- SODEFOR: 13.3%
- Greenheart Group Ltd: 21.9%
- Samling Group: 20.7%
- APP (Asia Pulp and Paper) Group: 69.4%
- Arauco: 32.4%
- Pallisco-CIFM: 49.1%
- APP China Group Ltd: 36.4%
- Priceworth International: 7.4%
- Agra Bareksa: 0%
- Klabin SA: 69.8%
- Vicwood Group: 7.2%
- Compagnie des Bois du Gabon (CBG): 56.1%
- Sumitomo Forestry Co Ltd: 39.3%
- Suzano Papel e Celulose SA: 64.3%
- Shin Yang: 22.3%
- Bumi Teknokultura Unggul Tbk (BTEK): 4.7%
- Duratex SA: 59.8%
- Groupe Blattner Elwyn (timber): 9%
- Corà Domenico & Figli: 12.1%
- Oji Holdings: 28.9%
- SLJ Global Tbk: 17.6%
- YiHua Life: 7%
- Alpi: 9.2%
- Société Industrielle de Mbang (SIM): 1.6%
- Rimbunan Hijau (RH) Group: 4.2%
- Interholco AG: 93.4%
- Marubeni: 38%
- Groupe SEFAC: 18%
- Wijma: 15.7%
- Golden Pharos Bhd: 27%
- Precious Woods Holding AG: 73.5%
- Cameroon United Forests (CUF): 21.9%
- Veracel: 38.9%
- WTK Holdings Bhd: 8.4%
- APRIL Group: 67%
- Eldorado Brasil Celulose SA: 51.7%
- CENIBRA: 57.7%
- Tranchivoire: 7.9%
- AMCEL: 21.4%
- Rougier Group: 48.7%
- Bracell: 55%
- Barito Pacific: 5.1%
- Kayu Lapis Indonesia: 6.2%
- Olam International Ltd (timber): 60.3%
- TA ANN Holdings Bhd: 20%
- Cikel Group: 19.1%
- Empresas CMPC: 41.8%
- Maderera Bozovich: 22.8%
- Korindo (timber and pulp): 34.3%
- Toba Pulp Lestari Tbk PT: 35.7%
APP China Group Ltd https://www.spott.org/timber-pulp/app-china-group-ltd/
Headquartered in Singapore, APP China Group is the sister company of Asia Pulp and Paper... Read more. (APP) Group. Established in 1992, the company operates plantations in China and is involved in pulpwood production, pulp and paper production, trading and distribution. The company has also invested in several large pulp and paper companies in China. Sinar Mas is the company's parent entity.
Score: 36.4% |
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Parent company:Sinar Mas Group
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Landbank (timber/pulp):223,058 hectares
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Thomson Reuters ticker:Private company
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Bloomberg ticker:Private company
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Activities:Pulpwood production, pulp and paper production, trading and distribution
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Locations:China (Hainan, Guangdong, Guangxi, Yunnan, Jiangxi, Henan, Liaoning, Sichuan, Hubei, Fujian, Shandong, Jiangsu, Zhejiang provinces)
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Headquarters:Singapore
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Related companies:Sister company of Asia Pulp and Paper and Golden Agri Resources.
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Parent website:
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Website:
Company assessment: APP China Group Ltd – July 2018
SPOTT assesses companies against over 100 indicators across ten categories. Click on the icons or bars below to expand each category for further details, scoring and links to reports and sources.
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Sustainability policy and leadership 4 / 6 66.7%
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Companies should publish sustainability policies or similar covering their entire supply chain — including third party suppliers — implemented and enforced through high-level leadership that engages with wider industry schemes.
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0 / 1Source
1. Sustainable forestry policy or commitment for all its operations?
The company states in its sustainability report that it has a Forest Operation Policy and an Environmental Guidance Policy. However, these policies could not be identified on the company's website
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0 / 1No source
2. Sustainability policy or commitment applies to direct and third-party suppliers?
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1 / 1Source
3. High-level position of responsibility for sustainability?
The company's Sustainable Development and Corporate Social Responsibility Committee is chaired by the senior executive vice president
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1 / 1Source
4. Sustainability report published within last two years?
2016
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1 / 1Source
5. Member of multiple industry schemes or other external initiatives to improve forest management or transparency?
APP Group is a member of TFT, TFA 2020, GRI, HCSA, HCVRN, Natural Capital Coalition
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1 / 1Source
6. Activities with government, NGOs or academic institutions to improve the sustainability of forest products?
United Nations Global Compact China, a regional network dedicated to promote the sustainable development of Chinese enterprises
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Landbank, FMUs and mills 2 / 10 20%
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Companies should publicly report figures on their total landbank and details of different areas under their management. They should also disclose maps of their forest management units and provide forest management plans, as well as details on supplier pulp and paper mills.
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0 / 1Source
7. Lists countries and operations?
Limited information available. Operations focused on the Yangtze River and Pearl River Delta regions
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n/a-No source
8. Total area of natural forest designated for wood/wood fibre production (ha)?
This indicator is disabled as the company does not produce wood/wood fibre from natural forests
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1 / 1Source
9. Total area of forest plantation (ha)?
223,058 - The company reports the area of 'self-managed forests'
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n/a-No source
10. Area of plantation/natural forest within outgrower schemes (ha)?
This indicator is disabled as the company has informed ZSL that it does not source wood/wood fibre from outgrowers
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0 / 1No source
11. Unplanted (areas designated for future development as plantation forest) (ha)?
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0 / 1No source
12. Conservation set-aside and/or HCV area (ha)?
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n/a-No source
13. Area of Intact Forest Landscape (ha)?
This indicator is disabled as the company has informed ZSL that it does not have Intact Forest Landscape within its landbank
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0 / 1Source
14. Number of Forest Management Units (FMUs)?
The company only states to have over 20 plantation farms and this information is undated
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0 / 1No source
15. Maps of forest management units (FMUs)?
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0 / 1Source
16. Forest management plans available for all FMUs?
The company has committed to compile and implement forest management plans (2012-13 Sustainability Report). However, these FMPs could not be located
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0 / 1No source
17. Monitoring of forest management plan implementation?
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0.5 / 1Source
18. Number of company owned pulp and paper mills?
The company only states to have over 30 pulp and paper mills and exact number is not available. Data as of 2016
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0.5 / 1Source
19. Maps or addresses of company owned pulp and paper mills?
The company provides the names of several subsidiary companies, but it is not clear if these are also the names of the mills. Detailed addresses or maps are not provided
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n/a-No source
20. Number of company owned sawmills?
This indicator is disabled as the company has informed ZSL that it does not own sawmills
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n/a-No source
21. Maps or addresses of company owned sawmills?
This indicator is disabled as the company has informed ZSL that it does not own sawmills
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Deforestation and biodiversity 6 / 13 46.2%
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Companies should commit to address deforestation and to set aside areas for conservation. They should report on any activities to manage or restore habitat in their conservation areas, or monitor deforestation in their supply chains. They should also provide evidence of species conservation and biodiversity protection.
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1 / 1Source
22. Commitment to zero conversion of natural forest?
The company and its suppliers will only develop areas that are not forested, as identified through independent HCV and HCS assessments. This policy became effective on February 1st 2013
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1 / 1Source
23. Zero conversion commitment applies to outgrower scheme and independent suppliers?
The company and its suppliers will only develop areas that are not forested, as identified through independent HCV and HCS assessments. This policy became effective on February 1st 2013
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n/a-No source
24. Commitment to minimise the impact of logging roads?
This indicator is disabled as the company does not produce wood/wood fibre from natural forests
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0.5 / 1Source
25. Commitment to protect forest areas from illegal activities?
The company commits to eliminate illegal logging. No references to wider forms of illegality could be found
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0 / 1No source
26. Evidence of monitoring deforestation?
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0 / 1No source
27. Amount of deforestation recorded?
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1 / 1Source
28. Commitment to biodiversity conservation?
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1 / 1Source
29. Commitment to set aside areas for conservation?
The company states that it consistently focuses on the protection of High Conservation Value Forests (HCVF)
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0 / 1No source
30. Examples of habitat management and/or habitat restoration of set-aside areas?
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0 / 1No source
31. Implementing a landscape-level approach to biodiversity conservation?
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0 / 1Source
32. Commitment to protect species of conservation concern, referencing international or national system of species classification?
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n/a-No source
33. Commitment to sustainably manage the use of non-timber forest products (NTFPs)?
This indicator is disabled as the company does not produce wood/wood fibre from natural forests
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1 / 1Source
34. Commitment not to use genetically modified organisms?
The company has made a commitment to not use transgenic tree species
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0.5 / 1Source
35. Commitment to only use alien species where impacts can be controlled?
The company has committed to preventing alien invasive species. No reference is made to the use of alien species in operations or to conducting risk assessment before their use
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0 / 1No source
36. Examples of species conservation activities?
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HCV, HCS and impact assessments 2.5 / 8 31.3%
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Companies should commit to the High Conservation Value (HCV) and High Carbon Stock (HCS) approaches, and to conduct social and environmental impact assessments (SEIA). They should develop and publish monitoring and management plans, and provide evidence through SEIA, HCV and HCS assessments, typically published in summary form due to the sensitive nature of certain sites.
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1 / 1Source
37. Commitment to conduct High Conservation Value (HCV) assessments?
The company will only develop areas that are not forested, as identified through independent HCV and HCS assessments
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1 / 1Source
38. HCV commitment applies to outgrower scheme and independent suppliers?
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0 / 1No source
39. Commitment to only use licensed High Conservation Value (HCV) assessors accredited by the HCV Resource Network's Assessor Licensing Scheme (ALS)?
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0 / 1No source
40. High Conservation Value (HCV) assessments available?
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0 / 1No source
41. High Conservation Value (HCV) management and monitoring plans available?
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0.5 / 1Source
42. Commitment to the High Carbon Stock (HCS) Approach?
The company will only develop areas that are not forested, as identified through independent HCV and HCS assessments. It does not specify whether it commits to the HCS Approach
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n/a-No source
43. High Carbon Stock (HCS) assessments available?
This indicator is disabled as the company has informed ZSL that it hasn't expanded its plantation area since April 2015
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0 / 1No source
44. Commitment to conduct social and environmental impact assessments (SEIAs)?
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0 / 1No source
45. Social and environmental impact assessments (SEIAs) available?
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Soils, fire and GHG emissions 1.5 / 10 15%
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Companies should commit to protect peatland and undertake best management practices for soils and peat, as well as commit to reduced impact logging. They should also have policies on zero burning and to reduce their greenhouse gas (GHG) emissions. Companies should report their GHG emissions, as well as any fires that occurred in or around their estates, along with plans for managing and monitoring fires.
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0 / 1Source
46. Commitment to best management practices for soils and/or peat?
The company commits only to reduce soil erosion. It reports that it has no plantation operations on peatland
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n/a-No source
47. Commitment to reduced impact logging?
This indicator is disabled as the company does not produce wood/wood fibre from natural forests
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n/a-No source
48. Commitment to no planting on peat of any depth?
This indicator is disabled as the company has informed ZSL that it does not have landbank on peat
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n/a-No source
49. Commitment on peatland planting applies to outgrower scheme and independent suppliers?
This indicator is disabled as the company has informed ZSL that it doesn't have suppliers with landbank on peat
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n/a-No source
50. Landbank or planted area on peat (ha)?
This indicator is disabled as the company has informed ZSL that it does not have landbank on peat
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1 / 1Source
51. Evidence of best management practices for soils and/or peat?
Provides evidence of soil management. The company does not have plantations on peat
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0 / 1No source
52. Commitment to zero burning?
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0 / 1No source
53. Commitment to zero burning applies to outgrower scheme and independent suppliers?
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0.5 / 1Source
54. Evidence of management and monitoring fires?
The company states that it has strengthened its pre-warning systems for forest fires
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0 / 1No source
55. Details/number of hotspots/fires in FMUs controlled by the company?
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0 / 1Source
56. Time-bound commitment to reduce GHG emissions intensity?
The company only has a vague commitment to 'conserve energy, reduce emissions and practice global leading environmental standards'. This commitment is not target-based or time-bound
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0 / 1No source
57. Progress towards reducing GHG emission intensity?
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0 / 1No source
58. Report GHG emissions from land use change?
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0 / 1No source
59. Methodology used to calculate GHG emissions?
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Water, chemical and waste management 2 / 12 16.7%
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Companies should commit to managing water use and water quality, providing evidence through time-bound reduction plans, policies on toxic chemical use, waste management and treatment of wastewater and mill effluents.
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0 / 1Source
60. Time-bound commitment to improve water quality?
The company only has a general commitment to 'minimise the emission of pollutants, including COD and BOD'
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0.5 / 1Source
61. Progress towards commitment on water quality?
The company reports COD emissions up to 2016, which have increased since the previous year. It does not report figures for BOD and does not have a timebound commitment to improve water quality
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0 / 1No source
62. Protection of natural waterways through buffer zones?
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1 / 1Source
63. Evidence of treatment of pulp and paper mill effluent?
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n/a-No source
64. Evidence of sawmill run-off containment and wastewater treatment?
This indicator is disabled as the company has informed ZSL that it does not own sawmills
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0 / 1Source
65. Time-bound commitment to improve water use?
The company only has a general commitment to reducing water use in some mills through the UNGC 'Water Mandate', and has reduction targets in place for its mills. However, it does not disclose a timebound target for improving water quality
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0 / 1Source
66. Progress towards commitment on water use?
124,417,000 - The company reports on water use, and it has increased since the previous sustainability report
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0 / 1No source
67. Commitment to eliminate chlorine and chlorine compounds for bleaching?
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n/a-No source
68. Evidence of minimising or recycling solid waste produced during sawmilling processes?
This indicator is disabled as the company has informed ZSL that it does not own sawmills
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0.5 / 1Source
69. Commitment to minimise the use of chemicals, including pesticides and chemical fertilisers?
The company states an intention to reduce the impact and use of 'dangerous chemicals' and herbicides in its operations, but does not have a timebound commitment
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0 / 1No source
70. No use of World Health Organisation (WHO) Class 1A and 1B pesticides?
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0 / 1No source
71. No use of chemicals listed under the Stockholm Convention and Rotterdam Convention?
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0 / 1No source
72. Integrated Pest Management (IPM) approach?
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0 / 1No source
73. Chemical usage per ha or list of chemicals used?
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Community, land and labour rights 10.5 / 19.5 53.8%
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Companies should commit to respect human rights, including those of indigenous peoples and local communities, consulted with free, prior and informed consent (FPIC). Companies should respect the rights of workers, report relevant workforce data, and comply with health and safety legislation.
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0.5 / 1Source
74. Commitment to human rights, referencing the UN Declaration of Human Rights or UN Guiding Principles on Business and Human Rights?
The company has a commitment to respect human rights, but does not refer to UN Declaration on Human Rights or UN Guiding Principles on Business and Human Rights
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0 / 1No source
75. Commitment to human rights applies to outgrower scheme and independent suppliers?
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0.5 / 1Source
76. Commitment to respect indigenous and local communities' rights?
The company has a commitment to 'acknowledge and respect rights of community citizens including traditional rights of ethnic minorities', but does not refer to the UN Declaration on Rights of Indigenous Peoples or ILO Indigenous and Tribal Peoples Convention
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0 / 1No source
77. Commitment to respect legal and customary property rights?
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0.5 / 1Source
78. Commitment to free, prior and informed consent (FPIC)?
The company has a commitment to adhere to Free, Prior and Informed Consent (FPIC) principles during decision-making processes, but it is not clear that this applies to all new developments
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0 / 1Source
79. FPIC commitment applies to independent suppliers?
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1 / 1Source
80. Details of free, prior and informed consent (FPIC) process available?
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0.5 / 1Source
81. Details of process for addressing land conflicts available?
The company states only that a conflict/dispute resolution mechanism has been introduced. No further details are available
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0 / 1No source
82. Commitment to mitigate impacts on food security?
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1 / 1Source
83. Commitment to provide essential community services and facilities?
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0.5 / 1Source
84. Commitment to respect all workers' rights?
The company commits to respecting labour rights, but does not specify that this commitment applies to all workers
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0.5 / 1Source
85. Reference to Fundamental ILO Conventions?
The company refers to all Fundamental ILO Conventions, except for No.138, on Minimum Age
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0.5 / 0.5Source
86. Total number of employees?
22,870 - The company reports 21,051 'directly employed staff' and 1,819 'indirectly employed staff'
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0 / 1No source
87. Percentage or number of temporary employees?
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1 / 1Source
88. Percentage or number of women employees?
28%
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0.5 / 1Source
89. Commitment to pay minimum wage?
The company states that it pays its employees above the minimum wage, but no evidence is provided
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0.5 / 1Source
90. Commitment to address occupational health and safety, referencing the ILO Code of Practice on Safety and Health in Forestry Work?
The company has a commitment to health and safety, but do not reference the ILO Code of Practice on Safety and Health in Forestry Work
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1 / 1Source
91. Time lost due to work-based injuries?
1,159.8 - Hours lost per million working hours
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1 / 1Source
92. Number of fatalities as a result of work-based accidents?
1 - The company states there was 1 fatality in 2016 'at work and by occupational diseases'
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1 / 1Source
93. Provision of personal protective equipment and related training?
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Certification standards 3 / 10 30%
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Companies should be certified by credible certification standards, or have time-bound commitments to achieve 100% certification of both forest management units and outgrower schemes. They should also commit to only sourcing certified wood/wood fibre and ensuring that their supply is verified as being in legal compliance.
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1 / 1Source
94. Percentage area (ha) verified as being in legal compliance by a third party?
223,058 (100%) - The company states that in 2016 it achieved 100% certification of its self-managed forests for the first time. This appears to be certification under a mix of PEFC and CFCC (China Forest Certification Council)
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0 / 1Source
95. Percentage wood/wood fibre supply verified as being in legal compliance by a third party?
21.91%
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0 / 1No source
96. Time-bound plan for achieving 100% FSC FM certification of FMUs?
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0 / 1No source
97. Commitment to source only wood/wood fibre that meets FSC Controlled Wood requirements?
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0 / 2No source
98. Percentage area (ha) FSC FM certified?
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0 / 2No source
99. Percentage of wood/wood fibre supply from outgrower scheme and/or independent suppliers that is FSC FM certified?
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2 / 2Source
100. Percentage area (ha) PEFC certified?
223,058 (100%) - The company states that in 2016 it achieved 100% CFCC/PEFC certification of its self-managed forests
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Smallholders and suppliers 2 / 3 66.7%
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Companies should report details of any programmes or schemes to support both schemed and independent smallholders, as well as criteria to assess suppliers on compliance with company policies, and in what cases suppliers should be suspended or excluded due to non-compliance.
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n/a-No source
101. Programme to support outgrower scheme smallholders?
This indicator is disabled as the company has informed ZSL that it does not source wood/wood fibre from outgrowers
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n/a-No source
102. Percentage of outgrower scheme smallholders involved in programme?
This indicator is disabled as the company has informed ZSL that it does not source wood/wood fibre from outgrowers
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1 / 1Source
103. Process used to prioritise, assess and/or engage suppliers on compliance with company's policy and/or legal requirements?
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1 / 1Source
104. Suspension or exclusion criteria for suppliers?
The company states that it will withdraw from 'all purchases and other agreements with any suppliers' that do not comply with its HCV, HCS, and natural forest protection commitments
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0 / 1No source
105. Percentage of suppliers assessed and/or engaged on compliance with company requirements?
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Governance and grievances 2 / 6 33.3%
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Companies should operate in an ethical manner at all levels, providing accessible channels and clear procedures for both employees and external stakeholders to raise any grievance or complaint with the company, as well as allowing for whistleblowing.
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1 / 1Source
106. Commitment to ethical conduct and prohibition of corruption?
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0.5 / 1Source
107. Whistleblowing procedure?
The company has an email address to report whistleblowing. No details of the whistleblowing process could be identified
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0.5 / 1Source
108. Own grievance or complaints system?
The company states they have a complaints and disputes mechanism, but only limited information is available on this process
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0 / 1No source
109. Grievance or complaints system is accessible to internal and external stakeholders?
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0 / 2No source
110. Details of grievances disclosed?
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Media monitor: APP China Group Ltd
SPOTT gathers reports and stories from global media sources, covering specific company activities related to the assessment indicator categories. ZSL does not assess the validity of these reports.
October 2014
Large-Scale Land Acquisition for APP Forest Plantations: Field Findings and Recommendations
March 2014