The publishing initiative run by Carnstone, The Book Chain Project, held its second Asia Summit on 24th of April in Shenzhen, China. It was an opportunity for all the stakeholders in the paper and pulp industry to get together to discuss the latest developments in responsible fibre sourcing. Among the 70 delegates there were paper mills, printers, publishers, retailers, timber experts, and NGOs. The aim of the Summit was to discuss the latest developments on responsible forest sourcing and to share best practice.

The first session included speakers from Carnstone, Chronicle Books, and Donnelly, who shared their understanding on forest sourcing and provided the customer perspective. Next, WWF introduced their work on increasing demand of certified and recycled paper products. IKEA also presented their forest traceability system. Then, IPE and China Water Risk provided their insights on industrial pollution and the water-use pressures present in China.

The next session focused on three major paper mills; UPM, APP and Chenming Paper, sharing their response to the growing expectations and regulations around paper manufacturing. This panel was also joined by TFT who shared their insights on how mills can develop and implement sustainable sourcing systems and encourage engagement further up the supply chain.

The certification schemes, FSC and CFCC, explained how they are evolving to ensure transparency and traceability in global forest supply chains. And the event closed with practical sessions from the Carnstone team, who guided mills and printers to get the most from the online Book Chain Project database. Printers and mills had an opportunity to ask questions, share feedback, and offer ideas and improvements for the future.

Further reading:
Speakers’ slides: https://bookchainproject.com/event?event=5
IPE’s Companies environmental performance monitoring database: http://www.ipe.org.cn/IndustryRecord/Regulatory.aspx?keycode=343j9f9ri329293r3rixxx
China Water Risk website: http://chinawaterrisk.org/
An introduction to FSC certification scheme: https://v.qq.com/x/page/g0639hql3zp.html

EPN have published their third report on the state of the global paper industry, presenting an analysis of the world’s pulp and paper industry, and the commercial, social and environmental risks and opportunities facing it. The report examines the performance of the industry against each of the goals of the Global Paper Vision; 1) reducing global paper consumption and promote fair access to paper, 2) maximising recycled fibre content, 3) ensuring social responsibility, 4) sourcing fibre responsibly, 5) reducing greenhouse gas emissions, 6) ensuring clean production and 7) ensuring transparency and integrity. Key themes include the need to bring paper consumption down to sustainable levels, to address climate chain impacts across the supply chain and to drive action around commitments.

A report by WRI shows ongoing deforestation in an oil palm concession in Papua, Indonesia, operated by a subsidiary of South Korea’s POSCO Daewoo. The company has responded by saying its operations in Papua are legal and fully permitted.
Concerns over deforestation by POSCO Daewoo have prompted other companies to say they will not allow its palm oil into their supply chains. These include big-name brands such as Clorox, Colgate Palmolive, IKEA, L’Oreal, Mars and Unilever. POSCO Daewoo has issued a temporary moratorium on land clearing in its Papua concession and hired a consultant to advise it on how to proceed with its operations there.

The Summit is going to take place on Tuesday 24th April 2018, which brings together organisations across the pulp, paper and publishing supply chain. The Summit will focus on learning about the latest developments in responsible forest sourcing, and an opportunity to share practical advice for paper makers on sourcing fibre responsibly. A wide range of attendees including paper mills from across Asia, participating publishers of Book Chain, NGO’s, representatives from certification schemes (FSC and CFCC) and technology providers will be invited. To register for the event, please sign up here.

Plantation firms like Asia Pulp & Paper and Toba Pulp Lestari have a history land tenure issues, but more recently they have pledged to eliminate the practice from their supply chains. Some conflicts, however, remain unaddressed and a new online platform launched by the Rainforest Action Network shows that communities are still feeling the effects of losing traditional forests to make way for plantations.

A meeting between forestry representatives from Cameroon, Congo and China took place earlier this year, aimed at strengthening legality within the forestry sector and the international trade in timber. Participants agreed on the development of a forest control and verification system for timber from Cameroon and Congo heading to China; the need for capacity building based on a good knowledge of forest resources and monitoring tools; and the need to maintain ongoing co-operation and dialogue among stakeholders in Africa and China for more effective forest governance throughout the supply chain.

FSC in Brazil is now working with BVRio, the organization that set up the Responsible Timber Exchange in late 2016. BVRio pulls together data on the pricing, supply chain and certification of timber and wood products through its Responsible Timber Exchange. Since opening in November 2016, the exchange has fielded more than 400 offers for 5 million cubic meters of timber, 30% of which was FSC-certified. The partnership with FSC is aimed at bolstering the market for certified forest products.

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.

Norway has donated $100 million to start a fund to halt deforestation, with Unilever being the first corporate investor to the fund pledging $25 million over five years. This was announced at the World Economic Forum and the fund’s aim is to ‘safeguard more than 5 million hectares of peatlands and forests’. This fund was created under the ‘Tropical Forest Alliance 2020’ umbrella which brings together leaders of public institutions and private companies to eliminate deforestation from supply chains.

A report by World Economic Forum and Tropical Forest Alliance 2020 states that the transfer to deforestation-free supply chains could represent an investment opportunity of approximately US$ 200 billion annually. However, although companies are making commitments to deforestation-free pulp and paper in their supply chain, due to the underestimation of the risk, they may have issues meeting their time bound commitments.

Greenpeace have released a scorecard on 14 companies' progress on eliminating deforestation from their supply chains. Nestle and Ferrero scored the highest and Colgate-Palmolive, Johnson & Johnson and PepsiCo scored the lowest. Greenpeace has encouraged these companies to work with an implementation partner to recognise their commitments as well as seek third party verifications on their progress.

WWF-Brazil has released a guide which provides an overview of the updated Forest Code in Brazil. The report gives recommendations for decision makers in supply chain companies, financial institutions and governments on how to take action to implement and ensure compliance to the Forest Code. Information on the Forest Code law and recommendations to ensure effective implementation are also outlined.

Archer Daniels Midland, the third largest global supplier of agricultural commodities and one of the world’s leading soy traders, is launching their Responsible Soy Standard. Under this new programme, yearly assessments will be conducted by expert third parties to determine if growers are complying with a number of environmental, legal, social and agronomic standards.
Despite soy production acting as a leading driver of deforestation across South America, palm oil has remained the priority commodity for companies in the fight against deforestation. While 117 private companies have pledged to reduce the impact of their involvement with palm oil, only 27 have done the same with soy. It is hoped that ADM’s commitment could lead to other organisations following their lead and expanding their commitments to deforestation across commodities.
Experts have warned, however, that although commitments like these have led to deforestation in the Brazilian Amazon, the problem is simply being moved elsewhere. Much of the conversion of natural ecosystems for soy cultivation now occurs in other areas including Argentina, Bolivia and Paraguay.