Sri Trang Agro-Industry joins GPSNR

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Sri Trang Agro-Industry joins 23 other rubber producers, processors and traders at GPSNR to make the industry-wide transition to sustainable natural rubber 

We are pleased to welcome Sri Trang Agro-Industry as the newest member of GPSNR’s growing community.

The Global Platform for Sustainable Natural Rubber (GPSNR) proudly announces the addition of Sri Trang Agro-Industry Public Company Limited (STA) as its newest member in the Producers, Processors and Traders category. STA, a leading fully integrated natural rubber company established in 1987, brings with it a solid commitment to the industry’s transition towards the sustainable and equitable production of natural rubber at scale. With large-scale rubber plantations covering almost 7,000 hectares across 19 provinces of Thailand, STA plays a significant role in the global natural rubber market. The company’s membership in GPSNR underscores its dedication to fostering a more sustainable and responsible natural rubber industry.

“We are thrilled to welcome Sri Trang Agro-Industry Public Company Limited to GPSNR,” said Stefano Savi, Platform Director of GPSNR. “Given the company’s scale and outreach, we look forward to their insights and contributions to important industry-wide processes on sustainable and equitable production currently underway at GPSNR, like our assurance model and shared investment mechanism.”

Nattee Thiraputhbhokin, Chief Marketing Officer of STA, stated, “Joining GPSNR reflects our unwavering commitment to advancing sustainable practices in the natural rubber industry. In addition, to the ever-evolving world of rubber production, STA emerged as a trailblazer with its groundbreaking Sri Trang Ecosystem. This digitalized, transparent, and sustainable framework showcased STA’s unwavering commitment to advancing sustainability in the natural rubber industry. With traceability ingrained in every step, from rubber tree cultivation to the delivery of traceable products, the ecosystem sets a new standard for better accountability. Joined by other industry leaders under the Global Platform for Sustainable Natural Rubber (GPSNR), STA aims to forge a more sustainable and equitable future for all stakeholders, inspiring a transformation that resonated far beyond their business borders.”

STA joins over 290 GPSNR members composed of tire makers, natural rubber producers, processors, traders, civil society members, and end-users in driving positive change and shaping the future of the natural rubber sector.

About GPSNR: 
GPSNR is an international membership-driven platform set up to define sustainability for the natural rubber value chain. It brings together various stakeholders to a common ground based on fairness, equity and environmental sustainability. More on sustainablenaturalrubber.org

For more information, please contact:
Abby Ng
Membership Outreach and Communications Associate 
Email: abigail@gpsnr.org

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News

Maintaining Alignment in GPSNR’s Strategic Outlook

As the mid-year mark approaches, our Working Groups continue to make progress in their respective areas of focus. In spite of the setbacks brought about by the COVID-19 pandemic, group calls and discussions remain as scheduled, with every intention to have deliverables ready for approval or presentation at the General Assembly 2020.

Final text for the proposed policy components and baseline reporting requirements, developed by the Policy Toolbox Working Group, have been proposed. The documents are being circulated for approval within the Working Group before being submitted to the Executive Committee. A pilot testing phase for the reporting requirements will be launched shortly after. More details on this will be released soon.

Along with the finalization of the Terms of References for the two pilot proposals, the Traceability and Transparency Working Group is also developing a budget and timeline for these pilot proposals, to be submitted to the Executive Committee for approval.   

While there have been efforts between Working Groups revolving around calibration and aligning, the importance of alignment with all Working Groups is increasingly being recognized as important. Moving forward, the Strategy and Objectives Working Group will undertake a more coordinating role. This will see a Platform-wide effort to directly engage and align with the other Working Groups  to better bring forward their strategies into the Theory of Change, understand their project plans and how to interact, and bring together input from all the Working Groups to support the development of Platform Key Performance Indicators (KPIs).

Within the Strategy and Objectives Working Group itself, work on filling out the Theory of Change continues. The Working Group is also liaising closely with consultant James Griffiths on his study on social risks following the presentation of a first draft to the Working Group for review.

Empowering Smallholder Farmers: The Path to Deforestation-Free Rubber Supply Chains to Meet the EUDR

On Wednesday, 19 April 2023, the European Union approved the upcoming Deforestation-Free Regulation (EUDR) to prevent companies from placing products linked to deforestation onto the EU market. As part of the wider vision of the EU Green Deal, it will demand companies who import rubber or rubber-based products (e.g., tires) to verify that their supply chain is deforestation-free. It’s a push towards an era of environmental accountability, yet it also sparks debates about the path forward for the rubber industry.

The EUDR requires companies to have traceability to the farm level, including geo-location data and proof of land legality. According to the regulation, every plot below 4 hectares requires at least a GPS point coordinate, while plots above 4 hectares must have a polygon.

Fulfilling these traceability requirements is no small feat. There is concern from the industry that smallholder farmers may be unintentionally excluded from global sustainable supply chains. Ensuring smallholder farmer inclusion requires a holistic sustainability approach.  There is no doubt that the rubber industry has begun moving towards sustainable rubber sourcing through combined industry efforts like the Global Platform for Sustainable Natural Rubber (GPSNR). However, the reality is that most imported rubber to the EU currently does not meet the regulatory requirements as the industry lacks traceability to the farm level. As 85% of the global natural rubber supply is supplied by approximately 6 million smallholder farmers, the implications of this regulation could be far-reaching and severe, particularly for these smallholder farmers.

However, there is a lot of hope.

Firstly, even though it might seem challenging, traceability to the farm level is doable – even for the rubber industry. This has been demonstrated in a GPSNR-funded farmer training and coaching project primarily focused on supporting smallholders to apply Good Agriculture Practices (GAP). Koltiva, the company I am working for and who was selected to be the implementing partner for this project, has mapped more than 4,000 farmers and their farms to help them to prepare for the EUDR in less than a year.

Secondly, we believe that traceability to the farm is scalable. In our work with clients in 51 countries, we were able to map almost 1 million smallholder farmers through our KoltiTrace platform. Platforms such as KoltiTrace allow companies to map and verify their supply chain, including transaction traceability from Seed to Tire and deforestation-free analysis.

Finally, EUDR could have a long-term positive impact on smallholder farmers. Currently, many rubber farmers do not have proper land titles. Due to the EUDR geolocation requirements, many smallholders will, for the first time, have access to a map of their own plantation, allowing them to legalize their land.

And it doesn’t stop there. Smallholders have largely been invisible in global supply chains. Traditional development programs have tried to engage them, but they have not reached the expected results. Many smallholders still have no access to knowledge, no access to capital,  and soon will also be excluded from the carbon economy.

I believe that it’s possible to bridge these gaps. Traceability to farm level and digitalizing the first mile of agricultural value chains can lay the foundation for holistic sustainability interventions. Enabled by technology and data, the sector can equip farmers with critical knowledge, improve their access to finance, actively support farmers to apply low-carbon practices and enable them to reap the benefits of the growing carbon economy.

While traceability cannot be achieved overnight, the rubber industry is in a unique position. At GPSNR, the major industry players are sitting at one table. Through combined efforts and data-sharing agreements of shared supplier data, the rubber industry can become a leading example of how to meet the EUDR.


About the Author:
Luca Fischer is Koltiva’s Program Manager, leading Koltiva’s boots-on-the-ground implementation projects in the rubber sector globally. He bridges the gap between the client, product, and field teams.

Luca has over five years of work experience in sustainable sourcing, smallholder livelihood, and climate-smart agriculture development. He graduated with an M.Sc. in Sustainable Resource Management from the Technical University of Munich, Germany.

About Koltiva (click here for more information)
Established in 2013, Koltiva is a leading agritech company for enterprises to make their global supply chains traceable, inclusive, and climate-smart. Backed by Koltiva’s human-centered technology with boots-on-the-ground professional service, Koltiva supports some of the largest multinational companies by digitizing and verifying global supply chains, focusing on enhancing traceability, inclusiveness, and sustainability. Koltiva combines triple-tech (AgriTech, FinTech, and ClimaTech) to improve producers’ outcomes and profitability while building more sustainable supply chains.

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