Oji Holdings Corp

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

The company has an Environmental Charter and Action Program, a Behavior Standard, a Code of Conduct and Policies on Corporate Governance that cover sustainability issues.

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

The company has separate procurement policies and guidelines that cover same topics as company's own policies.

3. High-level position of responsibility for sustainability?

Environmental Management Officer.

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?

6. Percentage or number of women board members?

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] UNGC.

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

The company is a member of JBF and JPA and participates in committees that address climate change, forest conservation, reduction of environment and also collaborates with JWF to support its intent.

9. Sustainability report published within last two years?

The company published an Integrated Report-2019.

10. Reports through standardised reporting systems?

CDP.

11. Climate risks assessment available?

The company has conducted and published a climate risk assessment.

12. Natural capital assessment available?

13. Lists countries and operations?

Indonesia (plantation), Vietnam (plantation, processing facilities), Laos (plantation), Myanmar (processing facilities), China (plantation), Brazil (plantation, processing facility), Australia (plantation), New Zealand (plantation, processing facilities), Japan (forest concessions).

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 plantation forests.

16. Total area of forest plantation (ha)?

440000

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

This indicator is disabled as the company reports that it doesn't use outgrower schemes for wood/wood fibre production.

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

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

109162 - The company states 2,600 ha of forest is being conserved in Japan and the FSC certificates of one subsidiary show that 106,561.67 ha are protected in Brazil. However, this data does not cover all of the company's operations and some of the data is more than two years old.

20. Area of Intact Forest Landscape (ha)?

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

21. Number of Forest Management Units (FMUs)?

22. Maps of forest management units (FMUs)?

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/PEFC-certification. As the requirements of these certifications 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?

2 - The company provides references to two sawmills: Hyuga Japan, KTH Sawmill. However, It is not clear if these represent all sawmills owned by the company, and also the information provided is undated.

30. Names and locations of company owned sawmills?

The company only provides static image files showing two sawmills. It is not possible to determine their exact location using these maps, and it is also unclear whether these represent all company 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?

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?

35. Number of third party supplying mills?

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/or third parties?

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

39. Percentage of supply traceable to country of harvest?

40. Procedures to trace raw materials to FMU level?

41. Percentage of supply traceable to FMU level?

The company reports that 15% of its total supply is from its own operations in 2018 therefore at least as much is traced back to FMU level. The company has procedures in place to trace materials back to FMU level however it is unclear from reporting what percentage of its supply is traced back to FMU level.

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

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

95.4% - The company has a total landbank of 440,000 ha out of which 250000 ha is FSC-certified and 170,000 ha of the non-FSC-certified area is certified by SGEC (PEFC Japan). Legality verification is provided for this 420,000 ha by the certifications.

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?

3% - The company only states that 3% of its supply comes from its own overseas plantations that are certified by FSC.

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?

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 Controversial Sources requirements?

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

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) and the PEFC International Chain of Custody Standard (PEFC ST 2002:2013). Full points have therefore been awarded on the basis of the company's FSC-certification/FSC membership and PEFC CoC certification.

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?

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

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

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

The company reports on the restoration of the ecosystem through planting indigenous species of trees in order to recover the environment (natural forest). However, it does not include the cut-off date.

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

59. Implementing a landscape or jurisdictional level approach?

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

60. Commitment to biodiversity conservation?

61. Commitment to biodiversity conservation applies to all suppliers?

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

[Externally verified] The company identified some species of conservation concern and has projects for species conservation however it has not referenced the system according to which these species are protected. Points for external verification have been awarded on the basis of the company's FSC/PEFC-certification. As the requirements of these certifications do not fully meet the SPOTT indicator criteria limited, externally verified points have therefore been awarded for this indicator.

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

The company reports various activities, including projects to protect kiwi chicks and fairy pitta habitat and a process of restoration of ecosystem and also providing protection towards rare species. Points for external verification have been awarded on the basis of the company's FSC/PEFC-certified landbank.

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 only states regular on-site inspections to uncover issues such as illegal logging.

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

The company only states regular on-site inspections to uncover issues such as illegal logging.

68. Evidence of protecting forest areas from illegal activities?

Points for external verification have been awarded on the basis of the company's FSC/PEFC-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?

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?

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

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)?

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)?

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

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

The company has a commitment to best management practices for soil. No equivalent commitment could be identified for peat.

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 only conducts nutritional analyses of soil and plantation trees and fertilisation in order to protect the soil environment. 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?

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?

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

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

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

The company states Reduction in  GHG emission intensity (t-CO2e/production t) in conjunction with product manufacturing by at least 10% compared to the FY 2013 level by FY 2020.

98. GHG emissions intensity?

The company reports (0.476) intensity (t-CO2e/production t) figure for the year 2018 and (0.482) intensity (tCO2e/productiont) figure for the year 2017.

99. GHG emissions from land use change?

100. Progress towards commitment to reduce GHG emissions intensity?

The company achieved a 9% reduction in GHG emissions intensity in FY2018 compared with FY2013.

101. Methodology used to calculate GHG emissions?

The company reports that Japanese operations calculations are based on the 'Act on the Rational Use of Energy' and the 'Act on Promotion of Global Warming Counter measured', while for overseas operations calculations are based on the GHG Protocol.

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

The company states it improved the intensity of water used 1% or more compared with the previous year.

103. Water use intensity?

46.39 - The company reports water use intensity 46.39 m3/production t.

104. Progress towards commitment on water use intensity?

The company reports progress data of water use intensity 46.39 m3/production t for the year (2018) and 46.76 m3/production t for the year(2017).

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

The company has a year-on-year target to improve both BOD and COD emission intensities by 1% or more.

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

The company reports progress data of BOD Emission and Intensity for the year 2018 (5.07), 2017 (5.33) and COD Emission and Intensity for the year 2018 (22.52), 2017 (23.70).

107. Treatment of pulp and paper mill effluent?

The company has made advancements in its water treatment technology such as cellulose nano fiber, has an advanced paper which serves as an alternative to plastic.

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

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

110. Commitment to protect natural waterways through buffer zones?

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/PEFC-certification. As the requirements of these certifications 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?

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

The company only states it manages chemical substances.

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?

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?

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 summary audit reports of the company's FSC-certified areas contain lists of pesticides used however these do not cover the company's whole operations.

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?

[Externally verified] The company reports reducing the amount of waste generated and expand its utilization effectively. Points for external verification have been awarded on the basis of the company's FSC/PEFC-certification. As the requirements of these certifications do not fully meet the SPOTT indicator criteria limited, externally verified points have therefore been awarded for this indicator.

123. Commitment to human rights?

124. Commitment to human rights applies to all suppliers?

125. Progress on human rights commitment ?

The company reports raising awareness of respect for human rights through activities including regular training sessions and the publication of Compliance News.

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

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

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

The company makes this commitment through the FSC Policy for Association (FSC-POL-01-004). As the Policy for Association's requirements do not fully meet the SPOTT indicator criteria partial points have been awarded on the basis of the company's FSC-certification/FSC membership.

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

The company makes this commitment through the PEFC International Chain of Custody Standard (PEFC ST 2002:2013). Full points have therefore been awarded on the basis of the company's PEFC CoC certification.

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] The company reports limited examples and the information is also undated. 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?

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 ?

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

The company provides limited examples like taking initiative for respecting human rights, support for enhancing the educational environment, and dispatch of doctors and nurses to regions that lack medical professionals. Points for external verification have been awarded on the basis of the company's FSC-certified landbank.

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

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 refers to all Fundamental ILO Conventions, except for Minimum Age and Equal Remuneration. The company makes this commitment through the FSC Policy for Association (FSC-POL-01-004) and the PEFC International Chain of Custody Standard (PEFC ST 2002:2013). Full points have therefore been awarded on the basis of the company's FSC-certification/FSC membership and PEFC CoC certification.

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

The company refers to all Fundamental ILO Conventions, except for Minimum Age and Equal Remuneration. The company makes this commitment through the FSC Policy for Association (FSC-POL-01-004) and the PEFC International Chain of Custody Standard (PEFC ST 2002:2013). Full points have therefore been awarded on the basis of the company's FSC-certification/FSC membership and PEFC CoC certification.

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

[Externally verified] The company states it built a system for promoting compliance activities by establishing the Corporate Compliance Department of Oji Holdings and compliance leaders at domestic and overseas Group companies. Points for external verification have been awarded on the basis of the company's FSC/PEFC-certification. As the requirements of these certifications 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?

149. Percentage or number of women employees?

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?

153. Reporting of salary by gender?

154. Commitment to address occupational health and safety?

The company has a health and safety plan in the workplace but does not refer to the ILO Code of Practice on Safety and Health in Forestry Work.

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

The company has a health and safety plan in the workplace but does not refer to the ILO Code of Practice on Safety and Health in Forestry Work.

156. Provision of personal protective equipment and related training?

[Externally verified] The company only provides information on safety training. No information on personal protective equipment found. Points for external verification have been awarded on the basis of the company's FSC/PEFC-certification. As the requirements of these certifications 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?

0.55 - Frequency rate of accidents resulting in lost work hours.

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

3 - The company reports one fatality for contractors and two for Occasional entering for the year 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?

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

The company states that it will verify that its suppliers of wood raw materials are fulfilling requirements through either document-based or on-site surveys, based on the Oji Group Partnership Procurement Policy.

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

1154 - The company reports receiving 511 traceability reports from domestic woodchip suppliers, 261 reports on each shipment from overseas woodchip suppliers and 382 reports from pulp suppliers for the fiscal year 2018. The reports have confirmed that procurement complies with the wood raw material procurement guidelines.

164. Suspension or exclusion criteria for suppliers?

The company makes this commitment through the FSC Chain of Custody Certification Standard (FSC-STD-40-004). As the Standard's requirements do not fully meet the SPOTT indicator criteria partial points have been awarded on the basis of the company's FSC CoC certification.

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?

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?

The company Code of Conduct and Oji Group Behavior Standard expressly provide for 'wholesome relationships with politics and government' and 'maintenance of honest, wholesome relationships with business partners' and prohibit corruption and bribery.

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?

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

175. Details of complaints and grievances disclosed?