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Enhancing the Responsible Sourcing of Forest Impact Commodities

This project aimed to develop risk analyses for soy, palm oil and cattle, commodities that are known to be directly associated with forest degradation in developing countries. In addition to the risk analyses, the project also developed and made available user-friendly tools, so that industry members could strengthen their responsible sourcing of these commodities.

Objectives

The objective of the project was “to reduce the negative social and environmental impacts of Danish trade in forest-impact commodities (soy, palm oil and cattle), known to cause forest destruction and devastation of livelihoods”. 

In collaboration with the project partner SEGES, this project developed a framework methodology and the actual risk assessments for the commodities. 

SEGES is a key Danish agricultural knowledge hub that provides advice for companies using animal feed and semi-manufactures containing soya and palm oil. “Our target groups are facing challenges in securing responsible supply chains right back to the forest level,” says chief consultant Gustaf Bock of SEGES.

The primary target group of the project was Danish companies that imported palm oil, soy and cattle. However, the project had an international perspective due to the focus on developing information from developing countries from which the companies source these commodities. The project gave Danish buyers access to specific, reliable and un-biased information, plus guidance on CSR-related risks in the geographic areas from which they were sourcing. 

Preferred by Nature´s Executive Director Peter Feilberg comments, “Danish companies are making big efforts to ensure that their products are responsibly produced. This can be a difficult task requiring detailed information about management practices and other conditions in areas far from Denmark. At Preferred by Nature we have collected and forwarded this type of information within the forest sector since 2007. With the Danish CSR project, we will expand this work to encompass a number of agricultural products. We expect that the project will help Danish companies to secure responsible sourcing."

 

Project activities

The project with the official name Responsible sourcing of Soy, Cattle and Palm Oil – Reducing Social and Environmental Risks Related to Trade in Forest-Impact Commodities, carried out a number of activities during the three years project timeline. 

Step one of the project was to develop the Risk Assessment Framework Methodology. This among other things included a consultation of the methodology among relevant stakeholders as well as in-depth research. Following this step was the actual development of 20 risk assessments frameworks, which resulted in 20 country risk profiles. These, other tools and information were made available for Danish companies on an online platform, also build as part of the project activities.  

Another important part of the project was to raise awareness regarding the challenges, communication of the project results and capacity building, which involved training Danish companies to make use of the tools and the information made available to them, as a result of this project. 

Case studies, training seminars, industry guidance and a national launch event, were some of the activities implemented to ensure the dissemination level set out before project start. Learn more about the case study programme here and how your company can benefit from the new method to control CSR-risks in your supply chain.

 

 

Project results

Methodologies, country profiles and platform development: 

  • 3 Risk Assessment Framework Methodologies for development of risk assessment frameworks were established
  • 20 risk assessments, 20 stakeholder consultations and 20 country profiles completed and published
  • An online platform was developed to provide industry members with an easy way to access and use the risk assessments frameworks. The platform also provided stakeholders with all the information and documentation related to the project (such as methodologies, stakeholder consultations etc.).

Stakeholders, communication and training: 

  • Five Danish industry cases were developed
  • 500 Danish industry members were reached directly and made aware of how to identify and control CSR-related risks in their supply chain
  • 1000 members of the Danish industry were reached indirectly through media outreach work.
  • Overall 50 percent increase in the number of companies who are aware of CSR issues related to trade in palm oil, soy and cattle from developing countries (measured by survey)
  • 50 NGOs, trade associations, government initiatives, etc. working with Danish industries on CSR issues were directly contacted by the project and made aware of the tools available
  • 25 NGOs and associations working in developing countries for which this project has developed risk assessment profiles,  have received information and tools developed by the project
  • 150 Danish industry members and 15 NGO/government/trade association representatives participated in a 1-day training session. 

 

Forest and lake

 

Tools and guidance

The CSR MethodologyOverview of the 7 CSR principles and 19 indicators of which risk is assessed against
New National Risk AssessmentsBrief guidance article about how National Risk Assessments can help mitigate risk
Nye nationale risikovurderinger (DK)Brief guidance article about how National Risk Assessments can help mitigate risk (in Danish)
The Case Study Programme (DK)Pamphlet that describes the case study programme which invites 5 companies to participate in a 3-4 months partnership with free expert guidance in responsible sourcing of palm oil, soy and beef (in Danish).
The Case Study Programme Pamphlet that describes the case study programme which invites 5 companies to participate in a 3-4 months partnership with free expert guidance in responsible sourcing of palm oil, soy and beef.

 


Project Activities Calendar 

Fall 2015Development of the CSR methodology
Aug 2015Press release about the project
Jan-Nov 2016Development of 16 National Risk Assessments covering some of the world's largest producer countries of palm oil, soy and beef
Feb-Jul 2016Baseline survey that investigated the general awareness of social and environmental risks among industries sourcing these commodities
Aug 2016Opening of the case study programme for companies. 5 openings were available free of charge
Nov 2016Thematic article no. 1: How National Risk Assessments can help companies source palm oil, soy and beef responsibly
Spring 2017Press release: Open call for companies in the case study programme
Jun 2017Thematic article no. 2: Lessons learned from the case study programme
Aug 2017Launch event at BITE Copenhagen presenting risk results, methodologies and lessons learned from company case studies
Summer 2017Thematic article no. 3: Lessons learned from the case study programme
Fall 2017Free 1-day training session in Aarhus: A chance to meet the project experts behind the methodology who will train companies in a risk based approach to supply chain management that can enable responsible sourcing of forest impact commodities
Fall 2017Free 1-day training session in Aalborg: A chance to meet the project experts behind the methodology who will train companies in a risk based approach to supply chain management that can enable responsible sourcing of forest impact commodities
Fall 2017Free 1-day training session in Vejle: A chance to meet the project experts behind the methodology who will train companies in a risk based approach to supply chain management that can enable responsible sourcing of forest impact commodities
Fall 2017Free 1-day training session in Copenhagen: A chance to meet the project experts behind the methodology who will train companies in a risk based approach to supply chain management that can enable responsible sourcing of forest impact commodities
May 2018Final survey measuring effects
May 2018Online platform with risk results, tools and guidance: Final version ready

 

 

Project Details:

Title

Responsible Sourcing of Soya, Palm oil, Beef and Cattle Hide/leather: Reducing Social and Environmental Risks when Trading Forest-related Products
Year
2015-2018
Location
Denmark
Funded by
Ministry of Foreign Affairs of Denmark - Danida
Partners
SEGES
Budget
424,270 EUR
Contact person
Cu Van Ho
Senior Manager, Forestry
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