CDP forests works on a range of global projects that aim to remove commodity-driven deforestation and forest degradation from corporate value chains. The projects focus on both the regions experiencing significant deforestation and the importers driving demand for forest clearance through trade.
The support of funders is integral to the success of these projects and CDP’s mission of contributing to a 1.5°C, water-secure and deforestation-free world.
Power of Procurement Latin America | Power of Procurement Indonesia | Investor research | Financing for forests | Tracking progress towards Goal 3 | Deforestation-free supply chains in China | Enabling Jurisdictional Approaches
Power of Procurement Latin America: Cascading action toward deforestation-free commodity production in Latin America
Those who drive demand of forest-risk commodities also have the potential to influence change and contribute to sustainable production and procurement.
We aim to steer companies toward deforestation-free supply chains by highlighting the business risks and opportunities and leveraging the procurement power of their customers. This project focuses on forest risk commodities produced in Brazil, Peru and Colombia for domestic consumption or export to China and Europe.
Project outputs:
* Read the Financial Institution Guidance in Mandarin Chinese
** Read The Neglected Risk report in Mandarin Chinese
*** Read the Colombia Forests Policy Brief in Spanish
Supported by Norway’s International Climate and Forest Initiative (NICFI)
Power of Procurement Indonesia: Catalyzing action to end deforestation from palm oil in Indonesia
An increasing demand for palm oil has led to unsustainable levels of deforestation and forest degradation in Indonesia.
This project aims to help Indonesian palm oil producers transition to deforestation-free production through increasing dialogue and cooperation between the private sector and policy makers. By leveraging the procurement power of buyers, we support companies in their commitment to sustainable suppliers while helping increase the capacity of Indonesian palm oil producers.
We are working with global buyers to incorporate sustainable procurement policies and effective practices, with a focus on China, one of the major importers of Indonesian palm oil. Through engaging with Chinese state-owned enterprises, relevant government agencies and corporate customers, we aim to drive the buy-side toward sourcing deforestation-free palm oil.
Project outputs:
Documents in other languages
* Read the policy briefing Supporting Indonesia’s climate change agenda in Bahasa Indonesian
** Read the report Indonesia Palm Oil Report 2020 in Bahasa Indonesian
*** Read the report Mobilizing corporate engagement at sub-national level in Bahasa Indonesian
**** Read the policy briefing How green are biofuels? in Bahasa Indonesian
Supported by The David and Lucile Packard Foundation
Investor research: Linking forests-related metrics to earnings for critical forest risk commodity sectors
This investor research project aims to develop the world’s first systematic analysis of how risks from deforestation can financially impact companies within two critical sectors: agriculture and fast-moving consumer goods (FMCGs).
The resulting analysis report will provide insights for investors and will be disseminated across the CDP investment community.
Project outputs:
Supported by Norway’s International Climate and Forest Initiative (NICFI)
Finance for forests: Increasing transparency with financial institutions to drive financial services activities away from deforestation and towards sustainable business practices
This project aims to improve adoption of publicly available forest safeguard policies among financial institutions, increase transparency in the sector and enhance regulations to hold institutions to account on financing of forests related risks.
We will develop the world's first qualitative and quantitative metrics that assess how the financial services sector manages deforestation risk. These new forests metrics will be issued in CDP's Financial Services questionnaire, and we will engage with financial institutions to build capacity to support increased reporting. We will work with financial regulatory institutions to facilitate transparency and action.
Together this project aims to drive urgent and needed change to drive financial services activities away from deforestation and towards sustainable business practices.
Project outputs:
* Read the policy brief in Bahasa
** Read the full report in Bahasa. Read the executive summary of the report in English and Bahasa.
*** Read the policy brief in Bahasa. Read the executive summary in English and Bahasa.
Supported by Norway’s International Climate and Forest Initiative (NICFI)
Tracking progress toward Goal 3: New York Declaration on Forests
In 2014, over 200 organizations, including governments, corporations, civil society, and indigenous peoples’ groups, endorsed the New York Declaration on Forests (NYDF), committing to work toward significantly reducing deforestation by 2020 and ending it by 2030. CDP is one of the NYDF Assessment Partners, a network of civil society and research groups tracking progress toward NYDF goals.
We are supporting Goal 3 (reducing deforestation related to non-agricultural economic activities) by collecting data from metals & mining and coal companies. This will help to provide insights into the forests-related risks associated with these sectors and identify existing management strategies, such as incentives to promote sustainable practice. Sector-specific questions have been integrated into our Forests questionnaire and companies from these sectors were invited to respond for the first time in 2019.
Additionally, CDP’s States and Regions questionnaire includes new questions to assess data on how sub-national governments are addressing deforestation impacts from non-agricultural drivers.
Project outputs:
Supported by IKI – subgrant through Climate Focus based on a decision of the German Bundestag
Deforestation-free supply chains in China: Accelerating private sector action on deforestation-free supply chains in China
China has become the biggest global importer of forest-risk commodities: cattle, palm oil, rubber, soy, and timber. This project aims to accelerate private sector action on committing to deforestation-free supply chains in China.
Through engagement with high-impact Chinese companies, we aim to increase transparent reporting and support the integration of forest risk management and restoration policies into their business strategies.
Project outputs:
* Read the Organizational Guide for Environmental Action on forests in Mandarin Chinese, Bahasa Indonesia, Japanese, Portuguese, and Spanish
** Read the introduction to palm oil and deforestation for Chinese companies in Mandarin Chinese.
Supported by FCDO – subgrant through Global Canopy FGMC project
Enabling jurisdictional approaches to halt deforestation
Although nearly 450 companies and more than 50 governments have pledged to end commodity-driven deforestation by 2020, industry action to date has not achieved this. There is emerging consensus that companies can't deliver the 'no deforestation' and 'no conversion' ambitions at the pace and scale required by working through individual supply chains.
Government leadership and involvement - especially at the sub-national level through multi-stakeholder 'jurisdictional approaches' - is increasingly recognized as an important catalyst for the success of efforts led by the private sector and civil society. Several challenges impede the scaling of these initiatives.
CDP is excited to develop a program of work that together, will show clear progress in addressing these challenges. We will work directly with corporations, subnational governments and other Civil Society Organizations to develop new questions and guidance that aim at creating a standardized and consistent assessment as to the quality of the jurisdictional processes (e.g. governance, stakeholder platform, land use planning, credible monitoring, etc.). Key stakeholders, including companies and jurisdictions will be able to start to provide market signals so that sub-national governments have confidence in prioritizing further implementation of these initiatives. By creating the data and insights needed, we form a positive feedback loop between the market actors and the sub-national governments.
We will aim to engage all stakeholders to increase awareness and understanding of these initiatives and capacity to engage. The project is currently focused on Brazil and Indonesia.
