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China Forestry Group Corporation

Timber and pulp assessment
  • Latest update: July 2019
  • Next scheduled: July 2020

  • Landbank
    534,667 hectares
  • Thomson Reuters ticker:
    Private company
  • Bloomberg ticker:
    Private company
  • Website:

Company assessment: China Forestry Group Corporation – July 2019

Assessment date:

Total: 9.4% 12 / 127
  • Sustainability policy and leadership Sustainability policy and leadership
    1 / 9 11.1%
    • N
      0 / 1

      1. Sustainable forestry policy or commitment for all its operations?

    • N
      0 / 1

      2. Sustainability policy or commitment applies to all sourcing?

    • N
      0 / 1

      3. High-level position of responsibility for sustainability?

    • 4. One or more board members have responsibility for sustainability?

      This indicator is disabled as the company is not publicly listed

    • 5. Percentage or number of women board members?

      This indicator is disabled as the company is not publicly listed

    • P
      0.5 / 1

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

      0 - The company does not explicitly report on the gender balance of the senior management team, but photographs of members show only men

    • P
      0.5 / 1

      7. Sustainability report published within last two years?

      The company published a sustainability report in 2017 covering data from 2015-16

    • N
      0 / 1

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

    • N
      0 / 1

      9. Activities with government, NGOs or academic institutions to improve the sustainability of forest products?

    • N
      0 / 1

      10. Climate risks assessment available?

    • N
      0 / 1

      11. Natural capital assessment available?

  • Landbank, mills and traceability Landbank, mills and traceability
    2.5 / 23 10.9%
    • N
      0 / 1

      12. Lists countries and operations?

      The company provides some information on the countries in which it has upstream operations, including China, New Zealand and Gabon, and some information on regions in China. However, it is not clear from the information given whether all the company's upstream operations are covered

    • P
      0.5 / 1

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

      462,000 - The company provides multiple conflicting figures for the area of land under its control, so it is not possible to calculate with any certainty. It reports natural forest concessions in New Zealand, for which it gives an undated figure of 11,333 ha on the English version of its website, but of 21,800 ha on the Chinese version. On this website the company also claims to control a total of over 800,000 ha. The 2015-16 CSR report mentions 32,000 ha in New Zealand and refers to 360,000 ha of forest concession in Gabon. It also mentions forestry operations in the USA and Canada, and makes reference to a "total controllable forest area" of around 462,000 ha

    • P
      0.5 / 1

      14. Total area of forest plantation (ha)?

      72,667 - The company provides multiple conflicting figures for the area of land under its control, so it is not possible to calculate with any certainty. It claims to have Eucalyptus plantations in China amounting to 72,667 ha on its website in English, but claims to control a total of over 800,000 ha on its website in Chinese. The 2015-16 CSR report also mentions forestry operations in the USA and Canada, and makes reference to a "total controllable forest area" of around 462,000 ha

    • N
      0 / 1

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

    • N
      0 / 1

      16. Unplanted (areas designated for future development as plantation forest) (ha)?

    • N
      0 / 1

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

    • N
      0 / 1

      18. Area of Intact Forest Landscape (ha)?

    • N
      0 / 1

      19. Number of Forest Management Units (FMUs)?

    • N
      0 / 1

      20. Maps of forest management units (FMUs)?

    • N
      0 / 1

      21. Forest management plans available for all FMUs?

    • N
      0 / 1

      22. Monitoring of forest management plan implementation?

    • 23. Company has provided valid legal documents to Open Timber Portal on use rights (at the time of SPOTT assessments)?

      This indicator is disabled as the company's reporting broadly suggests that it doesn't operate in a geography currently covered by Open Timber Portal. Please note that ZSL has been unable to confirm this

    • 24. Company has provided valid legal documents to Open Timber Portal on forest management (at the time of SPOTT assessments)?

      This indicator is disabled as the company's reporting broadly suggests that it doesn't operate in a geography currently covered by Open Timber Portal. Please note that ZSL has been unable to confirm this

    • 25. Company has provided valid legal documents to Open Timber Portal on timber harvesting (at the time of SPOTT assessments)?

      This indicator is disabled as the company's reporting broadly suggests that it doesn't operate in a geography currently covered by Open Timber Portal. Please note that ZSL has been unable to confirm this

    • N
      0 / 1

      26. Number of company owned pulp and paper mills?

    • N
      0 / 1

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

    • P
      0.5 / 1

      28. Number of company owned sawmills?

      The company makes reference to two "wood processing plants" in Gabon in its 2015-16 CSR report, owned by subsidiary Shanghai CDG. However, the total number of sawmills the company owns is not clear

    • N
      0 / 1

      29. Maps or addresses of company owned sawmills?

    • N
      0 / 1

      30. Number of supplier mills?

    • N
      0 / 1

      31. Maps or addresses of supplier mills?

    • P
      0.5 / 1

      32. Procedures to trace raw materials to country of harvest?

      Some of the company's subsidiaries have an FSC CoC certificate which counts as the procedure for the certified portion of all raw materials the company sources

    • P
      0.5 / 1

      33. Procedures to trace raw materials to FMU level?

      Some of the company's subsidiaries have an FSC CoC certificate which counts as the procedure for the certified portion of all raw materials the company sources

    • N
      0 / 2

      34. Percentage of supply traceable to country level (above 80%)?

      Two of the company's subsidiaries, Zhenjiang Zhonglin Forest Co. Ltd., and China Forestry Group Heilongjiang Hao Jia Wood Co. Ltd., have CoC certification. However, it is not possible to calculate what portion of the company's supply these subsidiaries cover

    • N
      0 / 2

      35. Percentage of supply traceable to FMU level (above 75%)?

      Two of the company's subsidiaries, Zhenjiang Zhonglin Forest Co. Ltd., and China Forestry Group Heilongjiang Hao Jia Wood Co. Ltd., have CoC certification. However, it is not possible to calculate what portion of the company's supply these subsidiaries cover

  • Deforestation and biodiversity Deforestation and biodiversity
    2 / 12 16.7%
    • N
      0 / 1

      36. Commitment to zero conversion of natural forest?

    • N
      0 / 1

      37. Zero conversion commitment applies to all sourcing?

    • N
      0 / 1

      38. Commitment to minimise the impact of logging roads?

    • N
      0 / 1

      39. Commitment to protect forest areas from illegal activities?

    • N
      0 / 1

      40. Evidence of monitoring deforestation?

    • N
      0 / 1

      41. Amount of deforestation recorded?

    • Y
      1 / 1

      42. Commitment to biodiversity conservation?

    • N
      0 / 1

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

    • N
      0 / 1

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

    • N
      0 / 1

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

    • N
      0 / 1

      46. Commitment to sustainably manage the use of non-timber forest products (NTFPs)?

    • Y
      1 / 1

      47. 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), which the company is subject to due to the FSC CoC certification of at least two of its subsidiaries, Zhenjiang Zhonglin Forest Co. Ltd., and China Forestry Group Heilongjiang Hao Jia Wood Co. Ltd

  • HCV, HCS and impact assessments HCV, HCS and impact assessments
    1 / 8 12.5%
    • P
      0.5 / 1

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

      The company does not have a direct commitment to conduct HCV assessments across all of its operations. However, 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), which the company is subject to due to the FSC CoC certification of at least two of its subsidiaries, Zhenjiang Zhonglin Forest Co. Ltd., and China Forestry Group Heilongjiang Hao Jia Wood Co. Ltd.. For this half points are awarded

    • P
      0.5 / 1

      49. HCV commitment applies to all sourcing?

      The company has committed 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), which the company is subject to due to the FSC CoC certification of at least two of its subsidiaries, Zhenjiang Zhonglin Forest Co. Ltd., and China Forestry Group Heilongjiang Hao Jia Wood Co. Ltd.. For this half points are awarded

    • 50. Commitment to only use licensed High Conservation Value (HCV) assessors accredited by the HCV Resource Network's Assessor Licensing Scheme (ALS)?

      This indicator is disabled until sufficient number of HCV ALS licensed assessors are available for the location where the company operates

    • N
      0 / 1

      51. High Conservation Value (HCV) assessments available?

    • N
      0 / 1

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

    • N
      0 / 1

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

    • N
      0 / 1

      54. High Carbon Stock (HCS) assessments available?

    • N
      0 / 1

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

    • N
      0 / 1

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

    • 57. Company has provided valid legal documents to Open Timber Portal on impact assessments (at the time of SPOTT assessments)?

      This indicator is disabled as the company's reporting broadly suggests that it doesn't operate in a geography currently covered by Open Timber Portal. Please note that ZSL has been unable to confirm this

  • Soils, fire and GHGs Soils, fire and GHGs
    0 / 14 0%
    • N
      0 / 1

      58. Commitment to best management practices for soils and/or peat?

    • N
      0 / 1

      59. Commitment to reduced impact logging?

    • N
      0 / 1

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

    • N
      0 / 1

      61. Commitment on peatland planting applies to all sourcing?

    • N
      0 / 1

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

    • N
      0 / 1

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

    • N
      0 / 1

      64. Commitment to zero burning?

    • N
      0 / 1

      65. Commitment to zero burning applies to all sourcing?

    • N
      0 / 1

      66. Evidence of management and monitoring fires?

    • N
      0 / 1

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

    • N
      0 / 1

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

    • N
      0 / 1

      69. Progress towards reducing GHG emission intensity?

    • N
      0 / 1

      70. Report GHG emissions from land use change?

      32,601 - The company reports CO2 emissions of 32,601 tonnes for 2016. It is not clear how this figure was calculated or what it's scope is, or whether it includes emissions from land use change

    • N
      0 / 1

      71. Methodology used to calculate GHG emissions?

  • Water, chemical and waste management Water, chemical and waste management
    0 / 13 0%
    • N
      0 / 1

      72. Time-bound commitment to improve water quality (BOD and COD)?

    • N
      0 / 1

      73. Progress towards commitment on water quality (BOD and COD)?

    • N
      0 / 1

      74. Commitment to protection of natural waterways through buffer zones?

    • N
      0 / 1

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

    • N
      0 / 1

      76. Evidence of sawmill run-off containment and wastewater treatment?

    • N
      0 / 1

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

    • N
      0 / 1

      78. Progress towards commitment on water use intensity?

    • N
      0 / 1

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

    • N
      0 / 1

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

    • N
      0 / 1

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

    • N
      0 / 1

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

    • N
      0 / 1

      83. Integrated Pest Management (IPM) approach?

    • N
      0 / 1

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

  • Community, land and labour rights Community, land and labour rights
    5.5 / 22 25%
    • Y
      1 / 1

      85. Commitment to human rights, referencing the UN Declaration on 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. The company is subject to the Policy for Association due to the FSC CoC certification of at least two of its subsidiaries, Zhenjiang Zhonglin Forest Co. Ltd., and China Forestry Group Heilongjiang Hao Jia Wood Co. Ltd

    • Y
      1 / 1

      86. Commitment to human rights applies to all sourcing?

      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. The company is subject to the Policy for Association due to the FSC CoC certification of at least two of its subsidiaries, Zhenjiang Zhonglin Forest Co. Ltd., and China Forestry Group Heilongjiang Hao Jia Wood Co. Ltd

    • Y
      1 / 1

      87. 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. The company is subject to the Policy for Association due to the FSC CoC certification of at least two of its subsidiaries, Zhenjiang Zhonglin Forest Co. Ltd., and China Forestry Group Heilongjiang Hao Jia Wood Co. Ltd

    • P
      0.5 / 1

      88. Commitment to respect legal and customary property rights?

      The company has committed to not be directly or indirectly involved in the violation of traditional rights in forestry operations. This commitment is made through the FSC Policy for Association (FSC-POL-01-004), which encompasses customary rights. This policy does not reference legal rights and no reference to legal rights could be found in company sources. The company is subject to the Policy for Association due to the FSC CoC certification of at least 2 of its subsidiaries, Zhenjiang Zhonglin Forest Co. Ltd., and China Forestry Group Heilongjiang Hao Jia Wood Co. Ltd

    • N
      0 / 1

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

    • N
      0 / 1

      90. FPIC commitment applies to independent suppliers?

    • N
      0 / 1

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

    • N
      0 / 1

      92. Examples of local stakeholder engagement to prevent conflicts?

    • N
      0 / 1

      93. Details of process for addressing land conflicts available?

    • N
      0 / 1

      94. Commitment to support the inclusion of women across forestry operations, including addressing barriers faced?

    • N
      0 / 1

      95. Commitment to provide essential community services and facilities?

    • 96. Company has provided valid legal documents to Open Timber Portal on population rights (at the time of SPOTT assessments)?

      This indicator is disabled as the company's reporting broadly suggests that it doesn't operate in a geography currently covered by Open Timber Portal. Please note that ZSL has been unable to confirm this

    • P
      0.5 / 1

      97. Commitment to respect all workers' rights?

      The company stated in its 2016 CSR report that it "safeguards the legitimate rights and interests of employees", but it is unclear if this covers all employees (including direct, indirect, migrant and temporary workers etc.)

    • Y
      1 / 1

      98. 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), which the company is subject to due to the FSC CoC certification of at least two of its subsidiaries, Zhenjiang Zhonglin Forest Co. Ltd., and China Forestry Group Heilongjiang Hao Jia Wood Co. Ltd.. For this half points are awarded

    • N
      0 / 1

      99. Commitment to eliminate gender related discrimination with regards to employment and occupation?

      The company stated in its 2016 CSR report it "adheres to equal pay for equal work". However, the scope and specific meaning of this statement is unclear

    • 100. Company has provided valid legal documents to Open Timber Portal on labour regulations (at the time of SPOTT assessments)?

      This indicator is disabled as the company's reporting broadly suggests that it doesn't operate in a geography currently covered by Open Timber Portal. Please note that ZSL has been unable to confirm this

    • N
      0 / 1

      101. Percentage or number of temporary employees?

    • P
      0.5 / 1

      102. Percentage or number of women employees?

      31% - The company states 30.5% of its employees are women, although the scope of this calculation is unclear. This figure is also from 2016

    • N
      0 / 1

      103. Payment of minimum wage?

    • N
      0 / 1

      104. Reporting of salary by gender?

    • N
      0 / 1

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

    • N
      0 / 1

      106. Time lost due to work-based injuries?

    • N
      0 / 1

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

    • N
      0 / 1

      108. Provision of personal protective equipment and related training?

  • Certification standards Certification standards
    0 / 14 0%
    • N
      0 / 1

      109. Time-bound plan for achieving 100% third-party legality verification of FMUs or achieved?

    • N
      0 / 1

      110. Time-bound plan to source only wood/wood fibre that is in legal compliance verified by a third party?

    • N
      0 / 1

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

    • N
      0 / 1

      112. Percentage of all wood/wood fibre supply traded/processed verified as being in legal compliance by a third party?

    • N
      0 / 1

      113. Time-bound plan for achieving 100% FSC FM certification of FMUs or achieved 100% FSC-certification of FMUs?

    • N
      0 / 1

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

    • N
      0 / 2

      115. Percentage area (ha) FSC FM certified?

    • N
      0 / 2

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

    • N
      0 / 2

      117. Percentage of all wood/wood fibre supply traded/processed that are FSC certified (above 75%)?

    • N
      0 / 2

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

      The company stated in its 2016 CSR report that its subsidiary China Forestry Products (New Zealand) Co. Ltd. Joined the PEFC in 2014 and has "passed three annual reviews". It is not clear from this statement what percentage area is certified under a PEFC-endorsed standard

  • Smallholders and suppliers Smallholders and suppliers
    0 / 6 0%
    • N
      0 / 1

      119. Programme to support outgrower scheme smallholders?

    • N
      0 / 1

      120. Percentage of outgrower scheme smallholders involved in programme?

    • N
      0 / 1

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

    • N
      0 / 1

      122. The company has a Due Diligence System (DDS)?

    • N
      0 / 1

      123. Suspension or exclusion criteria for suppliers?

    • N
      0 / 1

      124. Percentage of suppliers assessed and/or engaged on compliance with company requirements?

  • Governance and grievances Governance and grievances
    0 / 6 0%
    • N
      0 / 1

      125. Commitment to ethical conduct and prohibition of corruption?

    • 126. Company has provided valid legal documents to Open Timber Portal on legal registration (at the time of SPOTT assessments)?

      This indicator is disabled as the company's reporting broadly suggests that it doesn't operate in a geography currently covered by Open Timber Portal. Please note that ZSL has been unable to confirm this

    • N
      0 / 1

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

    • 128. Company has provided valid legal documents to Open Timber Portal on taxes, fees and royalties (at the time of SPOTT assessments)?

      This indicator is disabled as the company's reporting broadly suggests that it doesn't operate in a geography currently covered by Open Timber Portal. Please note that ZSL has been unable to confirm this

    • N
      0 / 1

      129. Whistleblowing procedure?

    • N
      0 / 1

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

    • N
      0 / 2

      131. Details of grievances disclosed?

Media monitor: China Forestry Group Corporation

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.

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Scoring criteria: China Forestry Group Corporation

Scoring criteria guide how ZSL conducts SPOTT assessments and allocates scores to ensure a fair and consistent approach, setting the expectations for companies on how they should publish ESG data. The full indicator framework contains 131 indicators across 10 categories.

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