Marfrig Global Foods

Overall approach

6/12
- Overarching commitment on deforestation
  
  3/4
  
  Zero deforestation/Deforestation-free commitment or, for timber, pulp & paper companies only, commitment to well implemented harvest and no deforestation of HCV & HCS areas
  
  3/4
  
  "Public commitment: Ensure that 100% of our production chain is sustainable and free from deforestation by 2030"
  
  Open source document
- Signatory to an initiative tackling deforestation
  
  1/1
  
  Yes
  
  1/1
  
  If Other Initiative, specify:: Global Roundtable for Sustainable Beef (GRSB); Brazilian Roundtable for Sustainable Beef (GTPS), Rainforest Alliance, Amazon Biome Pact, Working Group on Sustainable Livestock Production
  
  Which initiatives?: Soy Moratorium; G4 Cattle Agreement; Tropical Forest Alliance 2020 partner; UN Global Compact; Other initiative
  
  "Marfrig is a member of the Board of Directorsof the [Tropical Forest Alliance 2020], body responsible for alliancedecisions." "A Public LivestockCommitment was officialized, by the three largest Brazilian slaughterhouses, to excludefrom their lists of suppliers those involved in deforestation, labor analogous to slaveryand owning areas or located on indigenous lands and environmental conservation units,based on public lists of embargoed areas of the Brazilian Institute of Environment andRenewable Natural Resources (IBAMA) and the Ministry of Labor. To comply with the Public Livestock Commitment, Marfrig implemented ageoreferencing and geomonitoring model". In its 2019 Sustainability Report, Marfrig reports that it is Rainforest Alliance Certified, as well as a member of the Amazon Biome Pact, Working Group on Sustainable Livestock Production, and UN Global Compact. "Marfrig supports the soy moratorium, an initiative that has achieved significant effects in controlling deforestation; UN GC, Marfrig is a member of the TFA 2020 Steering Committee"
  
  Open source document
  Open source document
- Awareness of the value of forests
  
  1/1
  
  Yes
  
  1/1
  
  "Deforestation and biodiversity: in order to preserve the ecosystems in which the ranches are located, with attention to Protected Areas (covering the lands of indigenous peoples and preservation units) as well as the availability of water in this vast territory."
  
  Open source document
- Deforestation as a business risk
  
  0/1
- High-level management of deforestion
  
  1/1
  
  Yes
  
  1/1
  
  Which commodities does it apply to?: Beef; Leather
  
  [translation] "Sustainability Committee: advises the Board of Directors in making decisions on the topic. Discusses, evaluates and defines sustainability priorities. Sustainability Department: executes strategic planning. Closely monitored by the CEO, it analyzes the risks and opportunities related to the subject, and determines the performance goals for the operating units, following the results."
  
  Open source document
- Executive compensation linked to deforestation
- Target to reduce emissions from land-use change
  
  0/2
- Reporting on emissions from land-use change
  
  0/2
- Disclosure of conservation activity
  
  Yes
  
  0/0
  
  "The quantifiable ERs, both from direct suppliers and from partnership interventions are summarised below: Conserved forest >1,254,500 ha"
  
  Open source document
- 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?: 6,000 ha
  
  "The quantifiable ERs, both from direct suppliers and from partnership interventions are summarised below: Forest restoration 6,000 ha"
  
  Open source document
- Target to reduce emissions in scope 1/2
  
  No
  
  0/0
  
  What is the target date for the company to achieve their climate target?: 2035
  
  Type of climate target: Other or unclear
  
  "Our Commitment is to reduce emissions, by 2035, to: 43% of Scope 1 and 2 emissions, 35% of Scope 3 emissions"
  
  Open source document
Commodity score

28/88
- Beef
  
  41/88
  - Commitment Strength
    
    12/20
    - Commitment to protect priority forests
      
      5/11
      - Commitment details
        Zero-gross deforestation
        
        5.3/8
        
        Commitment to protect priority forests
        
        Zero-gross deforestation
        
        5.3/8
        
        "We instituted the Marfrig Verde+ Program, in which we take on a commitment to make 100% of our supply chain free of deforestation by 2030 "
        
        Open source document
      - 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
      - Target date
        2028-2030
        
        0/1
        
        Target date
        
        2028-2030
        
        0/1
        
        "We instituted the Marfrig Verde+ Program, in which we take on a commitment to make 100% of our supply chain free of deforestation by 2030 "
        
        Open source document
      - Interim target date
        No
        
        0/0.5
    - Commitment to a traceable supply chain
      
      9/9
      - Commitment details
        Traces to Point of production
        
        5.3/5.3
        
        Commitment to a traceable supply chain
        
        Traces to Point of production
        
        5.3/5.3
        
        "Our entire productive process is monitored and traced with a view toward guaranteeing the safety and quality of our food products, starting with the arrival of animals at the slaughterhouse gate, including raw materials and ingredients, before moving on to shipment of final products. Such practices have been in place since 2007. In addition to not buying cattle directly from critical areas in the Amazon region, tracing also involves the development and management of itineraries for every head of cattle purchased from suppliers. Together with suppliers, we trace every step of the supply chain as a way to guarantee proper standards. In this way, it is possible for us to identify the ranch origin and diet for any animal. We are also able to gather other data relevant to the productive process such as lot numbers, slaughter dates, inventory, and transport."
        
        Open source document
      - Commitment applies to all regions, suppliers and operation
        Yes
        
        2/2
        
        Commitment applies to all regions, suppliers and operation
        
        Yes
        
        2/2
        
        "Our entire productive process is monitored and traced with a view toward guaranteeing the safety and quality of our food products, starting with the arrival of animals at the slaughterhouse gate, including raw materials and ingredients, before moving on to shipment of final products. Such practices have been in place since 2007. In addition to not buying cattle directly from critical areas in the Amazon region, tracing also involves the development and management of itineraries for every head of cattle purchased from suppliers. Together with suppliers, we trace every step of the supply chain as a way to guarantee proper standards. In this way, it is possible for us to identify the ranch origin and diet for any animal. We are also able to gather other data relevant to the productive process such as lot numbers, slaughter dates, inventory, and transport."
        
        Open source document
      - Target date
        Current/achieved
        
        1/1
        
        Target date
        
        Current/achieved
        
        1/1
        
        "Our entire productive process is monitored and traced with a view toward guaranteeing the safety and quality of our food products, starting with the arrival of animals at the slaughterhouse gate, including raw materials and ingredients, before moving on to shipment of final products. Such practices have been in place since 2007. In addition to not buying cattle directly from critical areas in the Amazon region, tracing also involves the development and management of itineraries for every head of cattle purchased from suppliers. Together with suppliers, we trace every step of the supply chain as a way to guarantee proper standards. In this way, it is possible for us to identify the ranch origin and diet for any animal. We are also able to gather other data relevant to the productive process such as lot numbers, slaughter dates, inventory, and transport."
        
        Open source document
      - Interim target date
        NA (target date current or achieved or 2022)
        
        0.5/0.5
        
        Interim target date
        
        NA (target date current or achieved or 2022)
        
        0.5/0.5
        
        Current target date
        
        Open source document
  - Social Considerations
    
    6/18
    - 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?: 157
      
      What is the nature of that support?: Technical assistance/support; Education and training
      
      "The IDH smallholder outreach programme (the sustainable production calve Program) to increase forest code compliance and sustainable farming practices- with 157 smallholders benefitting"; [translation] "Improve profits and access to finance for small-scale farmers. 2020 Partnership with HDI in the Production Program Sustainable Calves 2021 Establishing new partnerships for the development of financial mechanisms for small farmers"
      
      Open source document
      Open source document
    - Gender equality in the supply chain
      Commitment to ensure equality of women in the supply chain
      
      2/4
      
      Gender equality in the supply chain
      
      Commitment to ensure equality of women in the supply chain
      
      2/4
      
      [translation] "Committed to adopting the best Human Rights practices, Marfrig rejects behaviors and practices that do not comply with laws, regulations and best references in relation to Human Rights, and the Social Responsibility actions adopted by the Company reinforce these commitments. In this sense, it adopts, both in its operations, as to engage the value chain, practices aimed at: (...) iii. Avoid the practice of discrimination, in all its forms iv. Combat gender violence (...) Marfrig defends gender equity, in which men and women receive equal treatment and have the same opportunities for professional growth and development."
      
      Open source document
    - Commitment to remediation
      No
      
      0/2
    - Commitment to ensure Free, Prior and Informed Consent
      No
      
      0/4
    - Commitment to resolve land conflicts
      No
  - Reporting and Implementation
    
    21/50
    - Reporting against commitments
      
      1/3
      - Commitment to protect priority forests
        Yes, for all commodity exposure
        
        2.5/2.5
        
        Commitment to protect priority forests
        
        Yes, for all commodity exposure
        
        2.5/2.5
        
        "Through this program, we established a plan of action, one which is already posting results, aimed at making sure 100% of our supply chain is free from deforestation by 2030. We are advancing swiftly toward this goal. By the end of 2020, we had already reached a high level of origin identification, some 62% in the Amazon and 47% in the Cerrado."
        
        Open source document
      - Commitment to a traceable supply chain
        Yes, for partial or unclear commodity exposure
        
        1.3/2.5
        
        Commitment to a traceable supply chain
        
        Yes, for partial or unclear commodity exposure
        
        1.3/2.5
        
        "Geo-space Monitoring : In line with our commitment to conditioning purchases on respect for environmental criteria, our suppliers in the Amazon Biome are continuously monitored by geo-space technology in place since 2009. We expanded the reach of this routine in 2020 to include producers located in the Cerrado. This improvement was made possible after we completed 100% of the mapping of cattle properties in the entire country, independent of biome. Based on the maps, we were able to compile the Rural Environmental Register (CAR); this information, in turn, is cross referenced with satellite images of the ranches furnished by the INPE (National Institute of Space Studies). We then seek to certify that the properties are free of deforestation and from conflicts with indigenous peoples or conservation groups."
        
        Open source document
    - Reporting is independently verified
      
      2/2
      - Commitment to protect priority forests
        Yes, using a third-party verification scheme or certification scheme.
        
        1.5/1.5
        
        Commitment to protect priority forests
        
        Yes, using a third-party verification scheme or certification scheme.
        
        1.5/1.5
        
        Which tools, approaches, third-party verification, including certification, schemes are used?: Cross referencing with INPE (National Institute of Space Studies)
        
        "Geo-space Monitoring In line with our commitment to conditioning purchases on respect for environmental criteria, our suppliers in the Amazon Biome are continuously monitored by geo-space technology in place since 2009. We expanded the reach of this routine in 2020 to include producers located in the Cerrado. This improvement was made possible after we completed 100% of the mapping of cattle properties in the entire country, independent of biome. Based on the maps, we were able to compile the Rural Environmental Register (CAR); this information, in turn, is cross referenced with satellite images of the ranches furnished by the INPE (National Institute of Space Studies). We then seek to certify that the properties are free of deforestation and from conflicts with indigenous peoples or conservation groups. "
        
        Open source document
      - Commitment to a traceable supply chain
        Yes, using a third-party verification scheme or certification scheme.
        
        1.5/1.5
        
        Commitment to a traceable supply chain
        
        Yes, using a third-party verification scheme or certification scheme.
        
        1.5/1.5
        
        Which processes or groups does the company use for third party verification?: Third Party Audits
        
        Which tools, approaches, third-party verification, including certification, schemes are used?: Third party audits
        
        "To guarantee conformity to their commitments, signatories (e.g. processors and meatpackers) must carry out third party audits, to verify they are not buying from illegitimate suppliers. Such audits are provided annually to the MPF, who supervises compliance."; "Geo-space Monitoring In line with our commitment to conditioning purchases on respect for environmental criteria, our suppliers in the Amazon Biome are continuously monitored by geo-space technology in place since 2009. We expanded the reach of this routine in 2020 to include producers located in the Cerrado. This improvement was made possible after we completed 100% of the mapping of cattle properties in the entire country, independent of biome. Based on the maps, we were able to compile the Rural Environmental Register (CAR); this information, in turn, is cross referenced with satellite images of the ranches furnished by the INPE (National Institute of Space Studies). We then seek to certify that the properties are free of deforestation and from conflicts with indigenous peoples or conservation groups."
        
        Open source document
        Open source document
    - Suppliers aligned with deforestation commitments across supply chain
      Yes, required
      
      2/2
      
      Suppliers aligned with deforestation commitments across supply chain
      
      Yes, required
      
      2/2
      
      "in the face of any cases of non-conformity with rules as detected by monitoring, the supplier is blocked from selling animals to us until the issue is resolved. "
      
      Open source document
    - Deforestation cut off date
      Yes, for partial sourcing regions/operations
      
      1/2
      
      Deforestation cut off date
      
      Yes, for partial sourcing regions/operations
      
      1/2
      
      What cut-off date is specified?: 2009
      
      "In line with our commitment to conditioning purchases on respect for environmental criteria, our suppliers in the Amazon Biome are continuously monitored by geo-space technology in place since 2009. We expanded the reach of this routine in 2020 to include producers located in the Cerrado. This improvement was made possible after we completed 100% of the mapping of cattle properties in the entire country, independent of biome."
      
      Open source document
    - Collaborative actions
      Yes
      
      2/2
      
      Collaborative actions
      
      Yes
      
      2/2
      
      What initiatives does the company participate in?: Collaboration for Forests and Agriculture
      
      What is the nature of that participation?: Attending & contributing to meetings
      
      “WWF Brazil Collaboration for Forests and Agriculture: Partnership for the improvement of traceability of indirect suppliers. The work will support the assessment and improvement of Marfrig’s supply chain monitoring approach based on the assessment of documentation and processes through WWF’s existing framework."
      
      Open source document
    - 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
      
      "Every two weeks, our units pass through an audit undertaken by an internal unit or by a third party. We are also audited by government agencies in the various countries where we do business. [...] Our operations and procedures are evaluated periodically by independent certifiers in accordance with international standards and client needs in key markets. Such routines, based on a desire to demonstrate the excellence of our products, operations, and procedures includes issues such as social responsibility, health and safety, environmental protection, and guaranteed quality. We are always seeking top scores and do not deliver results any less than A and double-A. Certifications at plants located in various countries differ from one another in accordance with the operational and consumer characteristics of each market and the local laws. In Uruguay, for example, each unit has its own certification procedure for each different product, such as organic beef."
      
      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
      
      Does the company publish grievances that have been made against it, as well as responses and resolutions including status and timeframes: no
      
      [translation] "COMPLAINT CHANNEL Marfrig's whistleblower channel exists to receive reports of situations of non-compliance with the rules described in this document, in addition to suspicious-looking businesses, practices of improper conduct, bribery, attempted bribery, leakage of information that could compromise the integrity of the Company and selection impartiality of suppliers, fraud, among others. The channel may be accessed by third parties through the following contacts: Telephone: 0800-223-1000 Web site: www.marfrig.com.br/compliance Email: etica@marfrig.com.br"
      
      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: 30,100 heads of cattle slaughtered daily
      
      "Production capacity: 30,100 head of cattle slaughtered daily; 222,000 tons per year of hamburger "
      
      Open source document
    - Report verified volumes of commodity
      No disclosure
      
      0/6
      
      Report verified volumes of commodity
      
      No disclosure
      
      0/6
      
      What is the non-certified/non-compliant volume?: 30,100 heads of cattle slaughtered daily
    - Upstream: Monitor compliance with human rights
      No
      
      0/4
    - Upstream: Impact assessments for land development/acquisition
      No
      
      0/4
    - Upstream: Reporting production/processing locations
      No disclosure
      
      0/4
    - Downstream: Publishing supplier lists
      No
      
      0/4
    - Upstream: Monitor compliance of production/processing
      No
      
      0/4
    - Upstream: Reporting hectares of deforestation
      No
      
      0/4
    - Downstream: Monitor compliance in supply chain
      Yes, for its suppliers production or primary processing operations in its supply chains
      
      4/4
      
      Downstream: Monitor compliance in supply chain
      
      Yes, for its suppliers production or primary processing operations in its supply chains
      
      4/4
      
      How frequently is compliance assessed?: Continuous
      
      Details of monitoring: Using internal monitoring and verification systems
      
      "we were the first company in the industry to create geo-referencing and geo-monitoring models via satellite and to incorporate them into our supply chains [...] "Identifying areas which are vulnerable to deforestation implies the need to use innovative approaches and technologies, including monitoring of rural properties by geo-referencing satellites, use of blockchain systems and risk maps. We are also adopting a system to monitor indirect suppliers, one of the most basic challenges currently faced by our industry." "In 2020, we personalized a tool which brings together satellite monitoring with blockchain technology to verify instances of deforestation, as well as other abuses under socio-environmental law, in the cattle-breeding supply chain. In line with the principle of inclusion, our Conecta Platform will be made available to all producers, independent of size."
      
      Open source document
    - Downstream: Reporting hectares of deforestation
      No
      
      0/4
    - Downstream: Engagement with non-compliant suppliers
      Suspend suppliers, engage to bring into compliance, and reintroduce to the supply chain
      
      2/2
      
      Downstream: Engagement with non-compliant suppliers
      
      Suspend suppliers, engage to bring into compliance, and reintroduce to the supply chain
      
      2/2
      
      What type of support does the company offer to its suppliers to help them achieve compliance with commitments?: Financial and technological: "Development of innovative financial mechanisms. This involves development of new financing sources making it possible for producers to access credit. This is also part of an effort to combat deforestation. By accessing credit for investments in their ranches, producers improve their systems and productivity, making it less likely they will engage in destruction of the virgin forest. ... Building up technical support and productivity . Support for producers to implement technologies helping to make the transition to cattle raising that conciliates productivity with conservation."
      
      Does the company engage non-compliant indirect suppliers in order to address and remedy non-compliance?: No
      
      "Between 2022 and 2025 : 1. Protocol for re-inclusion of blocked producers, making it possible for them to return to the value chain if they meet the company’s sustainability criteria. 2. Execution of program for technical support network, which will seek to intensify and restore cattle-raising conditions by improving both pastures and genetics as well as animal nutrition"
      
      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?: No
      
      "In the face of any cases of non-conformity with rules as detected by monitoring, the supplier is blocked from selling animals to us until the issue is resolved. Under this scheme, 9,896 suppliers – or 100% – were evaluated during the course of the year, in Brazil; monitoring took into account environmental and social impacts. Based on the criteria, some 698 suppliers presented significant negative impacts (active and potential). Of these, 72% showed improvement following evaluation. In all other cases, supply contracts were suspended. "
      
      Open source document
- Leather *
  
  38/88
  - Commitment Strength
    
    12/20
    - Commitment to protect priority forests
      
      5/11
      - Commitment details
        Zero-gross deforestation
        
        5.3/8
        
        Commitment to protect priority forests
        
        Zero-gross deforestation
        
        5.3/8
        
        "We instituted the Marfrig Verde+ Program, in which we take on a commitment to make 100% of our supply chain free of deforestation by 2030 "
        
        Open source document
      - 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
      - Target date
        2028-2030
        
        0/1
        
        Target date
        
        2028-2030
        
        0/1
        
        "We instituted the Marfrig Verde+ Program, in which we take on a commitment to make 100% of our supply chain free of deforestation by 2030 "
        
        Open source document
      - Interim target date
        No
        
        0/0.5
    - Commitment to a traceable supply chain
      
      9/9
      - Commitment details
        Traces to Point of production
        
        5.3/5.3
        
        Commitment to a traceable supply chain
        
        Traces to Point of production
        
        5.3/5.3
        
        "Our entire productive process is monitored and traced with a view toward guaranteeing the safety and quality of our food products, starting with the arrival of animals at the slaughterhouse gate, including raw materials and ingredients, before moving on to shipment of final products. Such practices have been in place since 2007. In addition to not buying cattle directly from critical areas in the Amazon region, tracing also involves the development and management of itineraries for every head of cattle purchased from suppliers. Together with suppliers, we trace every step of the supply chain as a way to guarantee proper standards. In this way, it is possible for us to identify the ranch origin and diet for any animal. We are also able to gather other data relevant to the productive process such as lot numbers, slaughter dates, inventory, and transport."
        
        Open source document
      - Commitment applies to all regions, suppliers and operation
        Yes
        
        2/2
        
        Commitment applies to all regions, suppliers and operation
        
        Yes
        
        2/2
        
        "Our entire productive process is monitored and traced with a view toward guaranteeing the safety and quality of our food products, starting with the arrival of animals at the slaughterhouse gate, including raw materials and ingredients, before moving on to shipment of final products. Such practices have been in place since 2007. In addition to not buying cattle directly from critical areas in the Amazon region, tracing also involves the development and management of itineraries for every head of cattle purchased from suppliers. Together with suppliers, we trace every step of the supply chain as a way to guarantee proper standards. In this way, it is possible for us to identify the ranch origin and diet for any animal. We are also able to gather other data relevant to the productive process such as lot numbers, slaughter dates, inventory, and transport."
        
        Open source document
      - Target date
        Current/achieved
        
        1/1
        
        Target date
        
        Current/achieved
        
        1/1
        
        "Our entire productive process is monitored and traced with a view toward guaranteeing the safety and quality of our food products, starting with the arrival of animals at the slaughterhouse gate, including raw materials and ingredients, before moving on to shipment of final products. Such practices have been in place since 2007. In addition to not buying cattle directly from critical areas in the Amazon region, tracing also involves the development and management of itineraries for every head of cattle purchased from suppliers. Together with suppliers, we trace every step of the supply chain as a way to guarantee proper standards. In this way, it is possible for us to identify the ranch origin and diet for any animal. We are also able to gather other data relevant to the productive process such as lot numbers, slaughter dates, inventory, and transport."
        
        Open source document
      - Interim target date
        NA (target date current or achieved or 2022)
        
        0.5/0.5
        
        Interim target date
        
        NA (target date current or achieved or 2022)
        
        0.5/0.5
        
        "Our entire productive process is monitored and traced with a view toward guaranteeing the safety and quality of our food products, starting with the arrival of animals at the slaughterhouse gate, including raw materials and ingredients, before moving on to shipment of final products. Such practices have been in place since 2007. In addition to not buying cattle directly from critical areas in the Amazon region, tracing also involves the development and management of itineraries for every head of cattle purchased from suppliers. Together with suppliers, we trace every step of the supply chain as a way to guarantee proper standards. In this way, it is possible for us to identify the ranch origin and diet for any animal. We are also able to gather other data relevant to the productive process such as lot numbers, slaughter dates, inventory, and transport."
        
        Open source document
  - Social Considerations
    
    6/18
    - 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
      
      What is the nature of that support?: Technical assistance/support; Education and training
      
      How many smallholders do they support, and what percentage does this represent in terms of their sourcing from smallholders?: 157
      
      "The IDH smallholder outreach programme (the sustainable production calve Program) to increase forest code compliance and sustainable farming practices- with 157 smallholders benefitting"; [translation] "Improve profits and access to finance for small-scale farmers. 2020 Partnership with HDI in the Production Program Sustainable Calves 2021 Establishing new partnerships for the development of financial mechanisms for small farmers"
      
      Open source document
      Open source document
    - Gender equality in the supply chain
      Commitment to ensure equality of women in the supply chain
      
      2/4
      
      Gender equality in the supply chain
      
      Commitment to ensure equality of women in the supply chain
      
      2/4
      
      [translation] "Committed to adopting the best Human Rights practices, Marfrig rejects behaviors and practices that do not comply with laws, regulations and best references in relation to Human Rights, and the Social Responsibility actions adopted by the Company reinforce these commitments. In this sense, it adopts, both in its operations, as to engage the value chain, practices aimed at: (...) iii. Avoid the practice of discrimination, in all its forms iv. Combat gender violence (...) Marfrig defends gender equity, in which men and women receive equal treatment and have the same opportunities for professional growth and development."
      
      Open source document
    - Commitment to remediation
      No
      
      0/2
    - Commitment to ensure Free, Prior and Informed Consent
      No
      
      0/4
    - Commitment to resolve land conflicts
      No
  - Reporting and Implementation
    
    18/50
    - Reporting against commitments
      
      1/3
      - Commitment to protect priority forests
        Yes, for all commodity exposure
        
        2.5/2.5
        
        Commitment to protect priority forests
        
        Yes, for all commodity exposure
        
        2.5/2.5
        
        "Through this program, we established a plan of action, one which is already posting results, aimed at making sure 100% of our supply chain is free from deforestation by 2030. We are advancing swiftly toward this goal. By the end of 2020, we had already reached a high level of origin identification, some 62% in the Amazon and 47% in the Cerrado."
        
        Open source document
      - Commitment to a traceable supply chain
        Yes, for partial or unclear commodity exposure
        
        1.3/2.5
        
        Commitment to a traceable supply chain
        
        Yes, for partial or unclear commodity exposure
        
        1.3/2.5
        
        "Geo-space Monitoring : In line with our commitment to conditioning purchases on respect for environmental criteria, our suppliers in the Amazon Biome are continuously monitored by geo-space technology in place since 2009. We expanded the reach of this routine in 2020 to include producers located in the Cerrado. This improvement was made possible after we completed 100% of the mapping of cattle properties in the entire country, independent of biome. Based on the maps, we were able to compile the Rural Environmental Register (CAR); this information, in turn, is cross referenced with satellite images of the ranches furnished by the INPE (National Institute of Space Studies). We then seek to certify that the properties are free of deforestation and from conflicts with indigenous peoples or conservation groups."
        
        Open source document
    - Reporting is independently verified
      
      2/2
      - Commitment to protect priority forests
        Yes, using a third-party verification scheme or certification scheme.
        
        1.5/1.5
        
        Commitment to protect priority forests
        
        Yes, using a third-party verification scheme or certification scheme.
        
        1.5/1.5
        
        "Geo-space Monitoring In line with our commitment to conditioning purchases on respect for environmental criteria, our suppliers in the Amazon Biome are continuously monitored by geo-space technology in place since 2009. We expanded the reach of this routine in 2020 to include producers located in the Cerrado. This improvement was made possible after we completed 100% of the mapping of cattle properties in the entire country, independent of biome. Based on the maps, we were able to compile the Rural Environmental Register (CAR); this information, in turn, is cross referenced with satellite images of the ranches furnished by the INPE (National Institute of Space Studies). We then seek to certify that the properties are free of deforestation and from conflicts with indigenous peoples or conservation groups."
        
        Open source document
      - Commitment to a traceable supply chain
        Yes, using a third-party verification scheme or certification scheme.
        
        1.5/1.5
        
        Commitment to a traceable supply chain
        
        Yes, using a third-party verification scheme or certification scheme.
        
        1.5/1.5
        
        "To guarantee conformity to their commitments, signatories (e.g. processors and meatpackers) must carry out third party audits, to verify they are not buying from illegitimate suppliers. Such audits are provided annually to the MPF, who supervises compliance."; "Geo-space Monitoring In line with our commitment to conditioning purchases on respect for environmental criteria, our suppliers in the Amazon Biome are continuously monitored by geo-space technology in place since 2009. We expanded the reach of this routine in 2020 to include producers located in the Cerrado. This improvement was made possible after we completed 100% of the mapping of cattle properties in the entire country, independent of biome. Based on the maps, we were able to compile the Rural Environmental Register (CAR); this information, in turn, is cross referenced with satellite images of the ranches furnished by the INPE (National Institute of Space Studies). We then seek to certify that the properties are free of deforestation and from conflicts with indigenous peoples or conservation groups."
        
        Open source document
        Open source document
    - Suppliers aligned with deforestation commitments across supply chain
      Yes, required
      
      2/2
      
      Suppliers aligned with deforestation commitments across supply chain
      
      Yes, required
      
      2/2
      
      "in the face of any cases of non-conformity with rules as detected by monitoring, the supplier is blocked from selling animals to us until the issue is resolved. "
      
      Open source document
    - Deforestation cut off date
      Yes, for partial sourcing regions/operations
      
      1/2
      
      Deforestation cut off date
      
      Yes, for partial sourcing regions/operations
      
      1/2
      
      "In line with our commitment to conditioning purchases on respect for environmental criteria, our suppliers in the Amazon Biome are continuously monitored by geo-space technology in place since 2009. We expanded the reach of this routine in 2020 to include producers located in the Cerrado. This improvement was made possible after we completed 100% of the mapping of cattle properties in the entire country, independent of biome."
      
      Open source document
    - Collaborative actions
      Yes
      
      2/2
      
      Collaborative actions
      
      Yes
      
      2/2
      
      What initiatives does the company participate in?: WWF Collaboration for Forests and Agriculture
      
      What is the nature of that participation?: Providing support/advice/experience/expertise
      
      “WWF Brazil Collaboration for Forests and Agriculture: Partnership for the improvement of traceability of indirect suppliers. The work will support the assessment and improvement of Marfrig’s supply chain monitoring approach based on the assessment of documentation and processes through WWF’s existing framework."
      
      Open source document
    - 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
      
      "Every two weeks, our units pass through an audit undertaken by an internal unit or by a third party. We are also audited by government agencies in the various countries where we do business. [...] Our operations and procedures are evaluated periodically by independent certifiers in accordance with international standards and client needs in key markets. Such routines, based on a desire to demonstrate the excellence of our products, operations, and procedures includes issues such as social responsibility, health and safety, environmental protection, and guaranteed quality. We are always seeking top scores and do not deliver results any less than A and double-A. Certifications at plants located in various countries differ from one another in accordance with the operational and consumer characteristics of each market and the local laws. In Uruguay, for example, each unit has its own certification procedure for each different product, such as organic beef."
      
      Open source document
    - 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, that of external company, internationally recognised mechanism, etc.)?: Own
      
      Which issues does the grievance mechanism cover?: Social; Environmental
      
      Does the company publish grievances that have been made against it, as well as responses and resolutions including status and timeframes: No
      
      [translation] "COMPLAINT CHANNEL Marfrig's whistleblower channel exists to receive reports of situations of non-compliance with the rules described in this document, in addition to suspicious-looking businesses, practices of improper conduct, bribery, attempted bribery, leakage of information that could compromise the integrity of the Company and selection impartiality of suppliers, fraud, among others. The channel may be accessed by third parties through the following contacts: Telephone: 0800-223-1000 Web site: www.marfrig.com.br/compliance Email: etica@marfrig.com.br"
      
      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: 30,100 heads of cattle slaughtered daily
      
      "Production capacity: 30,100 head of cattle slaughtered daily; 222,000 tons per year of hamburger "
      
      Open source document
    - Report verified volumes of commodity
      No disclosure
      
      0/6
      
      Report verified volumes of commodity
      
      No disclosure
      
      0/6
      
      What is the non-certified/non-compliant volume?: 30,100 heads of cattle slaughtered daily
    - Upstream: Monitor compliance with human rights
      No
      
      0/4
    - Upstream: Impact assessments for land development/acquisition
      No
      
      0/4
    - Upstream: Reporting production/processing locations
      No disclosure
      
      0/4
    - Upstream: Monitor compliance of production/processing
      No
      
      0/4
    - Upstream: Reporting hectares of deforestation
      No
      
      0/4
- Pulp & Paper *
  
  14/88
  - Commitment Strength
    
    8/20
    - Commitment to protect priority forests
      
      4/8
      - Commitment details
        Credible certification scheme
        
        2/6
        
        Commitment to protect priority forests
        
        Credible certification scheme
        
        2/6
        
        Which certification schemes are used?: FSC
        
        "It should be noted that all suppliers of forest products and palm oil are indirectly monitored, since these products are only purchased from companies certified by the Forest Stewardship Council (FSC) and the Roundtable on Sustainable Palm Oil (RSPO), respectively."
        
        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
        
        "It should be noted that all suppliers of forest products and palm oil are indirectly monitored, since these products are only purchased from companies certified by the Forest Stewardship Council (FSC) and the Roundtable on Sustainable Palm Oil (RSPO), respectively."
        
        Open source document
      - Target date
        Current/achieved
        
        0.7/0.7
        
        Target date
        
        Current/achieved
        
        0.7/0.7
        
        "It should be noted that all suppliers of forest products and palm oil are indirectly monitored, since these products are only purchased from companies certified by the Forest Stewardship Council (FSC) and the Roundtable on Sustainable Palm Oil (RSPO), respectively."
        
        Open source document
      - Interim target date
        NA (target date current or achieved or 2022)
        
        0.3/0.3
        
        Interim target date
        
        NA (target date current or achieved or 2022)
        
        0.3/0.3
        
        Current- see 3.2
        
        Open source document
    - Commitment to reduce use of virgin wood fibre
      
      4/5
      - Commitment details
        Yes
        
        3/3
        
        Commitment to reduce use of virgin wood fibre
        
        Yes
        
        3/3
        
        Type of commitment: Recycled content; Reduction of material inputs
        
        "The Company also supports the use of recyclable packaging. One of Marfrig’s most important customers requires that product cartons contain at least 25% post-consumer recycled material (made from waste from the manufacture of new products) and 40% of fully recycled material."
        
        Open source document
      - Commitment applies to all regions, suppliers and operation
        No
        
        0/1.3
        
        Commitment applies to all regions, suppliers and operation
        
        No
        
        0/1.3
        
        If no, what is excluded?: Segment
      - Target date
        Current/achieved
        
        0.7/0.7
        
        Target date
        
        Current/achieved
        
        0.7/0.7
        
        "The Company also supports the use of recyclable packaging. One of Marfrig’s most important customers requires that product cartons contain at least 25% post-consumer recycled material (made from waste from the manufacture of new products) and 40% of fully recycled material."
        
        Open source document
      - Interim target date
        NA (target date current or achieved or 2022)
        
        0.3/0.3
        
        Interim target date
        
        NA (target date current or achieved or 2022)
        
        0.3/0.3
        
        "The Company also supports the use of recyclable packaging. One of Marfrig’s most important customers requires that product cartons contain at least 25% post-consumer recycled material (made from waste from the manufacture of new products) and 40% of fully recycled material."
        
        Open source document
    - 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
    
    2/18
    - Labour rights in the supply chain
      No
      
      0/4
    - Inclusion of small-scale farmers
      No
      
      0/4
    - Gender equality in the supply chain
      Commitment to ensure equality of women in the supply chain
      
      2/4
      
      Gender equality in the supply chain
      
      Commitment to ensure equality of women in the supply chain
      
      2/4
      
      [translation] "Committed to adopting the best Human Rights practices, Marfrig rejects behaviors and practices that do not comply with laws, regulations and best references in relation to Human Rights, and the Social Responsibility actions adopted by the Company reinforce these commitments. In this sense, it adopts, both in its operations, as to engage the value chain, practices aimed at: (...) iii. Avoid the practice of discrimination, in all its forms iv. Combat gender violence (...) Marfrig defends gender equity, in which men and women receive equal treatment and have the same opportunities for professional growth and development."
      
      Open source document
    - Commitment to remediation
      No
      
      0/2
    - Commitment to ensure Free, Prior and Informed Consent
      No
      
      0/4
    - Commitment to resolve land conflicts
      No
  - 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
      
      "Every two weeks, our units pass through an audit undertaken by an internal unit or by a third party. We are also audited by government agencies in the various countries where we do business. [...] Our operations and procedures are evaluated periodically by independent certifiers in accordance with international standards and client needs in key markets. Such routines, based on a desire to demonstrate the excellence of our products, operations, and procedures includes issues such as social responsibility, health and safety, environmental protection, and guaranteed quality. We are always seeking top scores and do not deliver results any less than A and double-A. Certifications at plants located in various countries differ from one another in accordance with the operational and consumer characteristics of each market and the local laws. In Uruguay, for example, each unit has its own certification procedure for each different product, such as organic beef."
      
      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
      
      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, etc.)?: Own
      
      [translation] "COMPLAINT CHANNEL Marfrig's whistleblower channel exists to receive reports of situations of non-compliance with the rules described in this document, in addition to suspicious-looking businesses, practices of improper conduct, bribery, attempted bribery, leakage of information that could compromise the integrity of the Company and selection impartiality of suppliers, fraud, among others. The channel may be accessed by third parties through the following contacts: Telephone: 0800-223-1000 Web site: www.marfrig.com.br/compliance Email: etica@marfrig.com.br"
      
      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 *
  
  8/88
  - Commitment Strength
    
    2/20
    - Commitment to protect priority forests
      
      2/11
      - Commitment details
        Sustainability commitment/other
        
        1.3/8
        
        Commitment to protect priority forests
        
        Sustainability commitment/other
        
        1.3/8
        
        "By 2025 -Reach full tracking capability for the entire Marfrig supply chain in the Amazon. (...) The principle of responsible purchasing is not applied only to suppliers of cattle. Producers of soybeans are also evaluated by means of a similar questionnaire in which queries are evaluated and verified regarding origins of the soybeans as a way to assure that they are not being grown in areas suffering from deforestation. "
        
        Open source document
        Open source document
      - 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
        
        "By 2025 -Reach full tracking capability for the entire Marfrig supply chain in the Amazon. (...) The principle of responsible purchasing is not applied only to suppliers of cattle. Producers of soybeans are also evaluated by means of a similar questionnaire in which queries are evaluated and verified regarding origins of the soybeans as a way to assure that they are not being grown in areas suffering from deforestation. "
        
        Open source document
        Open source document
      - Target date
        2025
        
        0.5/1
        
        Target date
        
        2025
        
        0.5/1
        
        "By 2025 -Reach full tracking capability for the entire Marfrig supply chain in the Amazon. (...) The principle of responsible purchasing is not applied only to suppliers of cattle. Producers of soybeans are also evaluated by means of a similar questionnaire in which queries are evaluated and verified regarding origins of the soybeans as a way to assure that they are not being grown in areas suffering from deforestation. "
        
        Open source document
        Open source document
      - 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
    
    2/18
    - Labour rights in the supply chain
      No
      
      0/4
    - Inclusion of small-scale farmers
      No
      
      0/4
    - Gender equality in the supply chain
      Commitment to ensure equality of women in the supply chain
      
      2/4
      
      Gender equality in the supply chain
      
      Commitment to ensure equality of women in the supply chain
      
      2/4
      
      [translation] "Committed to adopting the best Human Rights practices, Marfrig rejects behaviors and practices that do not comply with laws, regulations and best references in relation to Human Rights, and the Social Responsibility actions adopted by the Company reinforce these commitments. In this sense, it adopts, both in its operations, as to engage the value chain, practices aimed at: (...) iii. Avoid the practice of discrimination, in all its forms iv. Combat gender violence (...) Marfrig defends gender equity, in which men and women receive equal treatment and have the same opportunities for professional growth and development."
      
      Open source document
    - Commitment to remediation
      No
      
      0/2
    - Commitment to ensure Free, Prior and Informed Consent
      No
      
      0/4
    - 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
      
      "Every two weeks, our units pass through an audit undertaken by an internal unit or by a third party. We are also audited by government agencies in the various countries where we do business. [...] Our operations and procedures are evaluated periodically by independent certifiers in accordance with international standards and client needs in key markets. Such routines, based on a desire to demonstrate the excellence of our products, operations, and procedures includes issues such as social responsibility, health and safety, environmental protection, and guaranteed quality. We are always seeking top scores and do not deliver results any less than A and double-A. Certifications at plants located in various countries differ from one another in accordance with the operational and consumer characteristics of each market and the local laws. In Uruguay, for example, each unit has its own certification procedure for each different product, such as organic beef."
      
      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
      
      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, etc.)?: own
      
      [translation] "COMPLAINT CHANNEL Marfrig's whistleblower channel exists to receive reports of situations of non-compliance with the rules described in this document, in addition to suspicious-looking businesses, practices of improper conduct, bribery, attempted bribery, leakage of information that could compromise the integrity of the Company and selection impartiality of suppliers, fraud, among others. The channel may be accessed by third parties through the following contacts: Telephone: 0800-223-1000 Web site: www.marfrig.com.br/compliance Email: etica@marfrig.com.br"
      
      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

9/20

Avg. score
Reporting and Implementation

14/50

Avg. score
Social considerations

4/18

Avg. score

Profile

Marfrig Global Foods is a multinational food company based in Brazil. Its primary business is in meat packing, but it also produces processed food and leather products. The company’s subsidiary Marfrig Beef has over 20 operational facilities spread across South America, with the capacity to slaughter over 3 million cattle per year. Marfrig Global Foods is selected as a powerbroker for beef and is also assessed for its exposure to soy, leather and paper packaging.

Sector

Industry sector

Agri commodities, Packaged food

Segments

Trader, Processor, Manufacturer

Brazil

Company Type

Company type

Public listed

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.

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.