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Powerbroker for

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  • Overall approach
    4/16
    • Overarching commitment on deforestation
      2/6
      Deforestation commitment
      Zero-net-deforestation
      2/6
      Commodities (if applicable): 0
      "As part of our public commitment to eliminating deforestation and/or the degradation of forests, we adhere to strict sustainable forest management standards through various international certifications. This means that we strictly adhere to these principles in our own operations and strongly encourage compliance with them in third-party operations. This way we are able to ensure that almost all of the raw material we source for the use in our pulp and wood production is certified."
    • Signatory to an initiative tackling deforestation
      1/1
      Signatory
      Yes
      1/1
      "The World Business Council for Sustainable Development (WBCSD) is an organization of over 200 leading businesses working together to accelerate the transition to a sustainable world. CMPC is a member of the Forest Solutions Group within the organization." "This Integrated Report also serves as a Communication on Progress (CoP) report for the United Nations Global Compact, a network to which the company belongs since March 2018."
    • Awareness of the value of forests
      1/1
      Awareness
      Yes
      1/1
      "A fundamental part of the company’s forestry business is its commitment to good environmental management, which implies the respect for and conservation of biodiversity. The company places all its knowledge and experience at the disposal of society, and strives to detect the presence of threatened species of flora and fauna, and identifies, manages and monitors the High Conservation Value Areas (HCVA), areas that due to their flora, fauna and geographical characteristics are of critical importance for conservation."
    • Deforestation as a business risk
      0/1
    • High-level management of deforestion
      0/1
      High-level management
      No
      0/1
      Which commodities does it apply to?: Pulp & Paper

      How often does the committee or board meet to assess company's progress on addressing deforestation-related issues?: Not specified
    • Executive compensation linked to deforestation
    • Target to reduce emissions from land-use change
      0/3
    • Reporting on emissions from land-use change
      0/3
    • Disclosure of conservation activity
      No
      0/0
      How many hectares of conservation area are being supported or facilitated by the company on land it does not own or manage?: 0
    • Disclosure of reforestation activity
      Yes
      0/0
      How many hectares of reforestation or restoration are being or have been conducted or facilitated by the company?: 320,000 ha
      "Corporate goals: To add 100 thousand hectares of land for conservation, protection and/or restoration by 2030 to CMPC’s already existing more than 320 thousand hectares of such land in Argentina, Brazil and Chile (as of 2018)." They report on the website that their "Area for protection, conservation and restoration" is 325,995 ha in 2019, of which 4,466 ha were added in 2019. For restoration specifically, they also have a sub-target for 73,824 ha of restoration by 2026, for which they have achieved 33,638 ha between 2010 and 2018, and a further 12,864 ha in 2019, meaning that they have achieved 63% of their target so far.
  • Commodity score
    46/84
    • Pulp & Paper
      46/84
      • Commitment Strength
        24/28
        • Commitment to protect priority forests
          8/12
          • Commitment details
            Zero-gross deforestation
            6/8
            Commitment to protect priority forests
            Zero-gross deforestation
            6/8
            Which certification schemes are used?: FSC; PEFC
            "The sustainable management of pine and eucalyptus forest plantations is certified through CERTFOR-PEFC or CERFLOR-PEFC, FSC or other equivalent certification." "2012: All of the company's forest plantations in Chile and Brazil receive an FSC certification." "In Chile and Brazil, forest plantations are certified for Sustainable Forest Management. In Argentina, while operating with the same focus, our plantations are certified under Environmental Management System ISO 14001."
          • Commitment applies to all regions, suppliers and operation
            No
            0/2
            Commitment applies to all regions, suppliers and operation
            No
            0/2
            If no, what is excluded?: Location
            FSC and PEFC certification only applies to Chile and Brazil; Argentina is excluded. "The sustainable management of pine and eucalyptus forest plantations is certified through CERTFOR-PEFC™ or CERFLOR-PEFC™, FSC® or other equivalent certification." "2012: All of the company’s forest plantations in Chile and Brazil receive an FSC® certification." "In Chile and Brazil, forest plantations are certified for Sustainable Forest Management. In Argentina, while operating with the same focus, our plantations are certified under Environmental Management System ISO 14001."
          • Target date
            Current/2020/Pre-2020
            1.3/1.3
            Target date
            Current/2020/Pre-2020
            1.3/1.3
            "The sustainable management of pine and eucalyptus forest plantations is certified through CERTFOR-PEFC™ or CERFLOR-PEFC™, FSC® or other equivalent certification." "2012: All of the company’s forest plantations in Chile and Brazil receive an FSC® certification." "In Chile and Brazil, forest plantations are certified for Sustainable Forest Management. In Argentina, while operating with the same focus, our plantations are certified under Environmental Management System ISO 14001."
          • Interim target date
            Yes
            0.7/0.7
            Interim target date
            Yes
            0.7/0.7
            What date is given for the interim milestone(s)?: Current
            Target date is current - see 3.2
        • Commitment to reduce use of virgin wood fibre
          8/8
          • Commitment details
            Yes
            4/4
            Commitment to reduce use of virgin wood fibre
            Yes
            4/4
            Type of commitment: Recycled content
            "CMPC is a global enterprise that produces and markets products derived from fibers originating from sustainable, certified plantations and recycled materials. The company's products include: wood products, pulp, paper for packaging and tissue products [...] 604thousand tons of recycled paper and carboard per year"
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "CMPC is a global enterprise that produces and markets products derived from fibers originating from sustainable, certified plantations and recycled materials. The company's products include: wood products, pulp, paper for packaging and tissue products [...] 604thousand tons of recycled paper and carboard per year"
          • Target date
            Current/2020/Pre-2020
            1.3/1.3
            Target date
            Current/2020/Pre-2020
            1.3/1.3
            "CMPC is a global enterprise that produces and markets products derived from fibers originating from sustainable, certified plantations and recycled materials. The company's products include: wood products, pulp, paper for packaging and tissue products [...] 604thousand tons of recycled paper and carboard per year"
          • Interim target date
            Yes
            0.7/0.7
            Interim target date
            Yes
            0.7/0.7
            What date is given for the interim milestone(s)?: Current
            Target date is current - see 3.2
        • Commitment to a traceable supply chain
          8/8
          • Commitment details
            Traces to Point of production
            4/4
            Commitment to a traceable supply chain
            Traces to Point of production
            4/4
            "In addition to sourcing timber from its own forest assets,CMPC also buys raw material from third parties, mostlycertified with only a small portion coming from non-certifiedsuppliers. In order to ensure traceability, the company hasa Responsible Procurement Program which requires all suppliers of raw materials to undergo a due diligence processverifying: the legality of forest ownership from which the timberoriginated, the management and harvesting plans granted bythe forestry authorities, and compliance with product qualityand safety protocols."
          • Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            Commitment applies to all regions, suppliers and operation
            Yes
            2/2
            "In addition to sourcing timber from its own forest assets,CMPC also buys raw material from third parties, mostlycertified with only a small portion coming from non-certifiedsuppliers. In order to ensure traceability, the company hasa Responsible Procurement Program which requires all suppliers of raw materials to undergo a due diligence processverifying: the legality of forest ownership from which the timberoriginated, the management and harvesting plans granted bythe forestry authorities, and compliance with product qualityand safety protocols."
          • Target date
            Current/2020/Pre-2020
            1.3/1.3
            Target date
            Current/2020/Pre-2020
            1.3/1.3
            "In addition to sourcing timber from its own forest assets,CMPC also buys raw material from third parties, mostlycertified with only a small portion coming from non-certifiedsuppliers. In order to ensure traceability, the company hasa Responsible Procurement Program which requires all suppliers of raw materials to undergo a due diligence processverifying: the legality of forest ownership from which the timberoriginated, the management and harvesting plans granted bythe forestry authorities, and compliance with product qualityand safety protocols."
          • Interim target date
            Yes
            0.7/0.7
            Interim target date
            Yes
            0.7/0.7
            What date is given for the interim milestone(s)?: Current
            Target date current - see 3.2
      • Social Considerations
        4/18
        • Labour rights in the supply chain
          No
          0/4
        • Inclusion of small-scale farmers
          Yes
          4/4
          Inclusion of small-scale farmers
          Yes
          4/4
          How many smallholders do they support, and what percentage does this represent in terms of their sourcing from smallholders?: 354

          What is the nature of that support?: Technical assistance/support; Education and training
          "CMPC promotes forest management certifications to two groups of medium and small forest owners.The first is made up of 13 owners with a heritage of 15,173 hectares of plantations, while the second is made up of 19 owners with 19,846 hectares of plantations.The program consists of having a team of collaborators who advise the owners in the sustainable management of their forest resources with technical support and training. In 2019, ten trainings were conducted for 354 people, addressing subjects such as fire prevention, occupational health and safety, as well as environmental aspects." "Due to the nature of its business, CMPC relies on two types of suppliers: [...] Micro, small and medium-sized enterprises (MSMEs), which represent about 26.9% of all suppliers and are defined according to thenorms of the respective country of operation."
        • Gender equality in the supply chain
          No commitment
          0/4
        • Commitment to remediation
          No
          0/2
        • Commitment to ensure Free, Prior and Informed Consent
          No commitment
          0/4
      • Reporting and Implementation
        18/38
        • Reporting against commitments
          6/6
          • Commitment to protect priority forests
            Yes
            2/2
            Commitment to protect priority forests
            Yes
            2/2
            In Chile, "The CMPC plantations have PEFC / CERTFOR forest management certification since 2004, and with the FSC Forest Management Certificate since 2012, the highest categories established in each certification."
          • Commitment to reduce use of virgin wood fibre
            Yes
            2/2
            Commitment to reduce use of virgin wood fibre
            Yes
            2/2
            CMPC reports that "Total waste recovered and incorporated" in 2019 was 604,742 tons. Of this, 373,368 tons were collected by its subsidiary, Fibras, in Chile, Peru and Argentina. 202,311 tons came from third parties, and 29,063 tons were "Intercompany (between subsidiaries of the company)"
          • Commitment to a traceable supply chain
            Yes
            2/2
            Commitment to a traceable supply chain
            Yes
            2/2
            Does the company report on the degree of compliance/progress with commitments, disaggregated by relevant factors such as origin or supply chain stage?: Yes
            "Percentage of raw material certifiedfor chain of custody andcontrolled wood 2019" is 100% for CMPC Pulp, Wood, Biopacking and Softys; and 97% for CMPC Forests.
        • Reporting is independently verified
          1/4
          • Commitment to protect priority forests
            Yes: third-party
            1.3/1.3
            Commitment to protect priority forests
            Yes: third-party
            1.3/1.3
            For what percent of the company’s supply volume is third-party verification of performance relative to commitments conducted?: 0 Not specified

            Which tools, approaches, third-party verification, including certification, schemes are used?: FSC, PEFC, CERTFOR

            Which processes or groups does the company use for third party verification?: FSC, PEFC, CERTFOR
            In Chile, "The CMPC plantations have PEFC / CERTFOR forest management certification since 2004, and with the FSC Forest Management Certificate since 2012, the highest categories established in each certification." Elsewhere, the company reports on the land area and percentage of holdings that are 'certified', but does not provide a breakdown of how much of this is FSC or PEFC.
          • Commitment to reduce use of virgin wood fibre
            No
            0/1.3
          • Commitment to a traceable supply chain
            No
            0/1.3
        • Deforestation cut off date
          No
          0/2
        • Collaborative actions
          Yes
          2/2
          Collaborative actions
          Yes
          2/2
          What initiatives does the company participate in?: Forest Sector Roadmap

          What is the nature of that participation?: Attending & contributing to meetings
          "Empresas CMPC CEO, Francisco Ruiz-Tagle presented theForest Sector Roadmap towards the Sustainable DevelopmentGoals (SDG), which was elaborated by the Forest SolutionsGroup (FSG) of the WBCSD, one of the most important institutions in the world for sustainability issues in the private sector.This document was the result of 18 months of collaborative work between 11 companies with CMPC as one of the three co-presiding companies."
        • Risk assessments for forest risk
          No
          0/2
        • Operations assessed to comply with law
          No
          0/2
        • Accessible grievance mechanism
          Yes
          4/4
          Accessible grievance mechanism
          Yes
          4/4
          Details of the mechanism: Social

          Does the company publish grievances that have been made against it, as well as responses and resolutions including status and timeframes: No

          What is the nature of the grievance mechanism used by the company (own mechanism, that of external company, internationally recognised mechanism, focused on social issues, focused on environmental issues, etc.)?: Complaints Line - web address
          "Complaints Line:Tool available so that any person, ensuring their confidentiality and anonymity (if so desired), can report facts or conduct that constitute or may constitute a violation of the company's values, corporate regulations or current laws.The investigation of the complaints is coordinated by the Corporate Prosecutor's Office, with a report to the Ethics and Compliance Committee. As established in the Integrity and Compliance Policy, the company does not take or tolerate retaliation against people who report in good faith." The link to the Complaints Line is https://lineadenuncia.cmpc.cl/Denuncias
        • Report volumes of commodity
          Reporting non-certified/non-compliant volume; Reporting certified/compliant volume
          4/4
          Report volumes of commodity
          Reporting non-certified/non-compliant volume; Reporting certified/compliant volume
          4/4
          For what percent of the company's supply volume is third-party verification of performance relative to commitments conducted?: 97%

          Which certification schemes are used?: FSC; PEFC

          What is the non-certified/non-compliant volume?: 0 Not specified

          What is the certified volume?: 97%
          The company reports that in 2019, it sold 3,641,000 tons of pulp and 1,243,000 m3 of solid wood. The Softys business sold 726,000 tons of tissue paper, and 6,337,000 tons of personal care products. This gives a total of The biopackaging business sold 843,000 tons of biopackaging products. 97% of this volume was certified as sustainable in 2019.
        • Upstream: Impact assessments for land development/acquisition
          Yes
          4/4
          Upstream: Impact assessments for land development/acquisition
          Yes
          4/4
          For what percentage of production units has an ESIA been carried out as part of the land use planning process?: 0 Not specified
          [Translation] "In September, an Environmental Impact Study (EIA) was presented for the construction of a second production line at the Santa Fe Plant, in Nacimiento. The project contemplates expanding its installed capacity to 1.14 million tons per year of bleached short fiber pulp, Elemental Chlorine Free (ECF). Simultaneously, an Environmental Impact Statement (EIS) was presented to the authorities for an optimization project at the Laja Plant, whose main objective is to improve its environmental performance."
        • Upstream: Reporting production/processing locations
          No disclosure
          0/4
        • Downstream: Publishing supplier lists
          No disclosure
          0/4
        • Upstream: Monitor compliance of production/processing
          No
          0/4
        • Downstream: Monitor compliance in supply chain
          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
  • Commitment strength
    24/28
    Avg. score
  • Reporting and Implementation
    18/38
    Avg. score
  • Social considerations
    4/18
    Avg. score

Profile

Empresas CMPC S.A. is a Chilean-based producer of forest products. The company operates in the businesses of forestry, pulp and paper, tissue and other products, including the production of paper-manufacture products. Empresas CMPC S.A. is selected as a powerbroker for pulp & paper.

Sector
Industry sector 
Paper & packaging, Forestry
Segments
Producer, Trader, Processor, Manufacturer
HQ
HQ 
Chile
Collective Commitments
Consumer Goods Forum member
New York Declaration on Forests signatory

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.