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Up to to $900bn in annual turnover is at risk if deforestation from beef, soy, timber and palm oil isn't brought under control, according to the CDP
imports of unsustainably produced palm oil and soy as part of the new government’s five-year climate plan, is indication of how far deforestation has risen up the agenda for policy makers, NGOs and big brands.
In May, eight major companies, including McDonald’s, France’s L’Oréal, Swiss fragrance company Firmenich, and Johnson & Johnson, joined a new supply chain platform by not-for-profit CDP that seeks to secure a deforestation-free value chain. “With such a large proportion of company revenues attached to commodities in their supply chain that are driving deforestation, this is now a critical business issue,” said CDP’s head of supply chain Dexter Galvin.
According to CDP $900bn in annual turnover is at stake, with cattle, timber, palm oil and soy the commodities most responsible for tropical forest loss. But it is not just business that is at risk if deforestation is not brought under control. Tree loss is responsible for an estimated 10%-15% of global greenhouse gas emissions, as well as habitat loss and social conflict.
The 400 members of the Consumer Goods Forum, representing almost $4trn in revenue, have pledged to achieve zero net deforestation in their supply chains by 2020. Yet according to the UK based think tank Global Canopy Progamme the current rate of progress means ambitious deforestation targets are not going to be met.
In this issue we assess moves to end commodity-driven deforestation on three continents starting with palm oil in Indonesia, the most high-profile frontline in the deforestation battle to date, beef and soy in Brazil, which is attracting increasing concern, and cocoa in Africa, where the preponderance of smallholder farmers has made an industry-wide approach much harder to implement.
This is the introduction to a series of articles on deforestation in supply chains. See also:CDP Consumer Goods Forum Global Canopy Programme Soy beef Palm Oil cocoa McDonald's L'Oreal Firmenich Johnson & Johnson