2020. TFA 2020 is a business-led initiative launched by the US government and the Consumer Goods Forum (CGF) which is a group of over 400 retailers and manufacturers. Although there are no regulatory implications, TFA 2020 aims to provide a forum ‘in which to share best practice with major private companies’ committed to adopting ‘sustainable supply chains’ and to ‘encourage other governments and companies to take similar steps’.

A Cambodian journalist, Hang Serei Oudom, who wrote a number of stories uncovering forest crimes linked to businessmen and powerful officials has been found murdered in his car. Cambodia’s forest cover has dropped from 73 to 57% between 1990 and 2010 according to the UN. His murder follows that of prominent local environmentalist, Chhuth Vuthy. In the last story before his death, Oudom accused the son of a military police commander of smuggling logs in military-plated vehicles and extorting money from people who were legally transporting wood.

The Union of Concerned Scientists (UCS) has published a report, Wood for Good: Solutions for Deforestation-Free Wood Products, analyzing tropical wood production’s effect on deforestation and offering solutions for sustainable production. The report identifies a threefold solution to meet the global demand for sustainable tropical wood: 1) turn to responsible plantation forests; 2) governments to develop policies that make sustainable forest management an attractive business prospect; and 3) all stakeholders should demand products certified by FSC or PEFC.

Experts are warning that the focus on Brazil, which hosts 60% of the Amazonian rainforest, is deflecting attention from increasing Amazonian deforestation in neighbouring countries such as Bolivia, Peru, Columbia and Venezuela. The main driver is considered to be the commodities boom centred on exports to China and other Asian economies. Conservation International in Bolivia say that government policies and subsidies encourage business development in the Amazon which inevitably leads to deforestation.

The US House of Representatives will vote this week on a bill called the RELIEF Act (The Retailers and Entertainers Lacey Implementation and Fairness Enforcement Act) which would significantly weaken the use of the Lacey Act to regulate against illegal logging by allowing manufacturers to keep illegal wood and limiting the species and country declaration requirements to solid wood (i.e. pulp and paper would be excluded). The article points to World Bank estimates which suggest that government and businesses suffer more than $10 billion in lost revenue each year due to illegal logging, $1 billion of which is lost by the US.

A study published in Science modelling species extinction in the Brazilian Amazon has concluded that the extinction of many species in certain regions is inevitable. The study models several future scenarios ranging from “business as usual” to a “strong reduction” and found that even in the best case scenario deforestation will lead to the extinction of around 38 species locally. Future threats to the Amazon come from planned hydroelectric power plants and the risks of deforestation which might follow the changes to Brazil’s Forest Code.

Two forest managers and a businessman have been arrested on suspicion of involvement in the illegal logging of 500 cubic metres of protected forests along the Laos border. The arrests follow those of six others who the Vietnamese police have proposed charging with violations of forest management and bribery.

Press release from APP promoting its Sustainability Roadmap for 2020. Key milestones will include having the capacity to be wholly reliant on raw materials from plantations by 2015; all current APP suppliers operating by the High Conservation Value Forest (HCVF) standards by 2015; and all current suppliers having credible certification for Sustainable Forest Management by 2020.

Pressure is building on President Dilma Rousseff to veto The Forest Code ahead of the deadline on 25th May. The Forest Code reduces the obligation on landowners to protect Amazonian forest cover down from 80 to 50 per cent, leading to the potential loss of 190 million acres of forest according to the Brazilian Government’s Institute for Applied Economic Research. It is being seen as a battle between the increasingly powerful ‘ruralistas’, legislators representing agricultural interests, and a range of other stakeholders including environmental NGOs, leading national scientific groups, Brazilian celebrities and even many large businesses such as Tetra Pak Brasil.

Low paper prices reduce Stora Enso’s profits. Overcapacity in the European market and insufficient demand are considered to be a major factor. CEO, Jouko Karvinen, highlights the need to keep its European business strong to fund planned mill construction in China and Uruguay – regions with considerable growth.