The Global Canopy's 'Forest 500' assesses the 350 most influential companies in forest-risk commodity supply chains and the 150 financial institutions that support them. Nearly half of the 500 assessed companies have made commitments to eliminate deforestation by 2020, but none of the companies and financial institutions assessed in 2018 are on track to meet their target in time.

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.

According to the new report released by The international policy organization (Interpol), corruption in the forestry sector globally costs about $29 billion annually, with bribery as the most common form. The study finds that the forestry sector is particularly vulnerable to corruption as many forests since many forests are located in placed where governance and regulatory regimes are poor. Also, the point when corruption occurs most frequently is at the harvest, identified in another study Interpol collaborated with TREES project. Recommendations including policy and legislative reforms, capacity building, financial investigations, and Interpol anti-corruption investigators were provided to reduce the risk of corruption in forestry operations.

Researchers from the University of East Anglia (UEA) in the UK analysed data from 824 harvest areas in private and community-owned forests scattered throughout the 123 million hectare Brazilian state of Para, which is the source of almost half of all timber production in the Brazilian Amazon. The results demonstrate that it is crucial to manage yields of selectively-logged forests for the long-term health of forest biodiversity as well as the financial viability of local industries. The analysis shows that even so-called ‘reduced-impact logging’ in tropical forests can rarely be defined as sustainable in terms of forest composition and dynamics in the aftermath logging.

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.

A report has claimed that the Peruvian government is ignoring the real drivers of deforestation and failing to safeguard the rights of indigenous people who rely on, and are best-placed to protect, the country’s forests. The report, Revealing the Hidden: Indigenous perspectives on deforestation in the Peruvian Amazon, was issued by Peru’s indigenous peoples’ organisation (AIDESEP), and international human rights NGO Forest Peoples Programme (FPP). Conflicting with previous reports that suggest agriculture is mostly to blame (see above), this report suggests the invisible drivers of deforestation have a much more significant impact. These include infrastructure projects, such as the Transoceanic highway, oil, gas and mining projects, palm oil plantations, illegal logging operations, and mega-dam projects. According to the report, roughly 75% of deforestation in Peru occurs within 20km of a road. The report goes on to suggest practical steps to address this deforestation and violation of indigenous peoples’ rights, including: resolving territorial demands; providing legal, financial and technical support; close legal loopholes; and implement robust and independent planning mechanisms to ensure economic interests do not over-ride all other considerations.

Following a multistakeholder discussion the Indonesian government, starting next year, has agreed to simplify the process for the country’s mandatory timber verification system (SVLK). This decision came after rising verification costs could have made certification too expensive for smaller operators. The plans aim to ask suppliers to include supply-conformity declarations, known as DKPs, on their overseas shipments, which will be free of charge. These declarations normally include basic information such as the four-digit commodity ID code, volume of product, type of timber, and sources of timber supply to ensure legality. The government has also pledged financial aid for SMEs if they are prepared to be certified in groups. The Indonesian authorities are trying to encourage growth in their export market while also responding to environmental concerns from major purchasing markets such as the European Union.

An investigation has found that California’s former governor, Arnold Schwarzenegger, has financial ties to some of the world’s most destructive logging companies. According to the campaign group Global Witness, Mr Schwarzenegger is a part owner of an investment company, Dimensional Fund Advisers (DFA) and held an estimated 5% stake in the company, which manages an estimated $338 billion globally. These holdings included $174 million in about 20 of the 50 major logging companies.

A synthesis report has been published for REDD+ policymakers at the current UN climate talks in Doha. It is the first report of its kind taking a comprehensive country-by-country look at the drivers of deforestation. Agriculture is judged to be the main driver of an estimated 80 per cent of global deforestation. REDD+ is a climate mitigation scheme that provides financial incentives to developing countries to avoid GHG emissions associated with forest clearance. The report classifies both direct (e.g. urban expansion, infrastructure, mining, logging or agriculture) and indirect (e.g. changes in economic growth, population growth, commodity prices and governance) drivers of deforestation and says the drivers conspire to influence the level of forest clearing. The authors believe that countries which would finance REDD+ want to see the money directed towards addressing the drivers of deforestation before committing large sums.