Klabin

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

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

3. High-level position of responsibility for sustainability?

The company has established the Permanent Sustainability Commission, consisting of five directors and one manager. Júlio Cesar Batista Nogueira is the sustainability and environment manager, who is not a board member.

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

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

105 - Data as of 2018.

6. Percentage or number of women board members?

Percentage of women in: Board of Directors - 18.52%, Executive Board - 7.69%. Data as of 2018.

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

FSC, UNGC.

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

The company in coordination with regional municipalities is working for solid waste management, has a partnership with Environment and Life Preservation Association (Apremavi) for providing guidance on sustainable use of land, encouraging recovery of native forest remnants, and responsible forestry. Also has taken various steps to provide education in partnership with the United Way Brasil and the Avisa Lá Institute.

9. Sustainability report published within last two years?

10. Reports through standardised reporting systems?

GRI Standards, CDP (Forest, Water Security and Climate Change reports 2019).

11. Climate risks assessment available?

12. Natural capital assessment available?

13. Lists countries and operations?

The company is headquartered in the city of São Paulo and has 18 industrial units, 17 of which are located in Brazil, and one in Argentina.

14. Lists countries sourcing from?

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 plantation forests.

16. Total area of forest plantation (ha)?

257,000 - The company reports the total planted area as 257,000 ha, unclear if this includes outgrower areas.

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

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

17.139 - The company reports that 11% of its total landbank corresponds to infrastructure and areas available for planting. No individual figure is reported for unplanted areas.

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

19,839.2 - Data as of 2018.

20. Area of Intact Forest Landscape (ha)?

21. Number of Forest Management Units (FMUs)?

22. Maps of forest management units (FMUs)?

The company only publishes static maps of its FMUs in the Forest Management Plans.

23. Forest management plans available for all FMUs?

24. Monitoring of forest management plan implementation available?

[Externally verified] Points for external verification have been awarded on the basis of the company's FSC-certification. As the P&C do not fully meet the SPOTT indicator criteria limited, externally verified points have therefore been awarded for this indicator.

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?

This indicator is disabled as the company reports that it doesn't own sawmills.

30. Names and locations of company owned sawmills?

This indicator is disabled as the company reports that it doesn't own sawmills.

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

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

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

This indicator is disabled as the company reports that it doesn't own sawmills.

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

The company only reports that in 2017, 20% of the total volume of wood used by it is acquired from third-party forests. No latest figures reported.

35. Number of third party supplying mills?

This indicator is disabled as the company reports that it doesn't source from supplying mills.

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

This indicator is disabled as the company reports that it doesn't source from supplying mills.

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

This indicator is disabled as the company reports that it doesn't source from supplying mills.

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

The company has FSC CoC certification and it commits to following Controlled Wood criteria and processes for non-certified raw materials.

39. Percentage of supply traceable to country of harvest?

100 - The company states that all wood suppliers are traceable and audited based on Controlled Wood and Chain of Custody criteria including field visits.

40. Procedures to trace raw materials to FMU level?

The company has FSC CoC certification and it commits to following Controlled Wood criteria and processes for non-certified raw materials. The company also carries out audits for all of its suppliers on a quarterly basis.

41. Percentage of supply traceable to FMU level?

The company states that all wood suppliers are traceable and audited based on Controlled Wood and Chain of Custody criteria including field visits.

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

100% FSC-certification target already met.

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

100% - 100% FSC-certification target already met.

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

The company has commited that 100% of its timber supply should be FSC-certified by 2023.

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

25.5% - The company's Parana concession's supply was 47.5% FSC-certified and its Santa Catarina concession's supply 3.6% FSC-certified.

46. Percentage area (ha) FSC FM certified?

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

100% FSC-certification already met.

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

The company's Parana concession's supply was 47.5% FSC-certified and its Santa Catarina concession supply 3.6% FSC-certified.

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

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

This indicator is disabled as the company reports that it doesn't operate in a country with a PEFC-endorsed SFM standard.

51. Commitment to zero deforestation or zero conversion of natural ecosystems?

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

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

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

53. Criteria for defining deforestation?

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

54. Evidence of monitoring deforestation?

The company uses satellite imagery and monitoring to ensure that both the company and its suppliers are in line with the Brazilian Forest Code.

55. Amount of illegal/non-compliant deforestation recorded?

The company states that there was no deforestation in its estates in 2018.

56. Amount of illegal//non-compliant deforestation recorded in supplier operations?

0 (0%) - The company states that no evidence of deforestation was found in the activities of wood suppliers in 2018.

57. Commitment to restoration of non-compliant deforestation/conversion?

58. Commitment to restoration of non-compliant deforestation/conversion applies to all suppliers?

59. Implementing a landscape or jurisdictional level approach?

60. Commitment to biodiversity conservation?

The company makes this commitment through the FSC Principles and Criteria (FSC-POL-01-004 V2-0 EN). Full points have therefore been awarded on the basis of the company's FSC-certified landbank which stands at 406,093.7 ha (100% of the total operational area).

61. Commitment to biodiversity conservation applies to all suppliers?

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

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

The company reports various examples including controlling invasive species and habitat restoration.

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

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

66. Commitment to protect forest areas from illegal activities?

The company makes this commitment through the FSC Principles and Criteria (FSC-POL-01-004 V2-0 EN). Full points have therefore been awarded on the basis of the company's FSC-certified landbank which stands at 406,093.7 ha (100% of the total operational area).

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

68. Evidence of protecting forest areas from illegal activities?

Points for external verification have been awarded on the basis of the company's FSC-certified landbank.

69. Commitment to no use of genetically modified organisms?

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

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

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

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

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

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

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

73. High Conservation Value (HCV) assessments available?

HCV (AAVC) assessment summaries are available within the company's forest management plans.

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

HCV (AAVC) management and monitoring summaries are available in the company's forest management plans.

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

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

77. High Carbon Stock (HCS) assessments available?

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

The company makes this commitment through the FSC Principles and Criteria (FSC-POL-01-004 V2-0 EN). Full points have therefore been awarded on the basis of the company's FSC-certified landbank which stands at 406093.7 ha (100% of the total operational area).

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

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

81. 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.

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

83. Commitment to no planting on peat of any depth applies to all suppliers?

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

0 (0%) - The company has informed ZSL that it doesn't have landbank on peat.

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

This indicator is disabled as the company's reporting broadly suggests that it doesn't have landbank on peat. Please note that ZSL has been unable to confirm this.

86. 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-POL-01-004 V2-0 EN). Full points have therefore been awarded for this indicator on the basis of the company's FSC-certified landbank which stands at 406093.7 ha (100% of the total operational area).

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

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

The company reports that it does not have operations on peatland. Points for external verification have been awarded on the basis of the company's FSC-certified landbank.

89. Commitment to reduced impact logging?

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

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

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

91. Evidence of implementing reduced impact logging practices?

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

92. Commitment to zero burning?

93. Commitment to zero burning applies to all suppliers?

94. Evidence of fire monitoring and management?

Points for external verification have been awarded on the basis of the company's PEFC-certified landbank.

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

55 - The company has only reported the average number of fires/year in its Parana forest management plan. Equivalent information on other company controlled forest management units could not be found.

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

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

The company has a target to reduce GHG intensity to 185 kg CO2/t product from 2020 to 2022.

98. GHG emissions intensity?

218.93 kg CO2eq/t product (Scope 1+2+3). Figure as of 2018.

99. GHG emissions from land use change?

100. Progress towards commitment to reduce GHG emissions intensity?

The company reports a reduction in GHG intensity figures from 2016 (238.68 kgCO2eq/ton produced) to 2018 (218.93 kgCO2eq/ton produced).

101. Methodology used to calculate GHG emissions?

Brazilian GHG Protocol Program.

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

The company has a target to reduce water consumption by 5% between 2020-2022, however, the target is not based on water use intensity.

103. Water use intensity?

18,736 - The company's total water consumption in 2018 was 18,735.98 Ml. Water-use intensity figure is not disclosed.

104. Progress towards commitment on water use intensity?

[Externally verified] The company has only reported progress on water use figures (in Megaliter) which has decreased from 2017 (112,269.3) to 2018 (109,413.52).

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

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

The company reports progress in BOD and COD levels for both paper and pulp units in 2018 from 2017. The information is externally verified.

107. Treatment of pulp and paper mill effluent?

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

This indicator is disabled as the company reports that it doesn't own sawmills.

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

110. Commitment to protect natural waterways through buffer zones?

The company makes this commitment through the FSC Principles and Criteria (FSC-POL-01-004 V2-0 EN). As the P&C do not fully meet the SPOTT indicator criteria partial points have therefore been awarded on the basis of the company's FSC-certified landbank which stands at 406,093.7 ha (100% of the total operational area).

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

[Externally verified] Points for external verification have been awarded on the basis of the company's FSC-certification. As the P&C do not fully meet the SPOTT indicator criteria limited, externally verified points have therefore been awarded for this indicator.

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

The company makes this commitment through the FSC Principles and Criteria (FSC-POL-01-004 V2-0 EN). Full points have therefore been awarded on the basis of the company's FSC-certified landbank which stands at 406,093.7 ha (100% of the total operational area).

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

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

115. 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-POL-01-004 V2-0 EN). Full points have therefore been awarded on the basis of the company's FSC-certified landbank which stands at 406,093.7 ha (100% of the total operational area).

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

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

The company makes this commitment through the FSC Principles and Criteria (FSC-POL-01-004 V2-0 EN). Full points have therefore been awarded on the basis of the company's FSC-certified landbank which stands at 406,093.7 ha (100% of the total operational area).

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

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

The company reports chemical usage per ha in its Parana and Angatuba concessions, but this does not reflect the entirety of its concessions.

120. Implementation of commitment to reduce chemical usage?

Points for external verification have been awarded on the basis of the company's FSC-certified landbank.

121. Integrated Pest Management (IPM) approach?

Points for external verification have been awarded on the basis of the company's FSC-certified landbank.

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

123. Commitment to human rights?

124. Commitment to human rights applies to all suppliers?

125. Progress on human rights commitment ?

126. Commitment to respect Indigenous and local communities' rights?

127. Commitment to Indigenous and local communities' rights applies to all suppliers?

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

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

The company makes this commitment through the FSC Principles and Criteria (FSC-POL-01-004 V2-0 EN). Full points have therefore been awarded on the basis of the company's FSC-certified landbank which stands at 406,093.7 ha (100% of the total operational area).

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

The company makes this commitment through the FSC Principles and Criteria (FSC-POL-01-004 V2-0 EN). Full points have therefore been awarded on the basis of the company's FSC-certified landbank which stands at 406,093.7 ha (100% of the total operational area).

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

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

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

133. Examples of local stakeholder engagement to prevent conflicts?

[Externally verified] Points for external verification have been awarded on the basis of the company's FSC-certification. As the P&C do not fully meet the SPOTT indicator criteria limited, externally verified points have therefore been awarded for this indicator.

134. Details of process for addressing land conflicts available?

The company makes this commitment through the FSC Principles and Criteria (FSC-POL-01-004 V2-0 EN). As the P&C do not fully meet the SPOTT indicator criteria partial points have therefore been awarded on the basis of the company's FSC-certified landbank which stands at 406,093.7 ha (100% of the total operational area).

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

136. 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.

137. 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 plantation forests.

138. Commitment to provide essential community services and facilities ?

The company makes this commitment through the FSC Principles and Criteria (FSC-POL-01-004 V2-0 EN). Full points have therefore been awarded on the basis of the company's FSC-certified landbank which stands at 406,093.7 ha (100% of the total operational area).

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

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

The company makes this commitment through the FSC Principles and Criteria (FSC-POL-01-004 V2-0 EN). As the P&C do not fully meet the SPOTT indicator criteria partial points have therefore been awarded on the basis of the company's FSC-certified landbank which stands at 406,093.7 ha (100% of the total operational area).

141. 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.

142. 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). Full points have therefore been awarded on the basis of the company's FSC-certification/FSC membership.

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

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

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

[Externally verified] Points for external verification have been awarded on the basis of the company's FSC-certification. As the P&C do not fully meet the SPOTT indicator criteria limited, externally verified points have therefore been awarded for this indicator.

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

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

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

148. Percentage or number of temporary employees?

0 (0%) - The company reports that in 2018, there were no employees on a part-time employment basis.

149. Percentage or number of women employees?

11.72% - Data as of 2018.

150. Commitment to pay at least minimum wage?

151. Commitment to pay at least minimum wage applies to all suppliers?

152. Progress on commitment to pay at least minimum wage?

1.03 - The company reports that in 2018, the lowest salary paid by the company was 1.03 times higher than the national minimum wage.

153. Reporting of salary by gender?

The company reports figures for the relationship between the lowest salary paid by the organisation and the local minimum wage by gender.

154. Commitment to address occupational health and safety?

The company makes this commitment through the FSC Principles and Criteria (FSC-POL-01-004 V2-0 EN). As the P&C do not fully meet the SPOTT indicator criteria partial points have therefore been awarded on the basis of the company's FSC-certified landbank which stands at 406,093.7 ha (100% of the total operational area).

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

The company only has a commitment to address health and safety for its suppliers. ILO reference is not made.

156. Provision of personal protective equipment and related training?

[Externally verified] Points for external verification have been awarded on the basis of the company's FSC-certification. As the P&C do not fully meet the SPOTT indicator criteria limited, externally verified points have therefore been awarded for this indicator.

157. Time lost due to work-based injuries?

The company reports the rate of recordable work-related injuries for direct and indirect employees as 10.2 and 5.9 respectively in 2018. Unit of measurement is not disclosed.

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

3 - The company reports the number of fatalities as a result of work-related injuries for direct and indirect employees as 0 and 3 respectively in 2018.

159. Commitment to support smallholders?

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

161. Percentage of outgrower scheme and/or independent smallholders involved in programme?

383 - The company reports that in 2018, the Small Rural Producers Forest Certification Program has allowed 383 local producers to become certified.

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

Matrix to evaluate "critical contracted suppliers in the industrial area" and the "risks they pose to the company, both financially and regarding sustainability".

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

164. Suspension or exclusion criteria for suppliers?

The company has a policy for the supply of goods and services which states that any violation of the provisions of its social and environmental responsibilities may be considered as sufficient reason for the immediate suspension of contractual supply.

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

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

The company only reports various indicators showing what percentage of its supply complies with various Brazilian Forest Code legislation.

167. Commitment to ethical conduct and prohibition of corruption?

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

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

170. 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.

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

172. 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.

173. Whistleblowing procedure?

Whistleblowing and grievances are reported through an ombudsman channel, with anonymity guaranteed.

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

175. Details of complaints and grievances disclosed?

The company only provides a summary of the grievances in 2018 and states their status.