Stretching the conversation about sustainable natural rubber

In the last 30 years, Asia has doubled the area of land dedicated to rubber plantations, where environmental abuses run rampant in its complex supply chain. Now, the biggest stakeholders in rubber are setting new standards with the launch of the Global Platform for Sustainable Natural Rubber.

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By 2050, the number of cars in the world is expected to more than double as urban population growth and rising incomes lead to increased demand for mobility. This has led to louder calls for a more environmentally friendly, energy efficient transport sector.

But what’s been missing from the conversation on sustainable transport so far is a key material that cars and other vehicles literally run on: rubber.

Around 70 per cent of the world’s supply of natural rubber is used to manufacture the wheels that move cars and enable airplanes to take off and land. In the last two decades, the consumption of natural rubber, which is primarily produced in the world’s tropical regions, has been increasing at a steady rate of 5 per cent every year.

Ideal climate and soil conditions in Thailand, Malaysia, Indonesia and Vietnam have made Southeast Asia the epicentre of global rubber production. Ninety per cent of the 13.960 million tonnes of rubber tapped last year came from this part of the world. The last 10 years have also witnessed the expansion of industrial rubber practices in Cambodia and Laos, after land in China and Vietnam began to deteriorate as a result of large-scale rubber production.

On a recent trip to Bintan, an Indonesian island located an hour from Singapore’s shores, Eco-Business got a first-hand look at the reality of smallholder rubber farming in Asia and the challenges of charting a sustainable path for rubber.

Although natural rubber has not received as much attention as fellow tropical commodity palm oil, it creates a similar set of social and environmental problems, from contributing to rapid deforestation to a history of land grabs and human rights violations in the Mekong.

However, unlike palm oil, which is mainly produced in large estates owned by big, family-owned corporations, close to 85 per cent of global rubber is produced by smallholders in Asia, making traceability a major issue in the industry’s quest for sustainability.

“Natural rubber is a crucial element of tyre production, driving the importance of its sustainability,” William Dusseau, manager of technical relations at Cooper tyre and rubber company, told Eco-Business. “A coordinated, universal and standard industry approach is the way to drive solutions in establishing and promoting sustainable natural rubber practices.”

He added that the launch of the Global Platform on Sustainable Natural Rubber (GPSNR), which took place last Thursday at the World Rubber Summit in Singapore, was a significant step in developing and maintaining sustainable rubber standards.

Members of the new platform include major brand tyre companies such as Cooper, Michelin, Pirelli, and Bridgestone and global car manufacturers including BMW Group, Ford Motor Company and General Motors.

GPSNR also includes international non-profit and civil society organisations such as Mighty Earth, Birdlife International and World Wide Fund for Nature (WWF).

According to Jean Bakouma, head of the Forest Program at WWF-France, since the rubber value chain is primarily driven by buyers, tyre manufacturers hold the greatest leverage for improving both the socioeconomic and environmental performance of natural rubber production.

“A robust sustainability policy that is thoroughly implemented by tyre manufacturers must consider sustainable natural rubber as a natural and responsible way to protect forests with high conservation value and high carbon stock, as well as foster other environmental services,” he said.

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GPSNR Policy Components: Demonstrating a Commitment to Sustainable Natural Rubber

The Member Consultation period for the proposed GPSNR Policy Components and Baseline Reporting Requirements closed on 3 July 2020. All comments received as part of the consultation exercise were discussed by the Policy Toolbox Working Group over several rounds of calls. There has also been healthy dialogue between various membership categories and the Working Group on the alignment of the Policy Components. 

Meanwhile, pilot testing for the Baseline Reporting Requirements is in progress, with 10 GPSNR member volunteers participating in the exercise. The Secretariat will be interviewing each of the volunteers in the coming weeks to gather feedback on their experience in submitting the Baseline Reporting Requirements data. More updates will be shared in due course.

At this stage, finalized versions of the Policy Components and related documents have been submitted by the Policy Toolbox Working Group to the Executive Committee for review and further discussion at the Executive Committee level. The Policy Components will then be brought to the GPSNR General Assembly for voting.

The formulation of Policy Components is a critical piece in fulfilling GPSNR’s vision of a fair, equitable and environmentally sound natural rubber value chain. 

All GPSNR members, at the time of joining the Platform, committed to this very vision, as well as 12 principles of sustainable natural rubber as defined by GPSNR. The Policy Components were developed to provide more specificity to the 12 Sustainable Natural Rubber Principles. Within the proposed Policy Components are key commitment details to no deforestation/ conversion/ degradation, upholding human rights, supply chain transparency and monitoring and reporting. 

If approved, the Policy Components will act as a clear and guiding framework for GPSNR company members to establish or update supply chain commitments through their natural rubber purchasing policies. 

Adopting a policy allows a company to signal that the issues covered by the policy are important to the company, and that resources and capacities will be dedicated to addressing the issues in order to comply with the policy. Policies, while illuminating the goals that a company is working towards, also enables these commitments to be channelled upstream to suppliers and downstream to buyers, with the potential to transform the entire supply chain.

Following the Policy Toolbox Working Group’s observation that common questions and concerns were raised by GPSNR members during the Members Consultation period, the Working Group has developed a supplementary FAQ document to provide detailed responses to address these concerns, in a bid to provide greater clarity on the Policy Components. These will be circulated to the GPSNR membership in August, along with all other proposed resolutions.

News

Secretariat Update – February 2020

On Friday 7 February, Singapore announced that it was stepping up its risk assessment level. Previously at ‘Yellow’ on the Disease Outbreak Response System Condition (DORSCON) scale, the country is now at ‘Orange’. This change triggered additional precautionary measures such as an advice to cancel or defer all non-essential large-scale events. More countries are also putting in place such measures, from enforced quarantine for certain travelers to outright travel restrictions.

The safety and comfort of all members remains our utmost priority. The Secretariat will continue to monitor the situation closely, with the intention to hold the General Assembly once it becomes more stable. The new date for the General Assembly will be in 2020, and will be communicated with due notice to all members. 

During this time, all Working Groups will continue to advance their work in establishing a policy toolbox, shaping capacity building initiatives, achieving transparency and traceability, and solidifying smallholder inclusivity in GPSNR. 

The GPSNR Executive Committee has agreed to extend the deadline for submission of General Assembly resolutions and Executive Committee nominations to Tuesday, 31 March 2020.

For the latest updates on the progress of our Working Groups, please refer to the News and Publications section of our website.

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