Viet Nam Rubber Group (VRG)

1. Sustainable natural rubber policy or commitment for all its operations?

The company has published a sustainable development policy which covers all rubber operations.

2. Sustainable natural rubber policy or commitment applies to all suppliers?

The company has published a sustainable development policy which applies to all suppliers.

3. High-level position of responsibility for sustainability?

The company has a steering committee for sustainable development, however, it is not clear who has the highest level of responsibility, excluding board members. The information is over two years old.

4. One or more members within the board of the company have responsibility for sustainability?

More than one member of the board sits on the steering committee for sustainable development. However, the information is over two years old.

5. Percentage or number of women in senior management team?

0% - The company has not directly reported the gender balance of the senior management team. However, it is calculated from the profiles of senior managers.

6. Percentage or number of women board members?

0% - The company has not directly reported the gender balance of board members. However, it is calculated from the profiles of directors.

7. Member of multiple industry schemes or other external initiatives to reduce negative environmental or social outcomes associated with natural rubber production?

8. Collaboration with stakeholders to reduce negative environmental or social outcomes associated with natural rubber production?

The company reports that it cooperated with Oxfam and WWF on guidelines for sustainable natural rubber production and mitigating socio-economic impacts. However, the information is over five years old.

9. Sustainability report published within last two years?

The company's latest sustainability report was integrated with its annual report and published in 2023.

10. Reports through standardised reporting systems?

11. Climate risks assessment available?

12. Lists countries and operations?

Plantations (Laos, Cambodia, Vietnam), processing (Laos, Cambodia, Vietnam), manufacturing (Vietnam).

13. Lists countries sourcing from?

14. Total land area managed/controlled for natural rubber (ha)?

394 - The company reports that it has 394,782.05 ha of total land area managed/controlled for natural rubber. Data as of 2022.

15. Total natural rubber planted area (ha)?

377200 - The company reports that it has 377,200.26 ha of total natural rubber planted area in 2022.

16. Scheme smallholders/outgrowers planted area (ha)?

17. Unplanted area (areas designated for future planting) (ha)?

18. Conservation set-aside area, including HCV area (ha)?

19. Maps of estates/management units?

The company has published a static map through which the locations of estates cannot be determined.

20. Management plans for natural rubber production are available for all estates/management units?

21. Monitoring of management plan implementation available for all estates/management units?

22. Maps of all scheme/outgrower smallholders?

23. Maps of all third-party supplying industrial estates/management units?

This indicator is disabled as the company reports that it does not source from third-party industrial plantations.

24. List of jurisdictions where sourcing from smallholders?

25. Number of company owned natural rubber processing facilities?

The company reports that it has 58 natural rubber processing facilities in 2022.

26. Maps of company owned natural rubber processing facilities?

The company reports names and addresses of the company-owned natural rubber processing facilities. However, the addresses do not generate exact locations.

27. Number (or percentage) of company-owned processing facilities that source from company-owned operations and third parties?

28. Reports total volumes (or percentages) sourced by company-owned processing facilities that come from company's own operations and third-parties?

29. Number of company owned natural rubber manufacturing facilities?

The company has 5 natural rubber manufacturing facilities.

30. Maps of manufacturing facilities?

31. Number of third party supplying processing facilities?

32. Maps of all third party supplying processing facilities?

33. Number (or percentage) of third party supplying processing facilities that source from their own plantations and third party plantations?

34. Reports total volume (or percentages) sourced from third-party supplying processing facilities that come from the supplying facilities' own operations and third parties?

35. Total volume (or percentage) sourced for manufacturing that comes from intermediary traders rather than directly from processing facilities?

36. Time-bound commitment to achieve 100% traceability to processing facility level?

The company commits to achieve 100% traceability of output by 2025. However, it is not clear what level of traceability the company is referring to.

37. Percentage of supply traceable to processing facility level?

38. Time-bound commitment to achieve 100% traceability to industrial plantation level?

This indicator is disabled as the company reports that it does not source from third-party industrial plantations.

39. Percentage of supply from own processing facilities traceable to industrial plantation level?

This indicator is disabled as the company reports that it does not source from third-party industrial plantations.

40. Percentage of supply from third-party processing facilities traceable to industrial plantation level?

This indicator is disabled as the company reports that it does not have any third-party processing facility suppliers.

41. Time-bound commitment to achieve 100% traceability to jurisdictional level for smallholders?

The company commits to achieve 100% traceability of outputs by 2025. However, it is not clear what level of traceability the company is referring to.

42. Percentage of supply from own processing facilities traceable to smallholder at jurisdictional level?

43. Percentage of supply from third party processing facilities traceable to smallholders at jurisdictional level?

44. Member of the Global Platform for Sustainable Natural Rubber (GPSNR)?

45. Submitted self-declaration form for the Sustainable Natural Rubber Initiative (SNR-i)?

46. Percentage area (ha) FSC certified?

47. Time-bound plan for achieving FSC FM certification of estates/management units?

48. Percentage of scheme/outgrower smallholders (ha) FSC-certified?

49. Time-bound plan for achieving FSC certification of scheme/outgrower smallholders?

50. Percentage of natural rubber supply (tonnes) from independent smallholders/outgrowers/third-party natural rubber suppliers that is FSC-certified?

51. Percentage of all natural rubber products handled/traded/processed (tonnes) that is FSC-certified?

52. Percentage area (ha) PEFC certified (excluding FSC certified area)?

The company reports that 95,381.25 ha was PEFC certified as of July 2022. However, only certificates or audit reports for 114,585.55 ha could be found at the time of assessment.

53. Certified under voluntary sustainability certification scheme?

[Externally verified] The company holds multiple PEFC certificates (some certificates are attached as evidence). It also states that 25 factories are ISO 14001 certified, however, no certificates could be found.

54. Commitment to become 100% certified under voluntary sustainability certification scheme?

The company aims to achieve ISO, CSI 100, PEFC FM, and PEFC CoC certifications, but no commitment mentions a goal to be 100% certified.

55. Commitment to zero conversion of natural ecosystems?

The company commits to "prevent" conversion of natural ecosystems after 2015. However, no clear commitment to zero conversion of natural ecosystems could be found.

56. Commitment to zero conversion of natural ecosystems applies to all suppliers?

The company commits all suppliers to "prevent" conversion of natural ecosystems after 2015. However, no clear commitment to zero conversion of natural ecosystems could be found.

57. Commitment to zero deforestation?

The company commits to no development in High Conservation Value (HCV), High Carbon Stock (HCS) and peatland areas.

58. Commitment to zero deforestation applies to all suppliers?

The company only commits suppliers to "prevent" deforestation. However, a clear commitment to zero deforestation was not found.

59. Criteria and cut-off date for defining deforestation and/or ecosystem conversion?

The company commits to "prevent" deforestation and natural ecosystem conversion from 2015 and mentions HCV and HCS areas. However, it is not clear if conversion is strictly prohibited.

60. Criteria and cut-off date for defining deforestation and/or ecosystem conversion in supplier operations?

The company commits all suppliers to "prevent" deforestation and natural ecosystem conversion from 2015 and mentions HCV and HCS areas. However, it is not clear if conversion is strictly prohibited.

61. Evidence of monitoring deforestation and/or ecosystem conversion?

62. Evidence of monitoring deforestation and/or ecosystem conversion in supplier operations?

63. Amount of deforestation and/or ecosystem conversion recorded in own operations since cut-off date?

64. Amount of deforestation and/or ecosystem conversion recorded in supplier operations since cut-off date?

65. Commitment to restoration of deforestation/conversion in own operations since cut-off date?

The company commits to restore forests and natural ecosystems, but the commitment is not linked to a cut-off date or clear if it covers all deforestation/conversion committed by the company and third parties.

66. Commitment to restoration of deforestation/conversion in supplier operations since cut-off date?

The company commits all suppliers to restore forests and natural ecosystems, but the commitment is not linked to a cut-off date or clear if it covers all deforestation/conversion committed by the companies and third parties.

67. Implementing a landscape or jurisdictional level approach?

Limited, externally verified points have been awarded on the basis of the company's PEFC FM certification (PEFC ST 1003:2018) as the requirements do not fully meet the SPOTT indicator criteria. The company also reports that it has a plan to develop landscape-level restoration. However, the details of the implementation were not reported.

68. Biodiversity policy?

69. Biodiversity policy applies to all suppliers?

70. Identified species of conservation concern, referencing international or national system of species classification?

Limited, externally verified points have been awarded on the basis of the company's PEFC FM certification (PEFC ST 1003:2018) as the requirements do not fully meet the SPOTT indicator criteria.

71. Examples of species and/or habitat conservation management?

Comprehensive, externally verified points have been awarded on the basis of the company's PEFC FM certification (PEFC ST 1003:2018) as the requirements fully meet the SPOTT indicator criteria. Additional points have been awarded according to the percent of company landbank certified by PEFC.

72. Commitment to no hunting or only sustainable hunting of species?

The company commits to prohibit illegal hunting. However, it is not clear if employees are permitted to hunt in estates or if local communities are permitted to hunt for subsistence purposes.

73. Commitment to no hunting or only sustainable hunting of species applies to all suppliers?

The company commits suppliers to prohibit illegal hunting. However, it is not clear if employees are permitted to hunt in estates or if local communities are permitted to hunt for subsistence purposes.

74. Commitment to protect areas from illegal activities?

The company commits to not carry out illegal logging or trade in illegal wood or forest products, however, it is not clear if it is committed to protecting encroachment from third parties exploiting forest resources.

75. Commitment to protect forest areas from illegal activities applies to all suppliers?

76. Evidence of protecting forest areas from illegal activities?

Comprehensive, externally verified points have been awarded on the basis of the company's PEFC FM certification (PEFC ST 1003:2018) as the requirements fully meet the SPOTT indicator criteria.

77. Commitment to conduct High Conservation Value (HCV) assessments?

The company commits to conduct HCV assessments.

78. Commitment to conduct High Conservation Value (HCV) assessments applies to all suppliers?

The company commits suppliers to conduct HCV assessments.

79. High Conservation Value (HCV) assessments available for all new plantings since 1st April 2019?

This indicator is disabled as the company reports to have not planted new rubber plantations since April 2019.

80. High Conservation Value (HCV) management and monitoring plans available for all new plantings since 1st April 2019?

This indicator is disabled as the company reports to have not planted new rubber plantations since April 2019.

81. Commitment to the High Carbon Stock (HCS) Approach?

The company commits to high carbon stock assessments. However, it does not refer to the HCS Approach.

82. Commitment to the High Carbon Stock (HCS) Approach applies to all suppliers?

The company commits all suppliers to high carbon stock assessments. However, it does not refer to the HCS Approach.

83. High Carbon Stock (HCS) assessments available?

This indicator is disabled as the company reports to have not planted new rubber plantations since January 2015.

84. Peer review of all High Carbon Stock (HCS) assessments undertaken since April 2015 by the HCSA Quality Assurance Process?

This indicator is disabled as the company reports to have not planted new rubber plantations since January 2015.

85. Commitment to conduct social and environmental impact assessments (SEIAs)?

The company commits to conduct SEIAs for all its operations.

86. Commitment to conduct social and environmental impact assessments (SEIAs) applies to all suppliers?

The company commits all suppliers to conduct SEIAs.

87. Social and environmental impact assessment (SEIAs) undertaken, and associated management and monitoring plans?

88. Commitment to no planting on peat of any depth?

The company commits to no planting on peat of any depth.

89. Commitment to no planting on peat of any depth applies to all suppliers?

The company commits all suppliers to no planting on peat of any depth.

90. Landbank or planted area on peat (ha)?

91. Implementation of commitment to no planting on peat of any depth?

92. Commitment to best management practices for soils and peat?

93. Commitment to best management practices for soils and peat applies to all suppliers?

94. Evidence of best management practices for soils and peat?

[Externally verified] The company provides some examples of its member companies applying intercropping techniques to improve rubber plantations in high-tech agriculture areas. Evidence is externally verified by UN-REDD, UNDP, and the Vietnam Rubber Association. However, the information is over two years old and unclear if the company has any landbank on peat.

95. Commitment to best/sustainable tapping practices?

The company reports commitment to best tapping practices.

96. Commitment to best/sustainable tapping practices applies to all suppliers?

97. Evidence of best/sustainable tapping practices?

The company reports a standard operating procedure for tapping practices. Evidence is externally verified by UN-REDD, UNDP, and Vietnam Rubber Association. However, the information is over two years old.

98. Commitment to zero burning?

The company commits to "limit or not burn" in rubber plantations. However, a commitment to zero burning could not be found.

99. Commitment to zero burning applies to all suppliers?

The company commits all suppliers to "limit or not burn" in rubber plantations. However, a commitment to zero burning could not be found.

100. Evidence of fire monitoring and management?

Comprehensive, externally verified points have been awarded on the basis of the company's PEFC FM certification (PEFC ST 1003:2018) as the requirements fully meet the SPOTT indicator criteria. Additional points have been awarded according to the percent of company landbank certified by PEFC.

101. Details/number of hotspots/fires in company estates/management units?

102. Details/number of hotspots/fires in suppliers operations/jurisdictions?

103. Time-bound commitment to reduce greenhouse gas (GHG) emissions?

104. GHG emissions?

105. GHG emissions from land use change in company's own operations (scope 1)?

This indicator is disabled as the company reports to have not planted new rubber plantations since January 2015.

106. GHG emissions from land use change in supplier operations (scope 3)?

107. Progress towards commitment to reduce GHG emissions?

108. Methodology used to calculate GHG emissions?

109. Time-bound commitment to improve water use intensity?

110. Water use intensity?

111. Progress towards commitment on water use intensity?

112. Time-bound commitment to improve water quality (BOD or COD)?

113. Progress towards commitment on water quality (BOD or COD)?

114. Treatment of effluents from processing facilities?

The company reports that it treats wastewater from rubber planting projects and latex and rubber wood processing factories in compliance with the national standards or standards for the treatment of waste and substances polluting the air, water, and noise environment in the project areas. However, the information is not externally verified.

115. Treatment of effluents from manufacturing facilities?

116. Commitment to protect natural waterways through buffer zones?

The company commits to protect natural waterways through buffer zones.

117. Implementation of commitment to protect natural waterways through buffer zones?

118. Reducing odours from natural rubber processing or manufacuring facilities?

The company reports that it has applied deodorising technology using the biological product Gam K and installed deodorising towers to significantly reduce odour. Evidence is not externally verified.

119. Commitment to minimise the use of chemicals, including pesticides and chemical fertilisers?

The company commits to minimise the use of chemicals. It is unclear if the commitment requires the company to minimise chemical fertiliser and pesticide use.

120. Commitment to minimise the use of chemicals, including pesticides and chemical fertilisers, applies to all suppliers?

The company commits suppliers to minimise the use of chemicals but does not specify chemical fertilisers and pesticides.

121. Commitment to no use of paraquat?

122. Commitment to no use of paraquat applies to all suppliers?

123. Commitment to no use of World Health Organisation (WHO) Class 1A and 1B pesticides?

124. Commitment to no use of World Health Organisation (WHO) Class 1A and 1B pesticides applies to all suppliers?

125. Commitment to no use of chemicals listed under the Stockholm Convention and Rotterdam Convention?

126. Commitment to no use of chemicals listed under the Stockholm Convention and Rotterdam Convention applies to all suppliers?

127. Chemical usage per ha or list of chemicals used?

128. Implementation of commitment to minimise inorganic fertiliser usage?

129. Integrated Pest Management (IPM) approach?

Comprehensive, externally verified points have been awarded on the basis of the company's PEFC FM certification (PEFC ST 1003:2018) as the requirements fully meet the SPOTT indicator criteria. Additional points have been awarded according to the percent of company landbank certified by PEFC. The company also reports that it applies the IPM approach but does not provide examples.

130. Commitment to human rights?

The company reports that it will not violate traditional and human rights. The company also commits to the Universal Declaration of Human Rights but this only applies to operations in Viet Nam and does not include Cambodia or Laos.

131. Commitment to human rights applies to all suppliers?

132. Progress on human rights commitment?

The company reports that it has developed and published two handbooks for community engagement in collaboration with Oxfam and the Consultative Institute for Socio-Economic Development of Rural and Mountainous Areas (CISDOMA). However, the handbooks are self-reported and over two years old.

133. Commitment to respect Indigenous and local communities' rights?

The company commits to respect the UN Declaration on the Rights of Indigenous Peoples and the ILO Indigenous and Tribal Peoples Convention (no. 169). However, the commitments cover only Vietnam and Cambodia. Laos operations have been excluded.

134. Commitment to Indigenous and local communities' rights applies to all suppliers?

The company commits suppliers to respect community rights. However, it does not refer to the UN Declaration on the Rights of Indigenous Peoples or the ILO Indigenous and Tribal Peoples Convention (no. 169).

135. Commitment to respect legal and customary land tenure rights?

The company commits to respect legal and customary land tenure rights.

136. Commitment to legal and customary land rights applies to all suppliers?

137. Commitment to free, prior and informed consent (FPIC)?

The company commits to respect FPIC.

138. Commitment to free, prior and informed consent (FPIC) applies to all suppliers?

139. Details on Free, prior and informed consent (FPIC) process available?

The company discloses the FPIC process for Vietnam and Cambodia operations. However, a process could not be found for Laos operations.

140. Examples of local stakeholder engagement to prevent conflicts?

141. Details of process for addressing land conflicts available?

The company provides details on process for addressing land conflicts.

142. Supports the inclusion of women across natural rubber operations, including addressing barriers faced?

The company has established a committee for the advancement of women, however, the information is self-reported and over two years old.

143. Commitment to mitigate impacts on food security?

The company commits to ensure food security for local communities through assisting with crop diversity and agroforestry.

144. Progress on commitment to mitigate impacts on food security?

The company only provides guidance on intercropping models, however, no dated information showing the implementation of this guidance could be found.

145. Commitment to provide essential community services and facilities?

The company commits to provide essential community services and facilities.

146. Progress on commitment to provide essential community services and facilities?

The company reports that it provides essential services and facilities, such as medical centres, schools, bridges, transportation, electricity and roads, to the local communities. However, the information is not externally verified.

147. Commitment to provide business/work opportunities for local communities?

The company reports its commitment to provide work opportunities for local communities.

148. Commitment to Fundamental ILO Conventions or Free and Fair Labour Principles?

The company commits to all Fundamental ILO Conventions.

149. Commitment to Fundamental ILO Conventions or Free and Fair Labour Principles applies to all suppliers?

150. Progress on commitment to respect all workers' rights?

Comprehensive, externally verified points have been awarded on the basis of the company's PEFC FM certification (PEFC ST 1003:2018) as the requirements fully meet the SPOTT indicator criteria. Additional points have been awarded according to the percent of company landbank certified by PEFC.

151. Commitment to eliminate gender related discrimination with regards to employment?

The company commits to prevent employment-related discrimination based on gender.

152. Commitment to eliminate gender related discrimination with regards to employment applies to all suppliers?

The company commits all suppliers to prevent employment-related discrimination based on gender.

153. Progress on commitment to eliminate gender related discrimination with regards to employment?

154. Percentage or number of temporary employees?

155. Percentage or number of women employees?

44.37% - The company reports 35,502 (44.37%) female workers in 2022.

156. Commitment to pay a living wage?

The company commits to ensuring wages are above the minimum wage but does not commit to paying living wages.

157. Commitment to pay a living wage applies to all suppliers?

The company commits suppliers to pay the minimum wage. However, commitment to pay a living wage could not be found.

158. Progress on commitment to pay a living wage?

The company reports that currently, all employees in Vietnam, Laos and Cambodia receive wages higher than the local regional minimum wage. However, the figures it reports are the average wage of employees and not the lowest wage paid to employees alongside the legal minimum wage. Information is information is not externally verified.

159. Reporting of salary by gender?

160. Commitment to address occupational health and safety?

The company commits to address health and safety at work for all workers.

161. Commitment to address occupational health and safety applies to all suppliers?

162. Provision of personal protective equipment and related training?

Comprehensive, externally verified points have been awarded on the basis of the company's PEFC FM certification (PEFC ST 1003:2018) as the requirements fully meet the SPOTT indicator criteria. Additional points have been awarded according to the percent of company landbank certified by PEFC.

163. Time lost due to work-based injuries?

164. Number of fatalities as a result of work-based accidents?

165. Commitment to support smallholders?

The company commits to support smallholders.

166. Percentage of supply from smallholders?

167. Programme to support scheme smallholders/outgrowers?

168. Percentage of scheme smallholders/outgrowers involved in programme?

169. Programme to support independent smallholders?

170. Percentage of independent smallholders involved in programme?

171. Process used to engage smallholder suppliers on compliance with company's policy and/or legal requirements?

172. Number or percentage of smallholder suppliers engaged on compliance with company's policy and/or legal requirements?

173. Process used to prioritise, assess and/or engage non-smallholder suppliers on compliance with company's policy and/or legal requirements?

This indicator is disabled as the company reports that it does not source from third-party industrial plantations.

174. Number or percentage of non-smallholder suppliers assessed and/or engaged on compliance with company's policy and/or legal requirements?

This indicator is disabled as the company reports that it does not source from third-party industrial plantations.

175. Suspension or exclusion criteria for suppliers?

This indicator is disabled as the company reports that it does not source from third-party industrial plantations.

176. Time-bound action plans (including Key Performance Indicators) for suppliers to be in compliance with natural rubber sourcing commitments?

177. Proportion of supply from suppliers that is verified as deforestation- and/or conversion-free (DCF)?

178. Percentage of supply coming from agroforestry?

179. Commitment to ethical conduct and prohibition of corruption?

The company commits to prohibit corruption and bribery. However, no commitment to ethical conduct could be found.

180. Commitment to ethical conduct and prohibition of corruption applies to all suppliers?

The company commits suppliers to prevent bribery and corruption. However, a commitment to ethical conduct could not be found.

181. Progress on commitment to ethical conduct and prohibition of corruption?

182. Disclosure of the company's management approach to tax and payments to governments?

183. Whistleblowing procedure?

184. Own grievance or complaints system open to all stakeholders?

The company makes this commitment through the PEFC International Chain of Custody Standard (PEFC ST 2002:2020). Partial points have been awarded as the requirements do not fully meet the SPOTT scoring criteria.

185. Details of complaints and grievances disclosed?