8/10/2019 Stakeholder Dialogue 2014 Presentations
1/151
www.pefc.org
Addressing
Deforestation:
joining forces to
stimulate
demand for
sustainable
forest products
5th PEFC Stakeholder Dialogue
Paris
November 20th, 2015
William Street
Chair
PEFC International
8/10/2019 Stakeholder Dialogue 2014 Presentations
2/151
PEFC would like to thank the sponsors of
PEFC Forest Certification Week:
2
and our hosts, PEFC France
Mets Group PEFC Portugal/CFFP Suzano Pulp and Paper
8/10/2019 Stakeholder Dialogue 2014 Presentations
3/151
Safety briefingAND CELL PHONES
If for any reason we need to evacuate, please leave theroom by the marked exit doors.
Our assemble point is outside the front of the hotel.
Please stay calm and follow the guidance of the PEFC
staff.
AND PLEASE TURN YOURCELL PHONE OFF!!!
3
8/10/2019 Stakeholder Dialogue 2014 Presentations
4/151
Our Agenda today has a consumer &
supply-chain focus for forest products and
forest certification services
4
Consumer goods & deforestation Latest research from Forest Trends & UK
Government on commodity & market drivers
Consumer perceptions & behaviour
3 experts looking at the latest evidence base
Engaging consumers on sustainability
6 cases from different actors on understanding
needs & changing behaviour
Emerging initiatives & alliances
4 knowledge blasts on new innovationsDesigning forest product supply-chains fully supported
by certification solutions - to inform PEFC strategy
9 breakout groups getting your insights on
scale-up challenges & opportunities
8/10/2019 Stakeholder Dialogue 2014 Presentations
5/151
Materials & Process
In your information folder Participants workbook program, speakers,
notes and the two breakout exercises
Key audience questions
4 throughout the day
Vote by standing-up for the answer that you
agree with
Breakout groups (14:45-16:15)
9 groups each with a PEFC staff facili tator
You will getting a PEFC number card as youleave for lunch
KEEP IT or REMEMBER the # so you know
where to go and who your facilitator is
5
8/10/2019 Stakeholder Dialogue 2014 Presentations
6/151
Special guest
6
M. Jean-Yves CAULLET
Chairman of Office National des Forts (ONF)
Deput de lAssemble Nationale
8/10/2019 Stakeholder Dialogue 2014 Presentations
7/151
Audience survey question 1
7
Please respond to this statement:Forest certification is currently being effectively
used to support sustainable supply chains &
brands, promote a sustainable forest industry and
combat deforestation.
Answer options are: When asked, stand-up for the
answer you agreement with:
1. Yes, I think it is
2. I have mix views on its use & leverage3. No, it is definitely not
8/10/2019 Stakeholder Dialogue 2014 Presentations
8/151
www.pefc.org
Session 1Consumer Goods &Deforestation: An
Anaylsis of theExtent & Nature ofIllegality in ForestConversion for
Agriculture &Timber Plantations
Key Note:
Kerstin CanbyDirector Forest Trade &
Finance
Forest Trends
8/10/2019 Stakeholder Dialogue 2014 Presentations
9/151
Consumer Goods and DeforestationAnalysis of Extent and Nature of Illegality in Forest
Conversion for Agriculture and Timber Plantations
5thPEFC Stakeholder Meeting 20 November 2014
Kerstin CanbyForest Trade & FinanceForest Trends
8/10/2019 Stakeholder Dialogue 2014 Presentations
10/151
Outline
Consumer Goods and Deforestation Report Summary of report findings
Methodology Conversion Timber Agricultural Commodities
Update on China and Greater Mekong region
8/10/2019 Stakeholder Dialogue 2014 Presentations
11/151
Results: Summary
11/20/2014
* Midpoint estimates used in sensitivity analyses *
8/10/2019 Stakeholder Dialogue 2014 Presentations
12/151
Illegality in major countries
11/20/2014
8/10/2019 Stakeholder Dialogue 2014 Presentations
13/151
Scope of Impact
Deforestation: 21m ha of tropical forests illegally cleared
2000-2012 in order to supply agro-commodities for export
Climate change: Emissions from illegal deforestataion
from commercial agriculture average 1.47 gigatonnes CO2per year equivalent to EUs annual fossil fuel-based
emissions
Trade: Value of agro-commodities produced on landillegally converted from tropical forests estimated at $61
billion / year. Largest buyers: EU, China, India, Russia, US
11/20/2014
8/10/2019 Stakeholder Dialogue 2014 Presentations
14/151
Results: Sensitivity analysis
11/20/2014
8/10/2019 Stakeholder Dialogue 2014 Presentations
15/151
Results: Commodity exports
11/20/2014
8/10/2019 Stakeholder Dialogue 2014 Presentations
16/151
Definition of Legality / Illegality
11/20/2014
Legality determined by laws & regulations of producer
countries, at the time of deforestation
Illegalities of past 20-30 years only, directly or
indirectly caused by commercial agriculture
Does not include international commitments (ILO
169, UNDRIP, etc)
Does not include customary rights unrecognized bystatutory law
8/10/2019 Stakeholder Dialogue 2014 Presentations
17/151
Definition of Legality / Illegality
11/20/2014
Only focuses on violations with large impact
Issuing of licenses / permit
Corruption / bribery
Example PNG: Parliamentary Inquiry found 90% SpecialAgriculture and Business Leases (SABLs) obtained
through corrupt/fraudulent means
Clearance
No permit, permit non-compliance, in advance of permit
Clearance in prohibited zones
Failure to compensate affected communities
8/10/2019 Stakeholder Dialogue 2014 Presentations
18/151
Conversion Timber
Tropical timber in global markets being sourced fromland clearance projects
13% low 31% medium 49% high scenario
Role of conversion timber in the profitability ofagricultural development projects
Are the legality issues different from conventionalforest concessions?
More emphasis on early processes of land acquisition,auctions, permitting, degazetting of forest estate
11/20/2014
8/10/2019 Stakeholder Dialogue 2014 Presentations
19/151
Conversion Timber
Mechanisms designed to address illegal loggingwere designed in the 1990s and early 2000s before
agricultural land boom
Certification standards and legality verification schemes VPAs now focussing on this, or are being reviewed
Engagement of agricultural ministries or landmanagement
11/20/2014
8/10/2019 Stakeholder Dialogue 2014 Presentations
20/151
Agricultural Commodities
Calls to replicate FLEGT mechanisms for illegalagricultural commodities
EUTR, Lacey, VPA processes
Impatience with voluntary approaches (RoundTables, RSPO,voluntary Zero Deforestation commitments
Very different dynamics politically Fewer number actors, major multi-nationals who are producers /
traders / processors, more money, more political
Private sector interest in asking governments to get their legalhouse in order > basic improvements in investment climate
11/20/2014
8/10/2019 Stakeholder Dialogue 2014 Presentations
21/151
Agricultural Commodities
Will the land be forever illegal? Informal processes for conflict resolution
Blanket amnesty
Fines
Offsets
11/20/2014
8/10/2019 Stakeholder Dialogue 2014 Presentations
22/151
Outline
Update on China and Greater Mekong region
8/10/2019 Stakeholder Dialogue 2014 Presentations
23/151
China: timber product imports by volumeand product type
0
20
40
60
80
100
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
m3RWEMillions
Logs Sawnwood Wood chips Veneer sheet Charcoal
Particleboard Wood furniture Fiberboard Plywood Other
8/10/2019 Stakeholder Dialogue 2014 Presentations
24/151
China: timber product exports by volumeand product type
11/20/2014
0.0
10.0
20.0
30.0
40.0
50.0
60.0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
m3RWE
Millions
Plywood Furniture Fiberboard Flooring Other Joinery Lumber Veneer Sheet
8/10/2019 Stakeholder Dialogue 2014 Presentations
25/151
China: Rosewood Imports
0
100
200
300
400
500
600
700
800
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
other
DRC
Mozambique
Lao PDR
Myanmar
Nicaragua
Ghana
Togo
Benin
Gambia
Vietnam
Volume1000m3
8/10/2019 Stakeholder Dialogue 2014 Presentations
26/151
China: Rosewood Furniture Exports
0
50'000
100'000
150'000
200'000
250'000
300'000
350'000
400'000
450'000
2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
other
France
Macau
United States
Hong Kong
Taiwan
Singapore
Japan
Quan
tity
8/10/2019 Stakeholder Dialogue 2014 Presentations
27/151
China: Timber product imports by volumeand source country
0
20
40
60
80
100
120
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
m3RWE
Millions
Russia Canada New Zealand
Vietnam United States Thailand
European Union Australia Africa
Indonesia Papua New Guinea Other
8/10/2019 Stakeholder Dialogue 2014 Presentations
28/151
China: Hardwood log imports
0
2
4
6
8
10
12
14
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
m3
Millions
Middle East/Central Asia
Other Oceania
Latin America/Caribbean
Other Asia
North America
Europe
Other Africa
Malaysia
Equatorial Guinea
Cameroon
CongoMyanmar
Russia
Solomon Islands
Papua New Guinea
8/10/2019 Stakeholder Dialogue 2014 Presentations
29/151
EU-27 timber imports by region and
exposure to 3rdparty verification (2011)
Includes all products in CN44 (wood) and wood products in CN94 (furniture).Based on FII Ltd/European TTF analysis of Eurostat and data derived from certification/legality system websites and Keurhout
8/10/2019 Stakeholder Dialogue 2014 Presentations
30/151
Legality of China Wood Supply
Illegal harvest not problemin domestic supply main
issue is rights of local
people
Bigger question: how tohandle imports from high
risk countries?
8/10/2019 Stakeholder Dialogue 2014 Presentations
31/151
Legality of China Wood Supply
Illegal harvest not problemin domestic supply main
issue is rights of local
people
Bigger question: how tohandle imports from high
risk countries?
8/10/2019 Stakeholder Dialogue 2014 Presentations
32/151
Legality of China Wood Supply
International laws (EUTR, US Lacey) are obligingtraders to question government documents in countries
that are unable or unwilling to enforce their own laws
This is not in the draft China State ForestAdministration Timber Legality Verification System
Chinese Forest Management System has just beenendorsement by PEFC this year
Challenge uptake of FMSystem linked to chain-of-custody and leading to on-label logo use
8/10/2019 Stakeholder Dialogue 2014 Presentations
33/151
Vietnam the next China
Ministry of Industryand Trade,
November 2014:
temporary ban on
import of logs and
sawntimber from
Laos and Cambodia
starting Dec 8, 2014
8/10/2019 Stakeholder Dialogue 2014 Presentations
34/151
Thank youKerstin [email protected]
8/10/2019 Stakeholder Dialogue 2014 Presentations
35/151
www.pefc.org
Session 2 -Understanding
ConsumersBehavior, Perception& Expectations forSustainable Products Looking at theEvidence Base
Session chair :
Julian Walker-Palin
PEFC International Board
Panel 2: The latest on consumer behaviour
8/10/2019 Stakeholder Dialogue 2014 Presentations
36/151
Panel 2: The latest on consumer behaviourresearch and baseline surveys, including
forest products
10
Laura Babbs, Sustainability
Manager, ASDA UK
UK retailer perspective based on
regular customer surveys
Elizabeth Pastore-Reiss,
President, EthiCity & Greenflex
France & Western European
perspective
Donna Harman, President,
American Forest & Paper
Association
North American perspective
Q & A + Panel discussion
8/10/2019 Stakeholder Dialogue 2014 Presentations
37/151
Asda sustainability research
our customer insight
Laura Babbs
8/10/2019 Stakeholder Dialogue 2014 Presentations
38/151
Contents
Little introduction to Asda
Our vision
Customer panel
Customers and sustainabili ty
Customers and products
Customers and timber
8/10/2019 Stakeholder Dialogue 2014 Presentations
39/151
Weve got historyFounded in 1960s in Leeds, where were still head
quartered
Weve got scale
Over 180,000 Asda colleagues
Over 560 stores
Weve got reach
Over 18 million shoppers served per week in store
Over 98% of UK homes served through our home
shopping business
About Asda
8/10/2019 Stakeholder Dialogue 2014 Presentations
40/151
Our sustainabili ty vision
We believe sustainable
living is for everyone, no
matter who they are and
what their income.
Our business is committed to delivering
great value at everyday low prices. For
us, sustainability is part of that value.
Weve worked hard for many
years to reduce our environmentalimpacts and, as a result, our costs.
Were listening to what our customers
care about and they want us to help
them lead greener lives.
8/10/2019 Stakeholder Dialogue 2014 Presentations
41/151
Asda customer panel
37%
63%
68% primary, 32%secondary shopper
10%
2%
6%
82%
20,000 customer panel, with average response rates of
between 6-9,000 responses
8/10/2019 Stakeholder Dialogue 2014 Presentations
42/151
I expect to be greener
in the future
I set the sustainability
agenda
I shop green
Green is normal
The green choiceshouldnt cost more
Customer know their minds
8/10/2019 Stakeholder Dialogue 2014 Presentations
43/151
Products, products, products
Green effects buying decisions in someareas but not others
Local sourcing is the most important
issue for customers
Confusion around sustainability
terminology
Customers are the least interested in
sustainability issues related to clothing,
home, garden & DIY
8/10/2019 Stakeholder Dialogue 2014 Presentations
44/151
Timber
91% of customers agree that wood and paper basedproducts should be sourced from sustainably
managed forests
90% of customers think that packaging
should be sourced from sustainably
managed forests
59% of customers think products sourced fromsustainably managed forests should have an
independent product label
8/10/2019 Stakeholder Dialogue 2014 Presentations
45/151
A word of caution
8/10/2019 Stakeholder Dialogue 2014 Presentations
46/151
What does this mean for you?
This is not a fad or trend
our customers expect to
be greener in the future
The vast majority
of people care
about sustainability
Messaging needs to be clear
and consistent there is
already confusion around
terminology
Need to be cautious around
what customers say and what
they buy
Timber sustainability is important to
customers however, this ranks below
other retail sustainability issues
8/10/2019 Stakeholder Dialogue 2014 Presentations
47/151
Le 24 juin 2014
Co n s u m e r p er c ep t i o n san d b e h av i o r s f o r
s u s t a i n ab l e p r o d u c t s
N o v e m b e r 2 0 t h , 2 0 1 4
8/10/2019 Stakeholder Dialogue 2014 Presentations
48/151
MAIN EUROPEAN TRENDS
8/10/2019 Stakeholder Dialogue 2014 Presentations
49/151
MAIN EUROPEAN TRENDS
MAIN EUROPEAN TRENDS
8/10/2019 Stakeholder Dialogue 2014 Presentations
50/151
MAIN EUROPEAN TRENDS
Buyenvironmentally
friendlyproducts
38% 34%
25% 36%
Avoidenvironmentally
unfriendlyproducts
37% 40%
27% 46%
Theextra cost of environmentally
friendly products isnot worth it for me
18% 22%
27% 28%
(Often + All the time) (Often + All the time)
(Often + All the time)
BUYERS OF WOOD DERIVED PRODUCT
8/10/2019 Stakeholder Dialogue 2014 Presentations
51/151
BUYERS OF WOOD-DERIVED PRODUCT(FRANCE)
ENTREPRISES CONSOMMATION RESPONSABLE
Garantee Garantee
Garantee Garantee Reconciliation
Garantee Reconciliation
8/10/2019 Stakeholder Dialogue 2014 Presentations
52/151
8/10/2019 Stakeholder Dialogue 2014 Presentations
53/151
Understanding Consumers Behavior, Perception
& Expectations for Sustainable Products:North American Perspective
Donna Harman
AF&PA President and CEO
8/10/2019 Stakeholder Dialogue 2014 Presentations
54/151
AF&PA Overview
Advances sustainable pulp, paper,
packaging and wood products industry
4% of U.S. manufacturing GDP
210 billion USD in products/year
Top 10 manufacturing employer in 47
states
8/10/2019 Stakeholder Dialogue 2014 Presentations
55/151
Our Products
8/10/2019 Stakeholder Dialogue 2014 Presentations
56/151
Sustainability
8/10/2019 Stakeholder Dialogue 2014 Presentations
57/151
Millennial Research Findings
Packaging is fundamental
Convenience is key
Paper-based packaging is:
Considered the most environmentally-
friendly packaging option
Expected to become more prominent
Conservation minded
Emotional value of paper
8/10/2019 Stakeholder Dialogue 2014 Presentations
58/151
Atmospherics
Acceptance and Use of Paper
Negative Pressures
Misconceptions of
how paper is made
Value imbalance of
paper vs. trees
Functionality
preference for digital
media
Belief that using paper is
wasteful
Strong
preference for
paper productsover plastic
Strengths and Assets
Nostalgia and
emotional
connection
Some belief
that paper and
technology cancoexist
Effective
messages that
correct faulty
environmentalperceptions
The renewability
and recyclability of
paper is consistentacross grades
8/10/2019 Stakeholder Dialogue 2014 Presentations
59/151
Top Messages
8/10/2019 Stakeholder Dialogue 2014 Presentations
60/151
Consumer Choice Impact Research
8/10/2019 Stakeholder Dialogue 2014 Presentations
61/151
Moving the Needle
PurchaserChoosesPaper
Heightenedpreference for
paper
Understandrenewable and
recyclable
nature of paper Improvedperception ofcompaniesusing paper
Messages showed improvements in views of the value of paper,
and people more inclined to use/choose paper products
8/10/2019 Stakeholder Dialogue 2014 Presentations
62/151
New Public Awareness Program
8/10/2019 Stakeholder Dialogue 2014 Presentations
63/151
Wood Products Promotion Program
8/10/2019 Stakeholder Dialogue 2014 Presentations
64/151
Choosing Wood Products
Recognition of positive life-cycle attributes
Outreach to architects and specifiers change
attitudes
Canadian research on mental healthattributes from wood buildings
New product potential from wood-based
nonmaterial
Bio-based products of all types -- energy,
chemicals, etc.
8/10/2019 Stakeholder Dialogue 2014 Presentations
65/151
Donna Harman
AF&PA President and CEO
Visit us online at:afandpa.org
Follow us on Twitter:@DonnaHarmanAFPA
@ForestandPaper
8/10/2019 Stakeholder Dialogue 2014 Presentations
66/151
Audience survey question 2
11
Please answer this question:
Is the evidence on consumer preferences for
sustainable products compelling enough to
mainstream and accelerate demand for certified
forest products?
Answer options are: When asked, stand-up for the
answer you agreement with:
1. I am convinced, scaling up certification is a
key opportunity for our sector
2. Not yet, certification is still only a niche
opportunity in a few sensitive markets
3. Evidence remains weak, the certification
business case still needs to be built and
communicated
Session 3
8/10/2019 Stakeholder Dialogue 2014 Presentations
67/151
www.pefc.org
Session 3 SuccessfulApproaches for
EngagingConsumers onSustainability Learning fromInnovative
Solutions
Session chair :
Julian Walker-Palin
PEFC International Board
Panel 3: Highlighting experiences in understanding
& infl encing cons mer perceptions & b ilding
8/10/2019 Stakeholder Dialogue 2014 Presentations
68/151
& influencing consumer perceptions & building
awareness on sustainability, including forest products
13
Jul ia Young, Manager, Global Forest &Trade Network, WWF UK
NGO perspective on t ransformingmarkets and consumer actions
Claire Tutenuit, Enterprises pour
lEnvironnement
French business NGO perspective on
stimulating and responding to
consumer demand
Jorge Cajazeira, Director Institutional
Affairs, Suzano Pulp & paper
Global pulp & paper company
perspective
Irina Coup, Dveloppement Durable,
Maisons du Monde
Retailer perspective
Duncan Brack, Associate Senior
Fellow, Chatham House
Governments as customers and the
role of public procurement
Michael Buckley, Managing Director,
Turnstone Singapore
B2B wood promotion and
communications in Asia
Q & A + Panel discussion
8/10/2019 Stakeholder Dialogue 2014 Presentations
69/151
11
Safeguarding the natural world
ENGAGINGCONSUMERS ONSUSTAINABILITY
Julia Young
Manager GFTN-UK
WWF-UK
20thNovember 2014
P d f t
8/10/2019 Stakeholder Dialogue 2014 Presentations
70/151
Panda facts
24 November 2014 2
WWF has over
5,000 staff worldwide
+5,000
WWF has over5 million supporters
+5M
WWF is in over
100 countries, on
5 continents
+100
WWF was foundedIn 1961
1961
Reduce our impact
Add d t th th d d d b h d f
8/10/2019 Stakeholder Dialogue 2014 Presentations
71/151
Added together, the demands made by each and every one of us
humanity's Ecological Footprint are far too much for our planet.
50% too much, in fact
8/10/2019 Stakeholder Dialogue 2014 Presentations
72/151
TRANSPARENCY
AWARENESSDIFFERENTIATION
8/10/2019 Stakeholder Dialogue 2014 Presentations
73/151
24 November 2014 5
404 Million Hectares of forest globally
certified under FSC and PEFC combined
Pressure to improve forest management
practices where these have caused forest
loss, and to undertake restoration
Slow but increasing customer awareness
Communicate to people in so they can make
the right choices
Understand whether you are supporting
sustainability with what you invest in
PEFC in the future
8/10/2019 Stakeholder Dialogue 2014 Presentations
74/151
PEFC in the future
24 November 2014 6
Engaging consumers on sustainability is a global story
To be recognized as a credible scheme for sustainable forest managementacross the board, an action plan is required to establish balanced social,environmental and economic governance, nationally andinternationally
PEFC can also contribute to a sustainable future for forests throughaccreditation requirements for Forest Management Certification
Set the highest standards for t ransparency, as this drives improvementsin forest management and engagement of stakeholders by being stricterand more transparent in making information on surveillance audits,audit reports, and resolution of complaints public in a timely way
As PEFC grows in areas where forest governance, and the capacity of civilsociety to engage, are still relatively weak, it must act to safeguardresources fundamental for satisfying the basic necessit ies of localcommunities or indigenous peoples, through engagement with them
Empower people with credibi lity
8/10/2019 Stakeholder Dialogue 2014 Presentations
75/151
77
8/10/2019 Stakeholder Dialogue 2014 Presentations
76/151
1 APC 24/11/2014
PEFC Stakeholders Dialogue
20 November 2014
EpE, French partner of the WBCSD
8/10/2019 Stakeholder Dialogue 2014 Presentations
77/151
2 14-129-APC 24/11/2014
p , p
Some forty French and international companies
A shared vision and commitment :
better integrate environment into strategies and management
Our mission: exchange of good practices, dialogues, methods
Consumer engagement activities
8/10/2019 Stakeholder Dialogue 2014 Presentations
78/151
3 14-129-APC
g g
An ECO Enterprises-Consumers-ONG dialogue
In the hierarchy of consumers priorities, environment /climate change is last; health, money and social status areon top; benefit for customer comes in the middle
An experience on mobility: Autolib Difficult anticipation of behavioral waves such as the
one on-going in mobility
Labelling: buildings, recycled materials,
Beware any confusion!
Few members sell forest products Sequana on paper
Saint-Gobainon wood products for buildings: certificationmeans access to certain markets
24/11/2014
Key success factors ?
8/10/2019 Stakeholder Dialogue 2014 Presentations
79/151
4 14-129-APC
y
Simplicity
Transparency TRUST
Integrity
Cost of products
24/11/2014
Possible take-out for PEFC
8/10/2019 Stakeholder Dialogue 2014 Presentations
80/151
5 14-129-APC
Work on reputation on the three counts
Simplicity on objectives: more wood / morebiodiversity / more carbon capture ?
Transparency: clarify managementprinciples, certification procedures, thirdparty role, pedagogy to visiting public
Integrity: produce more examples of wellmanaged forests, control estovers,
24/11/2014
8/10/2019 Stakeholder Dialogue 2014 Presentations
81/151
Connecting Forests with Consumers
Building Credible Reputation through Sustainability andCertification Programs
USO
PBLICO
1
Ph.D. Jorge E. Reis CajazeiraInstitutional DirectorPEFC 2014 General Assembly
COMPANY OVERVIEW
8/10/2019 Stakeholder Dialogue 2014 Presentations
82/151
Suzano produces pulp from 100% renewableplanted eucalyptus forests.
Our operations are present in 7 countries. Weexport to more than 60 countries worldwide
High quality certified products are delivered dueto excellence in forest and industrialmanagement.
This is all made possible through an proactivedialogue with our stakeholders (NGOs,syndicates, government and community leaders).
COMPANY OVERVIEW
Suzano Operations Worldwide
8/10/2019 Stakeholder Dialogue 2014 Presentations
83/151
Suzano Operations Worldwide
*figures of last 12 months ending on 6/30/2012
Inequality
8/10/2019 Stakeholder Dialogue 2014 Presentations
84/151
Inequality
8/10/2019 Stakeholder Dialogue 2014 Presentations
85/151
8/10/2019 Stakeholder Dialogue 2014 Presentations
86/151
Clients
The ForestDialogue
WBCSD/ FSG
Greenpeace
PEFC
FSC (Board of
Directors)
WWF
Brazilian ForestDialogue
Global
National
Research Institutes
Greenpeace
WWF Brazil
TNC
CI
FSCPEFC/CER
FLORForest Associations
Local/State
ForestForums
NGOs
Communities
Government
Boddies
Suzano
Dialoge
ISO
SUSTAINABILITY IS IN OUR BLOOD
8/10/2019 Stakeholder Dialogue 2014 Presentations
87/151
MA, PI e TO
Total: 445.000 ha
SP
Total: 187.000 ha
BA, ES e MG
Total: 265.000 ha
Ref. Sep2014
Operational and protected areas
40% of Suzano
s territory is designated for preservation, within
this area there are three different types of biomes: Amazon, AtlanticRainforest, Cerrado (brazilian savannah).
State (Brazil
only)
Area
(hectares)
Preservation Area
(hectares)
Tocantins 15.000 8.000
Piau 33.000 18.000
Minas Gerais 36.000 16.000
Espirito Santo 56.000 18.000
Bahia 173.000 63.000
So Paulo 187.000 62.000
Maranho 397.000 173.000
Total 897.000 358.000
SUSTAINABILITY
8/10/2019 Stakeholder Dialogue 2014 Presentations
88/151
Corporative Level
Intelligence Sustainability performance indicators
Monitoring of social/environmental commitments
from financial support agreements
(BNDES, ECAs)
Participation in Sustainability Forums and Awards
(FGV, WBSCD, FSC, WWF, IB)
Climate Change Carbon management
GHG Emissions Inventory
Carbon Footprint (Bahia and Maranho in 2014)
New technology impacts analysis
US$ 6.400.000(Social investmentindicator for 2013)
ABTCP 2014 Social
Responsibility awardFor the creation ofcommunitarian councils
Suzano
s emissions inventory
932'884 927'483
826'496
2011 2012 2013
tCOe
A very rare cougar couple spotted inSuzanos protected area in Maranho
http://www.abtcp.org.br/?page_id=30478/10/2019 Stakeholder Dialogue 2014 Presentations
89/151
SUSTAINABILITYWhere we Act & Some Numbers
Where do we Act
Environmental permits
Legislation/certification attendance (ex: new forest
code, waste management law)
Forests operations technical support
Environmental program management
(water, flora, fauna, soil, archeology)
Environmental education
Participation in forums and conservation units councils
High Conservation Value Forests management
1.442 species identified (mammals andbirds)
Participation in Conservation Units Councils
14 mainriverswhere watermonitoring is
carried out
Suzano s protected area in Maranho
OUR COMMITMENT TO SUSTAINABILITY TRANSLATES
8/10/2019 Stakeholder Dialogue 2014 Presentations
90/151
OUR COMMITMENT TO SUSTAINABILITY TRANSLATESINTO:
100% OF OUR PRODUCTIVE FORESTS ARE DOUBLECERTIFIED
LARGEST SET OF CERTIFIED MILLS AND DISTRIBUTORSIN LATIN AMERICA (29 SITES IN TOTAL)
100% OF OUR PRODUCTS ARE FSC CERTIFIED
This is not Enough
8/10/2019 Stakeholder Dialogue 2014 Presentations
91/151
This is not Enough
To demonstrate our commitment to sustainabilityand our respect to the consumers right tochoose, we are announcing this:
Suzano will certify all its DistributingCenters and Mills under CERFLOR/PEFCCOC by December 2015
Regarding ISO ...
8/10/2019 Stakeholder Dialogue 2014 Presentations
92/151
Regarding ISO ...
An opportunity to PEFC ISO will focus on non-certified forest products
Legal
DDS compliance for non-certified/controlledmaterials Community Wood Non-traditional products (cork, bambu etc.) ISO will help to ensure traceability where
PEFC still is not possible/present (i.e. Africa)
8/10/2019 Stakeholder Dialogue 2014 Presentations
93/151
THANK YOU
8/10/2019 Stakeholder Dialogue 2014 Presentations
94/151
PEFC
November 20th, 2014
Irina Coup EUTR manager
Who we are
8/10/2019 Stakeholder Dialogue 2014 Presentations
95/151
240 shops : France, Spain,
Italy, Belgium, Luxembourg,
Germany and Switzerland
20 new shops per year
A website :
www.maisonsdumonde.com
3 catalogues : Indoor ,
Outdoor and Junior
5000 furniture items
A strong CSR policy
How we depend on forests
http://www.maisonsdumonde.com/http://www.maisonsdumonde.com/8/10/2019 Stakeholder Dialogue 2014 Presentations
96/151
Teak Mahogany
Sheesham
Mango
Acacia
Oak
Walnut Elm
etc
p
8/10/2019 Stakeholder Dialogue 2014 Presentations
97/151
How to be proactive
8/10/2019 Stakeholder Dialogue 2014 Presentations
98/151
p
More responsible products
8/10/2019 Stakeholder Dialogue 2014 Presentations
99/151
p p
602 items PEFC
380 items FSC
23 items TFT
200 items QR
133 items with
recycled wood
54,2%
of our wooden furniture
are certified or traced
8/10/2019 Stakeholder Dialogue 2014 Presentations
100/151
Supplier MDM
1) Map
2) Audit
3) Certify
8/10/2019 Stakeholder Dialogue 2014 Presentations
101/151
DSC_3490-24) Communicate
8/10/2019 Stakeholder Dialogue 2014 Presentations
102/151
8/10/2019 Stakeholder Dialogue 2014 Presentations
103/151
www.maisonsdumonde.com
www.developpementdurable.maisonsdumonde.com
http://www.maisonsdumonde.com/http://www.developpementdurable.maisonsdumonde.com/http://www.developpementdurable.maisonsdumonde.com/http://www.maisonsdumonde.com/8/10/2019 Stakeholder Dialogue 2014 Presentations
104/151
Promoting legal and sustainable timber:
The role of public procurement policy
Duncan Brack (Associate Fellow, Chatham House)
PEFC Stakeholder Dialogue, Paris, 20 November 2014
Public procurement policy: general
8/10/2019 Stakeholder Dialogue 2014 Presentations
105/151
Chatham House | The Royal Institute of International Affairs 2
Use of governments purchasing power in market to
achieve outcomes examples as far back as nineteenth
century
Public procurement accounts for average 12% GDP Though split central / regional / local
Public procurement policy: timber
8/10/2019 Stakeholder Dialogue 2014 Presentations
106/151
Chatham House | The Royal Institute of International Affairs 3
Public sector major purchaser of timber products: Paper and packaging
Furniture (office, street, park)
Timber for construction and maintenance (social housing,
schools, hospitals )
Product-specific data generally lacking, but is clear
significant impact in some sectors, e.g.: UK office furniture, 3050% purchased by public sector
Harbour and flood defences
Also can have knock-on effects (2040%?)
Timber procurement policies
8/10/2019 Stakeholder Dialogue 2014 Presentations
107/151
Chatham House | The Royal Institute of International Affairs 4
Public procurement policy used for timber since 1970s
FLEGT Action Plan stimulated development
Voluntary EU Green Procurement Policy process Common criteria, now 20 product groups
2008: 9 countries
2014: more than 25 countries (19 in EU)
Many examples of regional and local governments,
major public projects (e.g. London Olympics)
Objectives and criteria
8/10/2019 Stakeholder Dialogue 2014 Presentations
108/151
Chatham House | The Royal Institute of International Affairs 5
Mostly aiming to purchase legal and sustainable timber
Some countries develop own criteria for legal and
sustainable
Some use certification scheme criteria
In either case, criteria generally satisfied through
certification schemes, so market impact may be similar Though also note impact on certification schemes
Some use wider range of evidence
8/10/2019 Stakeholder Dialogue 2014 Presentations
109/151
Impacts
8/10/2019 Stakeholder Dialogue 2014 Presentations
110/151
Chatham House | The Royal Institute of International Affairs 7
Impact on penetration of certified timber products
UK: 2008 study: certified products 80% of market (domestic and
imported) up from 55% in 2005
2010 study: identified TPP as one of drivers
Netherlands: Timber: 13% (2005) 34% (2008) 68% (2011) Paper: 33% (2011)
2011 ETTF survey: public sector and commercial big
buyers main drivers for demand for certified products
Conclusions
8/10/2019 Stakeholder Dialogue 2014 Presentations
111/151
Chatham House | The Royal Institute of International Affairs 8
Timber procurement policies are useful tools in helping
to steer the market Can be developed and introduced relatively quickly
Send signal to market, reinforce other actors
Promotion, communication, support for buyers necessary
(e.g. CPET in UK)
Appear to have impact in terms of increasing market
share of certified (FSC and PEFC) products
Comprehensive criteria-based policies have advantages Positive impact on schemes themselves
More difficult to draw up, but plenty of models Useful lessons from timber for procurement policy for
other products (e.g. palm oil)
Thank you
8/10/2019 Stakeholder Dialogue 2014 Presentations
112/151
Chatham House | The Royal Institute of International Affairs
8/10/2019 Stakeholder Dialogue 2014 Presentations
113/151
B2B Wood Promotion andCommunications in Asia
Michael Buckley MPhil, FIWSc
Paris, November 2014
TURNSTONE
Communications
PROMOTING WOOD
8/10/2019 Stakeholder Dialogue 2014 Presentations
114/151
Turnstone Communications Pte Ltd,Singapore
Promoting Wood
Private consultancy - working exclusively in the forestproducts and wood industry sector on behalf of
governments, associations, companies and clients,mainly in Asia.
Personnel and associates have specific experience in
the forest products sector and wood industries, as wellas in publishing and market sectors.
TURNSTONE
Communications
PROMOTING WOOD
8/10/2019 Stakeholder Dialogue 2014 Presentations
115/151
Turnstones Motivation
Belief in Clients
Examples:
Genuine sustainability of American hardwoods
(AHEC)Need for uniform grading system to maximise forest
yield (NHLA)
Necessity to communicate issues (GTF)
Benefits of national forest certification (PEFC)
Efforts in forestry responsibility (MTC/MTCC)
TURNSTONE
Communications
PROMOTING WOOD
Turnstone Strategy & Tactics
8/10/2019 Stakeholder Dialogue 2014 Presentations
116/151
Turnstone Strategy & Tactics
Working inside media, providing the most reliable data and
information, offering high quality, authoritative copy and
directly connecting media with clients. Networking within
the forestry and manufacturing sector and participation
within industry events
Objectives include:
Raising Profile with PR and Brand Building
Identifying Opportunities for Promotion
Alerting Media to Industry Issues Educating Journalists as the Route to Consumers
TURNSTONE
Communications
PROMOTING WOOD
8/10/2019 Stakeholder Dialogue 2014 Presentations
117/151
What consumers care about in Asia
8/10/2019 Stakeholder Dialogue 2014 Presentations
118/151
depends on where they are and who
they are
The wealthy in Indonesia are very different fromthe rich Chinese, but money is key for most Asians
at all levels of society So price comes before the environment
But, Asians are becoming more savvy and areslowly learning about environmental issues
Education is of vital importance to Asian
communities and teachers and media are often ill-informed about forests
TURNSTONE
Communications
PROMOTING WOOD
8/10/2019 Stakeholder Dialogue 2014 Presentations
119/151
What is driving wood & paper
products consumption in Asia? Economic growth is dynamic
Consumption of all materials is rising
Growth of a new middle class andimproving standards of living are themain drivers, which is turning manyAsian producers from exporting towardslocal distribution, especially since 2008
6 out of 11 of the worlds fastest growing middle classes arein Asia. But the big one affecting wood supply and demand
TURNSTONE
Communications
PROMOTING WOOD
Middle Class in Developing Countries Could Reach 616 Million
Households By 2020, Up 138% From 2009 Levels
8/10/2019 Stakeholder Dialogue 2014 Presentations
120/151
8
y p25% of households in these countries are middle class. By 2020, this could
increase to 49% and the impact on food consumption will be large Developing
countries with fastest growing middle class
234
60
12
9
8
7
6
5
4
3
3
2
21
0 25 50 75 100 125 150 175 200 225 250 275 300 325 350
China
India
Brazil
Indonesia
Russia
Egypt
Thailand
Mexico
Turkey
Vietnam
Philippines
Iran
PolandNigeria
Households with real PPP incom es greater than $20,000 (in m il li ons)
2009 levels Proj gains by 2020
Source: Global Insights Global Consumer Markets data as analyzed by OGA
According to the Shanghai Timber Trade
8/10/2019 Stakeholder Dialogue 2014 Presentations
121/151
According to the Shanghai Timber Trade
Association's market report, China's softwood
timber imports have experienced an increase of141.1% in the last five years.
While China's domestically-produced timber only increased by 2.3%
in 2013, the amount of imported timber grew 18%.
Within one year (2012 - 2013) North America's softwood timber
import to China increased by 50%!
TURNSTONE
Communications
PROMOTING WOOD
8/10/2019 Stakeholder Dialogue 2014 Presentations
122/151
What impact has so far been
achieved in Asia?
Widespread coverage in B2B media
Many editors and journalists now know aboutPEFC
Participation by PEFC in industry shows
Presentations at conferences and seminars
PEFC included in forest certification debates
PEFC even made front covers.
TURNSTONE
Communications
PROMOTING WOOD
2013 Nov 2014 Oct
8/10/2019 Stakeholder Dialogue 2014 Presentations
123/151
11
Architecture Construction
8/10/2019 Stakeholder Dialogue 2014 Presentations
124/151
12
B2B PR
8/10/2019 Stakeholder Dialogue 2014 Presentations
125/151
13
8/10/2019 Stakeholder Dialogue 2014 Presentations
126/151
Given that PEFC is the worlds largest certification system, it is a strong
option for Asia, so some recommendations are:
Continue to inform a wide range of forest industry players - from forestresource management to manufacturing industries - as to the market
opportunities and choices that PEFC endorsed materials can offer
Inform and lobby governments about the national and internationalbenefits of national certification endorsed by PEFC
Explain to professionals why PEFC is both similar and different to FSC
Communicate to trade & industry in Asian countries yet without anational scheme, how they can use and benefit from PEFC CoC
TURNSTONE
Communications
PROMOTING WOOD
8/10/2019 Stakeholder Dialogue 2014 Presentations
127/151
Further information about Turnstone:
www.turnstonesingapore.com
Thank you!
TURNSTONE
Communications
PROMOTING WOOD
Audience survey question 3
8/10/2019 Stakeholder Dialogue 2014 Presentations
128/151
14
Please respond to this statement:
Consumers can be effectively engaged on
sustainability and, more importantly, tools like
certification can help change perceptions & buying
behavior.
Answer options are: When asked, stand-up for the
answer you agreement with:
1. Yes and these cases prove it
2. I am not convinced yet this happens in some
specific products and markets only
3. No because consumers dont care about
their impacts enough to change what they buy.
Session 4: Emerging
Initiatives & Alliances
8/10/2019 Stakeholder Dialogue 2014 Presentations
129/151
www.pefc.org
Initiatives & Alliances
Addressing
Deforestation throughPromoting
Sustainable
Production,
Consumption & Trade
Session chair :
James Griffiths
PEFC International
Panel 4: Knowledge blasts on impactfulsolutions for sustainable supply chains
getting ready for breakout groups sessions!
8/10/2019 Stakeholder Dialogue 2014 Presentations
130/151
getting ready for breakout groups sessions!
16
Kathy Abusow, CEO, Sustainable
Forestry Initiative
Fiber sourcing from non-certif ied
forests
Hans Stout, Program Director,
IDH
Sustainable Trade Initiative on
Pulp & Paper for the Indonesian
forest sector
Sabine Ritter, Executive Vice
President Sustainability, The
Consumer Goods Forum (CGF)
CGFs Zero Net Deforestation
Commitment, Activation Toolki t &
Tropical Forest All iance 2020
Gary Dunning, Execut ive Director,
The Forests Dialogue
Sustainable landscape and
supply chains for food, feed, fiber
& fuel
Key points summary
Session 5:Discussion
8/10/2019 Stakeholder Dialogue 2014 Presentations
131/151
www.pefc.org
DiscussionGroups Identifying
Opportunities forAction &Collaboration toScale-up Forest
Certification
Session chair :
James Griffiths
PEFC International
9 breakout groups to discuss & design forestcertification solutions for sustainable supply
chains
8/10/2019 Stakeholder Dialogue 2014 Presentations
132/151
c a s
18
14:30 -
14:45
James Grif fiths, PEFC
International
Thorsten Arndt, PEFC
International
Introduce discussion group session and
tasks
Latest consumer insights on forest
certification
14:45 -
15:15
Discussion Groups -
Exercise One
Forest certification is transforming from a
choice influencing to a choice editing
solution
15:15 -16:15
Discussion Groups -Exercise Two
Develop a practical & scalable supply chainmodel or example that ful ly uses forest
certification
16:15 -
16:30
Break for relocations/
comfort stop
Re-assemble in plenary room
16:30 -
17:15
James Grif fiths, PEFC
International
Report back sessions & discussion
17:15 -
17:30
Ben Gunneberg, PEFC
Secretary General & CEO
Final reflections & wrap up
Final audience survey question
8/10/2019 Stakeholder Dialogue 2014 Presentations
133/151
www.pefc.org
Thorsten Arndt
Head of Communication
PEFC International
Global Consumer
Survey
Survey design
8/10/2019 Stakeholder Dialogue 2014 Presentations
134/151
20
Client: PEFC International, Genve.
Subject: PEFC Label.
Method: GfK GLOBO BUS
- ONLINE.
Sample: 1,000 men and women aged 16+ years in each
country: Australia, Austria, Brazil, China, Finland,
France, Germany, Italy, Japan, Spain, Sweden, UK
and USA.
Fieldwork: 15thto 31thOctober 2014.
My shopping choices of opting for a labeled product can
make a positive difference to the worlds forest
8/10/2019 Stakeholder Dialogue 2014 Presentations
135/151
26%
34%
30%
6%4%
5 - I strongly agree
4
3
2
1 - I stronglydisagree
21
8/10/2019 Stakeholder Dialogue 2014 Presentations
136/151
What reassures you most that environmental
considerations have been taken into account?
8/10/2019 Stakeholder Dialogue 2014 Presentations
137/151
16
17
24
30
54
Media recommendation - TV,press, newspaper
Recommendations of family/
friends
Brand
Country of origin ("Made in")
Label certifying ethicalconsiderations
23
8/10/2019 Stakeholder Dialogue 2014 Presentations
138/151
Do you know these labels?
8/10/2019 Stakeholder Dialogue 2014 Presentations
139/151
0 10 20 30 40 50 60
None
PEFC
Any label (net)
None
PEFC
Any label (net)
25
ASF / CERFLOR / CFCC / SFI
8/10/2019 Stakeholder Dialogue 2014 Presentations
140/151
Summary
8/10/2019 Stakeholder Dialogue 2014 Presentations
141/151
27
Consumers agree that their shopping choice canmake a positive difference
Almost 1/3 of all consumers state that they actively
look for a certification label
PEFC is the most trusted global certification system
Consumers trust certif ication labels and expect
companies to label products
8/10/2019 Stakeholder Dialogue 2014 Presentations
142/151
www.pefc.org
Thank youThorsten Arndt
Head of Communication
PEFC International
Two exercises to generate inputs to
inform and influence PEFC development
8/10/2019 Stakeholder Dialogue 2014 Presentations
143/151
29
How can we address deforestation through stimulating demand for
sustainable forest products?
14:45 - 15:15 Exercise One Is forest certi fication transforming from a choice
influencing to a choice editing solution? In other
words .. from a NICE to have ----- to a MUST have from
VOLUNTARY to MANDATORY
15:15 - 16:15 Exercise Two Leveraging what you heard today and the expertise in
your group:
Develop a practical & scalable supply chain model or
example that fully uses forest certification and
addresses deforestation
Outline what key actors, actions & resources are
needed to scale-up certification along the supply
chain
These two exercises are outlined in your participants workbook in yourdelegates folder
Your facili tator will capture key points and report them back
PEFC wi ll keep all worksheets for planning
Break out groups do you still haveyour PEFC playing card?
8/10/2019 Stakeholder Dialogue 2014 Presentations
144/151
30
Group Facili tator Room
1 Gary Dunning, The Forests Dialogue Salon Carot
2 Richard Laity, PEFC SE Asia Salon Carot
3 Sheam Satkuru-Granzella, MTCC &
PEFC International
Salon Carot
4 Hannah Price, PEFC International Salon Dufy
5 Michael Buckley, PEFC International Salon Dufy
6 Christian Kammer, PEFC International Salon Dufy
7 Johan Vlieger, PEFC International Salon Dufy
8 Remi Sournia, PEFC International Salon Dufy
9 Xavier Noyon, PEFC International Salon Dufy
Break out groups report backs &discussion
8/10/2019 Stakeholder Dialogue 2014 Presentations
145/151
31
ExerciseOne
Is Forest certi fication transformingfrom a choice influencing to a
choice editing solution from a
NICE to HAVE to a MUST HAVE?
ExerciseTwo
Scalable supply chain models &examples that fully uses forest
certification to ensure sustainability
while addressing deforestation
Audience survey question 4
8/10/2019 Stakeholder Dialogue 2014 Presentations
146/151
32
Based on what you have heard and discussed today,
please answer this slightly amended Q1:Forest certification can be more effectively used to
engage with consumers by fully supporting
sustainable supply chains & brands while also
promoting a sustainable forest industry and
combating deforestation.
Answer options are: When asked, stand-up for the
answer you agreement with:
1. Yes, I know it can2. I still have mix views on its use & leverage
3. No, it can only ever have limited impact
Reflections
8/10/2019 Stakeholder Dialogue 2014 Presentations
147/151
33
Factors outside of the forest sector are significant drivers ofdeforestation
Consumers expect products to be sustainably sourced and
retailers to provide them, though not willing/able to paymore
expect companies to communicate sustainablesourcing through labels such as PEFC; labels are moretrusted than brands
(Consumer Goods) Companies Use certification to help manage supply chain risks Utilize procurement pol icies and commitments
(individually & collectively) Benefit from labels to communicate responsible
sourcing
Reflections
8/10/2019 Stakeholder Dialogue 2014 Presentations
148/151
34
Governments Have major impact through combined
purchasing power and policy frameworks
Are increasingly moving from legal to
sustainable
Public-private partnerships
Increasing number of init iatives in multiple
sectors addressing sustainable sourcing anddeforestation challenge
Forest certification is part of the solution
Reflections
8/10/2019 Stakeholder Dialogue 2014 Presentations
149/151
35
Forest certification proven tool, yet there is a need
for Scale it up to ensure supply & benefits to
forests and those dependent on them
better collaboration/integration with related
sustainability standards (cross-sector,landscape level)
all actors along the entire value chain to
better communicate & label
The PEFC Response
8/10/2019 Stakeholder Dialogue 2014 Presentations
150/151
36
We take away three key areas for us to reflect on:
What further actions beyond supplying certified fibre
can PEFC take to be a stronger force against illegal
fibre in the supply chain?
What role can PEFC play to reduce the conversion of
forests to agricultural land and other uses?
What role must PEFC play in consumer education?
PEFC would like to thank the sponsors ofPEFC Forest Certification Week & our Cocktail
reception
8/10/2019 Stakeholder Dialogue 2014 Presentations
151/151
and our hosts, PEFC France
Mets Group PEFC Portugal/CFFP Suzano Pulp and Paper