THE FOREST FOOTPRINT DISCLOSURE PROJECT General Presentation Autumn 2009 Food and Drink Innovation...
-
Upload
kelly-ellers -
Category
Documents
-
view
218 -
download
0
Transcript of THE FOREST FOOTPRINT DISCLOSURE PROJECT General Presentation Autumn 2009 Food and Drink Innovation...
THE FOREST FOOTPRINT DISCLOSURE PROJECT
General Presentation Autumn 2009
Food and Drink Innovation Network
January 2010
Tracey Campbell, Director
Agriculture as a Deforestation Driver• Demand for food (particularly
meat) and manufactured goods rises with population and per capita income
• Increase in supply of some key primary products focused on territories currently or recently forested.
• ‘Forest Risk Commodities’:
Cattle, Palm Oil, SoyTimber & Biofuels
Aims of Forest Footprint Disclosure
• Highlight the involvement of a company’s extended supply chain with FRCs and thus deforestation
• Review the state of these supply chains annually using original data from an annual disclosure request
• Provide a platform for review of trends and opportunities to improve the sustainability process
• Deliver valuation and risk information to investors
TO REDUCE THE UNSUSTAINABLE GLOBAL FOREST FOOTPRINT
Copenhagen- Key FRC Issues• Raised awareness of
carbon life cycle in supply chains further– Livestock and source of
pasture both under increasing scrutiny
– Land use change for plantations incorporated into mandated biofuel calculations as well as food usage
• Positive pricing for standing forests– Land bank usage
opportunity costs changing
– Alternative finance becoming available may make degraded land more viable
– Change in location of supply sources
The Brazilian Cattle Industry • Largest commercial beef
herd in the world• Largest supplier of hides to
the leather industry in the world
• Extensive cattle ranching , often on cleared forest areas, has been common
• Double-damage to the carbon cycle: loss of trees and methane from cows
• Perverse incentives are subsidising this change until recently
2009: a Year of Great Change• Two major reports published
– ‘Time to Pay the Bill’ –Amigos da Terra, April– ‘Slaughtering the Amazon’- Greenpeace, May
• June 12th:local supermarkets announced they would stop selling meat sourced from suspect ranches
• June: Marfrig and Bertin (meatpackers) commit to disowning ranches associated with slave labour and deforestation
• July: Nike, adidas, Timberland and C&J Clark give suppliers 12 months to put in place necessary traceability schemes
• Federal Public Prosecutor issues >$1bn of lawsuits to ensure ranchers and meatpackers comply with environmental, land tenure and labour laws
Palm Oil• ‘Sunk cost’ of deforestation to be incorporated into
carbon calculations- exact metrics unclear• Land banks may be affected• New territories without deforestation baggage may
gain in attraction
Copenhagen’s Legacy?• Supranational process too slow – increasing
likelihood of national regulation patchwork driven by local interests
• Voluntary roundtables not keeping up with carbon economy mindset
• Companies are ‘doing it for themselves’ despite absence of a level playing field
• Forest funding is more clearly identified but no channel to deliver it established (yet)
FFD Annual Review Launch
• When? 10th February 2010• Time? 10.30 am-12.30 pm• Where? One Moorgate Place, London EC2• Interested? Registration is required so please
contact– Tracey Campbell at this conference– [email protected] by e-mail
Thank You for your interest