Nippon Paper Industries Co. Ltd.

Overall approach

4/12
- Overarching commitment on deforestation
  
  0/4
- Signatory to an initiative tackling deforestation
  
  1/1
  
  Yes
  
  1/1
  
  Company is a signatory to the Consumer Goods Forum; Company is a signatory to the UN Global Compact
  
  Open source document
  Open source document
- Awareness of the value of forests
  
  1/1
  
  Yes
  
  1/1
  
  "Conversion to farmland, non traditional slash-and-burn farming, excessive logging for firewood, excessive commercial logging, forest fires, etc all take their toll on forests. Additionally, GHG emissions from these activities account for over 10% * of global emissions. In order to mitigate climate change, it follows that efforts to prevent the decline and deterioration of forests in developing countries are extremely important."
  
  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
  
  Nippon Paper lists the following as a reputation risk "Reputational Risk - Increasing need for the sustainable procurement of woody biomass fuel [...] • Implementation and audit of supplier surveys • Utilization of forest certifications"
  
  Open source document
- High-level management of deforestion
  
  1/1
  
  Yes
  
  1/1
  
  How often does the committee or board meet to assess company's progress on addressing deforestation-related issues?:
  
  Which commodities does it apply to?: Timber; Pulp & Paper
  
  "The Group has established the Nippon Paper Group Raw Materials Committee, which is chaired by the General Manager of the Raw Materials Division at Nippon Paper Industries. This committee discusses important issues related to raw material procurement for the entire Group, such as policies of raw material procurement. [....] The Board of Directors of Nippon Paper Industries Co., Ltd. has oversight "
  
  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
- 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?: 170,000 ha
  
  "Circulation of Sustainable Forest Resources- Aim to maximize forest values by using our domestic and foreign plantations and forests (about 170,000 ha)"
  
  Open source document
- Target to reduce emissions in scope 1/2
  
  Yes
  
  0/0
  
  Type of climate target: Other or unclear
  
  What is the target date for the company to achieve their climate target?: 2030
  
  "FY2030 Target- GHG emissions (Scope 1 and Scope 2) 45% reduction (compared with FY2013)"
  
  Open source document
Commodity score

47/88
- Pulp & Paper
  
  47/88
  - Commitment Strength
    
    16/20
    - 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; PEFC
        
        "Environmentally friendly raw materials procurement (1) We procure woodchips, lumber and pulp from forests under sustainable forest management. (2) We use and deal in no illegally logged lumber and we support the eradication of illegal logging [...] All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification)"
        
        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
        
        "Environmentally friendly raw materials procurement (1) We procure woodchips, lumber and pulp from forests under sustainable forest management. (2) We use and deal in no illegally logged lumber and we support the eradication of illegal logging [...] All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification)"
        
        Open source document
      - Target date
        Current/achieved
        
        0.7/0.7
        
        Target date
        
        Current/achieved
        
        0.7/0.7
        
        "Environmentally friendly raw materials procurement (1) We procure woodchips, lumber and pulp from forests under sustainable forest management. (2) We use and deal in no illegally logged lumber and we support the eradication of illegal logging [...] All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification)"
        
        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
        
        "Environmentally friendly raw materials procurement (1) We procure woodchips, lumber and pulp from forests under sustainable forest management. (2) We use and deal in no illegally logged lumber and we support the eradication of illegal logging [...] All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification)"
        
        Open source document
    - Commitment to reduce use of virgin wood fibre
      
      5/5
      - Commitment details
        Yes
        
        3/3
        
        Commitment to reduce use of virgin wood fibre
        
        Yes
        
        3/3
        
        Type of commitment: Recycled content
        
        "Environmentally friendly raw materials procurement [...] Environmentally friendly raw materials procurement [...] Amount of used paper and recycled pulp procured* (FY2020) Used paper - 2,650kt; Recycled Pulp 11kt; Total 2,661kt [...] ● The Group continues to maintain the stable procurement system that it has built over the course of many years in cooperation with the wastepaper industry. ● For the purpose of stable resource circulation to newspapers, the Company are building and expanding a “Closed Loop System” in which we directly purchase used newspapers collected by newspaper companies. ● In order to promote paperizing, in response to the global trend of eliminating the use of plastic by replacing it with paper, the Company is working on constructing a recycling system for presently unusable wastepaper including used food trays."
        
        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
        
        "Environmentally friendly raw materials procurement [...] Environmentally friendly raw materials procurement [...] Amount of used paper and recycled pulp procured* (FY2020) Used paper - 2,650kt; Recycled Pulp 11kt; Total 2,661kt [...] ● The Group continues to maintain the stable procurement system that it has built over the course of many years in cooperation with the wastepaper industry. ● For the purpose of stable resource circulation to newspapers, the Company are building and expanding a “Closed Loop System” in which we directly purchase used newspapers collected by newspaper companies. ● In order to promote paperizing, in response to the global trend of eliminating the use of plastic by replacing it with paper, the Company is working on constructing a recycling system for presently unusable wastepaper including used food trays."
        
        Open source document
      - Target date
        Current/achieved
        
        0.7/0.7
        
        Target date
        
        Current/achieved
        
        0.7/0.7
        
        "Environmentally friendly raw materials procurement [...] Environmentally friendly raw materials procurement [...] Amount of used paper and recycled pulp procured* (FY2020) Used paper - 2,650kt; Recycled Pulp 11kt; Total 2,661kt [...] ● The Group continues to maintain the stable procurement system that it has built over the course of many years in cooperation with the wastepaper industry. ● For the purpose of stable resource circulation to newspapers, the Company are building and expanding a “Closed Loop System” in which we directly purchase used newspapers collected by newspaper companies. ● In order to promote paperizing, in response to the global trend of eliminating the use of plastic by replacing it with paper, the Company is working on constructing a recycling system for presently unusable wastepaper including used food trays."
        
        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
        
        "Environmentally friendly raw materials procurement [...] Environmentally friendly raw materials procurement [...] Amount of used paper and recycled pulp procured* (FY2020) Used paper - 2,650kt; Recycled Pulp 11kt; Total 2,661kt [...] ● The Group continues to maintain the stable procurement system that it has built over the course of many years in cooperation with the wastepaper industry. ● For the purpose of stable resource circulation to newspapers, the Company are building and expanding a “Closed Loop System” in which we directly purchase used newspapers collected by newspaper companies. ● In order to promote paperizing, in response to the global trend of eliminating the use of plastic by replacing it with paper, the Company is working on constructing a recycling system for presently unusable wastepaper including used food trays."
        
        Open source document
    - Commitment to a traceable supply chain
      
      6/6
      - Commitment details
        Downstream company, traces to First Importer, checks compliance
        
        4/4
        
        Commitment to a traceable supply chain
        
        Downstream company, traces to First Importer, checks compliance
        
        4/4
        
        "●Traceability based on the Guideline for Verification of Legality and Sustainability of Wood and Wood Products established by Japan’s Forest Agency. Confirmation of basic information relating to forest operations. Information examples include compliance with laws and regulations, tree species, and whether forest certifications have been obtained. ●On a ship by ship basis , the relevant documents confirm that wood logging areas and suppliers comply with relevant laws and regulations and do not contain illegal logging materials. ●On-site checks by employees assigned to local offices ● Questionnaires and local interviews (Every effort is made to enhance traceability by confirming compliance with statutory requirements regarding forest management, tree species, and the acquisition of forest certifications.)"
        
        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
        
        "●Traceability based on the Guideline for Verification of Legality and Sustainability of Wood and Wood Products established by Japan’s Forest Agency. Confirmation of basic information relating to forest operations. Information examples include compliance with laws and regulations, tree species, and whether forest certifications have been obtained. ●On a ship by ship basis , the relevant documents confirm that wood logging areas and suppliers comply with relevant laws and regulations and do not contain illegal logging materials. ●On-site checks by employees assigned to local offices ● Questionnaires and local interviews (Every effort is made to enhance traceability by confirming compliance with statutory requirements regarding forest management, tree species, and the acquisition of forest certifications.)"
        
        Open source document
      - Target date
        Current/achieved
        
        0.7/0.7
        
        Target date
        
        Current/achieved
        
        0.7/0.7
        
        "●Traceability based on the Guideline for Verification of Legality and Sustainability of Wood and Wood Products established by Japan’s Forest Agency. Confirmation of basic information relating to forest operations. Information examples include compliance with laws and regulations, tree species, and whether forest certifications have been obtained. ●On a ship by ship basis , the relevant documents confirm that wood logging areas and suppliers comply with relevant laws and regulations and do not contain illegal logging materials. ●On-site checks by employees assigned to local offices ● Questionnaires and local interviews (Every effort is made to enhance traceability by confirming compliance with statutory requirements regarding forest management, tree species, and the acquisition of forest certifications.)"
        
        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
        
        "●Traceability based on the Guideline for Verification of Legality and Sustainability of Wood and Wood Products established by Japan’s Forest Agency. Confirmation of basic information relating to forest operations. Information examples include compliance with laws and regulations, tree species, and whether forest certifications have been obtained. ●On a ship by ship basis , the relevant documents confirm that wood logging areas and suppliers comply with relevant laws and regulations and do not contain illegal logging materials. ●On-site checks by employees assigned to local offices ● Questionnaires and local interviews (Every effort is made to enhance traceability by confirming compliance with statutory requirements regarding forest management, tree species, and the acquisition of forest certifications.)"
        
        Open source document
  - Social Considerations
    
    5/18
    - Labour rights in the supply chain
      Yes
      
      4/4
      
      Labour rights in the supply chain
      
      Yes
      
      4/4
      
      Details of commitment: Discrimination; Forced labour; Child labour; Freedom of association
      
      "Based on information from sources such as results of supplier surveys*(once a year) and local interviews, the following has been confirmed. ・Policies or systems have been established for addressing human rights and labor matters. (Workers’ collective bargaining rights and free association rights, No forced labor, No child labor or discrimination, Being protected in health and safety, Considering the rights of indigenous peoples)"
      
      Open source document
    - Inclusion of small-scale farmers
      No
      
      0/4
    - Gender equality in the supply chain
      Commitment to address gender related labour rights including discrimination and harassment
      
      1/4
      
      Gender equality in the supply chain
      
      Commitment to address gender related labour rights including discrimination and harassment
      
      1/4
      
      "We pledge to respect fundamental human rights and not to engage in any behavior that disregards such rights, including discrimination based on matters such as nationality, race, place of birth, sex, religion, medical conditions or disabilities, sexual harassment and the abuse of power."
      
      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
    
    26/50
    - 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
        
        "Environmentally friendly raw materials procurement (1) We procure woodchips, lumber and pulp from forests under sustainable forest management. (2) We use and deal in no illegally logged lumber and we support the eradication of illegal logging [...] All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification)"
        
        Open source document
      - Commitment to reduce use of virgin wood fibre
        Yes, for all commodity exposure
        
        1.7/1.7
        
        Commitment to reduce use of virgin wood fibre
        
        Yes, for all commodity exposure
        
        1.7/1.7
        
        "Environmentally friendly raw materials procurement [...] Environmentally friendly raw materials procurement [...] Amount of used paper and recycled pulp procured* (FY2020) Used paper - 2,650kt; Recycled Pulp 11kt; Total 2,661kt [...] ● The Group continues to maintain the stable procurement system that it has built over the course of many years in cooperation with the wastepaper industry. ● For the purpose of stable resource circulation to newspapers, the Company are building and expanding a “Closed Loop System” in which we directly purchase used newspapers collected by newspaper companies. ● In order to promote paperizing, in response to the global trend of eliminating the use of plastic by replacing it with paper, the Company is working on constructing a recycling system for presently unusable wastepaper including used food trays."
        
        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
        
        "In FY2020, it was determined, based on questionnaire responses and shipping and other documents provided by each supplier, that no illegally harvested woodchips or pulp were procured from overseas suppliers."
        
        Open source document
    - Reporting is independently verified
      
      0/1
      - 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
        
        Which tools, approaches, third-party verification, including certification, schemes are used?: FSC, PEFC
        
        "Environmentally friendly raw materials procurement (1) We procure woodchips, lumber and pulp from forests under sustainable forest management. (2) We use and deal in no illegally logged lumber and we support the eradication of illegal logging [...] All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification)"
        
        Open source document
      - 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
      Yes
      
      2/2
      
      Risk assessments for forest risk
      
      Yes
      
      2/2
      
      How frequently are assessments conducted?: annually
      
      "Through annual forest certification audits and audits performed by the Japan Paper Association's illegal logging monitoring project, Nippon Paper Industries has third parties perform objective assessments to determine whether it is conducting wood raw material procurement in accordance with its procurement policy. Advice obtained through these assessments are then actively used to make improvements"
      
      Open source document
    - Operations assessed to comply with law
      Yes
      
      2/2
      
      Operations assessed to comply with law
      
      Yes
      
      2/2
      
      "Eradicating Illegal Logging ● Nippon Paper Industries, Nippon Paper Papylia and Nippon Paper Crecia have established a Legality Certification Due Diligence System Manual for the purpose of verifying the legality of the wood raw materials that they procure. The companies carry out due diligence all of wood raw materials procured both in Japan and overseas. ▶ New business partner: Implemented at the time of new transaction ▶ Existing business partners: Conducted regularly every year ● In FY2019, the Group carried out due diligence and verified the legality of all of its wood raw materials [...] On a ship by ship basis , the relevant documents confirm that wood logging areas and suppliers comply with relevant laws and regulations and do not contain illegal logging materials"
      
      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
      
      "Nippon Paper Group have an online form which can be completed by any, with specific categories such as [translation] "inquiries about forest resources and tree planting activities" and "CSR/social contribution activities", and "agribusiness". [...] " In addition to receiving opinions and inquiries via its website, the Nippon Paper Group has established a complaint and inquiry contact at each of its mills. We have also adopted environmental monitoring systems and take other steps to encourage input from local residents. ● When a complaint is received, we move swiftly to determine possible causes, and implement emergency and permanent solutions. We also explain to the person who lodged the complaint what happened and what we did to resolve the situation, so that they can be satisfied that we have responded appropriately"
      
      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: 3,367 KT
      
      Nippon Paper report in their 2021 ESG report - "Nippon Paper Industries procures most of the woody raw materials as wood chips and some as pulp. ▶ Woodchips : About 60% from overseas, about 40% from Japan ▶ Woodchips from overseas : To ensure stable overseas procurement, sources of woodchip imports are diversified among Australia, South America, and other parts of the world [...] Geographic breakdown of wood raw materials (chips) procured by Nippon Paper Industries (FY2020) Overseas 61% （2,037kt）Japan 39% （1,330kt)"
      
      Open source document
    - Report verified volumes of commodity
      100%
      
      6/6
      
      Report verified volumes of commodity
      
      100%
      
      6/6
      
      What third-party verification is used?: FSC, PEFC
      
      What is the certified volume?: 3,367 KT
      
      For what percent of the company's supply volume is third-party verification of performance relative to commitments conducted?: 100%
      
      Nippon Paper report in their 2021 ESG report - "Nippon Paper Industries procures most of the woody raw materials as wood chips and some as pulp. ▶ Woodchips : About 60% from overseas, about 40% from Japan ▶ Woodchips from overseas : To ensure stable overseas procurement, sources of woodchip imports are diversified among Australia, South America, and other parts of the world [...] Geographic breakdown of wood raw materials (chips) procured by Nippon Paper Industries (FY2020) Overseas 61% （2,037kt）Japan 39% （1,330kt) [...] All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification.)"
      
      Open source document
    - Upstream: Monitor compliance with human rights
      Yes, commit to monitoring compliance with labour/worker rights
      
      2/4
      
      Upstream: Monitor compliance with human rights
      
      Yes, commit to monitoring compliance with labour/worker rights
      
      2/4
      
      "We ensure that the entire supply chain has appropriate human rights and labor practices. [...] As defined in this Philosophy and Basic Policy, the Group ensures that the entire supply chain has appropriate human rights and labor practices. The Group requests that its suppliers pay care and consideration to human rights and labor practices, and conducts regular questionnaire surveys and interviews to audit important suppliers regarding these concerns."
      
      Open source document
    - Upstream: Impact assessments for land development/acquisition
      No
      
      0/4
    - Upstream: Reporting production/processing locations
      Reports location of company-owned processing facilities
      
      1/4
      
      Upstream: Reporting production/processing locations
      
      Reports location of company-owned processing facilities
      
      1/4
      
      In what country(ies) does the company operate and/or source material?: Mill list provided is Japan only
      
      What is the total area in production (in ha)?: 0 not specified
      
      Nippon paper discloses the locations of their "NetworkDomestic Mills"
      
      Open source document
    - Downstream: Publishing supplier lists
      No
      
      0/4
    - Upstream: Monitor compliance of production/processing
      Yes, using a third-party verification system
      
      4/4
      
      Upstream: Monitor compliance of production/processing
      
      Yes, using a third-party verification system
      
      4/4
      
      How frequently is compliance assessed?: Annually
      
      Does the company use a certification system?: No
      
      Does the company use a jurisdictional monitoring mechanism?: No
      
      "Nippon Paper Industries, Nippon Paper Papylia and Nippon Paper Crecia have established a Legality Certification Due Diligence System Manual for the purpose of verifying the legality of the wood raw materials that they procure. The companies carry out due diligence all of wood raw materials procured both in Japan and overseas. ▶ New business partner: Implemented at the time of new transaction ▶ Existing business partners: Conducted regularly every year ● In FY2019, the Group carried out due diligence and verified the legality of all of its wood raw materials.[...] At Nippon Paper Industries Co., Ltd., ●All company-owned forests in Japan and overseas have received forest certifications. ●All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification.)"
      
      Open source document
    - Upstream: Reporting hectares of deforestation
      No
      
      0/4
    - 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
      
      How frequently is compliance assessed?: Annually
      
      "Enhancement of the Group’s supply chain management ● The Group carries out the following as a supplier risk assessment. ▶ New supplier : By conducting site visits and supplier questionnaires, the Group confirms whether it meets the Nippon Paper Groupʼs procurement policy and whether it has any risks before starting trading. ▶ Existing supplier : Check for risks through regular site visits and annual supplier surveys. ● The Group checks the status of forest certification at the time of contract with the supplier. [...] ●Based on information from sources such as results of supplier surveys*(once a year) and local interviews, the following has been confirmed. ・The environment has been considered. ・Logging and forest management activities that are considered to protect biodiversity have been conducted. ・Biodiversity surveys have been conducted. ・Forest certification has been obtained. *target : Import chip, domestic and import pulp ●The Group disseminates its procurement policy by describing it in the supplier questionnaire (Japanese and English)"
      
      Open source document
    - Downstream: Reporting hectares of deforestation
      No
      
      0/4
    - Downstream: Engagement with non-compliant suppliers
      No engagement or exclusion
      
      0/2
      
      Downstream: Engagement with non-compliant suppliers
      
      No engagement or exclusion
      
      0/2
      
      "Nippon Paper Industries Co., Ltd. holds CSR seminars for suppliers and other stakeholders"
      
      Open source document
    - Downstream: Disclosure of non-compliant suppliers
      No disclosure
      
      0/2
- Timber *
  
  47/88
  - Commitment Strength
    
    13/20
    - Commitment to protect priority forests
      
      6/11
      - Commitment details
        Credible certification scheme
        
        2.7/8
        
        Commitment to protect priority forests
        
        Credible certification scheme
        
        2.7/8
        
        Which certification schemes are used?: FSC; PEFC
        
        "Environmentally friendly raw materials procurement (1) We procure woodchips, lumber and pulp from forests under sustainable forest management. (2) We use and deal in no illegally logged lumber and we support the eradication of illegal logging [...] All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification)"
        
        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
        
        "Environmentally friendly raw materials procurement (1) We procure woodchips, lumber and pulp from forests under sustainable forest management. (2) We use and deal in no illegally logged lumber and we support the eradication of illegal logging [...] All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification)"
        
        Open source document
      - Target date
        Current/achieved
        
        1/1
        
        Target date
        
        Current/achieved
        
        1/1
        
        "Environmentally friendly raw materials procurement (1) We procure woodchips, lumber and pulp from forests under sustainable forest management. (2) We use and deal in no illegally logged lumber and we support the eradication of illegal logging [...] All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification)"
        
        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
        
        "Environmentally friendly raw materials procurement (1) We procure woodchips, lumber and pulp from forests under sustainable forest management. (2) We use and deal in no illegally logged lumber and we support the eradication of illegal logging [...] All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification)"
        
        Open source document
    - Commitment to a traceable supply chain
      
      9/9
      - Commitment details
        Downstream company, traces to First Importer, checks compliance
        
        5.3/5.3
        
        Commitment to a traceable supply chain
        
        Downstream company, traces to First Importer, checks compliance
        
        5.3/5.3
        
        "●Traceability based on the Guideline for Verification of Legality and Sustainability of Wood and Wood Products established by Japan’s Forest Agency. Confirmation of basic information relating to forest operations. Information examples include compliance with laws and regulations, tree species, and whether forest certifications have been obtained. ●On a ship by ship basis , the relevant documents confirm that wood logging areas and suppliers comply with relevant laws and regulations and do not contain illegal logging materials. ●On-site checks by employees assigned to local offices ● Questionnaires and local interviews (Every effort is made to enhance traceability by confirming compliance with statutory requirements regarding forest management, tree species, and the acquisition of forest certifications.)"
        
        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
        
        "● Traceability based on the Guideline for Verification of Legality and Sustainability of Wood and Wood Products established by Japan’s Forest Agency. Confirmation of basic information relating to forest operations. Information examples include compliance with laws and regulations, tree species, and whether forest certifications have been obtained. ● On a ship by ship basis , the relevant documents confirm that wood logging areas and suppliers comply with relevant laws and regulations and do not contain illegal logging materials. ● On-site checks by employees assigned to local offices ● Questionnaires and local interviews (Every effort is made to enhance traceability by confirming compliance with statutory requirements regarding forest management, tree species, and the acquisition of forest certifications.)"
        
        Open source document
      - Target date
        Current/achieved
        
        1/1
        
        Target date
        
        Current/achieved
        
        1/1
        
        "●Traceability based on the Guideline for Verification of Legality and Sustainability of Wood and Wood Products established by Japan’s Forest Agency. Confirmation of basic information relating to forest operations. Information examples include compliance with laws and regulations, tree species, and whether forest certifications have been obtained. ●On a ship by ship basis , the relevant documents confirm that wood logging areas and suppliers comply with relevant laws and regulations and do not contain illegal logging materials. ●On-site checks by employees assigned to local offices ● Questionnaires and local interviews (Every effort is made to enhance traceability by confirming compliance with statutory requirements regarding forest management, tree species, and the acquisition of forest certifications.)"
        
        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
        
        "●Traceability based on the Guideline for Verification of Legality and Sustainability of Wood and Wood Products established by Japan’s Forest Agency. Confirmation of basic information relating to forest operations. Information examples include compliance with laws and regulations, tree species, and whether forest certifications have been obtained. ●On a ship by ship basis , the relevant documents confirm that wood logging areas and suppliers comply with relevant laws and regulations and do not contain illegal logging materials. ●On-site checks by employees assigned to local offices ● Questionnaires and local interviews (Every effort is made to enhance traceability by confirming compliance with statutory requirements regarding forest management, tree species, and the acquisition of forest certifications.)"
        
        Open source document
  - Social Considerations
    
    5/18
    - Labour rights in the supply chain
      Yes
      
      4/4
      
      Labour rights in the supply chain
      
      Yes
      
      4/4
      
      Details of commitment: Discrimination; Forced labour; Child labour; Freedom of association
      
      "Based on information from sources such as results of supplier surveys*(once a year) and local interviews, the following has been confirmed. ・Policies or systems have been established for addressing human rights and labor matters. (Workers’ collective bargaining rights and free association rights, No forced labor, No child labor or discrimination, Being protected in health and safety, Considering the rights of indigenous peoples)"
      
      Open source document
    - Inclusion of small-scale farmers
      No
      
      0/4
    - Gender equality in the supply chain
      Commitment to address gender related labour rights including discrimination and harassment
      
      1/4
      
      Gender equality in the supply chain
      
      Commitment to address gender related labour rights including discrimination and harassment
      
      1/4
      
      "We pledge to respect fundamental human rights and not to engage in any behavior that disregards such rights, including discrimination based on matters such as nationality, race, place of birth, sex, religion, medical conditions or disabilities, sexual harassment and the abuse of power."
      
      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
    
    27/50
    - Reporting against commitments
      
      3/3
      - 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
        
        Does the company report on the degree of compliance/progress with commitments, disaggregated by relevant factors such as origin or supply chain stage?: No
        
        "Environmentally friendly raw materials procurement (1) We procure woodchips, lumber and pulp from forests under sustainable forest management. (2) We use and deal in no illegally logged lumber and we support the eradication of illegal logging [...] All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification)"
        
        Open source document
      - Commitment to a traceable supply chain
        Yes, for all commodity exposure
        
        2.5/2.5
        
        Commitment to a traceable supply chain
        
        Yes, for all commodity exposure
        
        2.5/2.5
        
        "In FY2020, it was determined, based on questionnaire responses and shipping and other documents provided by each supplier, that no illegally harvested woodchips or pulp were procured from overseas suppliers."
        
        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 processes or groups does the company use for third party verification?: FSC, PEFC
        
        Which tools, approaches, third-party verification, including certification, schemes are used?: FSC, PEFC
        
        "Environmentally friendly raw materials procurement (1) We procure woodchips, lumber and pulp from forests under sustainable forest management. (2) We use and deal in no illegally logged lumber and we support the eradication of illegal logging [...] All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification)"
        
        Open source document
      - 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
      Yes
      
      2/2
      
      Risk assessments for forest risk
      
      Yes
      
      2/2
      
      How frequently are assessments conducted?: annually
      
      "Through annual forest certification audits and audits performed by the Japan Paper Association's illegal logging monitoring project, Nippon Paper Industries has third parties perform objective assessments to determine whether it is conducting wood raw material procurement in accordance with its procurement policy. Advice obtained through these assessments are then actively used to make improvements"
      
      Open source document
    - Operations assessed to comply with law
      Yes
      
      2/2
      
      Operations assessed to comply with law
      
      Yes
      
      2/2
      
      "Eradicating Illegal Logging ● Nippon Paper Industries, Nippon Paper Papylia and Nippon Paper Crecia have established a Legality Certification Due Diligence System Manual for the purpose of verifying the legality of the wood raw materials that they procure. The companies carry out due diligence all of wood raw materials procured both in Japan and overseas. ▶ New business partner: Implemented at the time of new transaction ▶ Existing business partners: Conducted regularly every year ● In FY2019, the Group carried out due diligence and verified the legality of all of its wood raw materials [...] On a ship by ship basis , the relevant documents confirm that wood logging areas and suppliers comply with relevant laws and regulations and do not contain illegal logging materials"
      
      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
      
      "Nippon Paper Group have an online form which can be completed by any, with specific categories such as [translation] "inquiries about forest resources and tree planting activities" and "CSR/social contribution activities", and "agribusiness". [...] " In addition to receiving opinions and inquiries via its website, the Nippon Paper Group has established a complaint and inquiry contact at each of its mills. We have also adopted environmental monitoring systems and take other steps to encourage input from local residents. ● When a complaint is received, we move swiftly to determine possible causes, and implement emergency and permanent solutions. We also explain to the person who lodged the complaint what happened and what we did to resolve the situation, so that they can be satisfied that we have responded appropriately"
      
      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: 3,367 KT
      
      Nippon Paper report in their 2021 ESG report - "Nippon Paper Industries procures most of the woody raw materials as wood chips and some as pulp. ▶ Woodchips : About 60% from overseas, about 40% from Japan ▶ Woodchips from overseas : To ensure stable overseas procurement, sources of woodchip imports are diversified among Australia, South America, and other parts of the world [...] Geographic breakdown of wood raw materials (chips) procured by Nippon Paper Industries (FY2020) Overseas 61% （2,037kt）Japan 39% （1,330kt)"
      
      Open source document
    - Report verified volumes of commodity
      100%
      
      6/6
      
      Report verified volumes of commodity
      
      100%
      
      6/6
      
      For what percent of the company's supply volume is third-party verification of performance relative to commitments conducted?: 100%
      
      What is the certified volume?: 3,367 KT
      
      What third-party verification is used?: FSC, PEFC
      
      Nippon Paper report in their 2021 ESG report - "Nippon Paper Industries procures most of the woody raw materials as wood chips and some as pulp. ▶ Woodchips : About 60% from overseas, about 40% from Japan ▶ Woodchips from overseas : To ensure stable overseas procurement, sources of woodchip imports are diversified among Australia, South America, and other parts of the world [...] Geographic breakdown of wood raw materials (chips) procured by Nippon Paper Industries (FY2020) Overseas 61% （2,037kt）Japan 39% （1,330kt) [...] All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification.)"
      
      Open source document
    - Upstream: Monitor compliance with human rights
      Yes, commit to monitoring compliance with labour/worker rights
      
      2/4
      
      Upstream: Monitor compliance with human rights
      
      Yes, commit to monitoring compliance with labour/worker rights
      
      2/4
      
      "We ensure that the entire supply chain has appropriate human rights and labor practices. [...] As defined in this Philosophy and Basic Policy, the Group ensures that the entire supply chain has appropriate human rights and labor practices. The Group requests that its suppliers pay care and consideration to human rights and labor practices, and conducts regular questionnaire surveys and interviews to audit important suppliers regarding these concerns."
      
      Open source document
    - Upstream: Impact assessments for land development/acquisition
      No
      
      0/4
    - Upstream: Reporting production/processing locations
      Reports location of company-owned processing facilities
      
      1/4
      
      Upstream: Reporting production/processing locations
      
      Reports location of company-owned processing facilities
      
      1/4
      
      For what percent are boundaries disclosed?: 0 not specified
      
      What is the total area in production (in ha)?: 0 not specified
      
      For what percent are boundaries (of holdings under conservation) disclosed?: 0 not specified
      
      What is the total area of land (in ha) that is available for future production, e.g. concessions?: 0 not specified
      
      In what country(ies) does the company operate and/or source material?: Mill list provided is Japan only
      
      For what percent are boundaries (of certified land holdings) disclosed?: 0 not specified
      
      For what percent are point locations (of land holdings and processing facilities) disclosed: 0 not specified
      
      What is the total land area owned, managed, or controlled by the company for the forest risk commodity?: 0 not specified
      
      Nippon paper discloses the locations of their "NetworkDomestic Mills"
      
      Open source document
    - Downstream: Publishing supplier lists
      No
      
      0/4
    - Upstream: Monitor compliance of production/processing
      Yes, using an internal verification system
      
      4/4
      
      Upstream: Monitor compliance of production/processing
      
      Yes, using an internal verification system
      
      4/4
      
      Does the company use a jurisdictional monitoring mechanism?: No
      
      Does the company use a certification system?: Yes
      
      How frequently is compliance assessed?: Annually
      
      "Nippon Paper Industries, Nippon Paper Papylia and Nippon Paper Crecia have established a Legality Certification Due Diligence System Manual for the purpose of verifying the legality of the wood raw materials that they procure. The companies carry out due diligence all of wood raw materials procured both in Japan and overseas. ▶ New business partner: Implemented at the time of new transaction ▶ Existing business partners: Conducted regularly every year ● In FY2019, the Group carried out due diligence and verified the legality of all of its wood raw materials.[...] At Nippon Paper Industries Co., Ltd., ●All company-owned forests in Japan and overseas have received forest certifications. ●All wood-based raw materials have been certified by the PEFC or FSC® (All procured chips have been produced with wood from forests with an FM certification or have undergone a risk assessment for the CoC certification.)"
      
      Open source document
    - Upstream: Reporting hectares of deforestation
      No
      
      0/4
    - 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
      
      How frequently is compliance assessed?: Annually
      
      "Enhancement of the Group’s supply chain management ● The Group carries out the following as a supplier risk assessment. ▶ New supplier : By conducting site visits and supplier questionnaires, the Group confirms whether it meets the Nippon Paper Groupʼs procurement policy and whether it has any risks before starting trading. ▶ Existing supplier : Check for risks through regular site visits and annual supplier surveys. ● The Group checks the status of forest certification at the time of contract with the supplier. [...] ●Based on information from sources such as results of supplier surveys*(once a year) and local interviews, the following has been confirmed. ・The environment has been considered. ・Logging and forest management activities that are considered to protect biodiversity have been conducted. ・Biodiversity surveys have been conducted. ・Forest certification has been obtained. *target : Import chip, domestic and import pulp ●The Group disseminates its procurement policy by describing it in the supplier questionnaire (Japanese and English)"
      
      Open source document
    - Downstream: Reporting hectares of deforestation
      No
      
      0/4
    - Downstream: Engagement with non-compliant suppliers
      Engage with suppliers but with no time-bound threat of exclusion
      
      1/2
      
      Downstream: Engagement with non-compliant suppliers
      
      Engage with suppliers but with no time-bound threat of exclusion
      
      1/2
      
      Does the company engage non-compliant indirect suppliers in order to address and remedy non-compliance?: No
      
      "Nippon Paper Industries Co., Ltd. holds CSR seminars for suppliers and other stakeholders"
      
      Open source document
    - 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

15/20

Avg. score
Reporting and Implementation

26/50

Avg. score
Social considerations

5/18

Avg. score

Profile

Nippon Paper Industries is a Japanese paper manufacturing company. The company produces newsprint, printing paper, paperboard, wrapping paper, and building materials among other products. Nippon Paper Industries Co. Ltd. is selected as a powerbroker for pulp & paper and is also assessed for its exposure to timber.

Sector

Industry sector

Construction, Paper & packaging

Segments

Producer, Trader, Processor, Manufacturer

Japan

Company Type

Company type

Public listed

Collective Commitments

Consumer Goods Forum member

New York Declaration on Forests signatory

Top Brands

Nippon Paper

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

More companies

Unicharm Corporation

40%

Daio Paper Corporation

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.