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  • Overall approach
    8/12
    • Overarching commitment on deforestation
      4/4
      Conversion-free/zero-gross conversion/zero-net conversion commitment or a zero deforestation/deforestation-free commitment that explicitly includes all other natural ecosystems
      4/4
      Do they have a commitment for other non-Forest 500 commodities, if so which?:
      "BASF purchases a range of renewable raw materials. The commodities evaluated with high deforestation risks are palm (kernel) oil, soya oil and its derivates, and lignosulphonates extracted from wood. " [....] "Commitment to eliminate conversion of natural ecosystems, Commitment to eliminate deforestation, Commitment to no deforestation, to no planting on peatlands and to no exploitation (NDPE)"
      Open source document
      Open source document
    • Signatory to an initiative tackling deforestation
      1/1
      Yes
      1/1
      Which initiatives?: World Business Council for Sustainable Development Forest Solutions Group; UN Global Compact
      "BASF actively supports the UN Global Compact, a voluntary initiative based on company commitments to implement universal sustainability principles and to advance UN goals such as the Sustainable Development Goals"[...] "The World Business Council for Sustainable Development (WBCSD), founded in 1995, follows up on the results of the Rio Conference held in 1992 – the Agenda 21. BASF has been a member since 1999."
      Open source document
    • Awareness of the value of forests
      1/1
      Yes
      1/1
      "Forests are essential to life on Earth. Forests hold the majority of the world's terrestrial biodiversity, regulate the water cycle, prevent soil erosion, provide clean air1 and are a living environment for endangered animals and indigenous communities. As forests are also a major global carbon sink, protecting and restoring forests plays a crucial role in reducing climate change. [...]  These impacts are felt both at a local, regional and global scale."
      Open source document
    • Deforestation as a business risk
      1/1
      Yes
      1/1
      Does the company recognise the risk as financial, operational, competition, reputational, or other? Please detail.: Reputational, financial, operational   
      "A failure to meet the timelines of the commitment and subsequently to continue the sourcing of 100% RSPO certified Palm Kernel Oil beyond 2020 and of Palm Kernel Oil Derivatives beyond 2025 will be a public topic and will damage the BASF brand with potential decrease in shareholder value and loss of social license to operate in palm (potential NGO activism)."
      Open source document
    • High-level management of deforestion
      1/1
      Yes
      1/1
      Which commodities does it apply to?: Palm oil; Soy

      How often does the committee or board meet to assess company's progress on addressing deforestation-related issues?: at least annually
      "A member of the Board of Executive Directors chairs BASF’s Corporate Sustainability Board (CSB) the central steering committee for sustainable development, including forest related topics. It is composed of the heads of selected business, corporate and functional units as well as of regions. The CSB monitors the implementation of the sustainability strategy and cross-divisional initiatives, defines sustainability goals and approves corporate position papers on sustainability topics – including forest related topics." [...] "Our Management Board reviews at least annually major forest-related topics, e.g. Forest-related risks and opportunities, target performance, budgets for functions and business units involved in forest related topics and progress on specific measures supporting BASF’s sustainability strategy"
      Open source document
    • Executive compensation linked to deforestation
      Yes, for all commodities
      0/0
      "The Board of Executive Directors’ target agreement contains operational and strategic objectives. The operational targets (primarily earnings, financial, investment and operational excellence targets) cover the company’s short-term financial performance. The strategic targets relate to BASF’s medium and long-term development on the basis of the corporate strategy. They comprise targets for growth, portfolio optimization, investment and R&D strategy, digitalization, sustainability and the BASF corporate values. The achievement of operational and strategic targets is evaluated separately. The amount of the performance bonus thus takes into account the Board of Executive Directors’ performance for both the short-term and long-term success of the company."
      Open source document
    • Target to reduce emissions from land-use change
      0/2
    • Reporting on emissions from land-use change
      0/2
    • Disclosure of conservation activity
    • Disclosure of reforestation activity
      Yes
      0/0
      "The Mata Viva® Initiative in Brazil is a collaboration between BASF and the Fundação Espaço ECO® organization as well as partners from many facets of society. [...] To date, a total of 730 hectares of land have been reforested and 1.2 million seedlings have been planted. A program started in 2020 restores forests in the Mata do Barreiro Rico green reserve."
      Open source document
    • Target to reduce emissions in scope 1/2
      Yes
      0/0
      Type of climate target: Net-zero emissions

      What is the target date for the company to achieve their climate target?: 2050
      "BASF is setting itself even more ambitious goals on its journey to climate neutrality and wants to achieve net zero emissions by 2050." [...] "Based on Scope 1 and Scope 2 emissions of the BASF Group; other greenhouse gases are converted into CO2 equivalents according to the Greenhouse Gas Protocol"
      Open source document
  • Commodity score
    39/88
    • Palm oil
      64/88
      • Commitment Strength
        19/20
        • Commitment to protect priority forests
          8/8
          • Commitment details
            Zero-gross conversion
            6/6
            Commitment to protect priority forests
            Zero-gross conversion
            6/6
            Does the company have a commitment to the protection of other specific named ecosystems?: HCS; Peat

            Which certification schemes are used?: RSPO
            The palm oil commitment criteria includes "No conversion of natural ecosystems", "zero gross deforestation/ no deforestation", "No new development in peat regardless of depth", "No conversion of High Carbon Stock forests" [...] "BASF has publicly committed to source 100% RSPO certified palm and palm kernel oil by 2020 and to source 100% RSPO certified palm and palm kernel oil derivatives (Fatty Alcohols, Fatty Acids, Methylesters) by 2025. A failure to meet the timelines of the commitment and subsequently to continue the sourcing of 100% RSPO certified Palm Kernel Oil beyond 2020 and of Palm Kernel Oil Derivatives beyond 2025 will be a public topic and will damage the BASF brand with potential decrease in shareholder value and loss of social license to operate in palm (potential NGO activism)."
            Open source document
          • Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            The palm oil commitment criteria includes "No conversion of natural ecosystems", "zero gross deforestation/ no deforestation", "No new development in peat regardless of depth", "No conversion of High Carbon Stock forests" [...] "BASF has publicly committed to source 100% RSPO certified palm and palm kernel oil by 2020 and to source 100% RSPO certified palm and palm kernel oil derivatives (Fatty Alcohols, Fatty Acids, Methylesters) by 2025. A failure to meet the timelines of the commitment and subsequently to continue the sourcing of 100% RSPO certified Palm Kernel Oil beyond 2020 and of Palm Kernel Oil Derivatives beyond 2025 will be a public topic and will damage the BASF brand with potential decrease in shareholder value and loss of social license to operate in palm (potential NGO activism)."
            Open source document
          • Target date
            2025
            0.3/0.7
            Target date
            2025
            0.3/0.7
            The palm oil commitment criteria includes "No conversion of natural ecosystems", "zero gross deforestation/ no deforestation", "No new development in peat regardless of depth", "No conversion of High Carbon Stock forests" [...] "BASF has publicly committed to source 100% RSPO certified palm and palm kernel oil by 2020 and to source 100% RSPO certified palm and palm kernel oil derivatives (Fatty Alcohols, Fatty Acids, Methylesters) by 2025. A failure to meet the timelines of the commitment and subsequently to continue the sourcing of 100% RSPO certified Palm Kernel Oil beyond 2020 and of Palm Kernel Oil Derivatives beyond 2025 will be a public topic and will damage the BASF brand with potential decrease in shareholder value and loss of social license to operate in palm (potential NGO activism)."
            Open source document
          • Interim target date
            Yes
            0.3/0.3
            Interim target date
            Yes
            0.3/0.3
            What date is given for the interim milestone(s)?: 2020
            The palm oil commitment criteria includes "No conversion of natural ecosystems", "zero gross deforestation/ no deforestation", "No new development in peat regardless of depth", "No conversion of High Carbon Stock forests" [...] "BASF has publicly committed to source 100% RSPO certified palm and palm kernel oil by 2020 and to source 100% RSPO certified palm and palm kernel oil derivatives (Fatty Alcohols, Fatty Acids, Methylesters) by 2025. A failure to meet the timelines of the commitment and subsequently to continue the sourcing of 100% RSPO certified Palm Kernel Oil beyond 2020 and of Palm Kernel Oil Derivatives beyond 2025 will be a public topic and will damage the BASF brand with potential decrease in shareholder value and loss of social license to operate in palm (potential NGO activism)."
            Open source document
        • Commitment to protect High Carbon Stock areas and/or peatlands
          5/5
          • Commitment details
            Yes
            3/3
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes
            3/3
            Type of commitment: HCS; Peat
            "We support the conservation of HCS forest, HCV areas, peatlands and equivalent ecological and culturally important landscapes connected to the origins of our supply chains"[...]"No development on HCS forests or HCV areas. Any development activity must utilize international best practice guidance from HCS Approach, from High Conservation Value Resource Network (HCVRN) and from the principles and criteria of the Roundtable on Sustainable Palm Oil (RSPO)."[...]"No development on peatland regardless of depth and strict application of best management practices for existing developments on peat as defined equivalent to the RSPO and no use of fire as a preparation of any area development within our supply chains."
            Open source document
          • Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            "We support the conservation of HCS forest, HCV areas, peatlands and equivalent ecological and culturally important landscapes connected to the origins of our supply chains"[...]"No development on HCS forests or HCV areas. Any development activity must utilize international best practice guidance from HCS Approach, from High Conservation Value Resource Network (HCVRN) and from the principles and criteria of the Roundtable on Sustainable Palm Oil (RSPO)."[...]"No development on peatland regardless of depth and strict application of best management practices for existing developments on peat as defined equivalent to the RSPO and no use of fire as a preparation of any area development within our supply chains."
            Open source document
          • Target date
            Current/achieved
            0.7/0.7
            Target date
            Current/achieved
            0.7/0.7
            "We support the conservation of HCS forest, HCV areas, peatlands and equivalent ecological and culturally important landscapes connected to the origins of our supply chains"[...]"No development on HCS forests or HCV areas. Any development activity must utilize international best practice guidance from HCS Approach, from High Conservation Value Resource Network (HCVRN) and from the principles and criteria of the Roundtable on Sustainable Palm Oil (RSPO)."[...]"No development on peatland regardless of depth and strict application of best management practices for existing developments on peat as defined equivalent to the RSPO and no use of fire as a preparation of any area development within our supply chains."
            Open source document
          • Interim target date
            Yes
            0.3/0.3
            Interim target date
            Yes
            0.3/0.3
            "We support the conservation of HCS forest, HCV areas, peatlands and equivalent ecological and culturally important landscapes connected to the origins of our supply chains"[...]"No development on HCS forests or HCV areas. Any development activity must utilize international best practice guidance from HCS Approach, from High Conservation Value Resource Network (HCVRN) and from the principles and criteria of the Roundtable on Sustainable Palm Oil (RSPO)."[...]"No development on peatland regardless of depth and strict application of best management practices for existing developments on peat as defined equivalent to the RSPO and no use of fire as a preparation of any area development within our supply chains."
            Open source document
        • Commitment to a traceable supply chain
          6/6
          • Commitment details
            Traces to Point of production
            4/4
            Commitment to a traceable supply chain
            Traces to Point of production
            4/4
            In the supply chain they require:  "comprehensive and adequate quality information on traceability of your palm supply chain e.g. to traceability to oil palm mill level and ultimately on traceability to plantation - but not limited to" the encouragement of "suppliers and their 3rd party suppliers to increase transparency of your and their palm supply chain"  traceability requirements of BASF: "(currently twice per year: traceability needs to be expressed per unit operation supplying to BASF and needs to comprise refineries, palm kernel crushers, palm oil mills and palm plantations connected (directly and indirectly) to your unit operations supplying to BASF together with GPS codes, names and group companies for all levels" [...] " "By 2020 –we commit ourselves to source palm oil and palm kernel oil, that is traceable. [...] By 2025 –we commit ourselves to source significant intermediates based on palm oil and palm kernel oil, that are traceable. This commitment include fractions as well as primary oleochemical derivatives plus vegetable oil esters."
            Open source document
            Open source document
          • Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            Commitment applies to all regions, suppliers and operation
            Yes
            1.3/1.3
            "We are committed to achieve traceable supply chains and establish appropriate monitoring of these principles in our supply chains to drive risk assessment and corrective actions. [....] We expect you as a supplier to BASF to increasingly address the key elements below in your supply chain. [...] You support upstream traceability to oil mill level and ultimately to plantation level for certified products to break the link between oil palm and deforestation."
            Open source document
          • Target date
            2025
            0.3/0.7
            Target date
            2025
            0.3/0.7
            What actions or steps are identified for time-bound implementation?: "We are committed to achieve traceable supply chains and establish appropriate monitoring of these principles in our supply chains to drive risk assessment and corrective actions."
             "By 2020 –we commit ourselves to source palm oil and palm kernel oil, that is traceable. [...] By 2025 –we commit ourselves to source significant intermediates based on palm oil and palm kernel oil, that are traceable. This commitment include fractions as well as primary oleochemical derivatives plus vegetable oil esters."
            Open source document
          • Interim target date
            Yes
            0.3/0.3
            Interim target date
            Yes
            0.3/0.3
            What date is given for the interim milestone(s)?: 2020
             "By 2020 –we commit ourselves to source palm oil and palm kernel oil, that is traceable"
            Open source document
      • Social Considerations
        14/18
        • Labour rights in the supply chain
          Yes
          4/4
          Labour rights in the supply chain
          Yes
          4/4
          Details of commitment: ILO; UNGP; Discrimination; Forced labour; Child labour; Freedom of association

          Other workers' rights commitments: Living wage; Only work legal working hours; Free from abusive practices/undue disciplinary procedures
          "We particularly expect you as our supplier to support, embrace and enact the following ESG standards, which are based on the ten principles of the United Nations Global Compact initiative, the United Nations Guiding Principles on Business and Human Rights, the International Labour Organization"[...] "You support the protection of internationally proclaimed human rights, fight forced labor (including modern slavery and human trafficking) and child labor • You uphold the freedom of association and the right to collective bargaining in accordance with applicable laws. • You treat your employees with respect and provide a workplace free of harassment or abuse of any kind, harsh and inhumane treatment, unlawful practices or discrimination. You comply with minimum wages and working hours in accordance with local laws, and ensure compensation of a living wage according to local living conditions."[...] "We expect our suppliers to respect human rights. Our Supplier Code of Conduct is part of our standard purchasing contracts and conditions of purchase. We reserve the right to terminate a business relationship if a supplier fails to meet these obligations."
          Open source document
          Open source document
        • Inclusion of small-scale farmers
          Yes
          4/4
          Inclusion of small-scale farmers
          Yes
          4/4
          What is the nature of that support?: Certification; Economic

          How many smallholders do they support, and what percentage does this represent in terms of their sourcing from smallholders?: not disclosed
          "we support smallholders as an important link within the value chain." [...] "Sustainability certification, such as the RSPO, can be costly and difficult to achieve for smallholders. However, it is also high in demand and can provide premiums. As the connecting link between suppliers of palm kernel oil and our customers, smallholder inclusion is one pillar of our palm commitment. Since 2016, BASF has been collaborating with Henkel and the Solidaridad civil society organization to improve the livelihoods of palm oil smallholders in West Kalimantan, Indonesia. The project was implemented by Solidaridad in cooperation with Credit Union Keling Kumang (CUKK), a farming cooperative that unites more than 180,000 smallholder farmers in the region. The project aims to enhance the living conditions of the people in the farming areas by improving agricultural practices, increasing yields and helping to preserve forests." [...] "In a second continuous project BASF, The Estee Lauder Companies and the Roundtable on Sustainable Palm Oil, are partnering with Solidaridad to promote sustainable palm oil and palm derivatives production in the district of Waykanan, Lampung, Indonesia."
          Open source document
        • Gender equality in the supply chain
          No commitment
          0/4
        • Commitment to remediation
          Yes
          2/2
          Commitment to remediation
          Yes
          2/2
          Type of harm covered: Social harm; Environmental harm
          "BASF is committed to the following actions:− Systematically evaluate sustainability topics (e.g. potential impact on forests, biodiversity criteria) as an integral part of investment decisions on the construction of new sites and the expansion of existing sites. These may include compensation measures for the loss of forests, e.g. investments in local reforestation programs. [....] Therefore, we are committed to achieve traceable supply chains and establish appropriate monitoring of these principles in our supply chains to drive risk assessment and corrective actions. We will identify measures to provide remediation in cases where BASF has directly caused or contributed to any non-compliance of FPIC in its own operations and we do expect this from our suppliers"
          Open source document
        • Commitment to ensure Free, Prior and Informed Consent
          Yes, the company commits to securing FPIC prior to acquiring new interests, developments, or expansions
          4/4
          Commitment to ensure Free, Prior and Informed Consent
          Yes, the company commits to securing FPIC prior to acquiring new interests, developments, or expansions
          4/4
          How far back in the supply chain does this commitment apply? E.g. tier 1, tier 2, tier 3: tier 2
          "We do expect any land use change development activity to respect the rights of indigenous and local communities to give or withhold their Free, Prior and Informed Consent (FPIC) where they hold legal, communal or customary rights in accordance with the United Nations Declaration on the Rights of Indigenous People (UNDRIP) and the HCS Approach social requirements."  [...] "We will identify measures to provide remediation in cases where BASF has directly caused or contributed to any non-compliance of FPIC in its own operations and we do expect this from our suppliers."
          Open source document
        • Commitment to resolve land conflicts
          No
      • Reporting and Implementation
        31/50
        • Reporting against commitments
          2/2
          • Commitment to protect priority forests
            Yes, for all commodity exposure
            1.7/1.7
            Commitment to protect priority forests
            Yes, for all commodity exposure
            1.7/1.7
            "BASF reached an important milestone on its path toward sustainable palm by fulfilling the part of its Palm Commitment to procure palm (kernel) oils exclusively from sources physically certified by the RSPO by 2020. Based on our voluntary commitment to sustainably source palm oil products, we purchased 227,213 metric tons of certified palm kernel oil in 2020. This represents 100% of our total volume. [...] BASF also continues to drive forward the RSPO supply chain certification of our sites for cosmetic ingredients. In 2020, 25 production sites worldwide were RSPO certified."
            Open source document
          • Commitment to protect High Carbon Stock areas and/or peatlands
            Yes, for all commodity exposure
            1.7/1.7
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes, for all commodity exposure
            1.7/1.7
            Does the company report on the degree of compliance/progress with commitments, disaggregated by relevant factors such as origin or supply chain stage?: Yes
            "BASF reached an important milestone on its path toward sustainable palm by fulfilling the part of its Palm Commitment to procure palm (kernel) oils exclusively from sources physically certified by the RSPO by 2020. Based on our voluntary commitment to sustainably source palm oil products, we purchased 227,213 metric tons of certified palm kernel oil in 2020. This represents 100% of our total volume. [...] BASF also continues to drive forward the RSPO supply chain certification of our sites for cosmetic ingredients. In 2020, 25 production sites worldwide were RSPO certified." "The physical market transformation based on the RSPO certification is an important element on our journey toward sustainable palm. In addition, traceability is the tool which helps companies along the palm oil supply chain to identify the origin of the oil sourced."
            Open source document
          • Commitment to a traceable supply chain
            Yes, for all commodity exposure
            1.7/1.7
            Commitment to a traceable supply chain
            Yes, for all commodity exposure
            1.7/1.7
            (for 2.3 only) What percentage of the commodity volume in the company's supply chain is traceable to applicable supply chain levels (e.g. direct suppliers/processing facility/production unit)?: 90%

            Does the company report on the degree of compliance/progress with commitments, disaggregated by relevant factors such as origin or supply chain stage?: Yes
            " In 2019 traceability to origin in volume terms is 90%, thus 10% remain as unknown origin – but we do know the direct suppliers for which we not yet have the traceability information."
            Open source document
        • Reporting is independently verified
          1/1
          • Commitment to protect priority forests
            Yes, using a third-party verification scheme or certification scheme.
            1/1
            Commitment to protect priority forests
            Yes, using a third-party verification scheme or certification scheme.
            1/1
            What percent of the company's supply volume is verified using company verification systems?: 100% in 2020

            Which processes or groups does the company use for third party verification?: RSPO

            For what percent of the company's supply volume is third-party verification of performance relative to commitments conducted?: 100% in 2020

            Is the performance of compliance of some suppliers, sources, or origins not verified, and if so why not?: "RSPO certified palm and palm kernel oil derivatives (Fatty Alcohols, Fatty Acids, Methylesters) by 2025" - part of their 2025 target. https://www.basf.com/global/documents/en/investor-relations/sustainable-investments/sustainability-ratings-and-rankings/BASF-SE_CDP_Forests_Questionnaire_2020.pdf

            Which tools, approaches, third-party verification, including certification, schemes are used?: RSPO
            "Based on our voluntary commitment to sustainably source palm oil products, we purchased 227,213 metric tons of certified palm kernel oil in 2020. This represents 100% of our total volume."
            Open source document
          • Commitment to protect High Carbon Stock areas and/or peatlands
            Yes, using a third-party verification scheme or certification scheme.
            1/1
            Commitment to protect High Carbon Stock areas and/or peatlands
            Yes, using a third-party verification scheme or certification scheme.
            1/1
            For what percent of the company's supply volume is third-party verification of performance relative to commitments conducted?: 100% in 2020

            Is the performance of compliance of some suppliers, sources, or origins not verified, and if so why not?: RSPO certified palm and palm kernel oil derivatives (Fatty Alcohols, Fatty Acids, Methylesters) by 2025" Part of 2025 goal

            What percent of the company's supply volume is verified using company verification systems?: 100% in 2020

            Which tools, approaches, third-party verification, including certification, schemes are used?: RSPO
            "Based on our voluntary commitment to sustainably source palm oil products, we purchased 227,213 metric tons of certified palm kernel oil in 2020. This represents 100% of our total volume."
            Open source document
          • Commitment to a traceable supply chain
            Yes, using an internal verification system.
            0.5/1
            Commitment to a traceable supply chain
            Yes, using an internal verification system.
            0.5/1
            What percent of the company's supply volume is verified using company verification systems?: 90%

            For what percent of the company's supply volume is third-party verification of performance relative to commitments conducted?: 100%

            Which tools, approaches, third-party verification, including certification, schemes are used?: Geospatial monitoring tool, third party verification
            "the traceability system used is set up by compiling all traceability information from all palm oil raw material supply for BASF (a list of palm oil mills for each supply) [...] For this, the commodity volume proportion per palm oil mill is calculated by taking the standardized traceability information (Palm Oil Mill Name, Palm Oil Mill Owner, GPS Code = Industry Standard) of each palm oil raw material delivery and distributing the volume of this single delivery equally to each of the palm oil mills (GPS codes) associated with this single Specific supplier(s) In 2019 traceability to origin in volume terms is 90%, thus 10% remain as unknown origin – but we do know the direct suppliers for which we not yet have the traceability information. This approach enables the introduction of a volume-based sourcing priority classification." [...] " traceability requirements of BASF: "(currently twice per year: traceability needs to be expressed per unit operation supplying to BASF and needs to comprise refineries, palm kernel crushers, palm oil mills and palm plantations connected (directly and indirectly) to your unit operations supplying to BASF together with GPS codes, names and group companies for all levels"
            Open source document
        • Suppliers aligned with deforestation commitments across supply chain
          No
          0/2
        • Deforestation cut off date
          Yes, for all sourcing regions/operations
          2/2
          Deforestation cut off date
          Yes, for all sourcing regions/operations
          2/2
          Cutoff date is 2005 
          Open source document
        • Collaborative actions
          Yes
          2/2
          Collaborative actions
          Yes
          2/2
          What is the nature of that participation?: Attending & contributing to meetings; Providing support/advice/experience/expertise

          What initiatives does the company participate in?: Partnership with Estee Lauder, RSPO and Solidaridad
          "BASF, The Estée Lauder Companies and the Roundtable on Sustainable Palm Oil (RSPO) are partnering with the civil society organization Solidaridad to promote sustainable palm oil and palm derivatives production in the district of Waykanan, Lampung, Indonesia.The project supports independent Indonesian smallholder farmers to improve their livelihoods and their sustainable production of palm oil and palm kernel oil. It offers continuous education and technical support on implementing and maintaining sustainable palm oil practices. The project’s target is that a minimum of one-third of the supported smallholder farmers become certified according to the Smallholder Standard of RSPO at the end of three years.The project partners are collaborating with the Indonesian government to foster a sustainable palm oil production supply chain in Lampung that is free from deforestation and competitive in the global market, while increasing the social and economic benefits for farmers."
          Open source document
        • Risk assessments for forest risk
          Yes
          2/2
          Risk assessments for forest risk
          Yes
          2/2
          For what percentage of material produced or sourced by the company has forest risk been assessed?: 100%

          How frequently are assessments conducted?: Annually 
          The CDP report outlines that that forests-related risk assessments are carried out annually in the direct operations and supply chain in palm oil, giving full coverage for identification of forest related risks. They use Internal company methods External consultants Global Forest Watch Pro Sustainability Policy Transparency Toolkit (SPOTT) Other, please specify HCS Approach, Together for Sustainability, RepRisk, Risk Matrix in the assessments. 
          Open source document
        • Operations assessed to comply with law
          Yes
          2/2
          Operations assessed to comply with law
          Yes
          2/2
          "We expect our suppliers to fully comply with applicable laws and to adhere to internationally recognized environmental, social and corporate governance standards (ESG standards). We also expect our suppliers to use their best efforts to implement these standards with their suppliers and subcontractors." [...] "BASF reserves the right to conduct audits or assessments to ensure your compliance and will take appropriate steps regarding our relationship with you if there is a reason for concern. BASF reserves the right to discontinue any relationship for non-adherence to international principles, failure to correct violations, or displaying patterns of non-compliance with these standards."
          Open source document
        • 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, that of external company, internationally recognised mechanism, etc.)?: own mechanism
          "We offer worldwide operational-level grievance and/or complaint mechanisms. We take on critical questions and listen to all grievances. We ensure that all concerns that are brought forward to us are addressed. We strive for appropriate remediation by the responsible party." [...] "We offer communication channels for all affected individuals, for own employees, business partners and their employees, and the general public affected by our operations. Our grievance hotline via e-mail or phone is another element of our global our grievance and complaints mechanism."; "The BASF Palm Grievance Procedure is specifically related to violations and/or non-compliances against BASF’s palm commitment, BASF’s responsible palm sourcing policy, Sustainability Policy, Supplier Code of Conduct and BASF Group Position on Human rights in BASF’s palm supply chain."
          Open source document
          Open source document
        • Report volumes of commodity
          Reporting total volume
          2/2
          Report volumes of commodity
          Reporting total volume
          2/2
          Total/partial volume reported: 382002.0 tonnes
          BASF SE reported their total volume of palm oil usage in the 2019 RSPO ACOP as 382002.0 tonnes. 
          Open source document
        • Report verified volumes of commodity
          50-79%
          3/6
          Report verified volumes of commodity
          50-79%
          3/6
          What is the certified volume?: 157,203 tonnes

          What third-party verification is used?: RSPO

          For what percent of the company's supply volume is third-party verification of performance relative to commitments conducted?: 58.80%

          What is the non-certified/non-compliant volume?: 224,797 tonnes
          BASF SE reported their total volume of palm oil usage in the 2019 RSPO ACOP as 382002.0 tonnes, 58.8% of which was RSPO certified.
          Open source document
        • Upstream: Monitor compliance with human rights
          No
          0/4
        • Downstream: Publishing supplier lists
          Yes, report direct suppliers
          2/4
          Downstream: Publishing supplier lists
          Yes, report direct suppliers
          2/4
          "At BASF we believe that public transparency is an important mean on our industry journey towards sustainable palm. At BASF we are committed to public transparency and thus we would like to nominate publicly our consent driven oil palm supplier (Tier 1) list which covers the vast majority of all our oil palm product sourcing activities and which covers especially the oil palm traders (and palm growers) connected to BASF as direct suppliers. These direct oil palm product suppliers are: AAA, Cargill, Golden Agri, Sime Darby, IOI, KLK, Musim Mas, Olenex, Wilmar."
          Open source document
        • Downstream: Monitor compliance in supply chain
          Yes, for its suppliers
          3/4
          Downstream: Monitor compliance in supply chain
          Yes, for its suppliers
          3/4
          Details of monitoring: Using internal monitoring and verification systems; Using third party verification

          For what percent of suppliers does the company directly monitor compliance of production or processing operations?: 90%

          How frequently is compliance assessed?: Not disclosed 
          "BASF may ask suppliers to verify their compliance through third-party assessments in on-site audits. The Together for Sustainability Initiative (TfS) is a joint initiative of chemical companies and plays a crucial role for the assessment of our palm value chain regarding compliance and regulations. The TfS evaluation program is based on third-party online assessments and on-site audits." In terms of forest-risk commodities, BASF have established "global monitoring systems to verify compliance with laws and our voluntary commitments in this area. These also incorporate our suppliers." 
          Open source document
        • Downstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Engagement with non-compliant suppliers
          Engage with suppliers with a time-bound threat of exclusion
          2/2
          Downstream: Engagement with non-compliant suppliers
          Engage with suppliers with a time-bound threat of exclusion
          2/2
          Does the company engage non-compliant indirect suppliers in order to address and remedy non-compliance?: No
          According to the CDP report the response to supplier non-compliance is to "retain and engage, suspend and engage and exclude". They also state that their response to non-compliance is "Developing time-bound targets and milestones to bring suppliers back into compliance Assessing the efficacy and efforts of non-compliant supplier actions through consistent and quantified metrics Re-integrating suppliers back into supply chain based on the successful and verifiable completion of activities" "BASF reserves the right to conduct audits or assessments to ensure your compliance and will take appropriate steps regardingour relationship with you if there is a reason for concern. BASF reserves the right to discontinue anyrelationship for non-adherence to international principles, failure to correct violations, or displayingpatterns of non-compliance with these standards."
          Open source document
          Open source document
        • Downstream: Disclosure of non-compliant suppliers
          Yes, excluded
          1/2
          Downstream: Disclosure of non-compliant suppliers
          Yes, excluded
          1/2
          Does the company have a list of blacklisted or otherwise excluded suppliers or producers?: not disclosed 
          "BASF reserves the right to discontinue any business relationship for non-adherence to international principles, failure to correct violations, or for displaying patterns of non-compliance with these standards. This did not occur in any case in 2019."
          Open source document
    • Pulp & Paper *
      14/88
      • Commitment Strength
        0/20
        • Commitment to protect priority forests
          0/8
          • Commitment details
            No commitment
            0/6
          • Commitment applies to all regions, suppliers and operation
            No
            0/1.3
          • Target date
            No target date
            0/0.7
          • Interim target date
            No
            0/0.3
        • Commitment to reduce use of virgin wood fibre
          0/5
          • Commitment details
            No
            0/3
          • Commitment applies to all regions, suppliers and operation
            No
            0/1.3
          • Target date
            No target date
            0/0.7
          • Interim target date
            No
            0/0.3
        • Commitment to a traceable supply chain
          0/6
          • Commitment details
            No traceability commitment
            0/4
          • Commitment applies to all regions, suppliers and operation
            No
            0/1.3
          • Target date
            No target date
            0/0.7
          • Interim target date
            No
            0/0.3
      • Social Considerations
        10/18
        • Labour rights in the supply chain
          Yes
          4/4
          Labour rights in the supply chain
          Yes
          4/4
          Details of commitment: ILO; UNGP; Discrimination; Forced labour; Child labour; Freedom of association

          Other workers' rights commitments: Living wage; Only work legal working hours; Free from abusive practices/undue disciplinary procedures
          "We particularly expect you as our supplier to support, embrace and enact the following ESG standards, which are based on the ten principles of the United Nations Global Compact initiative, the United Nations Guiding Principles on Business and Human Rights, the International Labour Organization"[...] "You support the protection of internationally proclaimed human rights, fight forced labor (including modern slavery and human trafficking) and child labor • You uphold the freedom of association and the right to collective bargaining in accordance with applicable laws. • You treat your employees with respect and provide a workplace free of harassment or abuse of any kind, harsh and inhumane treatment, unlawful practices or discrimination. You comply with minimum wages and working hours in accordance with local laws, and ensure compensation of a living wage according to local living conditions."[...] "We expect our suppliers to respect human rights. Our Supplier Code of Conduct is part of our standard purchasing contracts and conditions of purchase. We reserve the right to terminate a business relationship if a supplier fails to meet these obligations."
          Open source document
          Open source document
        • Inclusion of small-scale farmers
          No
          0/4
        • Gender equality in the supply chain
          No commitment
          0/4
        • Commitment to remediation
          Yes
          2/2
          Commitment to remediation
          Yes
          2/2
          Type of harm covered: Social harm; Environmental harm
          "BASF is committed to the following actions:− Systematically evaluate sustainability topics (e.g. potential impact on forests, biodiversity criteria) as an integral part of investment decisions on the construction of new sites and the expansion of existing sites. These may include compensation measures for the loss of forests, e.g. investments in local reforestation programs. [....] Therefore, we are committed to achieve traceable supply chains and establish appropriate monitoring of these principles in our supply chains to drive risk assessment and corrective actions. We will identify measures to provide remediation in cases where BASF has directly caused or contributed to any non-compliance of FPIC in its own operations and we do expect this from our suppliers"
          Open source document
        • Commitment to ensure Free, Prior and Informed Consent
          Yes, the company commits to securing FPIC prior to acquiring new interests, developments, or expansions
          4/4
          Commitment to ensure Free, Prior and Informed Consent
          Yes, the company commits to securing FPIC prior to acquiring new interests, developments, or expansions
          4/4
          How far back in the supply chain does this commitment apply? E.g. tier 1, tier 2, tier 3: Tier 2
          "We do expect any land use change development activity to respect the rights of indigenous and local communities to give or withhold their Free, Prior and Informed Consent (FPIC) where they hold legal, communal or customary rights in accordance with the United Nations Declaration on the Rights of Indigenous People (UNDRIP) and the HCS Approach social requirements."  [...] "We will identify measures to provide remediation in cases where BASF has directly caused or contributed to any non-compliance of FPIC in its own operations and we do expect this from our suppliers."
          Open source document
        • Commitment to resolve land conflicts
          No
          Commitment to resolve land conflicts
          No
          0/0
          Open source document
      • Reporting and Implementation
        4/50
        • Reporting against commitments
          0/2
          • Commitment to protect priority forests
            No
            0/1.7
          • Commitment to reduce use of virgin wood fibre
            No
            0/1.7
          • Commitment to a traceable supply chain
            No
            0/1.7
        • Reporting is independently verified
          0/1
          • Commitment to protect priority forests
            No
            0/1
          • Commitment to reduce use of virgin wood fibre
            No
            0/1
          • Commitment to a traceable supply chain
            No
            0/1
        • Suppliers aligned with deforestation commitments across supply chain
          No
          0/2
        • Deforestation cut off date
          No
          0/2
        • Collaborative actions
          No
          0/2
        • Risk assessments for forest risk
          No
          0/2
        • Operations assessed to comply with law
          Yes
          2/2
          Operations assessed to comply with law
          Yes
          2/2
          "We expect our suppliers to fully comply with applicable laws and to adhere to internationally recognized environmental, social and corporate governance standards (ESG standards). We also expect our suppliers to use their best efforts to implement these standards with their suppliers and subcontractors." [...] "BASF reserves the right to conduct audits or assessments to ensure your compliance and will take appropriate steps regarding our relationship with you if there is a reason for concern. BASF reserves the right to discontinue any relationship for non-adherence to international principles, failure to correct violations, or displaying patterns of non-compliance with these standards."
          Open source document
        • 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
          "We offer worldwide operational-level grievance and/or complaint mechanisms. We take on critical questions and listen to all grievances. We ensure that all concerns that are brought forward to us are addressed. We strive for appropriate remediation by the responsible party. We offer communication channels for all affected individuals, for own employees, business partners and their employees, and the general public affected by our operations. Our grievance hotline via e-mail or phone is another element of our global our grievance and complaints mechanism. If you would like to direct BASF’s attention to Human Rights violations in the value chain, if you have BASF-related Human Rights complaints, if you are affected in your Human Rights by BASF operations, you may reach us at [...]"
          Open source document
        • Report volumes of commodity
          No reporting
          0/2
        • Report verified volumes of commodity
          No disclosure
          0/6
        • Upstream: Monitor compliance with human rights
          No
          0/4
        • Downstream: Publishing supplier lists
          No
          0/4
        • Downstream: Monitor compliance in supply chain
          No
          0/4
        • Downstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Engagement with non-compliant suppliers
          No engagement or exclusion
          0/2
        • Downstream: Disclosure of non-compliant suppliers
          No disclosure
          0/2
    • Soy *
      14/88
      • Commitment Strength
        0/20
        • Commitment to protect priority forests
          0/11
          • Commitment details
            No commitment
            0/8
          • Commitment applies to all regions, suppliers and operation
            No
            0/2
          • Target date
            No target date
            0/1
          • Interim target date
            No
            0/0.5
        • Commitment to a traceable supply chain
          0/9
          • Commitment details
            No traceability commitment
            0/5.3
          • Commitment applies to all regions, suppliers and operation
            No
            0/2
          • Target date
            No target date
            0/1
          • Interim target date
            No
            0/0.5
      • Social Considerations
        10/18
        • Labour rights in the supply chain
          Yes
          4/4
          Labour rights in the supply chain
          Yes
          4/4
          Details of commitment: ILO; UNGP; Discrimination; Forced labour; Child labour; Freedom of association

          Other workers' rights commitments: Living wage; Only work legal working hours; Free from abusive practices/undue disciplinary procedures
          "We particularly expect you as our supplier to support, embrace and enact the following ESG standards, which are based on the ten principles of the United Nations Global Compact initiative, the United Nations Guiding Principles on Business and Human Rights, the International Labour Organization"[...] "You support the protection of internationally proclaimed human rights, fight forced labor (including modern slavery and human trafficking) and child labor • You uphold the freedom of association and the right to collective bargaining in accordance with applicable laws. • You treat your employees with respect and provide a workplace free of harassment or abuse of any kind, harsh and inhumane treatment, unlawful practices or discrimination. You comply with minimum wages and working hours in accordance with local laws, and ensure compensation of a living wage according to local living conditions."[...] "We expect our suppliers to respect human rights. Our Supplier Code of Conduct is part of our standard purchasing contracts and conditions of purchase. We reserve the right to terminate a business relationship if a supplier fails to meet these obligations."
          Open source document
          Open source document
        • Inclusion of small-scale farmers
          No
          0/4
        • Gender equality in the supply chain
          No commitment
          0/4
        • Commitment to remediation
          Yes
          2/2
          Commitment to remediation
          Yes
          2/2
          Type of harm covered: Social harm; Environmental harm
          "BASF is committed to the following actions:− Systematically evaluate sustainability topics (e.g. potential impact on forests, biodiversity criteria) as an integral part of investment decisions on the construction of new sites and the expansion of existing sites. These may include compensation measures for the loss of forests, e.g. investments in local reforestation programs. [....] Therefore, we are committed to achieve traceable supply chains and establish appropriate monitoring of these principles in our supply chains to drive risk assessment and corrective actions. We will identify measures to provide remediation in cases where BASF has directly caused or contributed to any non-compliance of FPIC in its own operations and we do expect this from our suppliers"
          Open source document
        • Commitment to ensure Free, Prior and Informed Consent
          Yes, the company commits to securing FPIC prior to acquiring new interests, developments, or expansions
          4/4
          Commitment to ensure Free, Prior and Informed Consent
          Yes, the company commits to securing FPIC prior to acquiring new interests, developments, or expansions
          4/4
          How far back in the supply chain does this commitment apply? E.g. tier 1, tier 2, tier 3: tier 2
          "We do expect any land use change development activity to respect the rights of indigenous and local communities to give or withhold their Free, Prior and Informed Consent (FPIC) where they hold legal, communal or customary rights in accordance with the United Nations Declaration on the Rights of Indigenous People (UNDRIP) and the HCS Approach social requirements."  [...] "We will identify measures to provide remediation in cases where BASF has directly caused or contributed to any non-compliance of FPIC in its own operations and we do expect this from our suppliers."
          Open source document
        • Commitment to resolve land conflicts
          No
      • Reporting and Implementation
        4/50
        • Reporting against commitments
          0/3
          • Commitment to protect priority forests
            No
            0/2.5
          • Commitment to a traceable supply chain
            No
            0/2.5
        • Reporting is independently verified
          0/2
          • Commitment to protect priority forests
            No
            0/1.5
          • Commitment to a traceable supply chain
            No
            0/1.5
        • Suppliers aligned with deforestation commitments across supply chain
          No
          0/2
        • Deforestation cut off date
          No
          0/2
        • Collaborative actions
          No
          0/2
        • Risk assessments for forest risk
          No
          0/2
        • Operations assessed to comply with law
          Yes
          2/2
          Operations assessed to comply with law
          Yes
          2/2
          "We expect our suppliers to fully comply with applicable laws and to adhere to internationally recognized environmental, social and corporate governance standards (ESG standards). We also expect our suppliers to use their best efforts to implement these standards with their suppliers and subcontractors." [...] "BASF reserves the right to conduct audits or assessments to ensure your compliance and will take appropriate steps regarding our relationship with you if there is a reason for concern. BASF reserves the right to discontinue any relationship for non-adherence to international principles, failure to correct violations, or displaying patterns of non-compliance with these standards."
          Open source document
        • 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
          "We offer worldwide operational-level grievance and/or complaint mechanisms. We take on critical questions and listen to all grievances. We ensure that all concerns that are brought forward to us are addressed. We strive for appropriate remediation by the responsible party. We offer communication channels for all affected individuals, for own employees, business partners and their employees, and the general public affected by our operations. Our grievance hotline via e-mail or phone is another element of our global our grievance and complaints mechanism. If you would like to direct BASF’s attention to Human Rights violations in the value chain, if you have BASF-related Human Rights complaints, if you are affected in your Human Rights by BASF operations, you may reach us at [...]"
          Open source document
        • Report volumes of commodity
          No reporting
          0/2
        • Report verified volumes of commodity
          No disclosure
          0/6
        • Upstream: Monitor compliance with human rights
          No
          0/4
        • Downstream: Publishing supplier lists
          No
          0/4
        • Downstream: Monitor compliance in supply chain
          No
          0/4
        • Downstream: Reporting hectares of deforestation
          No
          0/4
        • Downstream: Engagement with non-compliant suppliers
          No engagement or exclusion
          0/2
        • 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
    10/20
    Avg. score
  • Reporting and Implementation
    17/50
    Avg. score
  • Social considerations
    12/18
    Avg. score

Profile

BASF is one of the world’s leading chemical companies, operating in over 80 countries. Its portfolio includes a wide range of products including chemicals, plastics, agricultural solutions, and even oil and gas. Palm kernel oil and its derivatives are key raw materials for BASF’s home and personal care offerings. BASF Personal Care and Nutrition GmbH is selected as a powerbroker for palm oil and paper packaging.

Sector
Industry sector 
Ingredients, Chemicals
Segments
Manufacturer
HQ
HQ 
Germany
Company Type
Company type 
Private
Collective Commitments
Consumer Goods Forum member
New York Declaration on Forests signatory

Top Brands

BASF

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.

Full corporate sector performance data Forest 500 assessment methodology

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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.