Timber and pulp assessments

Bracell https://www.spott.org/timber-pulp/bracell/

A subsidiary of RGE Group, and sister company to [APRIL Group](/timber-pulp/april-group] and Asian Agri Group,... Read more.

Latest update: 18 Jul 2018

Next scheduled: July 2019

Company assessment
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Parent company:

RGE Group
Landbank (timber/pulp):

73,584 hectares
Thomson Reuters ticker:

Private company
Bloomberg ticker:

Private company
Activities:

Pulpwood production, dissolving wood pulp production
Locations:

Brazil (Bahia)
Headquarters:

Hong Kong
Related companies:

Sister company of APRIL and Asian Agri (SPOTT palm oil company)
Parent website:

http://www.rgei.com/
Website:

http://www.brazilcellulose.com
Latest annual report (2015)|Sustainability report (2016)

Company assessment: Bracell – 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.

Transparency
score ranges:

lower
< 33%

moderate
33-66%

higher
> 66%

Expand all categories

Assessment date:

Total: 55% 58 / 105.5

Sustainability policy and leadership 4 / 6 66.7%
- 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.
- 1 / 1
  
  Source
  
  1. Sustainable forestry policy or commitment for all its operations?
- 0 / 1
  
  No source
  
  2. Sustainability policy or commitment applies to direct and third-party suppliers?
- 0.5 / 1
  
  Source
  
  3. High-level position of responsibility for sustainability?
  
  The company states to have a Sustainability team but does not state who has high-level responsibility for sustainability (if anyone)
- 1 / 1
  
  Source
  
  4. Sustainability report published within last two years?
  
  2016
- 0.5 / 1
  
  Source
  
  5. Member of multiple industry schemes or other external initiatives to improve forest management or transparency?
  
  The company's subsidiary, Copener Florestal is an FSC member
- 1 / 1
  
  Source
  
  6. Activities with government, NGOs or academic institutions to improve the sustainability of forest products?
  
  The company is involved in various activities with academic institutions (e.g. biodiversity monitoring, riparian forests, pests and diseases), NGOs (e.g. environmental education programme) and local government ( e.g. sustainable water use)
Landbank, FMUs and mills 8.5 / 12 70.8%
- 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.
- 1 / 1
  
  Source
  
  7. Lists countries and operations?
  
  Brazil (plantations, production facilities)
- n/a
  
  -
  
  Source
  
  8. Total area of natural forest designated for wood/wood fibre production (ha)?
  
  This indicator is disabled as the company reports that it does not produce wood/wood fibre from natural forests
- 1 / 1
  
  Source
  
  9. Total area of forest plantation (ha)?
  
  73,584
- 1 / 1
  
  Source
  
  10. Area of plantation/natural forest within outgrower schemes (ha)?
  
  31,667
- 1 / 1
  
  Source
  
  11. Unplanted (areas designated for future development as plantation forest) (ha)?
  
  8,920 - The company states to have 82,504 hectares available for planting and 73,584 hectares were planted with eucalyptus trees
- 1 / 1
  
  Source
  
  12. Conservation set-aside and/or HCV area (ha)?
  
  61,026
- 0 / 1
  
  No source
  
  13. Area of Intact Forest Landscape (ha)?
- 0 / 1
  
  Source
  
  14. Number of Forest Management Units (FMUs)?
  
  The company's PEFC (Cerflor) certification lists 157 FMUs but this certification does not cover the company's whole area and forest management plan confirms that areas are excluded from certification
- 0.5 / 1
  
  Source
  
  15. Maps of forest management units (FMUs)?
  
  The company's PEFC (Cerflor) certification lists 157 FMUs with geo-coordinates but this certification does not cover the company's whole area
- 0.5 / 1
  
  Source
  
  16. Forest management plans available for all FMUs?
  
  Forest Management Plans state it does not cover all the company's FMUs
- 0.5 / 1
  
  Source
  
  17. Monitoring of forest management plan implementation?
  
  Forest Management Plan states it does not cover all the company's FMUs
- 1 / 1
  
  Source
  
  18. Number of company owned pulp and paper mills?
  
  1
- 1 / 1
  
  Source
  
  19. Maps or addresses of company owned pulp and paper mills?
- n/a
  
  -
  
  Source
  
  20. Number of company owned sawmills?
  
  This indicator is disabled as the company reports that it does not own sawmills
- n/a
  
  -
  
  Source
  
  21. Maps or addresses of company owned sawmills?
  
  This indicator is disabled as the company reports that it does not own sawmills
Deforestation and biodiversity 8.5 / 13 65.4%
- 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.
- 1 / 1
  
  Source
  
  22. Commitment to zero conversion of natural forest?
- 0 / 1
  
  No source
  
  23. Zero conversion commitment applies to outgrower scheme and independent suppliers?
- n/a
  
  -
  
  Source
  
  24. Commitment to minimise the impact of logging roads?
  
  This indicator is disabled as the company reports that it does not produce wood/wood fibre from natural forests
- 1 / 1
  
  Source
  
  25. Commitment to protect forest areas from illegal activities?
- 0.5 / 1
  
  Source
  
  26. Evidence of monitoring deforestation?
  
  The company monitors deforestation but the extent of the area monitored is unclear
- 0 / 1
  
  No source
  
  27. Amount of deforestation recorded?
- 1 / 1
  
  Source
  
  28. Commitment to biodiversity conservation?
- 1 / 1
  
  Source
  
  29. Commitment to set aside areas for conservation?
- 1 / 1
  
  Source
  
  30. Examples of habitat management and/or habitat restoration of set-aside areas?
- 1 / 1
  
  Source
  
  31. Implementing a landscape-level approach to biodiversity conservation?
- 0 / 1
  
  Source
  
  32. Commitment to protect species of conservation concern, referencing international or national system of species classification?
  
  The company only commits to maintain 'mechanisms to identify endemic, rare, threatened or endangered species and their habitats in its plantations and forest reserves'
- n/a
  
  -
  
  Source
  
  33. Commitment to sustainably manage the use of non-timber forest products (NTFPs)?
  
  This indicator is disabled as the company reports that it does not produce wood/wood fibre from natural forests
- 1 / 1
  
  Source
  
  34. Commitment not to use genetically modified organisms?
  
  The company has committed to not be directly or indirectly involved in the introduction of genetically modified organisms in forestry operations. This commitment is made through the FSC Policy for Association (FSC-POL-01-004)
- 0 / 1
  
  No source
  
  35. Commitment to only use alien species where impacts can be controlled?
- 1 / 1
  
  Source
  
  36. Examples of species conservation activities?
HCV, HCS and impact assessments 4 / 9 44.4%
- 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.
- 0.5 / 1
  
  Source
  
  37. Commitment to conduct High Conservation Value (HCV) assessments?
  
  The company has committed to not be directly or indirectly involved in the destruction of High Conservation Values in forestry operations. This commitment is made through the FSC Policy for Association (FSC-POL-01-004). For this half points are awarded
- 0.5 / 1
  
  Source
  
  38. HCV commitment applies to outgrower scheme and independent suppliers?
  
  The company has committed to not be directly or indirectly involved in the destruction of High Conservation Values in forestry operations. This commitment is made through the FSC Policy for Association (FSC-POL-01-004). For this half points are awarded
- 0 / 1
  
  No source
  
  39. Commitment to only use licensed High Conservation Value (HCV) assessors accredited by the HCV Resource Network's Assessor Licensing Scheme (ALS)?
- 1 / 1
  
  Source
  
  40. High Conservation Value (HCV) assessments available?
- 1 / 1
  
  Source
  
  41. High Conservation Value (HCV) management and monitoring plans available?
- 0 / 1
  
  No source
  
  42. Commitment to the High Carbon Stock (HCS) Approach?
- 0 / 1
  
  No source
  
  43. High Carbon Stock (HCS) assessments available?
- 1 / 1
  
  Source
  
  44. Commitment to conduct social and environmental impact assessments (SEIAs)?
- 0 / 1
  
  No source
  
  45. Social and environmental impact assessments (SEIAs) available?
Soils, fire and GHG emissions 4 / 13 30.8%
- 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.
- 0 / 1
  
  Source
  
  46. Commitment to best management practices for soils and/or peat?
  
  The company only states to manage its forests to 'preserve the productive potential of the soil'
- n/a
  
  -
  
  Source
  
  47. Commitment to reduced impact logging?
  
  This indicator is disabled as the company reports that it does not produce wood/wood fibre from natural forests
- 0 / 1
  
  No source
  
  48. Commitment to no planting on peat of any depth?
- 0 / 1
  
  No source
  
  49. Commitment on peatland planting applies to outgrower scheme and independent suppliers?
- 0 / 1
  
  No source
  
  50. Landbank or planted area on peat (ha)?
- 0.5 / 1
  
  Source
  
  51. Evidence of best management practices for soils and/or peat?
  
  The company provides examples of best management practices for soil. However, it is not clear if the company has landbank on peat
- 0.5 / 1
  
  Source
  
  52. Commitment to zero burning?
  
  The company has a 'no burn' policy, but it does not state for all new development/planting/sourcing
- 0 / 1
  
  No source
  
  53. Commitment to zero burning applies to outgrower scheme and independent suppliers?
- 1 / 1
  
  Source
  
  54. Evidence of management and monitoring fires?
- 0.5 / 1
  
  Source
  
  55. Details/number of hotspots/fires in FMUs controlled by the company?
  
  392 - Figure represents area (ha) burnt in 2016. However, this figure does not cover all of the company's FMUs
- 0 / 1
  
  Source
  
  56. Time-bound commitment to reduce GHG emissions intensity?
  
  The company commits to reduce carbon dioxide and other greenhouse gases from its operations, but this commitment is not time-bound and does not refer to a GHG intensity target
- 0.5 / 1
  
  Source
  
  57. Progress towards reducing GHG emission intensity?
  
  0.76 - The company reports a reduction in GHG intensity of 0.757 kg of carbon dioxide equivalent (CO2e) per kg of dissolving wood pulp in 2016, but no target is in place
- 0 / 1
  
  No source
  
  58. Report GHG emissions from land use change?
- 1 / 1
  
  Source
  
  59. Methodology used to calculate GHG emissions?
  
  WRI GHG Protocol
Water, chemical and waste management 5.5 / 12 45.8%
- 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.
- 0 / 1
  
  Source
  
  60. Time-bound commitment to improve water quality?
  
  The company has a yearly target for Chemical Oxygen Demand (COD) (27m³/ton in 2016), but no general or time-bound commitment to improve water quality could be identified
- 0.5 / 1
  
  Source
  
  61. Progress towards commitment on water quality?
  
  The company only report figures for COD. In 2016, the industrial units effluent was 26 m³/ ton, lower than the target of 27m³/ton. In 2015, this volume was 28.4 m³/ton
- 0.5 / 1
  
  Source
  
  62. Protection of natural waterways through buffer zones?
  
  The company has a riparian restoration project and states to support research and provide education on the importance of the protection of riparian forests. However, no commitment to provide buffer or riparian zones across all operations could be identified
- 1 / 1
  
  Source
  
  63. Evidence of treatment of pulp and paper mill effluent?
- n/a
  
  -
  
  Source
  
  64. Evidence of sawmill run-off containment and wastewater treatment?
  
  This indicator is disabled as the company reports that it does not own sawmills
- 1 / 1
  
  Source
  
  65. Time-bound commitment to improve water use?
  
  The company has a yearly target for water consumption for its mill operation (35.5 m³/ton)
- 1 / 1
  
  Source
  
  66. Progress towards commitment on water use?
  
  33 - Unit of measurement is m³/ton and target for 2016 was 35.5 m³/ton
- 0 / 1
  
  Source
  
  67. mmitment to eliminate chlorine and chlorine compounds for bleaching?
- n/a
  
  -
  
  Source
  
  68. Evidence of minimising or recycling solid waste produced during sawmilling processes?
  
  This indicator is disabled as the company reports that it does not own sawmills
- 0.5 / 1
  
  Source
  
  69. Commitment to minimise the use of chemicals, including pesticides and chemical fertilisers?
  
  The company only has a commitment to minimize the use of chemical pesticides
- 0 / 1
  
  No source
  
  70. No use of World Health Organisation (WHO) Class 1A and 1B pesticides?
- 0 / 1
  
  No source
  
  71. No use of chemicals listed under the Stockholm Convention and Rotterdam Convention?
- 1 / 1
  
  Source
  
  72. Integrated Pest Management (IPM) approach?
- 0 / 1
  
  No source
  
  73. Chemical usage per ha or list of chemicals used?
Community, land and labour rights 12.5 / 19.5 64.1%
- 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.
- 1 / 1
  
  Source
  
  74. Commitment to human rights, referencing the UN Declaration of Human Rights or UN Guiding Principles on Business and Human Rights?
  
  The company has committed to not be directly or indirectly involved in the violation of human rights in forestry operations. This commitment is made through the FSC Policy for Association (FSC-POL-01-004), which defines human rights as those established through the UN Declaration of Human Rights
- 1 / 1
  
  Source
  
  75. Commitment to human rights applies to outgrower scheme and independent suppliers?
  
  The company has committed to not be directly or indirectly involved in the violation of human rights in forestry operations. This commitment is made through the FSC Policy for Association (FSC-POL-01-004), which defines human rights as those established through the UN Declaration of Human Rights
- 1 / 1
  
  Source
  
  76. Commitment to respect indigenous and local communities' rights?
  
  The company has committed to not be directly or indirectly involved in the violation of human rights in forestry operations. This commitment is made through the FSC Policy for Association (FSC-POL-01-004), which encompasses the rights of Indigenous and Tribal Peoples as established by the ILO Convention 169
- 1 / 1
  
  Source
  
  77. Commitment to respect legal and customary property rights?
- 0 / 1
  
  Source
  
  78. Commitment to free, prior and informed consent (FPIC)?
  
  The company's parent, Royal Golden Eagle's Sustainability Framework commits to FPIC but this policy only guides the company's sustainability policy which does not refer to FPIC
- 0 / 1
  
  No source
  
  79. FPIC commitment applies to independent suppliers?
- 0 / 1
  
  No source
  
  80. Details of free, prior and informed consent (FPIC) process available?
- 0 / 1
  
  Source
  
  81. Details of process for addressing land conflicts available?
  
  The company only has a general statement about conflict resolution through negotiation and consensus
- 0.5 / 1
  
  Source
  
  82. Commitment to mitigate impacts on food security?
  
  The company provides examples of food security related activities but no general commitment found
- 0 / 1
  
  No source
  
  83. Commitment to provide essential community services and facilities?
- 1 / 1
  
  Source
  
  84. Commitment to respect all workers' rights?
- 1 / 1
  
  Source
  
  85. Reference to Fundamental ILO Conventions?
  
  The company has committed to not be directly or indirectly involved in the violation of any of the ILO Core Conventions. This commitment is made through the FSC Policy for Association (FSC-POL-01-004)
- 0.5 / 0.5
  
  Source
  
  86. Total number of employees?
  
  1,489 - Number of permanent employees
- 1 / 1
  
  Source
  
  87. Percentage or number of temporary employees?
  
  1,533 (50.7%) - The company states that the highest number of employees was 3,022 in 2016 including seasonal workers. Based on this the number of temporary workers: 3,022 - 1,489 = 1,533
- 1 / 1
  
  Source
  
  88. Percentage or number of women employees?
  
  816 (54.8%) - Figure is for permanent women employees
- 0.5 / 1
  
  Source
  
  89. Commitment to pay minimum wage?
  
  The company paid 10% and 48.5% more than the minimum wage to forestry and industrial employees, respectively. However it is unclear if all employees are paid the minimum wage
- 0.5 / 1
  
  Source
  
  90. Commitment to address occupational health and safety, referencing the ILO Code of Practice on Safety and Health in Forestry Work?
  
  The company does not refer to the ILO Code of Practice on Safety and Health in Forestry Work
- 1 / 1
  
  Source
  
  91. Time lost due to work-based injuries?
  
  Frequency rate of work accidents with leave: 0 for Industrial and 0.57 for forestry related work in 2016.
  (Frequency rate = number of accidents x 1,000,000/man-hours worked in total)
- 1 / 1
  
  Source
  
  92. Number of fatalities as a result of work-based accidents?
  
  0
- 0.5 / 1
  
  Source
  
  93. Provision of personal protective equipment and related training?
  
  The company only states to encourage the use of personal protective equipment and providing safety training for 223 employees in 2016
Certification standards 3 / 10 30%
- 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.
- 1 / 1
  
  Source
  
  94. Percentage area (ha) verified as being in legal compliance by a third party?
  
  137,542 (91.4%) - Cerflor certification (PEFC)
- 0 / 1
  
  No source
  
  95. Percentage wood/wood fibre supply verified as being in legal compliance by a third party?
- 0 / 1
  
  No source
  
  96. Time-bound plan for achieving 100% FSC FM certification of FMUs?
- 0 / 1
  
  No source
  
  97. Commitment to source only wood/wood fibre that meets FSC Controlled Wood requirements?
- 0 / 2
  
  No source
  
  98. Percentage area (ha) FSC FM certified?
- 0 / 2
  
  No source
  
  99. Percentage of wood/wood fibre supply from outgrower scheme and/or independent suppliers that is FSC FM certified?
- 2 / 2
  
  Source
  
  100. Percentage area (ha) PEFC certified?
  
  137,542 (91.4%) - Cerflor certification
Smallholders and suppliers 4 / 5 80%
- 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.
- 1 / 1
  
  Source
  
  101. Programme to support outgrower scheme smallholders?
- 1 / 1
  
  Source
  
  102. Percentage of outgrower scheme smallholders involved in programme?
  
  101 - 87 individual and 14 legal entity producers
- 0.5 / 1
  
  Source
  
  103. Process used to prioritise, assess and/or engage suppliers on compliance with company's policy and/or legal requirements?
  
  The company states to have a formal verification procedure but limited detail is given on the process and it seems to only cover 'labor and social security obligations'
- 1 / 1
  
  Source
  
  104. Suspension or exclusion criteria for suppliers?
- 0.5 / 1
  
  Source
  
  105. Percentage of suppliers assessed and/or engaged on compliance with company requirements?
  
  1,777 - The company stated to have acquired products and services from 1777 suppliers in 2016 however it is unclear if all suppliers were assessed by the company
Governance and grievances 4 / 6 66.7%
- 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.
- 1 / 1
  
  Source
  
  106. Commitment to ethical conduct and prohibition of corruption?
- 1 / 1
  
  Source
  
  107. Whistleblowing procedure?
- 1 / 1
  
  Source
  
  108. Own grievance or complaints system?
- 1 / 1
  
  Source
  
  109. Grievance or complaints system is accessible to internal and external stakeholders?
- 0 / 2
  
  Source
  
  110. Details of grievances disclosed?
  
  The company only provides a summary on the number and type of grievances in 2016

Media monitor: Bracell

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.