deforestation Archives - Tea & Coffee Trade Journal https://www.teaandcoffee.net/topic/deforestation/ Mon, 02 Dec 2024 19:25:36 +0000 en-GB hourly 1 Brazil: Progress with Increased Coffee Production and Improved Sustainability https://www.teaandcoffee.net/feature/35608/brazil-progress-with-increased-coffee-production-and-improved-sustainability/ https://www.teaandcoffee.net/feature/35608/brazil-progress-with-increased-coffee-production-and-improved-sustainability/#respond Mon, 02 Dec 2024 19:25:36 +0000 https://www.teaandcoffee.net/?post_type=feature&p=35608 Despite production challenges in some areas, Brazil remains the top coffee producer and leading exporter, and it is well suited to retain these positions moving forward. By Gordon Feller

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Of the top 50 coffee-producing countries in the world, 19 are located in Latin America and the Caribbean – and Brazil remains the top producer of coffee in the world. Due to its sheer size, Brazil’s coffee industry contributes to the livelihood of hundreds of thousands of families. Brazil is home to fastgrowing population – 203 million people – with a real GDP per capita of USD $8,802 (as measured in 2022). Its people live in multiple ecosystems across a landmass of 8.5 million km2  (about the size of the continental US). By the end of 2024, GDP is expected to grow by 1.7 percent. Brazil’s real GDP expanded 2.9 percent in 2023 driven by robust private consumption, still supported by a strong labour market and fiscal stimulus to social transfers, and by a favourable external environment benefiting exports.

For many years Brazil’s annual harvests, particularly of Arabica beans, have had a significant influence on international coffee prices. Brazil’s sometimes rocky economic situation does have an effect on coffee bean harvests – and the results show up in overall production for various bean types, in organic production trends, and in the country’s total export volumes.

The 2023-2024 coffee harvest season in Brazil was marked by a significant increase in production compared with the previous year. This surge was primarily driven by favourable weather conditions and improved farming practices. Brazil’s total coffee production in 2024 exceeded that of 2023 by a substantial margin.

Brazil is renowned for its high-quality Arabica beans, which are prized for both their flavour profile and their aroma. However, the country also produces Robusta beans, a lowercost alternative, whose reputation has been improving over the last few years. The relative proportions of Arabica and Robusta in Brazil’s harvests do fluctuate from year to year, influenced by factors such as market demand and economic incentives.

In general, Arabica beans continue to dominate Brazil’s coffee production, accounting for asignificantly larger share of the total harvest. However, Robusta production has also shown growth in recent years, driven by increasing demand for lower-priced coffee options.

Organic coffee production has been gaining traction in Brazil, as consumers increasingly seek products that are grown without the use of synthetic pesticides and fertilisers. While organic coffee still represents a relatively small portion of Brazil’s total coffee output, it has experienced steady growth in recent years.

Several factors have contributed to the expansion of organic coffee production in Brazil. These include increased consumer awareness of the benefits of organic products, government support for organic agriculture, and the development of sustainable farming practices.
Brazil’s coffee products reach markets around the world. The volume of coffee exports from Brazil varies depending on the changing dynamics of global demand, competition from other producing countries, and worldwide economic conditions.

Brazil’s coffee bean harvests play a vital role in the global coffee market. The country’s production of high-quality Arabica beans, coupled with its increasing focus on organic coffee, has solidified its position as a leading exporter. Brazil has maintained its strong position due to strong demand for its beans from countries such as the United States, Europe and Japan. However, the country has also faced competition from other coffee-producing nations, particularly Vietnam and Colombia.

Several factors are influencing Brazil’s coffee production, including these four:
Weather: Climate conditions, such as rainfall and temperature, can significantly impact coffee yields. Excessive rainfall or droughts can negatively affect crop health and productivity.
Pests and diseases: Coffee plants, particularly, Arabica, are susceptible to various pests and diseases, which can reduce yields and quality. Effective pest control measures are essential for maintaining healthy crops.
Soil quality: The quality of the soil in coffee-growing regions is crucial for plant health and productivity. Poor soil conditions can limit crop yields and affect bean quality.
Economic factors: Economic factors, such as the price of coffee beans and the cost of production, can influence the profitability of coffee farming. Low coffee prices or rising production costs can discourage farmers from investing in coffee cultivation.

While weather, pests, soil quality, and economic conditions can influence coffee production, Brazil’s ability to adapt to changing market dynamics and invest in sustainable farming practices positions it well for continued success in the years to come.

The Impact of Climate Change
Coffee production is fragile, and the Intergovernmental Panel on Climate Change (IPCC) reports maintain that climate change will reduce worldwide yields on average and decrease land suitable for growing coffee by 2050.

Climate change is affecting Brazil’s coffee industry in ways which may, in the end, become detrimental to everyone – from the growers all the way downstream to those who consume their coffee.

A Systematic Review on the Impacts of Climate Change on Coffee Agrosystems” is the January 2023 research article published in the prestigious PLANTS science journal. The six co-authors of this study reviewed 148 records from literature considering the effects of climate change and climate variability on coffee production, covering countries mostly from three continents (America, Africa, and Asia).

The main effects of climate change have been hotter temperatures and lower moisture, causing plants and cherries to not only be unable to fully flourish and bloom, but die while developing. Since the majority of Brazil’s coffee plantations are below 6,000 feet, they are being impacted in tangible ways by hotter temperatures.

Coffee plants need very specific temperatures, soil, and environments to grow in and continually produce coffee each year. With the rising temperature and lack of rainfall and humidity, coffee plants aren’t growing and reproducing as they usually would. Climate change has caused typical weather patterns to be inconsistent, making harvest times and crop quality nearly impossible to control and predict. Though rainfall is lacking for some growing regions, it’s happening more often for others, resulting in more harvesting and picking cycles, which is great.
However, this means higher labour costs than usual, making it harder on farmers.

The hotter temperatures have caused plants to lose several growing days in their usual harvest cycle. This is because heat can disturb a plant’s metabolism, driving stress in the plant and possibly reducing its photosynthetic efficiency. While hotter regions have caused harm to some growing regions, it has opened up new areas where coffee can be grown. With the increased temperatures, coffee can now grow at higher altitudes. Twenty years ago, coffee couldn’t grow in altitudes above 6,000 feet, but now, some of the best coffees are coming from these regions. However, the majority of coffee plantations are below 6,000 feet and are being impacted by the hotter temperatures. The main effects of climate change have been hotter temperatures and lower moisture, preventing plants and cherries from fully flourishing and blooming, but also dying while developing.

Climate change is a reason for the rapid spread of coffee leaf rust, a parasite that feeds off the leaves of the Arabica plant, and steals their food, causing the leaves to spot until they fall off and the plant dies. In the 1800s, this disease killed off most of the world’s coffee supply, and in 2012, another horrific outbreak resulted in over three billion dollars in damages. Coffee leaf rust can be controlled and contained by applying fungicides during wet seasons. However, it is only at higher altitudes and cooler temperatures that the disease struggles to reproduce and spread. This is still a very real problem that farmers face.

The Brazilian National Supply Company (CONAB) is a national government agency that manages agricultural policies and supply and provides information on Brazil’s agricultural harvest. In September of 2024, Conab lowered its forecast for 2024 Brazil’s coffee production: 54.79 million bags from 58.81 million as it forecast in May, due to the dry weather and extreme heat the crop experienced during its development phase.

This would put production down 0.5 percent from last year. Arabica production was lowered to 39.59 million bags from the previous forecast of 42.11 million. Conab’s forecast is up 1.7 percent from 2023 due to increased planted area. Yields were lowered, despite this being an ‘on year’ in the country’s biennial cycle.

Robusta production was forecast previously at 15.2 million bags, down from 16.71 million which had been the estimate in May and down six percent from a year ago. Brazil’s weather
conditions are not expected, but there could be a gradual increase in the number and frequency of showers as humidity starts to build for the rainy season. Greater rainfall is possible in the last days of September or early October. Until then, most
of the rain will remain too light to induce any flowering. ICE Arabica stocks are down to 837,656 bags, their lowest level since 4 September. The amount pending review is down to 6,081 bags, which is the lowest in more than six months.

UN FAO economist Fabio Palmeri shared his views about Brazil’s challenges and opportunities, “After negatively affecting the 2024 coffee output, prolonged dry weather conditions are raising concerns over the potential impact on the 2025 crop. In the first nine months of 2024, Brazil exported two million tonnes of coffee, 40 percent more than in the corresponding period last year, with export earnings reaching a record high of USD $8.5 billion, amid strong international demand. Arabica coffee remained the most exported variety. However, exports of Robusta and Conilon coffee surged in 2024, with shipments increasing by 170 percent compared to 2023, amid lower availabilities from Vietnam.”

Palmeri made a special note of the fact that coffee exports increased despite persistent logistics bottlenecks, including limited space at Brazilian ports coupled with greater demand for shipping containers.

Well Positioned for Continued Growth

In tabulating Brazil’s national coffee consumption data for the period from November 2022 to October 2023, the Brazilian Association of the Coffee Industry (ABIC) found that there had been an increase of 1.64 percent as compared to November 2021 to October 2022. This volume represents 39.4 percent of the 2023 harvest, which was 55.07 million bags, according to Conab. In the period from November 2021 to October 2022, the volume consumed inside Brazil represented 41.9 percent of the harvest, which was 50.9 million bags.

As the world shifts to low-carbon economic sectors and markets, Brazil’s rich ecosystems can enable it to discover some lasting growth opportunities created by that shift. Threequarters of Brazil’s greenhouse gas emissions result from land-use change and agriculture. This implies that Brazil can and should make it a greater priority to halt spreading deforestation while transitioning towards low-carbon agriculture.

The scientific consensus is clear: Brazil’s rainforest in the Amazon is close to a tipping point, beyond which it cannot generate enough rainfall to sustain the national ecosystem. This is the power that fuelled Brazil’s growth: the agriculture, hydropower, water supply, industries. That same endangered ecosystem provides a full spectrum of environmental services to all of Latin America and the Caribbean as well as to the rest of the world.

Halting deforestation and scaling-up climatesmart land use can be done within Brazil’s agriculture sector while simultaneously increasing total productivity. It is entirely possible for Brazil to fully integrate agriculture, and other businesses, into the future green economy.

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JDE Peet’s commits to new SBTi targets https://www.teaandcoffee.net/news/34013/jde-peets-commits-to-new-sbti-targets/ https://www.teaandcoffee.net/news/34013/jde-peets-commits-to-new-sbti-targets/#respond Mon, 08 Apr 2024 16:24:31 +0000 https://www.teaandcoffee.net/?post_type=news&p=34013 JDE Peet’s has committed to newly validated Science Based Targets initiative (SBTi) targets as part of its Common Grounds sustainability programme.

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JDE Peet’s has committed to newly validated Science Based Targets initiative (SBTi) targets as part of its Common Grounds sustainability programme. In line with the SBTi-validated targets and new Forest Land and Agriculture Science-Based Target-Setting Guidance (FLAG), JDE Peet’s is committed to the following targets:

  • A 43.3% reduction in absolute scope 1 & 2 GHG emissions by 2030, from a 2020 base year;
  • A 25% reduction in absolute scope 3 GHG emissions by 2030, from a 2020 base year (industrial non-FLAG);
  • A 30.3% reduction in absolute Forest, Land, and Agriculture (FLAG) GHG emissions by 2030, from a 2020 base year; and
  • No deforestation across JDE Peet’s primary deforestation-linked commodities, coffee, pulp & paper, palm oil and cocoa with a target date of 31 December 2025, as described in JDE Peet’s’ Forest Policy.

All these targets are consistent with SBTi’s 1.5°C mitigation pathway to achieve net-zero by 2050. The Forest, Land and Agriculture Science-Based Target-Setting Guidance (FLAG) is the world’s first framework for companies in land-intensive sectors to set science-based targets that include land-based emissions reductions and removals.

These new targets increase JDE Peet’s’ previous SBTi-approved commitments that were in line with a well below 2°C pathway. The new net-zero compliant targets are currently the most ambitious designation available through the SBTi process. Since 2023, JDE Peet’s delivered a 21% reduction in its scope 1 & 2 GHG emissions and a 9% reduction in its scope 3 GHG emissions. As the result of a periodical review of its progress under its Common Grounds sustainability programme, JDE Peet’s is now able to commit to more extensive targets.

A key element of JDE Peet’s’ Common Grounds sustainability programme are the impactful coffee farmer programmes which help build resilience and reduce the environmental footprint of coffee farming. For example, the regenerative agricultural practices programme contributes to an increase in yields and optimised agrochemical usage, thus increasing income, improving livelihoods, and preventing deforestation.

Laurent Sagarra, vice-president sustainability at JDE Peet’s commented: “We believe that coffee, globally, can be grown in a net-zero way by 2050 if we work together – across the industry and with coffee farmers. We are pleased to have made considerable progress in our reductions in our scope 1, 2 and 3 GHG emissions in 2023, and are proud to announce new targets in line with SBTi FLAG guidance to continue to drive reductions. Through our inclusive farmer-first approach, we can address environmental challenges while helping to maintain coffee farmers’ livelihoods.”

To learn more about JDE Peet’s’ sustainability journey, including its climate transition plan, visit the company’s website. Further information can also be found in the Annual Report.

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Fairtrade updates its Coffee Standard to adhere to EUDR https://www.teaandcoffee.net/news/33698/fairtrade-updates-its-coffee-standard-to-adhere-to-eudr/ https://www.teaandcoffee.net/news/33698/fairtrade-updates-its-coffee-standard-to-adhere-to-eudr/#respond Thu, 15 Feb 2024 09:26:22 +0000 https://www.teaandcoffee.net/?post_type=news&p=33698 The update, approved by the Fairtrade Standards Committee, meets, and in some areas exceeds, the European Union’s Deforestation Regulation (EUDR) that went into effect in June 2023.

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In an effort to reduce environmental degradation, Fairtrade has updated its Coffee Standard requiring certified producers and traders (payers and conveyers) to strengthen deforestation prevention, monitoring, and mitigation.

The update, approved by the Fairtrade Standards Committee, meets, and in some areas exceeds, the European Union’s Deforestation Regulation (EUDR) that went into effect in June 2023. In particular, the updated Fairtrade Coffee Standard sets the deforestation cut-off date at 1 January 2014, which means that no coffee should come from land deforested after that point. It also requires that all farms have recorded geolocation points, and farms larger than four (4) hectares must have polygon maps.

Juan Pablo Solis, senior advisor climate and environment, Fairtrade International, explained that the updated Coffee Standard is important because it represents a big step in the right direction. “There is no denying we are living in an era of climate crisis. For farmers and workers, the frequency and severity of climate variability means high exposure to human and environmental risks that jeopardise their livelihoods. It is no secret that climate change directly impacts smallholders’ future, hence a significant change in our global food system is paramount.”

In addition, the Standard requires coffee cooperatives to develop a prevention and mitigation plan, and they must conduct deforestation monitoring that will be facilitated by a satellite platform provided by Fairtrade. Fairtrade has established a partnership with Satelligence, a leader in deforestation tracking, that will allow producer organisations to have access to data and act on risks identified.

By updating the Coffee Standard, 600 Fairtrade coffee cooperatives, representing 870,000 Fairtrade coffee farmers cultivating 1.1 million hectares, would have the guidance and tools to meet the EUDR, which is part of the European Green Deal.

For instance, the EUDR requires geolocation data, but the Fairtrade Standard goes further by requiring producer organisations to collect this information, and payers and conveyors to report it to Fairtrade and also share this with the producer organisations to prevent deforestation. This detail points to the principle of fairness, meaning that the responsibility of protecting the environment must be shared by all those involved. The EUDR cutoff date is 31 December 2020, while the Fairtrade cutoff date is 1 January 2014. Plus, the Fairtrade Standard requires not only monitoring and risk assessment but also a biodiversity monitoring and management plan unlike the EUDR requirements.

The updated Standard will take effect in 2026, which will provide producers and traders with a transition period to adjust their practices and ensure compliance.

Fairtrade standards are reviewed and regularly updated through an inclusive and consultative process initiated and led by Fairtrade International’s Standards and Pricing Unit, with the participation of key stakeholders in the Fairtrade system, including farmers and farm workers, and then decided upon by the Fairtrade International Standards Committee. The committee, which includes representatives of the three Fairtrade Producer Networks, ensures that any decision considers the views of all the relevant stakeholders and are in line with Fairtrade International’s mission and policy statements.

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JDE Peet’s partners with Enveritas to assess deforestation https://www.teaandcoffee.net/news/33690/jde-peets-partners-with-enveritas-to-assess-deforestation/ https://www.teaandcoffee.net/news/33690/jde-peets-partners-with-enveritas-to-assess-deforestation/#respond Wed, 14 Feb 2024 10:51:40 +0000 https://www.teaandcoffee.net/?post_type=news&p=33690 The programme will leverage a combination of satellite imagery, artificial intelligence, and on-the-ground verification to measure the extent of coffee-related deforestation.

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JDE Peet’s has announced plans to roll out an innovative new programme to assess and address coffee-related deforestation globally. JDE Peet’s has partnered with Enveritas to leverage a combination of satellite imagery, artificial intelligence, and on-the-ground verification to measure the extent of coffee-related deforestation, allowing local operators, governments, NGOs, and farmers to better mitigate their deforestation risks.

After a successful pilot programme in Vietnam, JDE Peet’s has signed Memoranda of Understanding (MOUs) with Ethiopia, Papua New Guinea, Tanzania, and Uganda, and expects to sign MOUs with additional coffee producing countries over the next several months. These agreements aim to ensure that coffee producers export coffee grown on land that was not deforested after 2020. If the coffee does not meet these requirements, JDE Peet’s will support local authorities, NGOs, and farmers to reforest the land.

Fabien Simon, CEO of JDE Peet’s, commented, “At JDE Peet’s, we are committed to delivering sustainable growth that creates both shareholder return and societal value. This means making sure our supply chain is inclusive, regenerative, and authentic, which is exactly what our Common Grounds sustainability programme is designed to do. I am excited that this innovative new programme, which is fully aligned with the EU’s Regulation on Deforestation-free products, will ensure continued access to the EU market for the millions of smallholder farmers we work with around the world.”

David Browning, CEO of Enveritas, commented, “Millions of smallholder farmers around the world rely upon coffee income to pay for their children’s health, education, and nutritional needs. The new EU regulation risked significant new complexities and processes in the coffee supply chain which could mean new costs for vulnerable populations least able to afford it, and also risk market access. We are honoured to be a part of this innovative collaboration with JDE Peet’s which brings together public, private, and philanthropic organisations to address deforestation in a manner which also protects smallholder farmers.”

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4C announces its EUDR solutions https://www.teaandcoffee.net/news/33598/4c-announces-its-eudr-solutions/ https://www.teaandcoffee.net/news/33598/4c-announces-its-eudr-solutions/#respond Tue, 23 Jan 2024 10:02:01 +0000 https://www.teaandcoffee.net/?post_type=news&p=33598 The sustainability certification scheme for the coffee sector, 4C, has introduced its comprehensive "one-stop-shop solution" for supply chains in complying with the requirements of the EUDR.

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In the midst of the evolving landscape of the EU regulation on deforestation-free products, 4C has introduced its comprehensive “one-stop-shop solution” for coffee and cocoa supply chains. From producers to traders, roasters and brand owners, 4C supports its system users in complying with the requirements of the EUDR.

4C, the sustainability certification scheme for the coffee sector, introduces its new Regulation for 4C certified EUDR Coffee in response to the obligations faced by importing and exporting operators under the EUDR which will be fully implemented by 30 December 2024. The obligations entail the establishment of a robust due diligence system, providing information on encompassing product details and traceability, geolocation specifications, deforestation-free production practices, legality of production, and comprehensive risk assessments.

What sets 4C apart is its strategic collaboration with Global Risk Assessment Services (GRAS), seamlessly integrating state-of-the-art risk assessment procedures such as high-resolution satellite image interpretation for forest and deforestation monitoring, complemented by an extensive data set covering national legislation, human rights, claims by indigenous peoples, corruption indices, and information on law enforcement. This unique approach, combined with the already incorporated traceability platform, allows every coffee batch to be traced back to its origin with all relevant data. 4C provides the necessary information, risk assessment, and risk mitigation crucial for the Due Diligence Statement required by the EUDR.

4C certification focuses on good agricultural and management practices, including requirements on economic, social and environmental conditions for coffee production and processing in order to establish credible sustainable and transparent supply chains.

The documents for 4C certified EUDR Coffee are now available on the 4C website. They comprise the Regulation for 4C certified EUDR Coffee v.1.0 and the Self-Assessment and Self-Declaration templates which provide a tool for 4C certified groups of farmers to assess their risks with regard to relevant national and international laws and declare their conformity, as well as the Guidelines for Geodata collection v.1.0. The 4C system will be monitored and revised according to any further guidance and requirements to be provided by the authorities of the European Union.

The application of 4C certified EUDR Coffee is available for all 4C Units in 2024 before being integrated into the revision of the 4C System in 2025. Thus, from 1 January 2025 all 4C certified coffee will be required to comply with these additional EUDR criteria. In February 2024, 4C will conduct a series of introductory webinars to facilitate the understanding of the new Regulation for 4C certified EUDR Coffee for all 4C System users. The dates will be announced shortly.

By choosing 4C, companies can be confident that their supply chains meet the highest standards of compliance, laying the foundation for sustainable, trustworthy, and fair coffee and cocoa sourcing.

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Rainforest Alliance supports companies in EUDR transition https://www.teaandcoffee.net/news/33545/rainforest-alliance-supports-companies-in-eudr-transition/ https://www.teaandcoffee.net/news/33545/rainforest-alliance-supports-companies-in-eudr-transition/#respond Wed, 17 Jan 2024 10:48:45 +0000 https://www.teaandcoffee.net/?post_type=news&p=33545 Rainforest Alliance Certified coffee and cocoa farmers can now opt-in to specific criteria that align with European Union Deforestation Regulation (EUDR) requirements, in the Rainforest Alliance certification platform.

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Rainforest Alliance Certified coffee and cocoa farmers can now opt-in to specific criteria that align with European Union Deforestation Regulation (EUDR) requirements, in the Rainforest Alliance certification platform. This will allow companies to source from participating farms, trace those ingredients through their supply chains, and leverage farm data by the regulation’s deadline to prove that they have a system in place to assess and mitigate deforestation risks in their supply chains, at no additional cost – supporting them to make a big leap towards full compliance.

The regulation will require companies and traders placing products that contain any of the seven deforestation-risk commodities – including coffee and cocoa – on the EU market, or exporting them from the EU, to prove by 30 December 2024 that these products do not originate from land deforested after 31 December 2020.

Leveraging its globally recognised certification programme, the Rainforest Alliance helps farmers collect and process crucial geo-coordinates for their farms. This information is vital for the accurate mapping of deforestation risks, with the analysis conducted at farm level using Geographic Information System (GIS) technology. The process integrates Rainforest Alliance’s proprietary AI remote sensing forest data alongside other publicly available and government data sources to map deforestation risks, which improves accuracy compared to relying solely on open-source data methods.

Farmer groups then use these risk maps for their own internal deforestation checks, particularly in high-risk areas. As an additional layer of assurance, independent, third-party auditors use these maps to conduct risk-based verification of no-deforestation, as mandated by the Rainforest Alliance Sustainable Agriculture Standard. The combination of traceability, proprietary AI forest mapping, and auditing offers a unique solution to coffee and cocoa companies.

“The Rainforest Alliance has been working to tackle tropical deforestation in global supply chains for more than 35 years,” said Michelle Deugd, director of forests and agriculture. “Traceability has always been the backbone of that approach. Building on these foundations we’ve worked hard to fast-track the alignment of our certification programme with the new regulations, including proprietary AI remote sensing data for mapping deforestation risks.” 

The Rainforest Alliance has supported the regulation since its inception, while actively campaigning to highlight the genuine risk of unintentionally leaving farmers behind in the compliance race. To guarantee successful implementation without negatively impacting smallholders around the world, the Rainforest Alliance calls on companies and legislators to ensure smallholders are supported to adapt to the new requirements, preventing their exclusion from the EU market.

“We have a unique opportunity to step up our collective efforts to tackle deforestation while protecting the livelihoods of smallholder farmers,” concluded Michelle Deugd. “By working together, we can ensure that the EUDR is a win-win for both people and nature.”

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Understanding the impact of the EUDR on businesses https://www.teaandcoffee.net/blog/31349/understanding-the-impact-of-the-eudr-on-businesses/ https://www.teaandcoffee.net/blog/31349/understanding-the-impact-of-the-eudr-on-businesses/#respond Thu, 09 Feb 2023 16:26:32 +0000 https://www.teaandcoffee.net/?post_type=blog&p=31349 The European Union (EU) has proposed legislation to prevent companies from selling items such as coffee, cocoa, beef, soy and other commodities linked to deforestation around the world into the EU market.

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The European Union (EU) has recommended a new law to fight global deforestation and forest degradation driven by EU production and consumption. The proposed legislation, which was announced 6 December 2022, aims to prevent companies from selling items such as coffee, cocoa, beef, soy and other commodities linked to deforestation around the world into the EU market. (T&CTJ covered the proposed law in “A new Green Deal in the EU impacts Coffee”.)

Deforestation and forest degradation are major drivers of climate change and biodiversity loss. The goal of the new law – EU Deforestation Regulation (EUDR) – is to prevent a significant share of global deforestation and forest degradation, and in turn, reduce greenhouse gas emissions and biodiversity loss.

On 8 February, the NCA (National Coffee Association of the USA) held a webinar, Supply Chain Due Diligence, to discuss the potential impact the EUDR will have on the US coffee industry. However, the webinar benefitted any coffee business in any country interested in importing or exporting coffee (or any of the aforementioned products — tea is not one of them) within the EU. The presenter, Anna Triponel, a lawyer and founder of Human Level, a London-based boutique human rights advisory firm, outlined aspects of the EUDR and discussed how legal expectations for businesses – involving human rights and climate change – are evolving based on the United Nations’ Guiding Principles.

“We are starting to see laws [and international standards] focusing on human rights and climate change,” she said. “Now risk management is not only risk to business but risk to people as well [because] it is clear that a severe risk to people is a risk to business.

Pursuant to the EUDR, Triponel said that businesses must carry out due diligence, which includes conducting risks assessments and mitigating identified risks; obtain geo-location coordinates from where commodities are sourced or harvested; and communicate publicly on actions taken to ensure compliance with the EUDR. She said that there will also be a central information system on companies (operators and traders) established in the EU, which is accessible to national and customs authorities and a benchmarking system that ranks countries as low, standard and high risk for deforestation.

Triponel noted that with the new law, the EU be a very different landscape for companies five years from now. “The EU does not want any goods that are affiliated with deforestation or degradation. Businesses cannot import these goods into the EU unless they can prove the goods are deforestation free.”

She further explained that there will be more focus on ensuring that companies are respecting Indigenous People’s rights and land rights, that is, was deforestation committed and were people’s rights/lands respected?

So where do we now stand? The European Parliament and the Council must formally adopt the new EUDR before it can be enforced. Once the new Regulation has been adopted, businesses (operators and traders) will have 18 months to implement the new rules. Small businesses will be granted a longer adaptation period and other specific provisions.

Triponel said that the EU Commission’s draft of the Corporate Sustainability Due Diligence Directive (CSDDD) from earlier this year sets out an obligation on companies to have a policy. During this ‘waiting period’, companies should be developing their due diligence policy. Triponel said there is text from the EU Parliament as well as the European Council that companies can build on when drafting their CSDDD policy.

In terms of due diligence obligations, the EUDR expects companies to take the following actions:

What: Products of the commodities included in the EUDR can only be placed on, or exported from, the EU if they meet the following requirements:

  • Deforestation-free;
  • Produced in accordance with the relevant legislation of the country of production; and
  • Covered by a due diligence statement.

How:

  • Compile and ensure access to information on the commodity, quantity, supplier, country of production. For example, companies can obtain the geographic coordinates of the plots of land where the commodities they place on the market were produced.
  • Analyse and assess the risks of deforestation and/or forest degradation in the supply chain using the information collected; take adequate and proportionate mitigation measures to address risks.
  • Consideration of applicable laws – in particular, human rights laws and Indigenous People’s rights laws.

Caveat: Level of due diligence depends on whether the country is deemed low, standard or high risk.

T&CTJ will continue to cover the adoption, implementation and impact of the EUDR on coffee businesses (as well as tea if it is added to the list of products subject to the new legislation).

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Fairtrade issues statement on European Commission proposal on deforestation https://www.teaandcoffee.net/news/28432/fairtrade-issues-statement-on-european-commission-proposal-on-deforestation/ https://www.teaandcoffee.net/news/28432/fairtrade-issues-statement-on-european-commission-proposal-on-deforestation/#respond Wed, 08 Dec 2021 13:37:09 +0000 https://www.teaandcoffee.net/?post_type=news&p=28432 Fairtrade welcomes the proposal to create a market for deforestation-free products, but warns that climate measures that exclude fairness and social justice will fail to achieve real climate action.

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Fairtrade has said it welcomes the European Commission’s proposal to create a market for deforestation-free products, including coffee and cocoa, in the European Union (EU). Any step towards comprehensive climate action must pass through binding legal framework conditions that transform the highest environmental standards into new, sustainable trade policies.

However, Fairtrade states that climate measures that exclude fairness and social justice from the core of their targets are measures that will once again fail to achieve real climate action.

Inequality, biodiversity loss, and the impacts of climate change are interconnected issues for the millions of smallholder families whose livelihoods depend on cocoa and coffee exports to the EU.

The new European Commission proposal to ban imports does provide market incentives for climate actions. But, Fairtrade comments, unless those incentives are accompanied by additional efforts addressing the structural injustices and systemic inequities that afflict struggling smallholder farmers, then the proposal will prove wholly inadequate. Simply put: deforestation will not be addressed by banning imports of cocoa and coffee from smallholder families living in poverty.

In its statement, Fairtrade further emphasises that “A just transition to deforestation-free production must be inclusive, incorporating pathways to living income and more equal value distribution for cocoa and coffee farmers and their families. Above all, the fight against deforestation must empower smallholder farmers and include them in the process of constructive climate action.

“Capacity will need to be built and systems put in place to enable smallholders’ cooperatives to play their role in providing assurance and retain the market access to the EU that enables their smallholder farmer members to feed their families. The efforts needed to ensure a just transition for smallholders are significant and will require investment, dialogue, and a sense of urgency from governments and businesses alike.”

Fairtrade says it looks forward to engaging with the EU in designing that just transition, facilitating an urgent dialogue with smallholder farmers, and working towards a greener future that embraces sustainable production, climate resilience and decent livelihoods for all.

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Rainforest Alliance announces enhanced certification programme and standard https://www.teaandcoffee.net/news/24808/rainforest-alliance-announces-enhanced-certification-programme-and-standard/ https://www.teaandcoffee.net/news/24808/rainforest-alliance-announces-enhanced-certification-programme-and-standard/#respond Tue, 30 Jun 2020 09:45:26 +0000 https://www.teaandcoffee.net/?post_type=news&p=24808 The new programme consists of the Sustainable Agriculture Standard with requirements for farms and supply chains, along with a new assurance system and a suite of tools to measure progress towards sustainability objectives. 

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The Rainforest Alliance has published a new sustainability certification programme with more robust criteria, measurement and impact featuring several key innovations. The new programme will replace existing Rainforest Alliance and UTZ certification programmes from mid-2021.

The international non-profit organisation expects at least two million farmers around the world to use the new certification programme to produce better crops, adapt to climate change, increase their productivity and reduce costs. Major brands and businesses along the supply chain will rely on the programme to source a steady supply of certified ingredients, meet their commitment to responsible business, and address the rising consumer expectations for more sustainable products. 

The new programme consists of the Sustainable Agriculture Standard with requirements for farms and supply chains, along with a new assurance system and a suite of tools to measure progress towards sustainability objectives. The two years of work to reach this critical point build on the organisation’s combined 45 years of certification experience following the merger of the Rainforest Alliance and UTZ in 2018. 

The development of the new certification programme included public consultations that received input from more than 1,000 people in nearly 50 countries, representing more than 200 organisations. 

“The new certification programme incorporates new tools to support farmers and companies to set clear sustainability targets and focus investments to improve positive impacts for people and nature,” said Ruth Rennie, director of standards and assurance at the Rainforest Alliance. “These tools and innovations will support more resilient agriculture and help make responsible business the new normal. This is increasingly urgent in our age of climate change, biodiversity loss, and global inequality.”

“This ambitious and innovative certification programme is part of the Rainforest Alliance’s strategy of collaboration with farmers, companies, implementing partners, and third-party auditorsas well as other NGOs, governments, and consumers,” said Alex Morgan, chief markets officer at the Rainforest Alliance. “Only together can we restore the balance between people and nature and create a world where we thrive together,” he added.

In May of this year, the Rainforest Alliance also released its new seal, which can be used on product packaging and promotional materials from 1 September 2020. The new seal will eventually replace the current Rainforest Alliance Certified seal and the UTZ labelThe new certification seal is a simple visual that shows consumers how to make a better choice and demonstrates that farmers and companies are taking steps to make their products more sustainable.

Key innovations of the Rainforest Alliance 2020 certification programme:

  • Climate-smart agriculture: A climate-smart agriculture approach is vital for farmers and businesses around the world who need to adapt to a changing climate in order to secure the future of their crops and livelihoods, products, and supply chains. The 2020 Sustainable Agriculture Standard is inherently oriented towards climate-smart agriculture with a focus on adaptation and resilience.
  • Human rights: A new “Assess-and-Address” approach to tackling human rights issues such as child labour, forced labour, discrimination, and workplace violence and harassment has been developed. Rather than imposing a simple ban that often drives the problem underground, Rainforest Alliance says the new approach focuses on assessing the risks and engaging local communities to work together to prevent and address the issues wherever and whenever they may occur.
  • Improved data management: Better analysis of risks and measurement of performance, new digital tools for farmers and clearer performance insights for companies. Geospatial analysis is used to support and monitor performance against key requirements of the standard, such as the avoidance of deforestation.
  • Shared responsibility: The programme seeks to address systemic imbalances in global supply chains, which put too much burden on producers alone to achieve more sustainable agricultural production. Buyers will have to reward producers for meeting sustainable agriculture standards by paying a mandatory ‘sustainability differential’ which is an additional cash payment over and above the market price for the sale of certified crops. Buyers will also need to provide investments to support producers to achieve their sustainability objectives and be transparent about those.
  • Social and environmental requirements for supply chains: In the new certification programme, companies in the supply chain identified as having a high risk of negative social and environmental impacts will also need to implement improved practices. These include for instance ensuring decent working conditions and labour protections as well as wastewater management.
  • Deforestation: Deforestation continues to be banned for certified producers, but prohibition will extend to the conversion of all natural ecosystems, including wetlands and peatlands, for more land to be protected and managed more sustainably.
  • Risk-based requirements and assurance: The new certification programme is based on more in-depth risk assessment of the social and environmental risks to sustainable agricultural production in different crops and countries. Data from the risk assessment will be used to provide guidance to producers and companies on where to focus their improvements for maximum impact.

From September 2020, the Rainforest Alliance will start rolling out the certification programme around the world through a comprehensive global training programme and further development of supporting technology systems. From July 2021, all audits will be against the 2020 Sustainable Agriculture Standard. 

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