FOREST DUE DILIGENCE

Establish Transparency and Accountability Within Your Supply Chain with Forest Due Diligence Software

Our powerful Forest Due Diligence software, allows you to rapidly analyze environmental risk within your global supply chain.

Quickly identify potential links to illegal forest-risk commodities and remain compliant with EU deforestation regulations that can impact large North American organizations.

“The move to the platform has been a success - the system is intuitive and easy to use, and the support of the team has been excellent. I particularly value the way the team tries to put themselves in our shoes to understand our reporting needs.”

Oliver Dudok van Heel, Head of Client Sustainability and Environment, Freshfields Bruckhaus Deringer

Understand risks in your global forest supply chain

Quickly understand past, present and future risks in your forest supply chain

When your forest supply chain spans the globe, ensuring it doesn’t contain any links to deforestation can be a challenge.

Deforestation-free product regulation is becoming more stringent, and penalties for non-compliance are more severe.

Our Forest Due Diligence software reduces the complexity of monitoring environmental risk so that you can rest assured that your products are ethically and legally sourced.

Forest due diligence can help build a resilient global economy

Build a fairer, greener and more resilient global economy

To support a more sustainable future, organizations must take steps to prove that their global forest supply chains are both deforestation-free and legally compliant.

By giving you access to a suite of accurate environmental data, our Forest Due Diligence software helps you to quickly identify links to forest-risk commodities and other environmental risks.

Access accurate, global data insights to ensure that your products are deforestation-free

Our Forest Due Diligence product monitors global forest supply chains, covering 100,000+ of farms and other supply areas to alert you to potential linkages to illegal deforestation.

Through access to verified government-authorized global data, you can ensure that your forest supply chain is – and remains – compliant, ethical, and sustainable.

Obtain a high-level overview of the deforestation risk, biodiversity status and water risk in your global forest supply chain via a single platform
Access high-quality, contextual and authoritative data via enhanced low-lying land maps in countries around the world, including Brazil, Colombia, Mexico, Indonesia, and more
Rapidly analyze your global supply chain covering 100,000s of farms to quickly identify any potential risks
Meet your regulations on importing goods into the EU

Climate Risk Profiler

Make informed decisions with access to complex global climate model projection data for physical risks, such as water shortages, storms, flooding, sea-level rise, and wildfires, distilled into clear actionable insights.

Water Risk Profiler

Understand the past, present and future water risk across your supply chain, including baseline water risk and water availability. React quickly to drought conditions and quantify future water risks based on climate prediction of rainfall changes.

Environmental Risk Profiler

Obtain a high-level overview of the deforestation risk, biodiversity status and water risk in your global supply chain. Determine the share of your supply chain operating in areas with a high deforestation risk and areas of high biodiversity value.

Forest Risk Profiler

A complete forest monitoring solution for your supply chain. For each asset or sourcing area, you can monitor historical deforestation, deforestation risk, and restoration. Enable near-real-time monitoring of deforestation to continually monitor for compliance.

Forest Risk Commodities are agricultural exports linked to global deforestation, usually through forest conversion to agricultural land.

The seven commodities are:

Palm Oil
Soy
Cocoa
Cattle (Beef and Leather)
Coffee
Maize
Rubber

Almost 40% of the world’s 500 largest companies using these commodities covered by the new EU rules haven’t set a policy on forest loss, environmental non-profit Global Canopy said in a recent report.

Deforestation is the second leading cause of climate change globally and is responsible for 11% of all greenhouse gas emissions. In a bid to conserve forests and ecosystems at risk, the UK and EU are supporting other country’s efforts by introducing transparency and accountability into the forest supply chain.

On 29th June 2023, the EU’s Regulation on Deforestation-free Products (EUDR) entered into force. Under the Regulation, any operator or trader who places these forest risk commodities (or products that use them) on the EU market (or exports them) will have to be able to prove that they do not come from recently deforested land or are linked to forest degradation. The regulation comes into effect in 2024, meaning all eligible companies will need to implement due diligence systems that include:

Geolocation of all plots of land where relevant commodities were produced
Conclusive and verifiable information that the relevant commodities are deforestation-free
Conclusive and verifiable information that the relevant commodities have been produced following relevant local laws (for example, that they are not produced in areas that are prohibited for agricultural use)

Additionally, the UK has passed similar legislation – the UK Environment Act will make it illegal for large businesses in the UK to use forest-risk commodities produced on land illegally occupied or used. Companies will need to implement a due diligence system across their supply chains to demonstrate compliance.

Many industries will be affected by upcoming deforestation legislation, with the primary sectors being agriculture, food and finance. These sectors are very specific, and will be required to comply if they meet the following conditions:

Agricultural traders that source key “forest risk” commodities such as soy, beef, palm oil, cocoa, and coffee
Large food companies (>500 employees, T/O >£500m, with a significant footprint in the UK, EU or North America) with forest-risk commodities in their supply chains
Local producer organizations who want to ensure their farms access international export markets
Banks who need to screen loans such as rural credit against zero-deforestation criteria

International financial institutions that need to screen portfolios for exposure to non-compliance with zero-deforestation rules

To comply with the EUDR (European Union Deforestation Regulation), companies will need to implement due diligence systems across their supply chains. These systems should include:

Key information such as the quantities of product; company information of suppliers and buyers; countries of origin
Geolocation of farms where the purchased commodities were produced
Assessment of whether commodities were free from deforestation from 2021 onwards, and produced in line with local laws
A risk assessment, including the prevalence of forest and deforestation in the region of origin and local land tenure and rights of indigenous peoples
Risk mitigation measures

To do this effectively, companies should use high-quality, authoritative data that is recognized by national authorities with the remit for monitoring and managing forest resources in the country/region where the commodity is produced.

This minimizes errors such as missing an area of deforestation or falsely accusing a local producer of deforestation, which may be more likely to happen when using freely available, global datasets.

A supply chain is a network of individuals and/or companies who are involved in making a product for a consumer. For example, the supply chain of a chocolate bar may include producers who grow the raw materials, processors who turn raw materials into something you can make chocolate from, and logistics, who move the product through each stage of production, packaging, and marketing.

Deforestation is the clearance or removal of forest on land that is then converted to a different land use; such as farms, ranches or urban uses.

Biodiversity is a term used to describe the variety of life found on Earth. A common measure is “species richness,” i.e. the count of species found in an area, as is “pristineness” i.e., the extent to which a natural ecosystem has been disturbed.

A Protected Forest Area is a legally defined forestry area designated for conservation or sustainable management purposes, such as a forest reserve or national park.