GPSNR Working Groups Update: December 2022

Sustainable natural rubber, a Tire Industry Project priority

This, of course, means looking after the people, communities and natural resources touched by natural rubber production and supply – which all stand to benefit from the creation and adoption of sustainable practices and businesses.

TIP leading change

The tire industry consumes around 70 percent of natural rubber in the world and demand for natural rubber is growing, which throws into sharp relief the various social, economic and environmental opportunities associated with the production of this important commodity.

Together with other stakeholders, TIP members are working to transform the natural rubber supply chain for the better in developing the Global Platform for Sustainable Natural Rubber (GPSNR) – an independent platform to lead improvements in the socio-economic and environmental performance of the natural rubber value chain.

An ambitious and wide-reaching set of priorities

Twelve months of stakeholder collaboration have resulted in development of an ambitious, wide-reaching, common set of priorities for the natural rubber supply chain. The GPSNR will work to harmonize standards to improve respect for human rights, prevent land-grabbing, protect biodiversity and water resources, improve yields, and increase supply chain transparency and traceability.

Mainstreaming for meaningful change

A review of comparable supply chain sustainability initiatives revealed that the mainstreaming of good practices is linked to the delivery of meaningful change at the global level. This is something that requires actionable commitment from the entire supply chain, and numerous different stakeholder groups have important roles to play. In the case of natural rubber, this includes tire manufacturers and other natural rubber-using industries (such as those producing rubber gloves, condoms and other engineered products), natural rubber suppliers and processors, representatives of individual smallholder producers, vehicle manufacturers, and non-governmental organizations.

Binding commitments

A chain is only as strong as its weakest link; it is in the interest of the entire supply chain to ensure sustainable standards are met and maintained. The GPSNR will have clear membership criteria and supply chain standards that members must commit to maintain effective involvement. Members of the GPSNR will undertake binding commitments, and the GPSNR will constructively address failures to honor those commitments and act decisively in the event of noncompliance with remedial measures.

Industry backed, collaboratively driven

TIP has spearheaded development of the GPSNR and will provide initial support for the platform during its first two years of start-up and operation. This necessary level of support ensures basic operations during the establishment of a paying membership base. From launch, the platform will be independently managed with governance and decision making overseen by a representative group of stakeholders.

TIP has employed a truly collaborative effort to ready the GPSNR for launch, and that spirit of collaboration will define the actions of the platform going forward. TIP is confident that the diverse interests, experiences, areas of expertise, and motivations represented within the GPSNR will combine to deliver a successful, sustainable natural rubber supply chain.

Join the platform

If you are a natural rubber stakeholder and would like to learn more about the GPSNR and membership opportunities, please contact stefano.savi@gpsnr.org

Deforestation, land grabbing, and human and labour rights violations have been associated with the production of natural rubber. In order to transform the global natural rubber supply chain into a fair, equitable and environmentally sound one, it is crucial that we work to reduce such social and environmental risks. This is by no means an easy feat with about 6 million smallholder farmers producing around 85% of the world’s natural rubber; the complexities of the supply chain make it difficult for buyers to ensure that sustainable practices are employed for rubber cultivation and processing. Recognizing the importance of enhancing traceability and transparency in the natural rubber supply chain to support the identification and mitigation of social and environmental risks, GPSNR established the Traceability and Transparency Working Group.

Over the past few months, the Working Group has commissioned two studies around traceability and transparency tools and technology. The reports were submitted by the consultants at the end of October 2020. The findings from each report are summarized below.

Spatial Data & Mapping Tools for Detecting Deforestation and Threats to HCVS Areas in Rubber Production Landscapes

Report developed by Zoological Society of London (ZSL)

This report reviews a variety of spatial mapping tools and approaches which may be employed by GPSNR and its members to address deforestation and degradation risk in rubber supply chains.

The key recommendations from this study are that GPSNR members should pool resources to collectively commission landscape-level HCV and HCS screening for key rubber-producing countries and these should be updated periodically. Spatial data maps from this process should be made publicly available to encourage cross-sectoral collaboration on tackling deforestation.

HCV/S datasets may then be integrated into satellite monitoring platforms and combined with near-real time monitoring of deforestation and forest degradation. This will allow accurate spatial analysis of the impacts of rubber production in key forested landscapes. GPSNR members may select different satellite monitoring tools or service providers, based on their own needs and budget. For upstream actors closer to the source, satellite monitoring may allow for preventative measures to be taken at the early stages of deforestation.

The full Executive Summary can be viewed here.

Review of Transparency & Traceability Tools and Solutions

Report prepared by e-Audit Hong-Kong Ltd

This report presents options on supply chain transparency and/ or product traceability solutions that GPSNR may consider as well as recommendations to select the most suitable transparency/traceability solutions for the GPSNR initiative.

A range of solutions currently implemented in commodity industries similar to the natural rubber industry were reviewed and evaluated, resulting in the identification of several key elements that will need to be considered to select the most suitable and cost-efficient solution.

The report also considers three potential infrastructure options (centralized, hybrid and decentralized) that should be considered as they have profound implications on the range of supply chain transparency and product/batch traceability solution(s) that GPSNR may consider to adopt.

This report concludes that the technology currently available makes it possible for all GPSNR key requirements to be integrated into one single solution. However, such a centralized solution may be costly and cumbersome to implement. At this stage of development of the GPSNR initiative it is recommended that GPSNR starts implementing a more flexible hybrid solution, with a centralized infrastructure/ data hub focused on reporting and monitoring of clearly defined performance KPIs, that can be connected through APIs to existing field level risk assessment, risk mapping and traceability solutions currently implemented by GPSNR members.

The full Executive Summary can be viewed here.