APP China

1. Sustainability policy or commitment for all timber, pulp and paper 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.

2. Sustainability policy or commitment applies to direct and third-party suppliers?

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.

4. Sustainability report published within last two years?

2015

5. Member of industry schemes or other external initiatives to improve forest management or transparency?

TFT member. In 2015, APP-China Forestry invited experts from the Chinese Academy of Forestry to provide relevant training and guidance of HCV.

6. Activities with government/NGOs/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.

7. Lists countries and operations?

Limited information available. Operations focused on the Yangtze River and Pearl River Delta regions.

8. Total land area managed/controlled for the production of wood/wood fibre (ha)?

293000 - Data more than one year old.

9. Total area of natural forest designated for wood/wood fibre production (ha)?

The company's reporting broadly suggests that it operates only plantations. ZSL is waiting for the company's confirmation of this.

10. Total area of forest plantation (ha)?

293000 - Data more than one year old.

11. Area of plantation/natural forest within outgrower schemes (ha)?

12. Unplanted (areas designated for future planting as forest) (ha)?

13. Conservation set-aside and/or HCV area (ha)?

14. Maps of forest management units (FMUs)?

15. Forest management plans available?

The company has committed to compile and implement forest management plans (2012-13 Sustainability Report). However, these FMPs could not be located online.

16. Monitoring of forest management plan implementation?

17. Number of company owned pulp and paper mills?

20 - Data more than one year old.

18. Maps or addresses of company owned pulp and paper mills?

The company provides the names of some mills, but not all. Detailed addresses or maps are not provided.

19. Number of and names of supplying pulp and paper mills?

20. Commitment to address deforestation?

This indicator is disabled as the company does not produce wood/wood fibre from natural forests.

21. Commitment to zero or no net deforestation?

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.

22. Zero or no net deforestation 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.

23. Evidence of monitoring deforestation?

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.

25. Commitment to set aside areas for conservation?

The company states that it consistently focuses on the protection of High Conservation Value Forests (HCVF).

26. Evidence of habitat management and/or habitat restoration of set-aside areas?

27. Commitment to biodiversity conservation?

28. Implementing a landscape-level approach to biodiversity conservation?

29. Commitment to protect species of conservation concern, referencing international or national system of species classification?

The company states that its operations do not impact on any protected species (referencing the IUCN Red List and National Conservation List).

30. Commitment to sustainably manage the use of non-timber forest products?

This indicator is disabled as the company does not produce wood/wood fibre from natural forests.

31. 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.

32. Commitment not to use genetically modified organisms?

The company has made a commitment to not use transgenic tree species.

33. 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.

34. Evidence of species conservation activities?

35. 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.

36. HCV commitment applies to outgrower scheme and independent suppliers?

37. High Conservation Value (HCV) assessments available?

38. High Conservation Value (HCV) management and monitoring plans available?

39. Commitment to conduct High Carbon Stock (HCS) assessments?

The company will only develop areas that are not forested, as identified through independent HCV and HCS assessments.

40. High Carbon Stock (HCS) assessments available?

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

42. Social and environmental impact assessments (SEIAs) available?

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

The company commits only to reduce soil erosion. It reports that it has no plantation operations on peatland.

44. Commitment to reduced impact logging?

This indicator is disabled as the company does not produce wood/wood fibre from natural forests.

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

Policy Commitment 2 of the APP Forest Conservation Policy (covering peatland protection and best practice) has not been implemented for APP-China.

46. Commitment on peatland planting applies to outgrower scheme and independent suppliers?

Policy Commitment 2 of the APP Forest Conservation Policy (covering peatland protection and best practice) has not been implemented for APP-China.

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

This indicator is disabled as the company does not have plantations on peat.

48. Evidence of best management practices for soils and/or peat?

Provides evidence of soil management. The company reports that no peatland areas have been identified in either company or third party wood supplier lands in China.

49. Commitment to zero burning?

50. Commitment applies to outgrower scheme and independent suppliers?

51. Evidence of management and monitoring fires?

The company states that it has strengthened its pre-warning systems for forest fires.

52. Details/number of hotspots/fires in FMUs controlled by the company?

53. Time-bound commitment to reduce GHG emissions intensity?

The company has a commitment to 'conserve energy, reduce emissions and practice global leading environmental standards'. This commitment is not target-based or time-bound.

54. Report GHG emission intensity?

55. Progress towards reducing GHG emission intensity?

56. Report GHG emissions from land use change?

57. Methodology used to calculate GHG emissions?

58. Time-bound commitment to improve water quality?

Some of APP China's mills participate in the United Nation's initiative, Global Compact "Water Mandate". However, the company does not have a time-bound commitment to improve water quality.

59. Progress towards commitment on water quality?

The company reports COD emissions from 2013 to 2015, but do not have a commitment to improve water quality.

60. Protection of natural waterways through buffer zones?

61. Evidence of treatment of pulp and paper mill effluent?

62. Time-bound commitment to improve water use?

63. Progress towards commitment on water use?

The company reports on water use but does not have a commitment in place.

64. Commitment to eliminate chlorine and chlorine compounds for bleaching?

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

66. No use of World Health Organisation (WHO) Class 1A and 1B pesticides?

67. No use of chemicals listed under the Stockholm Convention and Rotterdam Convention?

68. Integrated Pest Management (IPM) approach?

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

70. 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 do not refer to UN Declaration on Human Rights or UN Guiding Principles on Business and Human Rights.

71. Commitment to human rights applies to outgrower scheme and independent suppliers?

72. 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.

73. Commitment to respect legal and customary property rights?

74. 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.

75. FPIC commitment applies to independent suppliers?

76. Details of free, prior and informed consent (FPIC) process available?

77. Details of process for addressing land conflicts available?

The company states only that a conflict/dispute resolution mechanism has been introduced.

78. Commitment to mitigate impacts on food security?

79. Commitment to respect all workers' rights?

The company commits to respecting labour rights, but does not specify that this commitment applies to all workers.

80. Reference to Fundamental ILO Conventions?

81. Total number of employees?

23908 - Figure refers to 'directly employed staff'.

82. Percentage or number of temporary employees?

83. Percentage or number of women employees?

25.6%

84. Commitment to pay minimum wage?

85. Commitment to address occupational health and safety, referencing the ILO Code of Practice on Safety and Health in Forestry Work?

86. Time lost due to work-based injuries?

532.63 - Hours lost per million working hours.

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

0 - The company states there were no fatalities in 2015. More recent data is unavailable.

88. Provision of personal protective equipment and related training?

89. Percentage area (ha) verified as being in legal compliance by a third party?

The company states that it has PEFC certification, but data on the extent to which this covers the company's operations is unclear.

90. Percentage wood/wood fibre supply verified as being in legal compliance by a third party?

91. Time-bound plan for achieving 100% FSC certification of FMUs?

92. Commitment to source only wood/wood fibre that meets FSC Controlled Wood requirements?

93. Time-bound plan to source 100% FSC certified wood/wood fibre from independent suppliers?

94. Percentage area (ha) FSC certified?

95. Percentage of wood/wood fibre supply from outgrower scheme and/or independent suppliers that is FSC-certified?

96. Percentage area (ha) PEFC certified?

The company states that it has PEFC certification, but data on the extent to which this covers the company's operations is unclear.

97. Programme to support outgrower scheme smallholders?

98. Percentage of outgrower scheme smallholders involved in programme?

99. Programme to support independent smallholders?

100. Percentage of independent smallholders involved in programme?

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

102. 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.

103. Percentage of suppliers assessed and/or engaged?

27 - The company is working with TFT to engage their suppliers on compliance with APP's Fibre Procurement and Processing Policy. According to TFT all 27 suppliers of APP China have been engaged.

104. Commitment to ethical conduct and prohibition of corruption?

105. Whistleblowing procedure?

The company has an email address to report whistleblowing. No details of the whistleblowing process could be identified.

106. Own grievance or complaints system?

The company states they have a complaints and disputes mechanism, but no details on the process could be identified.

107. Grievance or complaints system is accessible to internal and external stakeholders?

108. Details of grievances disclosed, if anonymity not requested, including the following: - date - issue - complainant category - actions taken - status?