Category: News

In early June 2020, GPSNR member companies were invited to participate in pilot testing a set of draft Baseline Reporting Requirements developed by the Policy Toolbox and Implementation Guidance Working Group. Along with the newly approved Policy Components, the Baseline Reporting Requirements will constitute a key requirement for GPSNR membership. 

“By having robust reporting requirements and a system to transparently report on progress, GPSNR member companies will be able to demonstrate leadership, monitor and further the effective implementation of their sustainability commitments, and ultimately drive positive impacts in the natural rubber value chain,” explained Amy Smith, Policy Toolbox Working Group Co-Chair.

The Working Group proposed pilot testing the Baseline Reporting Requirements with a group of volunteer member companies to better understand any constraints companies may have in obtaining and sharing certain information. The goal of the pilot was to refine and finalize the Baseline Reporting Requirements based on company feedback.

“In addition to pilot testing with member volunteers, we will also be assessing and evaluating the potential of existing certification schemes and reporting systems to adopt as part of GPSNR reporting requirements,” added Policy Toolbox Working Group Co-Chair, Pierre Bois d’Enghien. “This evaluation, together with the feedback we received from the pilot, will help us build a reporting system that is credible and useful for all stakeholders.” 

We are pleased to announce that a total of 11 GPSNR members volunteered for the pilot test. These members, who include Continental AG, Ford Motor Company, Halcyon Agri Corporation Limited, Hevea-Tec Indústria e Comércio LTDA, Industrias de Exportacion Universal, S.A., ITOCHU Corporation, Michelin, SIPH, Socfin SA, Sumitomo Rubber Industries Ltd, and The Yokohama Rubber Co., Ltd., represent all the membership categories to which the Baseline Reporting Requirements would apply. 

In mid-July, the reporting platform was opened to the pilot participants, who were given three weeks to submit the required data. Concurrently, the Secretariat conducted one-on-one interviews with the participants to gather feedback about their experience using the baseline reporting platform as well as their suggestions on ways to improve the process. 

“Our volunteer member companies were instrumental in helping to refine the Baseline Reporting Requirements and ensuring that the platform’s reporting mechanisms are relevant and meaningful for all our members,” said GPSNR Director Stefano Savi. “This improvement will help us achieve our shared objectives of ensuring a sustainable and equitable natural rubber supply chain.”

Following the approval of the policy requirements at the General Assembly in September, the Policy Toolbox Working Group will review the compiled company feedback from the pilot and the member consultation process conducted earlier this year, and will refine and finalize the Baseline Reporting Requirements for Executive Committee approval by the end of 2020. Once the Executive Committee has approved these requirements, ordinary company members will submit their baseline reporting data for 2020 to GPSNR in Q1 of 2021.

The Baseline Reporting Requirements will enable GPSNR to understand what its member companies currently know about their natural rubber supply chains, and what they are doing to move towards sustainable practices. Having a rigorous and transparent reporting process in place will strengthen the credibility of GPSNR and contribute to the development of a robust Assurance system for the platform.

The Executive Committee has approved revisions to the GPSNR Fee Schedule. 

In accordance with the terms set out in the GPSNR Statutes, the new Fee Schedule will take effect from 23 February 2021.

To view the revised Fee Schedule, click here.

GPSNR Topic Talks! is a new webinar series organised by the GPSNR Secretariat and presented by GPSNR members. The webinars will take place over three Tuesdays in October and November, and will cover three main themes around sustainability and the global natural rubber supply chain.

The first Topic Talk, a presentation by Philippe Thaler from CIRAD on the implications of EU legislation on imported deforestation, took place just yesterday night. The webinar was well attended by GPSNR members from various membership categories. In his presentation, Philippe covered the current status of EU commitments towards avoiding imported deforestation and how France has started implementing its policy. He also elaborated on the demand from French institutions to CIRAD to assess compliance with this policy in natural rubber. He concluded with some examples of how GPSNR can demonstrate the platform’s positive impacts in this context. The Q&A session afterward allowed for a deeper dive into the topic, as well as opening up some interesting questions on the use of alternative tools apart from compliance and assurance that can also help stakeholders progress towards their zero deforestation goals.

The next Topic Talks will focus on the themes of smallholder solutions as well as assurance and smallholders. More details on the upcoming webinars are provided in the subsequent section of this article. GPSNR members may contact the Secretariat to register for the webinars.

Smallholder Solutions: From Income Diversification to Landscape Approaches

3 November 2020 | 7PM (GMT+8)   

This webinar consists of two presentations:

“A landscape-level approach to inclusion and capacity building for rubber smallholders”

Presented by: Kirana Megatara, Proforest & SNV

This presentation is based on experience from the Kelola-Sendang project in South Sumatra, where SNV, with Proforest support, worked with rubber smallholders in the context of a large jurisdictional initiative. New links were built between these groups and a crumb rubber factory buyer in the Kirana group, helping to streamline the supply chain and open channels of communication on sustainability issues.

“Exploring Smallholder Solutions in the Rubber Sector – The Processing and Sale of Rubberwood to Support Smallholder Financing in Indonesia”

Presented by: WWF with Financial Access

HeveaConnect, Target Corporation, and World Wildlife Fund are engaged in finding solutions to enhance the production and trade of sustainable natural rubber. The three organizations came together in 2019 around the shared interest in understanding how the processing and sale of rubberwood might incentivize the adoption of sustainable practices by natural rubber smallholders and enhance their livelihoods. We enlisted the services of Financial Access to analyze the potential of rubberwood to serve as a mechanism to support smallholder financing in Indonesia. Although the scope of the analysis was limited to two provinces in Sumatra, the findings of this study could be used there and elsewhere in Indonesia to inform the development of sustainable natural rubber initiatives that include the processing and trade of rubberwood as one of several strategies to support equity in natural rubber supply chains.

Assurance and Smallholders: Learning from Existing Schemes

24 November | 7PM (GMT+8)

This webinar consists of two presentations:

“FSC Smallholder Certification Solutions”

Presented by: FSC

The presentation will cover FSC’s solutions for smallholders to become certified. First, an overview of the evaluation of certification solutions for smallholders will be given. FSC’s existing solutions will be covered, with a focus on the benefits for FSC Group Certification. Next, solutions in the pipeline will be covered, addressing the impact of pilot projects and highlighting success stories.

“PEFC, a system of choice for rubber smallholders”

Presented by: PEFC

Through a comprehensive explanation of PEFC, PEFC will elaborate further on their unique bottom-up approach in standard-setting and certification. Why and how this approach makes PEFC a system of choice for rubber smallholders and all companies involved in the natural rubber supply chain. They will also showcase current collaborative projects with their national members and companies to support smallholder producers. PEFC will explain how it will benefit GPSNR members and the work that GPSNR is engaged in.

In our last issue, we explored the road ahead for GPSNR’s Working Groups following the outcome of the second General Assembly. In this update, we check in on each Working Group to see where they are in their respective journeys.

Strategy and Objectives Working Group

The Strategy and Objectives Working Group has already started working on a proposal for increased Working Group alignment within the Platform. The Working Group is also finalizing the Request for Proposal (RFP) for a study on environmental impacts, and risks, in the natural rubber value chain. With its intended focus on biodiversity and ecosystem services, this study will complement the previously commissioned social risks study (conducted by independent consultants James Griffiths & Associates Sàrl). 

The Living Income Gap studies for Indonesia and Thailand, initiated by the Equity sub-Group, are expected to be delivered to the sub-Group in November. 

‘Policy Toolbox’ Working Group

The Policy Toolbox Working Group has drafted revised Terms of Reference (ToR) that will cater to the work they now have to develop following the approval of the Policy Components at the General Assembly on 23 September 2020. The next phase of work will see the Policy Toolbox Working Group developing implementation guidance for each stakeholder group, as well as future reporting requirements that will build on the baseline reporting requirements and align with the policy implementation guidance. The revised ToR will be discussed further at the Executive Committee level before being approved. 

The Policy Components were approved as part of a resolution for the endorsement of a GPSNR policy framework for natural rubber production and sourcing for ordinary member companies. A booklet containing the Policy Components can be found here.

‘Capacity Building’ Working Group

The Working Group’s latest discussion was centered around its restructuring, and touched on considerations for a revised ToR to accommodate the shift in focus from developing strategies to operationalizing them. The Working Group has also kickstarted discussions around the initiation process for one of the capacity building strategies, namely the identification and gathering of Good Agricultural Practices.

‘Traceability and Transparency’ Working Group

The Working Group will soon be reviewing Traceability and Transparency Tools Comparison study to develop next steps as well as recommendations to the Executive Committee.

Download the October 2020 Working Groups Update Slide Deck for more details on the progress of each Working Group.

Although it had been more than a month since the GPSNR smallholder members had met at the international level, they took their places in the online meeting with a sense of familiarity that was heartening to see. 

We had come a long way since the first international call in late August. Since then, the second and third international calls had taken place, focusing on preparing the smallholders for the General Assembly. In the weeks after the General Assembly, the Country Champions helped to organise national-level calls for the smallholders to recap the results of the resolutions and Executive Committee (EC) elections, and to discuss topics of interest to be brought up during the fourth and final international call as part of the series.

The fourth international call was held in the evening of 22 October, and attended by smallholder members from all seven countries. The call began with an update from the three smallholder EC representatives on the EC calls that they had attended thus far. Overall, the representatives had positive takeaways from the EC meetings, despite some language barriers remaining. 

Next, the Co-Chairs of GPSNR’s various Working Groups joined the call in order to introduce each of their Working Groups and briefly explain key focuses and projects. This generated some questions around the policy equivalent for smallholder members, as well as GPSNR’s approach towards traceability for smallholder producers. Several smallholder members also expressed interest in participating in these Working Groups. The Secretariat will get in touch with all smallholders members to facilitate their inclusion in the platform’s Working Groups.

The final half hour of the call was dedicated to a discussion on smallholder community dynamics and how to manage the exchange of information within the category while understanding the geographical and linguistic differences amongst the clusters of smallholder members. 

This concludes the series of preparatory calls designed by the Smallholder Representation Working Group to prepare smallholders for their first GPSNR General Assembly and outcomes. But as the saying goes: when one door closes, another opens. And in this case, the door has opened for the newest membership category to define the parameters and mechanisms of their involvement within the platform, with the support of the Secretariat and fellow GPSNR members.

Strategy and Objectives Working Group

Moving forward, a key focus of the Strategy and Objectives Working Group is to look at increasing Working Group alignment within the Platform. Considering the interconnected nature of the work and the plan for Working Group-level Theories of Change, there is merit in bringing the Co-Chairs of Working Groups together to explore how to create better alignment. To this end, the Working Group is considering activities for the end of the year to build unity and alignment across all Working Groups.

The Working Group is also developing a procedure to assess external programs that are brought forward for GPSNR’s support, either by member organizations or by Working Groups. This process will involve evaluating the measurable Key Performance Indicators (KPIs) for the project and to what degree the project links to GPSNR’s Theory of Change. 

Under the Equity sub-Group, the Living Income Gap studies for Indonesia and Thailand are now underway following the award of the proposals to the selected bidders.  

Smallholder Representation Working Group

Prior to the General Assembly (GA), the Smallholder Representation Working Group had organised three international calls to prepare smallholders for the GA. A fourth international call will be held sometime mid-October. 

In the lead-up to this final international call, a round of national calls are being held with the help of the various Country Champions. During these national calls, smallholder members will be able to gather their thoughts around the GA, approved resolutions and Executive Committee election results, as well as to think collectively about the issues they would like to cover as a category during the international call, and, moving forward, the details of the engagement mechanism they wish to implement within the category.

Post-GA, the Smallholder Representation Working Group will explore how best to integrate members of the newest category into the various Working Groups. The Working Group is also looking at its exit strategy, having achieved the goals set out for it in its Terms of Reference document.   

‘Policy Toolbox’ Working Group

Following the approval of the proposed policy framework, a multi-stakeholder Technical Working Group will be set up to draft the Implementation Guidance for member companies. 

Concurrently, the Working Group will also develop a policy equivalent and implementation guidance for smallholder producers, and civil society.   

The Shared Responsibility Working Group, whose creation was approved by the Executive Committee, will be established to identify how the responsibilities and costs of implementing sustainable natural rubber initiatives can be more equitably distributed across stakeholder categories. It will help to inform the development of the Implementation Guidance, while bearing in mind that whatever requirements are defined for smallholder members, those members should not carry the burden of a higher cost to implement sustainability activities and comply with the Policy or Implementation Guidance to be developed.

‘Capacity Building’ Working Group

At the end of July 2020, the Capacity Building Working Group had presented finalized capacity building strategies for four selected countries, to the Executive Committee.

For its next steps, the Working Group will be developing implementation guidelines and an evaluation framework. This will be crucial in ensuring that the various capacity building activities are put in place in a concise and effective manner leading to the outcomes framed in GPSNR’s Theory of Change. The Working Group will continue to discuss the feasibility and find consensus on an approach that relates to carbon compensation schemes around natural rubber. 

Finally, the Working Group will also refine its group structure to better address the changing roles and responsibilities it now faces.

‘Traceability and Transparency’ Working Group

The Working Group has awarded the GIS Database and Mapping Tools study to the Zoological Society of London (ZSL), and the Traceability and Transparency Tools Comparison study to e-Audit Hong-Kong Limited (e-Audit). 

The studies are ongoing, and the Working Group will then use those studies to develop next steps as well as recommendations to the Executive Committee.

The Working Group will also be continuing conversations on risk-based approach methods to evaluating field-level legal, social and environmental risks.

GPSNR’s Executive Committee comprises Ordinary Member representatives of each membership category, according to the newly approved allocation proposed in the resolution for a standalone category for natural rubber smallholder producers. Each membership category is allocated a total of three seats in the Executive Committee, with representatives chosen by elections within the category.

The Executive Committee serves as a center for overarching ideas of the Platform, and Executive Committee members bear the responsibility of raising awareness of emerging issues to their respective categories, initiating consultation sessions, and encouraging active participation in GPSNR’s Working Groups and activities.

The members of the second GPSNR Executive Committee, according to category, are as follows:

Producers, Processors & Traders

SIPH – represented by Marc Genot (Managing Director, Societe Africaine des  Plantations  d’Heveas SA)

Socfin – represented by Philippe De Groote (Head of Agronomy – Rubber)

Southland Global – represented by Tim Leong (Associate Director)

Tire Makers and Other Natural Rubber Product Makers

Bridgestone Corporation – represented by Andy Thompson (Global Director, Sustainability Strategy, Policy & Integration) 

Continental AG – represented by Claus Petschick (Head of Sustainability)

Michelin – represented by Segsarn Trai-Ukos (Managing Director, Société des Matières Premières Tropicales Pte Ltd)

Car Makers, Other Downstream Users, and Financial Institutions

BMW Group – represented by Vanessa Buchberger (Purchasing and Supplier Network, Sustainability, Innovation Management, Cooperations)

Civil Society

HCV Resource Network – represented by Arie Soetjiadi (SEA Representative)

Mighty Earth – represented by Margaret Kran-Annexstein (Campaign Director)

WWF – represented by Amy Smith (Deputy Director, Forest Sector Transformation)

Smallholder Producers

Baroan Roland – Côte d’Ivoire

Dang Quoc Thong – Vietnam 

Soontorn Rakrong – Thailand

The Executive Committee holds a monthly conference call to discuss proposals put forth by the Working Groups, and other issues pertinent to the Platform.

GPSNR’s second General Assembly was opened by Director Stefano Savi, who wished everyone a warm welcome to the virtual event. 

Next on the agenda was a message from Dr Gerd Müller, the German Federal Minister for Economic Cooperation and Development. The message was delivered via video by Sebastian Lesch, Head of Unit – International Agricultural Policy, Agriculture, Innovation, from the German Federal Ministry for Economic Cooperation and Development (BMZ). In his message, Dr Müller underscored BMZ’s support for GPSNR as a member and donor. He also urged all links in the natural rubber supply chain to continue to work towards comprehensive sustainability. 

Stefano also took the opportunity to acknowledge and thank BMZ and other donor partners such as Partnerships for Forests (P4F), a UK aid funded program, for their continued support, as well as WBCSD and the Tire Industry Project for their support in the Platform’s launch phase.

The opening remarks were delivered by Segsarn Trai-Ukos, Chair of the GPSNR Executive Committee. In his remarks, Segsarn summarized the achievements of the Platform over the past 18 months, recognising the dedication and effort put in by members of the Working Groups and the Executive Committee despite the global pandemic. “We have accomplished much in our first 18 months, and I’m excited to see our continued progress as we move forward.” he concluded.

After the opening remarks, Stefano gave a Secretariat Update, showing how GPSNR has grown since the first General Assembly. Membership has almost tripled, and engagement remains high. On the Communications front, GPSNR maintains a global outreach with its website, and has seen an increase in social media followers, along with mentions and features by numerous media outlets. Stefano also touched upon GPSNR’s financial status, which he described as healthy. 

The various Co-Chairs of the respective Working Groups then proceeded to give a brief update on what they have achieved so far, as well as the next steps. For a more detailed look at what comes next for our Working Groups, check out the article ‘The Road Ahead for GPSNR’s Working Groups’.

And finally, the moment everyone had been waiting for – the results of the voting. 

The verdict for each resolution was revealed one at a time, with the number of votes for, against and abstained, displayed for each resolution. All proposed resolutions were passed with overwhelming majorities.

Up next to be revealed were the results of the Executive Committee elections. These were announced by category, with the elected representatives giving a short speech after being introduced. For a look at GPSNR’s second Executive Committee, check out our article ‘A First Look at GPSNR’s second Executive Committee’.

Lastly, Co-Chair of the GPSNR Executive Committee, Amy Smith, delivered some heartfelt words as part of her closing remarks. “We all have the responsibility to drive sustainability in the global marketplace because our forests, wildlife, climate, communities and businesses depend on it,” she said. “And GPSNR has the ability to effect that transformational change.”

Singapore, 23 September 2020: On Wednesday, members of the Global Platform for Sustainable Natural Rubber (GPSNR) convened the annual General Assembly, which saw the approval of a members’ sustainability policy framework and the creation of a new membership category for smallholder producers of natural rubber.

The newly approved policy framework will help GPSNR member companies, who account for almost 50% of global natural rubber volume, to establish or update strong supply chain sustainability commitments through their natural rubber purchasing policies, on all aspects of sustainability: economic, environmental, and social. Modeled around the Platform’s 12 Principles of Sustainable Natural Rubber, the new policy framework sets out eight overarching themes that include commitments to legal compliance, community livelihoods, healthy, functioning ecosystems (including no deforestation), and respecting all human rights.

“This is a tremendous milestone for the Platform and for the natural rubber industry. In just under two years, GPSNR members developed and approved concrete policy commitments for companies to integrate into their sustainable natural rubber policies. Today, and despite the challenges we all faced during this global pandemic, GPSNR members send a signal to the world about their commitment to achieving a fair, equitable and environmentally sound future” said GPSNR Director Stefano Savi.

Around 85% of the world’s natural rubber is produced by smallholders. In order to transform a sector that is primarily reliant on smallholder producers, GPSNR is embracing smallholder inclusivity and a concept of shared responsibility through the establishment of a Shared Responsibility Working Group, which will identify how the responsibilities and costs of implementation can be equitably distributed across all stakeholder categories, with the understanding that smallholders should not carry the burden of a higher cost to implement sustainability activities in complying with the policy or implementation guidance to be developed.

“Smallholders are a crucial link in the natural rubber value chain, and they have a key role to play in driving awareness on-the-ground and setting the global agenda for sustainable natural rubber” remarked Director Savi.

This year, GPSNR welcomed 28 smallholder members from seven rubber-producing countries. These smallholders now constitute a newly approved standalone category and play an equal role in decision-making within GPSNR alongside the other four categories: producers, processors, and traders; tire manufacturers and other natural rubber makers/buyers; car manufacturers, other downstream users and financial institutions; and civil society.

GPSNR’s virtual General Assembly drew more than 120 attendees, including members of the Platform, partners and invited guests. In addition to voting on resolutions, GPSNR members also elected representatives to the 2020-2021 Executive Committee, which comprises representatives from each of the membership categories. And for the first time, three newly elected smallholder producers with diverse geographical backgrounds will participate in Executive Committee discussions and decision-making.

Baseline Reporting Requirements Pilot Testing

The Baseline Reporting Requirements, developed by the Policy Toolbox Working Group, is a document that indicates certain qualitative and quantitative sustainability data to be reported to the Secretariat. Back in June, we invited GPSNR members to volunteer to be part of a pilot testing for these Baseline Reporting Requirements. Since then, we have had 12 member companies coming forward to contribute their time and efforts to the exercise. These member companies consist of processors, tire makers and one car maker. As part of the pilot testing, each company was given access to a secure reporting platform where they could input the necessary reporting data.  

The Secretariat has conducted in-depth interviews with ten of the volunteer members so far. Following this, all feedback and data received will be reviewed, with the view to refine the Baseline Reporting Requirements in preparation for the formal launch in the near future.

Strategy and Objectives Working Group

The Working Group has commenced an extension of the study on Human Rights and Labour Rights’ Risk Mapping in the Global Natural Rubber Value Chains conducted by independent consultants James Griffiths & Associates Sàrl. This extension will see the consultant preparing an Annex to the main report that focuses on “equity issues” in the global natural rubber value chain. The objective of this extension is to understand current levels of equity (or inequity) along the natural rubber supply chain and identify where these could pose a threat to ecological, social and economic sustainability.

The report will also touch on how GPSNR’s current definition of “equity” compares to definitions used by others in related sectors or related risk assessments, providing suggested revisions to GPSNR’s definition where appropriate.

The Equity sub-Group published four Requests for Proposals (RFPs) in mid August, for studies on the Living Income Gap in the global natural rubber value chain. These initial studies will focus on collecting information and metrics from four countries: Côte d’Ivoire, Indonesia, Myanmar and Thailand. The deadline for submission of proposals is over. The Secretariat has received several proposals and will be evaluating them before presenting them to the sub-Working Group for consideration.

‘Traceability and Transparency’ Working Group

The two Requests for Proposals (RFPs) that the Working Group has been developing were also published in mid August. The deadline for submission of proposals was last week.

The first RFP is for a study that will assess the methodologies of existing traceability and transparency tools and how they match up against the traceability and transparency requirements of GPSNR members. 

The second RFP is for a study that will compare existing and currently under-development GIS databases and mapping tools along with their mapping approaches through research and interviews.

The Secretariat has received several proposals and is in the process of evaluating them. The Working Group will make the final decision thereafter.