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  • Overall approach
    2/10
    • Overarching commitment on deforestation
      0/4
    • Signatory to an initiative tackling deforestation
      1/1
      Signatory
      Yes
      1/1
      Which initiatives?: UN Global Compact
      Arauco is a subsidiary of Angelini Group and is part of the UN Global Compact
    • Awareness of the value of forests
      1/1
      Awareness
      Yes
      1/1
      "Trees represent one of the strongest existing strategies to advance climate change mitigation and they are the foundation of all ARAUCO’s business areas. The forestland in Chile, Argentina, Brazil, and Uruguay is managed under Responsible Forest Management practices and is primarily intended to meet the company’s own industrial needs. These forests are sustainably managed, and production processes are certified to the highest global standards. Native forests and high social and environmental value areas are duly protected."
    • Deforestation as a business risk
      0/1
    • High-level management of deforestion
      0/1
    • Executive compensation linked to deforestation
    • Target to reduce emissions from land-use change
      0/1
    • Reporting on emissions from land-use change
      0/1
    • Disclosure of conservation activity
    • Disclosure of reforestation activity
    • Target to reduce emissions in scope 1/2
      Reduce emissions
      Yes
      0/0
      Type of climate target: Other or unclear

      What is the target date for the company to achieve their climate target?: 2030

      Is this target aligned with/verified by SBTi?: No
      Within the framework of such an important global bodyas much as COP26, from Glasgow acquiredWe make the commitment to reduce, throughan integrated portfolio of projects, one milliontons of CO2 by 2030. This action planclimate action proposes interventions in threeaxes: continue reducing our emissionsbased on climate science, achievegoal of zero waste by 2030 and restore 25thousand hectares of native forest, goals thatare in line with the Determined ContributionsNationally mined (NDC) and the objectivesset out in the Paris Agreement
  • Commodity score
    17/90
    • Timber
      19/90
      • Commitment Strength
        4/17
        • Commodity-specific deforestation commitment
          4/9.5
          • Commitment details
            Credible certification scheme
            2/6
            Commodity-specific deforestation commitment
            Credible certification scheme
            2/6
            When was this commitment set?: NA

            Which certification schemes are used?: FSC; PEFC
            "On September 10, 2013, the certification body of FSC®, Woodmark, issued a certificate that accredits that all of ARAUCO's Chilean forestry assets are being handled under the demanding FSC® standards. This certificate is valid for five years and is will carry out annual follow-ups to verify that the plans ARAUCO's forestry operations maintain compliance of certified standards."[...]". In Brazil certifications were maintained FSC® "
          • Commitment applies to all regions, suppliers and operation
            No
            0/2
            Commitment applies to all regions, suppliers and operation
            No
            0/2
            What subsidiaries are explicitly included?: Arauco Subsidiary + Operations in Chile and Brazil

            What percentage of commodity production/sourcing is excluded?: NA

            What is the rationale for any exclusions?: NA

            What subsidiaries are explicitly excluded?: NA

            If no, what is excluded?: Subsidiary; Location
            "On September 10, 2013, the certification body of FSC®, Woodmark, issued a certificate that accredits that all of ARAUCO's Chilean forestry assets are being handled under the demanding FSC® standards. This certificate is valid for five years and is will carry out annual follow-ups to verify that the plans ARAUCO's forestry operations maintain compliance of certified standards."[...]". In Brazil certifications were maintained FSC® "
          • Target date
            Current/achieved
            1/1
            Target date
            Current/achieved
            1/1
            What actions or steps are identified for time-bound implementation?: FSC Certification PEFC
            "On September 10, 2013, the certification body of FSC®, Woodmark, issued a certificate that accredits that all of ARAUCO's Chilean forestry assets are being handled under the demanding FSC® standards. This certificate is valid for five years and is will carry out annual follow-ups to verify that the plans ARAUCO's forestry operations maintain compliance of certified standards."[...]". In Brazil certifications were maintained FSC® "
          • Interim target date
            NA (target date current or achieved or 2023)
            0.5/0.5
            Interim target date
            NA (target date current or achieved or 2023)
            0.5/0.5
            What date is given for the interim milestone?: NA
            "On September 10, 2013, the certification body of FSC®, Woodmark, issued a certificate that accredits that all of ARAUCO's Chilean forestry assets are being handled under the demanding FSC® standards. This certificate is valid for five years and is will carry out annual follow-ups to verify that the plans ARAUCO's forestry operations maintain compliance of certified standards."[...]". In Brazil certifications were maintained FSC® "
        • Commitment to a traceable supply chain
          0/7.5
          • Commitment details
            No traceability commitment
            0/4
          • Commitment applies to all regions, suppliers and operation
            No
            0/2
          • Target date
            Post 2050 or no target date
            0/1
          • Interim target date
            No
            0/0.5
      • Associated Human Rights Abuses
        1/17
        • Labour rights in the supply chain
          No
          0/3
        • Inclusion of small-scale farmers
          No
          0/2
        • Gender equality in the supply chain
          Commitment to address gender related labour rights including discrimination and harassment
          1/2
          Gender equality in the supply chain
          Commitment to address gender related labour rights including discrimination and harassment
          0.5/2
          "Arauco prohibits discriminatory behavior by its Team Members on factors including but not limited to race, religion, gender, sexual orientation, age, nationality, descent, marital status, disability. This prohibition against arbitrary discrimination is included in Arauco’s recruitment and hiring processes, terms and conditions of employment, work tasks, training, remunerations, benefits, promotions, transfers, discipline and treatment of our coworkers."
        • Commitment to remediation
          No
          0/1
        • Commitment to test Free, Prior and Informed Consent
          No
          0/3
        • Commitment to respect customary rights to land, resources, and territory
          No
          0/3
        • Zero-tolerance approach to violence and threats
          No
          0/3
      • Implementation and Reporting
        15/56
        • Reporting proportion of compliant volumes
          0/0
        • Reporting is independently verified
          No
          2/2
          Reporting is independently verified
          No
          2/2
        • Suppliers aligned with deforestation commitments across supply chain
          No
          0/3
        • Deforestation cut off date
          No
          0/2
        • Collaborative actions
          Yes
          2/2
          Collaborative actions
          Yes
          2/2
          What initiatives does the company participate in?: Argentinean Forestry Association

          What is the nature of that participation?: Attending & contributing to meetings
          "In Argentina, the company actively participates in the Argentinean Forestry Association, the Argentinean Pulp and Paper Producers Association, as well as in FSC® International and its national initiative. In Brazil, the company presents its ideas to national trade chambers, such as the Brazilian Trees Industry (IBÁ). Contacts in the Paraná area are made through the Association of Forestry Businesses of Paraná (APRE). In North America, ARAUCO offers input into the National Formaldehyde rulemaking process, the CARB ATCM rulemaking process and LEED workshops"
        • Jurisdictional approach focused on sustainable land use
          No
          0/2
        • Risk assessments for forest risk
          Yes
          2/2
          Risk assessments for forest risk
          Yes
          2/2
          How frequently are assessments conducted?: Unspecified

          For what percentage of material produced or sourced by the company has forest risk been assessed?: NA
          "We manage biodiversity and ecosystem services in our forestland by identifiying and protecting High Conservation Value Areas (HCVAs)."
        • Operations assessed to comply with law
          No
          0/2
        • Accessible grievance mechanism
          Yes, publicly accessible grievance mechanism
          2/4
          Accessible grievance mechanism
          Yes, publicly accessible grievance mechanism
          2/4
          What is the nature of the grievance mechanism used by the company?: Own mechanism

          Which issues does the grievance mechanism cover?: Social; Environmental
          "This procedure applies to all areas of activity, products and services developed by theorganization in order to achieve responsible management of its forests.1. General Criteria1.1 For the purposes of this procedure, "complaint" or "claim" means any formal expressionthat manifests well-founded dissatisfaction of a person or organization with any activityrelated to the Company's forest management.1.2 The Company considers that a complaint or claim may constitute an opportunity to review and improveyour operations. By virtue of this, their management must be assumed with a proactive approach andpreventive, avoiding as far as possible the escalation in a potential conflict.2. Reception2.1 The procedure begins with the receipt of a complaint or claim. communication channels forsubmitting a complaint or claim to the Company are the following:a) Through line 800 (800-370222).b) By email to the “contacto@arauco.cl” box.c) Completing the corresponding record at: www.arauco.cl\forestal\formularioquejas [Annex Formdigital #1]d) By letter delivered to the forestry branch or to the Public Affairs Sub-Management.e) By directly filling out the form available at the Company's offices. [Annex Form#1]f) Through direct communication with Company personnel who perform functions in the sectorwhere the complaint or claim originates, that is, rangers and area chiefs, without prejudice to the powerdo so to the Deputy Manager of Participation and Consultation of the respective forestry subsidiary."
        • Report volumes of commodity sourced/used
          Reporting total volume
          3/3
          Report volumes of commodity sourced/used
          Reporting total volume
          3/3
          Reporting non-certified/non-compliant volume: NA

          Total volume: 12,073,640 cubic metres

          What is the non-DCF commodity volume sourced from known production areas, and proportion of total supply chain volume this represents?: NA

          What product types/sectors is this in?: Wood Processing

          Reporting certified/compliant volume: NA
          In 2021 their total production was 12,073,640 cubic metres including dry/green wood, PB, MDF, plywood and remanufactured wood.
        • Monitor compliance for labour rights and FPIC
          No
          0/5
        • Monitor compliance for zero tolerance approach and customary rights
          No
          0/5
        • Upstream: Impact assessments for land development/acquisition
          No
          0/4
        • Upstream: Reporting production/processing locations
          No disclosure
          0/4
          Upstream: Reporting production/processing locations
          No disclosure
          0/4
          What is the total land area owned, managed, or controlled by the company for the forest risk commodity?: NA

          For what percent are boundaries (of certified land holdings) disclosed?: NA

          For what percent are boundaries disclosed?: NA

          For what percent are point locations (of certified land holdings) disclosed?: NA

          From what sub-national jurisdiction(s) does the company source material?: Bio Bio ; Valdivia ; Rio Grande do Sul

          What is the area, in hectares of production units, on which non-DCF commodities are produced or processed, by country and jurisdiction: NA

          In what country(ies) does the company operate and/or source material?: Chile ; Brazil

          In what jurisdiction(s)/subnational region does the company operate and/or source material?: NA

          What is the total area (in ha) of natural ecosystem on land owned, managed, or controlled by the company?: NA

          What types of ecosystems are these?: NA

          What type of conservation designation and/or conservation status is used?: NA

          For what percent are boundaries (of holdings under conservation) disclosed?: NA

          What is the total area in production (in ha)?: NA

          For what percent are point locations (of holdings under conservation) disclosed?: NA

          What is the total area of land (in ha) that is available for future production, e.g. concessions?: NA

          What is the volume of each forest risk commodity that the company produced/processed/sourced in the previous year from each national or subnational location?: NA

          For what percent are point locations (of land holdings and processing facilities) disclosed: NA
        • Downstream: Reporting suppliers
          No
          0/4
        • Upstream: Monitor compliance of production/processing
          Yes, using a third-party verification system
          4/4
          Upstream: Monitor compliance of production/processing
          Yes, using a third-party verification system
          4/4
          What tools, processes, bodies carry out monitoring of the company's production or processing operations?: FSC audits

          For what percentage of the commodity sourced by the company is deforestation/conversion monitored at the farm level on production units known to be in the company's supply chain?: NA

          How frequently is compliance assessed?: Annually

          For what percentage of production or primary processing operations that it owns, manages, or otherwise controls does the company use external processes or actors, such as certification, to monitor compliance?: NA

          Does the company use a certification system?: Yes

          Does the company use a jurisdictional monitoring mechanism?: No

          If so, what jurisdictions and mechanisms does the company use?: FSC

          For what percentage of suppliers does the company use/rely on external mechanisms to monitor compliance?: NA
          "Among the tools used to check the proper functioning of the SGI is included theperformance of the following two types of audits:• External Audits: They are carried out once a year and are carried out by accredited certifying bodies that review the adequacy and compliance of the IMS with the requirements of ISO 14001, OHSAS 18001, MFS Certfor; CoC CERTFOR, MF FSC® and CoC & CW FSC®.• Internal Audits: They are carried out every six months by internal auditors of Forestal Arauco and are regulated by an “Internal Audit” procedure (PG 920) that ensures that all units functional areas are audited at least once a year and that each geographical area is audited within 3 years. Both types of audits take special account of compliance with current applicable legal regulations to operations."
        • Upstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Monitor compliance in supply chain
          Yes, for its suppliers
          2/4
          Downstream: Monitor compliance in supply chain
          Yes, for its suppliers
          2/4
          How is compliance monitored?: Internal monitoring and verification systems

          For what percentage of the commodity sourced by the company is deforestation/conversion monitored at the farm level on production units known to be in the company's supply chain?: NA

          How frequently is compliance assessed?: NA

          What percentage of the company's supply chain volume does that represent?: NA

          For what percentage of suppliers does the company use/rely on external mechanisms to monitor compliance?: NA

          For what percent of suppliers does the company directly monitor compliance of production or processing operations?: NA
          "ARAUCO works with contracting businesses, especially for the development of the Forestry business. Contracting businesses provide highly specialized services such as harvesting, transport and road construction. In 2019, ARAUCO worked with 11,395 employees from 202service-providing companies. ARAUCO monitors service companies’ compliance with internal standards such as protocols, regulations and certifications, and compliance with current legal regulations through occupational certification processes, throughout the entire contractual relationship. The certification process has a monthly frequency and is monitored through the performance evaluation system, which measures compliance with productive, economic, environmental, occupational and financial goals, and generates action plans."
        • Downstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Engagement with non-compliant suppliers
          Engage with suppliers but with no time-bound threat of exclusion
          1/2
          Downstream: Engagement with non-compliant suppliers
          Engage with suppliers but with no time-bound threat of exclusion
          1/2
          Does the company work with the non-compliant supplier to develop an implementation plan to remedy associated harms or non-compliance?: Yes

          Does the company engage non-compliant indirect suppliers in order to address and remedy non-compliance?: Yes

          Does the company commit to engage with rightsholders, Indigenous peoples and local communities when developing the implementation plan?: No

          What criteria does the policy specify for blacklisting or exclusion?: Not specified

          What type of support does the company offer to its suppliers to help them achieve compliance with commitments?: Action Plans
          "ARAUCO works with contracting businesses, especially for the development of the Forestry business. Contracting businesses provide highly specialized services such as harvesting, transport and road construction. In 2019, ARAUCO worked with 11,395 employees from 202service-providing companies. ARAUCO monitors service companies’ compliance with internal standards such as protocols, regulations and certifications, and compliance with current legal regulations through occupational certification processes, throughout the entire contractual relationship. The certification process has a monthly frequency and is monitored through the performance evaluation system, which measures compliance with productive, economic, environmental, occupational and financial goals, and generates action plans."
        • Downstream: Disclosure of non-compliant suppliers
          No disclosure
          0/2
    • Pulp & Paper *
      13/90
      • Commitment Strength
        4/17
        • Commodity-specific deforestation commitment
          4/9.5
          • Commitment details
            Credible certification scheme
            2/6
            Commodity-specific deforestation commitment
            Credible certification scheme
            2/6
            When was this commitment set?: NA

            Type of sustainability commitment: Reduce the volume of virgin wood fibre used in paper and packaging products through usage of recycled content

            What paper/pulp product does their commitment apply to?: Paper products; Pulp

            Which certification schemes are used?: FSC; PEFC
            "Between 2015 and 2017, the company has significantly increased the use of FSC certified pulp"[...] In reference to their pulp products Arauco state "Our products are certified to environmental management standards such as FSC, PEFC or ISO 14001, and quality standards such as ISO 9001."[...]"In Chile, the pulp mills passed the audits monitoring, of the Quality Management System and Environment, under the ISO 9001:2015 and 14001:2015, respectively, and the Chain System of Custody Certfor. • Arauco and Valdivia Plant, in Chile, successfully carry out recertification processes of the Supply Chain System SC® custody."
          • Commitment applies to all regions, suppliers and operation
            No
            0/2
            Commitment applies to all regions, suppliers and operation
            No
            0/2
            What subsidiaries are explicitly included?: Only Arauco + only some operations are FSC certified + not inclusive of packaging

            If no, what is excluded?: Subsidiary; Product line; Location
            "Between 2015 and 2017, the company has significantly increased the use of FSC certified pulp"[...] In reference to their pulp products Arauco state "Our products are certified to environmental management standards such as FSC, PEFC or ISO 14001, and quality standards such as ISO 9001."[...]"In Chile, the pulp mills passed the audits monitoring, of the Quality Management System and Environment, under the ISO 9001:2015 and 14001:2015, respectively, and the Chain System of Custody Certfor. • Arauco and Valdivia Plant, in Chile, successfully carry out recertification processes of the Supply Chain System SC® custody."
          • Target date
            Current/achieved
            1/1
            Target date
            Current/achieved
            1/1
            What actions or steps are identified for time-bound implementation?: Use of FSC PEFC certification
            "Between 2015 and 2017, the company has significantly increased the use of FSC certified pulp"[...] In reference to their pulp products Arauco state "Our products are certified to environmental management standards such as FSC, PEFC or ISO 14001, and quality standards such as ISO 9001."[...]"In Chile, the pulp mills passed the audits monitoring, of the Quality Management System and Environment, under the ISO 9001:2015 and 14001:2015, respectively, and the Chain System of Custody Certfor. • Arauco and Valdivia Plant, in Chile, successfully carry out recertification processes of the Supply Chain System SC® custody."
          • Interim target date
            NA (target date current or achieved or 2023)
            0.5/0.5
            Interim target date
            NA (target date current or achieved or 2023)
            0.5/0.5
            What date is given for the interim milestone?: NA
            "Between 2015 and 2017, the company has significantly increased the use of FSC certified pulp"[...] In reference to their pulp products Arauco state "Our products are certified to environmental management standards such as FSC, PEFC or ISO 14001, and quality standards such as ISO 9001."[...]"In Chile, the pulp mills passed the audits monitoring, of the Quality Management System and Environment, under the ISO 9001:2015 and 14001:2015, respectively, and the Chain System of Custody Certfor. • Arauco and Valdivia Plant, in Chile, successfully carry out recertification processes of the Supply Chain System SC® custody."
        • Commitment to a traceable supply chain
          0/7.5
          • Commitment details
            No traceability commitment
            0/4
          • Commitment applies to all regions, suppliers and operation
            No
            0/2
          • Target date
            Post 2050 or no target date
            0/1
          • Interim target date
            No
            0/0.5
      • Associated Human Rights Abuses
        1/17
        • Labour rights in the supply chain
          No
          0/3
        • Inclusion of small-scale farmers
          No
          0/2
        • Gender equality in the supply chain
          Commitment to address gender related labour rights including discrimination and harassment
          1/2
          Gender equality in the supply chain
          Commitment to address gender related labour rights including discrimination and harassment
          0.5/2
          "Arauco prohibits discriminatory behavior by its Team Members on factors including but not limited to race, religion, gender, sexual orientation, age, nationality, descent, marital status, disability. This prohibition against arbitrary discrimination is included in Arauco’s recruitment and hiring processes, terms and conditions of employment, work tasks, training, remunerations, benefits, promotions, transfers, discipline and treatment of our coworkers."
        • Commitment to remediation
          No
          0/1
        • Commitment to test Free, Prior and Informed Consent
          No
          0/3
        • Commitment to respect customary rights to land, resources, and territory
          No
          0/3
        • Zero-tolerance approach to violence and threats
          No
          0/3
      • Implementation and Reporting
        9/56
        • Reporting is independently verified
          No
          0/2
        • Suppliers aligned with deforestation commitments across supply chain
          No
          0/3
        • Deforestation cut off date
          No
          0/2
        • Collaborative actions
          Yes
          2/2
          Collaborative actions
          Yes
          2/2
          What is the nature of that participation?: Attending & contributing to meetings

          What initiatives does the company participate in?: Argentinean Pulp and Paper Producers Association
          "In Argentina, the company actively participates in the Argentinean Forestry Association, the Argentinean Pulp and Paper Producers Association, as well as in FSC® International and its national initiative. In Brazil, the company presents its ideas to national trade chambers, such as the Brazilian Trees Industry (IBÁ). Contacts in the Paraná area are made through the Association of Forestry Businesses of Paraná (APRE). In North America, ARAUCO offers input into the National Formaldehyde rulemaking process, the CARB ATCM rulemaking process and LEED workshops"
        • Jurisdictional approach focused on sustainable land use
          No
          0/2
        • Risk assessments for forest risk
          No
          0/2
        • Operations assessed to comply with law
          No
          0/2
        • Accessible grievance mechanism
          Yes, publicly accessible grievance mechanism
          2/4
          Accessible grievance mechanism
          Yes, publicly accessible grievance mechanism
          2/4
          Which issues does the grievance mechanism cover?: Social; Environmental

          What is the nature of the grievance mechanism used by the company?: Own mechanism
          "This procedure applies to all areas of activity, products and services developed by theorganization in order to achieve responsible management of its forests.1. General Criteria1.1 For the purposes of this procedure, "complaint" or "claim" means any formal expressionthat manifests well-founded dissatisfaction of a person or organization with any activityrelated to the Company's forest management.1.2 The Company considers that a complaint or claim may constitute an opportunity to review and improveyour operations. By virtue of this, their management must be assumed with a proactive approach andpreventive, avoiding as far as possible the escalation in a potential conflict.2. Reception2.1 The procedure begins with the receipt of a complaint or claim. communication channels forsubmitting a complaint or claim to the Company are the following:a) Through line 800 (800-370222).b) By email to the “contacto@arauco.cl” box.c) Completing the corresponding record at: www.arauco.cl\forestal\formularioquejas [Annex Formdigital #1]d) By letter delivered to the forestry branch or to the Public Affairs Sub-Management.e) By directly filling out the form available at the Company's offices. [Annex Form#1]f) Through direct communication with Company personnel who perform functions in the sectorwhere the complaint or claim originates, that is, rangers and area chiefs, without prejudice to the powerdo so to the Deputy Manager of Participation and Consultation of the respective forestry subsidiary."
        • Report volumes of commodity sourced/used
          Reporting partial volumes
          2/3
          Report volumes of commodity sourced/used
          Reporting partial volumes
          1.5/3
          Reporting certified/compliant volume: NA

          Total volume: 3.6 million tons

          Reporting non-certified/non-compliant volume: NA

          What is the non-DCF commodity volume sourced from known production areas, and proportion of total supply chain volume this represents?: NA

          What product types/sectors is this in?: Paper Production
          During 2021 "3.6 million tons of pulp produced"
        • Monitor compliance for labour rights and FPIC
          No
          0/5
        • Monitor compliance for zero tolerance approach and customary rights
          No
          0/5
        • Upstream: Impact assessments for land development/acquisition
          No
          0/4
        • Upstream: Reporting production/processing locations
          No disclosure
          0/4
        • Downstream: Reporting suppliers
          No
          0/4
        • Upstream: Monitor compliance of production/processing
          Yes, using a third-party verification system
          4/4
          Upstream: Monitor compliance of production/processing
          Yes, using a third-party verification system
          4/4
          If so, what jurisdictions and mechanisms does the company use?: FSC

          For what percentage of suppliers does the company use/rely on external mechanisms to monitor compliance?: NA

          How frequently is compliance assessed?: Annually

          For what percentage of the commodity sourced by the company is deforestation/conversion monitored at the farm level on production units known to be in the company's supply chain?: NA

          What tools, processes, bodies carry out monitoring of the company's production or processing operations?: FSC

          For what percentage of production or primary processing operations that it owns, manages, or otherwise controls does the company use external processes or actors, such as certification, to monitor compliance?: NA

          Does the company use a certification system?: Yes

          Does the company use a jurisdictional monitoring mechanism?: No
          "Among the tools used to check the proper functioning of the SGI is included theperformance of the following two types of audits:• External Audits: They are carried out once a year and are carried out by accredited certifying bodies that review the adequacy and compliance of the IMS with the requirements of ISO 14001, OHSAS 18001, MFS Certfor; CoC CERTFOR, MF FSC® and CoC & CW FSC®.• Internal Audits: They are carried out every six months by internal auditors of Forestal Arauco and are regulated by an “Internal Audit” procedure (PG 920) that ensures that all units functional areas are audited at least once a year and that each geographical area is audited within 3 years. Both types of audits take special account of compliance with current applicable legal regulations to operations."
        • Upstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Monitor compliance in supply chain
          Yes, for its suppliers
          2/4
          Downstream: Monitor compliance in supply chain
          Yes, for its suppliers
          2/4
          For what percentage of suppliers does the company use/rely on external mechanisms to monitor compliance?: NA

          How is compliance monitored?: Internal monitoring and verification systems

          What percentage of the company's supply chain volume does that represent?: NA

          How frequently is compliance assessed?: NA

          For what percentage of the commodity sourced by the company is deforestation/conversion monitored at the farm level on production units known to be in the company's supply chain?: NA

          For what percent of suppliers does the company directly monitor compliance of production or processing operations?: NA
          "ARAUCO works with contracting businesses, especially for the development of the Forestry business. Contracting businesses provide highly specialized services such as harvesting, transport and road construction. In 2019, ARAUCO worked with 11,395 employees from 202service-providing companies. ARAUCO monitors service companies’ compliance with internal standards such as protocols, regulations and certifications, and compliance with current legal regulations through occupational certification processes, throughout the entire contractual relationship. The certification process has a monthly frequency and is monitored through the performance evaluation system, which measures compliance with productive, economic, environmental, occupational and financial goals, and generates action plans."
        • Downstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Engagement with non-compliant suppliers
          Engage with suppliers but with no time-bound threat of exclusion
          1/2
          Downstream: Engagement with non-compliant suppliers
          Engage with suppliers but with no time-bound threat of exclusion
          1/2
          Does the company commit to engage with rightsholders, Indigenous peoples and local communities when developing the implementation plan?: No

          Does the company engage non-compliant indirect suppliers in order to address and remedy non-compliance?: Yes

          What criteria does the policy specify for blacklisting or exclusion?: Not specified

          Does the company work with the non-compliant supplier to develop an implementation plan to remedy associated harms or non-compliance?: Yes

          What type of support does the company offer to its suppliers to help them achieve compliance with commitments?: Action Plans
          "ARAUCO works with contracting businesses, especially for the development of the Forestry business. Contracting businesses provide highly specialized services such as harvesting, transport and road construction. In 2019, ARAUCO worked with 11,395 employees from 202service-providing companies. ARAUCO monitors service companies’ compliance with internal standards such as protocols, regulations and certifications, and compliance with current legal regulations through occupational certification processes, throughout the entire contractual relationship. The certification process has a monthly frequency and is monitored through the performance evaluation system, which measures compliance with productive, economic, environmental, occupational and financial goals, and generates action plans."
        • Downstream: Disclosure of non-compliant suppliers
          No disclosure
          0/2
  • * commodity scores for which a company is not a powerbroker are given half the weighting of other commodities in total scores

  • Commitment strength
    4/17
    Avg. score
  • Implementation and Reporting
    13/56
    Avg. score
  • Associated Human Rights Abuses
    1/17
    Avg. score

Profile

Celulosa Arauco y Constitución is a forestry conglomerate based in Chile producing and trading in wood and timber products. The company is controlled by the Angelini Group through holding company, Empresas COPEC. Angelini Group is selected as a powerbroker for timber and is also assessed for its exposure to pulp & paper.

Sector
Industry sector 
Forestry
Segments
Trader, Processor
HQ
HQ 
Chile
Company Type
Company type 
CO
Collective Commitments
Consumer Goods Forum member
New York Declaration on Forests signatory

Top Brands

Vesto, Innovus, Araucoply, Trupan, MSD, Durolac

How we assess the Forest 500

To ensure deforestation free supply chains, companies need to adopt and implement timebound and measurable policies for forest risk commodities.

All assessments use policies published on company websites, some links may have changed or been removed since the time of assessment.

Disclaimer

This assessment has been carried out following the methodology developed for the Forest 500 project, available here. Please see our disclaimer applicable to all information contained within this site and our terms and conditions for use of data presented on this site.

All assessments use policies published on company and financial institution websites, and while we endeavor to keep them updated some links may have changed or been removed since the time of assessment.

Please contact us with any concerns or feedback about this or other assessments included in the Forest 500.