Dexco (formerly Duratex)

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

The company has a sustainability policy that covers both social and environmental issues and applies to all its forestry operations.

2. Sustainable forestry policy or commitment applies to all suppliers?

The company has a sustainability policy that covers multiple dimensions of sustainability across all operations covering both social and environmental issues which applies to all suppliers.

3. High-level position of responsibility for sustainability?

The company has recently created an ESG team where the management lead reports to the Executive Board People & ESG.

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

0 - The president of the sustainability committee also sits on the board.

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

1 - The company reports one woman on the senior management team.

6. Percentage or number of women board members?

1 - The company reports that 11.1% of women on the company's board of directors.

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

[Externally verified] The company is a member of FSC and UNGC.

8. Collaboration with stakeholders to reduce negative environmental or social outcomes associated with timber and pulp production?

Examples include Brazilian Coalition on Climate; Flow Tower project to optimise production and guarantee the sustainability of crops; an environmental education program focused on the conscious use of water; Herois em Acao (Heros in action) project; collaboration with Childhood Brasil and NGO Aldeias Brasil SOS, to design the João Pessoa Municipality Plan to Fight Sexual Violence against Children and Adolescents.

9. Sustainability report published within last two years?

The company has published an integrated report in 2021.

10. Reports through standardised reporting systems?

Integrated report 2020 published on the GRI website, and CDP Forests and Climate Change questionnaires submitted in 2020.

11. Climate risks assessment available?

12. Natural capital assessment available?

The company states that it uses sustainable materials and inputs in operations, seeking to positively contribute to carbon capture by means of our forest operations. However, it has no set actions given, hence awarded partial points.

13. Lists countries and operations?

The company has its forestry and manufacturing units in Brazil and Colombia.

14. Lists countries sourcing from?

This indicator is disabled as the company reports that it does not trade wood/wood fibre.

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

This indicator is disabled as the company reports that it only produces wood/wood fibre from plantations.

16. Total area of forest plantation (ha)?

83930 - The company reports that in 2021 79,332 ha and 4,598 ha are planted in Brazil and Colombia, respectively.

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

26000 - The company maintains around 26,000 hectares of forestry partnerships with small producers located in the state of Rio Grande do Sul.

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

6068 - The company states that 6,026 ha on owned and leased land in Brazil is unplanted, a further 42 ha is unplanted in Colombia operations. Data as of 2021.

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

43717.9 - In 2021, conservation areas in Brazil in managed and leased land are 43,678 ha, in Colombia 2.968 ha is designated for 'Conservation and other uses'. As 'other uses' is not defined full points cannot be awarded.

20. Area of Intact Forest Landscape (ha)?

This indicator is disabled as the company has reported or informed ZSL that it doesn't have any intact forest landscapes within its landbank.

21. Number of Forest Management Units (FMUs)?

5 - The company states that it has five forestry units.

22. Maps of forest management units (FMUs)?

The company only has a static image file showing locations of all estates.

23. Forest management plans available for all FMUs?

The company has published a Forest Management Plan. However, it only covers Brazil operations.

24. Monitoring of forest management plan implementation available?

[Externally verified] The company's FMP for Brazil covers monitoring, however no information for Colombia operations could be found. The company also makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2). As the requirements do not fully meet the SPOTT indicator criteria partial points have therefore been awarded on the basis of the company's FSC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years).

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

This indicator is disabled as the company reports that it doesn't operate in a geography currently covered by Open Timber Portal.

26. 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 reports that it doesn't operate in a geography currently covered by Open Timber Portal.

27. 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 reports that it doesn't operate in a geography currently covered by Open Timber Portal.

28. Names and locations of all third-party supplying FMUs?

29. Number of company owned sawmills?

19 - The company has 16 factories in Brazil and three in Colombia.

30. Names and locations of company owned sawmills?

The company has published the names and geo-referenced locations of some sawmills in Brazil, but only a static low-quality map is available for sawmills in Colombia.

31. Number of company-owned pulp and paper mills?

This indicator is disabled as the company reports that it does not own pulp or paper mills.

32. Names and locations of company-owned pulp and paper mills?

This indicator is disabled as the company reports that it does not own pulp or paper mills.

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

The company reports that in 2021 41% of supply to Colombia sawmills comes from its own operations. No information on supply to Brazil sawmills was found.

34. Reports total volumes (or percentages) sourced by company-owned pulp and paper mills that come from company's own operations and third-parties?

This indicator is disabled as the company reports that it does not own pulp or paper mills.

35. Number of third party supplying mills?

In 2021, the company's Brazil operations sourced from seven sawmills (involving tier-2 suppliers). No information on Colombia could be found.

36. Names and locations of all third party supplying mills?

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

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

The company has FSC CoC certification and states that it ensures the traceability of the wood back to its forest of origin, guaranteeing that the certified products manufactured by Dexco use only raw materials from certified forests or from other controlled sources.

39. Percentage of supply traceable to country of harvest?

The company has FSC CoC certification and states that it ensures the traceability of the wood back to its forest of origin, guaranteeing that the certified products manufactured by Dexco use only raw materials from certified forests or from other controlled sources.

40. Procedures to trace raw materials to FMU level?

The company has procedures to trace raw materials to FMU level.

41. Percentage of supply traceable to FMU level?

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

The company has a target to achieve 100% FSC certification for its FMUs by 2025.

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

98.34% - The company's landbank is 98.34% FSC FM certified.

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

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

The company states that 60% of supply to its Colombia operations are FSC certified, and 83% of supply to Brazil factories is FSC certified. A total percentage is not reported or can be calculated.

46. Percentage area (ha) FSC FM certified?

98.34% - FSC certificates on its online database have been compared to the company's landbank reporting.

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

The company states that it will achieve 100% FSC certification by 2025.

48. Percentage of wood/wood fibre supply (tonnes) from all suppliers that comes from FSC FM certified areas?

49. Commitment to source only wood/wood fibre that meets FSC Controlled Wood and/or PEFC Controlled Sources requirements?

The company commits to only source wood/wood fibre that meets FSC Controlled Wood requirements by stating all controlled wood requirements individually in a policy.

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

This indicator is disabled as the company does not operate in a country with a PEFC-endorsed Sustainable Forest Management (SFM) standard.

51. Commitment to zero conversion of natural ecosystems?

The company commits to zero conversion of natural ecosystems.

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

53. Commitment to zero deforestation?

The company makes this commitment through the FSC Policy for Association (FSC-POL-01-004 V2-0). Full points have therefore been awarded on the basis of the company's FSC certification/membership.

54. Commitment to zero deforestation applies to all suppliers?

The company commits all suppliers to zero deforestation.

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

The company makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2). Full points have therefore been awarded on the basis of the company's FSC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years.).

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

[Externally verified] The company has equity surveillance structures to enable monitoring constant areas given the evidence of monitoring in its operation (satellite imagery to identify areas of deforestation). Data is externally verified, hence awarded partial points.

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

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

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

60. Commitment to restoration of deforestation/conversion?

61. Commitment to restoration of deforestation/conversion applies to all suppliers?

62. Implementing a landscape or jurisdictional level approach?

[Externally verified] Points for external verification have been awarded on the basis of the company's FSC FM certification (FSC-STD-01-001 V5-2 EN). As the Standard does not fully meet the SPOTT indicator criteria limited, externally verified points have therefore been awarded. The company has implementing a landscape or jurisdictional level approach. However, data is limited, hence awarded partial points on the basis of FSC FM certificate.

63. Biodiversity policy?

The company has a commitment to protecting biodiversity, however no time-bound targets could be found.

64. Biodiversity policy applies to all suppliers?

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

[Externally verified] The company has identified 15 flora and 24 fauna species of conservation concern, referencing the International Union for Conservation of Nature (IUCN). Data is externally verified.

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

Comprehensive, externally verified points have been awarded on the basis of the company's FSC FM certification (FSC-STD-01-001 V5-2) as the requirements fully meet the SPOTT indicator criteria.

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

The company has a commitment to no hunting of species.

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

The company commits all suppliers to no hunting of all species in their operations.

69. Commitment to protect forest areas from illegal activities?

The company makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2). Full points have therefore been awarded on the basis of the company's FSC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years.). Also the company has it's own commitment to protect forest areas from illegal activities.

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

The company commits suppliers to protect the natural ecosystems and plantations under their management from illegal activities.

71. Evidence of protecting forest areas from illegal activities?

Comprehensive, externally verified points have been awarded on the basis of the company's FSC FM certification (FSC-STD-01-001 V5-2) as the requirements fully meet the SPOTT indicator criteria.

72. Commitment to no use of genetically modified organisms?

The company makes this commitment through the FSC Policy for Association (FSC-POL-01-004 V2-0). Full points have therefore been awarded on the basis of the company's FSC certification/membership.

73. Commitment to no use of genetically modified organisms applies to all suppliers?

The company commits all suppliers to not use genetically modified organisms or transgenic species.

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

The company makes this commitment through the FSC Policy for Association (FSC-POL-01-004 V2-0). Full points have therefore been awarded on the basis of the company's FSC certification/membership.

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

76. High Conservation Value (HCV) assessments available?

[Externally verified] High Conservation Value assessments are available in the company's Forest Management Plans. Information is externally verified in the FSC Audit report.

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

[Externally verified] The company has HCV Monitoring and Management Plans in its Forest Management Plans. Information is externally verified in the FSC Audit report.

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

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

80. High Carbon Stock (HCS) assessments available?

This indicator is disabled as the company reports that it only produces wood/wood fibre from natural forests.

81. 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 that it only produces wood/wood fibre from natural forests.

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

The company makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2). Full points have therefore been awarded on the basis of the company's FSC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years.).

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

84. Social and environmental impact assessments (SEIAs) available, and associated management and monitoring plans?

The company has published social and environmental impact assessment (SEIAs) summaries and associated management and monitoring plans, however data is self-reported.

85. 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 reports that it doesn't operate in a geography currently covered by Open Timber Portal.

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

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

87. 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.

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

0 (0%) - The company states that its forests are not managed in peat areas in Brazil or Colombia.

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

This indicator is disabled as the company reports that it does not have landbank on peat.

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

The company reports that it does not have operations on peatland. The company makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2). Full points have therefore been awarded on the basis of the company's FSC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years.).

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

The company commits all suppliers to best management practices for soils only.

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

The company reports that it does not have operations on peatland. Comprehensive, externally verified points have been awarded on the basis of the company's FSC FM certification (FSC-STD-01-001 V5-2) as the requirements fully meet the SPOTT indicator criteria. Additional points have been awarded according to the percentage of company landbank certified by FSC.

93. Commitment to reduced impact logging?

This indicator is disabled as the company reports that it only produces wood/wood fibre from plantations.

94. Commitment to reduced impact logging applies to all suppliers?

This indicator is disabled as the company reports to only source from plantations.

95. Evidence of implementing reduced impact logging practices?

This indicator is disabled as the company reports that it only produces wood/wood fibre from plantations.

96. Commitment to zero burning?

The company commits to zero burning.

97. Commitment to zero burning applies to all suppliers?

The company commits all suppliers to zero burning.

98. Evidence of fire monitoring and management?

The company reports it monitors and manages fires using special vehicles and rapid response kits as well as radio systems, drones, cameras, and satellite surveillance devices. Data is externally verified.

99. Details/number of hotspots/fires in company FMUs?

66 - The company reports the occurrence of 66 fires at Dexco, duly controlled and without significant impacts.

100. Details/number of hotspots/fires in suppliers operations?

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

The company commits to reduce emissions intensity per ceramic tile (it's most carbon-intensive business division) by 15% by 2030 from 2020 levels. However it is unclear if improvements will be made across the whole business to achieve this goal i.e. if GHG emissions in forestry will be reduced.

102. GHG emissions intensity?

The company reports GHG emission intensity as 0.011582769 tCO₂e/cubic meters for its Panels operations and 0.065110187 tCO₂e/cubic meters for its Colombia operations in 2020.

103. GHG emissions from land use change?

This indicator is disabled as the company reports that it only produces wood/wood fibre from natural forests.

104. Progress towards commitment to reduce GHG emissions intensity?

[Externally verified] The company reports a decreasing trend of it's GHG emission intensity figures for the years 2018, 2019, 2020 and the reduction target was met. Data is externally-verified by KPMG.

105. Methodology used to calculate GHG emissions?

The company uses the Brazilian GHG Protocol Program and The Greenhouse Gas Protocol to calculate GHG emission.

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

This indicator is disabled as the company reports that it does not own pulp or paper mills.

107. Water use intensity?

This indicator is disabled as the company reports that it does not own pulp or paper mills.

108. Progress towards commitment on water use intensity?

This indicator is disabled as the company reports that it does not own pulp or paper mills.

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

This indicator is disabled as the company reports that it does not own pulp or paper mills.

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

This indicator is disabled as the company reports that it does not own pulp or paper mills.

111. Treatment of pulp and paper mill effluent?

This indicator is disabled as the company reports that it does not own pulp or paper mills.

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

[Externally verified] The company states that wastewater discharged in the surface water, third-party water, other destinations are treated on primary, secondary and tertiary treatment level. However, data is externally verified, hence full points.

113. Proportion of processing facilities with closed-loop water treatment system?

This indicator is disabled as the company reports that it does not own pulp or paper mills.

114. Commitment to protect natural waterways through buffer zones?

The company makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2). Full points have therefore been awarded on the basis of the company's FSC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years.).

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

Comprehensive, externally verified points have been awarded on the basis of the company's FSC FM certification (FSC-STD-01-001 V5-2) as the requirements fully meet the SPOTT indicator criteria. Additional points have been awarded according to the percentage of company landbank certified by FSC.

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

The company makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2). Full points have therefore been awarded on the basis of the company's FSC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years.) Also the company has a commitment to minimise the use of chemicals, including pesticides, however reports no data on fertilisers. Hence, full points awarded on the basis of FSC FM.

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

118. Evidence of eliminating chlorine and chlorine compounds for bleaching?

This indicator is disabled as the company reports that it does not own pulp or paper mills.

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

The company makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2). Full points have therefore been awarded on the basis of the company's FSC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years.). Also the company states that it does not use Class 1A and 1B pesticides according to the World Health Organization (WHO) classification.

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

The company commits all suppliers to not use World Health Organisation (WHO) Class 1A and 1B pesticides.

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

The company has published this commitment. The company also makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2). Full points have therefore been awarded on the basis of the company's FSC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years.).

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

The company commits all suppliers to not use Stockholm and Rotterdam Convention chemicals.

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

The company has reported figures for chemicals used in both countries.

124. Implementation of commitment to reduce chemical usage?

Comprehensive, externally verified points have been awarded on the basis of the company's FSC FM certification (FSC-STD-01-001 V5-2) as the requirements fully meet the SPOTT indicator criteria. Additional points have been awarded according to the percentage of company landbank certified by FSC.

125. Integrated Pest Management (IPM) approach?

Comprehensive, externally verified points have been awarded on the basis of the company's FSC FM certification (FSC-STD-01-001 V5-2) as the requirements fully meet the SPOTT indicator criteria. Additional points have been awarded according to the percentage of company landbank certified by FSC.

126. Waste management system in place to avoid negative impacts?

[Externally verified] The company has waste management system in place to avoid negative impacts and disposal of waste in landfills to total waste inventoried ratio was 6.9% in 2020, the ratio fell by 64.0% in the last 5 years (2016–2020). Data is externally verified.

127. Commitment to human rights?

The company makes this commitment through the FSC Policy for Association (FSC-POL-01-004 V2-0). Full points have therefore been awarded on the basis of the company's FSC certification/membership. Also the company respects and supports human rights and signatories to the UN's Global Compact.

128. Commitment to human rights applies to all suppliers?

The company's commitment to human rights applies to all suppliers with reference to the Universal Declaration of Human Rights.

129. Progress on human rights commitment ?

[Externally verified] The company has included human rights implementation in its sustainable development objectives, GFD assesses strategic suppliers with the dimension of human rights and E&S risks are assessed on six fronts one of which is human rights. Information is verified by KPMG.

130. Commitment to respect indigenous and local communities' rights?

The company makes this commitment through the FSC Policy for Association (FSC-POL-01-004 V2-0). Full points have therefore been awarded on the basis of the company's FSC certification/membership.

131. Commitment to indigenous and local communities' rights applies to all suppliers?

The company commits suppliers to the UN Declaration on the Rights of Indigenous Peoples (UNDRIP) but only in relation to Free Prior and Informed Consent (FPIC).

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

The company commits to respect legal and customary land tenure rights. The company also makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2) and PEFC International Standard (PEFC ST 1003:2018). Full points have therefore been awarded on the basis of the company's FSC and PEFC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years).

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

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

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

The company makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2). Full points have therefore been awarded on the basis of the company's FSC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years.).

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

The company commits all suppliers to respect FPIC but only for some communities.

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

137. Examples of local stakeholder engagement to prevent conflicts?

138. Details of process for addressing land conflicts available?

The company makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2) and PEFC International Standard (PEFC ST 1003:2018). As the requirements of these certifications do not fully meet the SPOTT indicator criteria partial points have therefore been awarded on the basis of the company's FSC and PEFC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years).

139. Supports the inclusion of women across forestry operations, including addressing barriers faced?

[Externally verified] The company participates in the Movimento Mulher 360 (Women 360 movement – MM360), in September it signed up to the Rede Empresarial de Inclusão Social (REIS) (Social Inclusion Network), for discussions on the inclusion of PwD in the labor market. Data is externally verified, hence full points.

140. 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 reports that it doesn't operate in a geography currently covered by Open Timber Portal.

141. Commitment to enable sustainable use of non-timber forest products (NTFPs) by local communities?

This indicator is disabled as the company reports that it only produces wood/wood fibre from plantations.

142. Commitment to provide essential community services and facilities ?

The company makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2). Full points have therefore been awarded on the basis of the company's FSC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years.).

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

The company makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2). Full points have therefore been awarded on the basis of the company's FSC certified landbank.

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

The company makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2). Full points have therefore been awarded on the basis of the company's FSC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years.).

145. 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 reports that it doesn't operate in a geography currently covered by Open Timber Portal.

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

The company makes this commitment through the FSC Policy for Association (FSC-POL-01-004 V2-0). Full points have therefore been awarded on the basis of the company's FSC certification/membership.

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

The company commits suppliers to respect the ILO conventions ratified by the countries they operate in. It is not clear if all suppliers are committed to respect all Fundamental ILO Conventions.

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

Comprehensive, externally verified points have been awarded on the basis of the company's FSC FM certification (FSC-STD-01-001 V5-2) as the requirements fully meet the SPOTT indicator criteria. Additional points have been awarded according to the percentage of company landbank certified by FSC. The company has a commitment to respect all political and labour rights.

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

The company commits to eliminate gender-related discrimination with regards to employment through its code of conduct.

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

The company has a commitment to eliminate gender-related discrimination with regards to employment that applies to all its suppliers.

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

[Externally verified] The company participates in the Movimento Mulher 360 (Women 360 movement – MM360) and signed up to the Rede Empresarial de Inclusão Social (REIS) (Social Inclusion Network), to eliminate gender related discrimination with regards to employment. Data externally verified.

152. Percentage or number of temporary employees?

This indicator is disabled as the company reports to have no temporary employees.  .

153. Percentage or number of women employees?

2646 - The company reports 2,646 women in its operations.

154. Commitment to pay a living wage?

The company makes this commitment through the FSC Principles and Criteria (FSC-STD-01-001 V5-2). As the requirements do not fully meet the SPOTT indicator criteria partial points have therefore been awarded on the basis of the company's FSC certified landbank (either 100% or ≥75% and a further commitment to be 100% certified within 5 years).

155. Commitment to pay a living wage applies to all suplliers?

The company has commitment to pay the minimum wage. However, no information on living wage is reported, hence awarded partial points.

156. Progress on commitment to pay a living wage?

[Externally verified] 100 - Limited, externally verified points have been awarded on the basis the company's landbank is either 100% or ≥75% (and a further commitment to be 100% certified within 5 years) FSC FM certified (FSC-STD-01-001 V5-2) as the requirements do not fully meet the SPOTT indicator criteria. The company reports ratios of standard entry-level wages by gender compared to the local minimum wage for Brazil and Colombia. The ratio is between 100% (minimum wage paid = legal minimum wage) and 109% depending on regions and gender. However, information is externally verified and no data on living wage given, hence awarded partial points.

157. Reporting of salary by gender?

The company has given basic salary by gender and job level.

158. Commitment to address occupational health and safety?

The company has a commitment to address occupational health and safety with reference to ILO Code of Practice on Safety and Health in Forestry Work.

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

The company has a commitment to address occupational health and safety with reference to ILO Code of Practice on Safety and Health in Forestry Work.

160. Provision of personal protective equipment and related training?

Limited, externally verified points have been awarded on the basis of the company's FSC FM certification (FSC-STD-01-001 V5-2) as the requirements do not fully meet the SPOTT indicator criteria. Also, the company provides personal protective equipment and related training, however data is self-reported. Hence, partial points awarded on the basis of FSC FM certificate.

161. Time lost due to work-based injuries?

The company reports rate of work-related injuries in Brazilian, Colombian and Duratex S.A. operations respectively.

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

0 - No deaths were reported in 2021.

163. Commitment to support smallholders?

The company worked to encourage partner producers to seek FSC certification to represents its commitment.

164. Programme to support outgrower scheme and/or independent smallholders?

The company provided eucalyptus seedlings, technical assistance and an instruction manual to rural producers, however this program only applies to operations in Brazil and is self-reported. Hence, partial points awarded.

165. Number or percentage of outgrower scheme and/or independent smallholders involved in programme?

The company reports the amount of land under management by outgrower smallholder suppliers supplying its operations, however this only covers Brazil and it is not clear how many smallholders are involved in the assistance programme.

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

The company published the process used to prioritise, assess and engage suppliers in compliance with the company's policy and legal requirements.

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

[Externally verified] 386 - In 2021, 208 suppliers to Brazil operations and 178 suppliers to Colombia operations were evaluated on environmental and social criteria. Figures verified via an assurance statement from KPMG.

168. Suspension or exclusion criteria for suppliers?

The company makes this commitment through the FSC Chain of Custody Certification Standard (FSC-STD-40-004 V3-1). Partial points have been awarded as the requirements do not fully meet the SPOTT scoring criteria.

169. Timebound action plans (including Key Performance Indicators) for suppliers to be in compliance with timber and pulp sourcing commitments?

170. Proportion of direct and indirect supply that comes from FMUs which are compliant with timber and pulp sourcing policies?

In 2021, four suppliers to its Brazil operations were excluded in 2021, meaning 90% of supply was deemed compliant. No information for Colombia was found. information is self reported.

171. Commitment to ethical conduct and prohibition of corruption?

The company has an explicit commitment to ethical conduct and the prohibition of corruption.

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

The company has a commitment to ethical conduct and the prohibition of corruption which applies to all its suppliers.

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

[Externally verified] The company applies periodic training programs to supervisors and new employees regarding the Anticorruption Law and the other guidelines of the Code of Conduct for the purpose disseminating the culture of compliance and contributing to the prevention and combat of damaging acts against the public authorities. Data externally verified, hence full points.

174. 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 reports that it doesn't operate in a geography currently covered by Open Timber Portal.

175. Disclosure of the company’s management approach to tax and payments to governments?

The company has published a tax strategy.

176. 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 reports that it doesn't operate in a geography currently covered by Open Timber Portal.

177. Whistleblowing procedure?

The company has provided whistleblower channels to report kinship/affinity, conflict of interests, breach of conduct and/or breach of the code of conduct.

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

The company has its own grievance or complaints system open to all stakeholders.

179. Details of complaints and grievances disclosed?

The company has reported the complaints received by the Ombudsman's office, by status, hence partial points are awarded.