UK Government Takes Steps to Address Deforestation in Supply Chains

Editorial TeamEditorial Team
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December 13th, 2023
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4:13 PM

The UK government aims to ban deforestation-linked commodities like palm oil and soy through the Forest Risk Commodities Scheme, targeting large businesses, but concerns about loopholes remain.

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In a move to combat the environmental impact of illegal deforestation, the UK government has announced plans to ban the sale of certain commodities linked to deforestation, including palm oil, cocoa, beef, leather, and soy products. While this initiative, known as the Forest Risk Commodities Scheme, aims to curb deforestation by regulating businesses with a global annual turnover of £50 million and utilizing over 500 tonnes of specified commodities, concerns have been raised about potential loopholes in the proposed regulations.

According to the Department for Environment, Food, and Rural Affairs (DEFRA), businesses falling under the criteria will be prohibited from using these commodities if they are sourced from illegally used land. The proposed legislation, to be introduced through provisions in Schedule 17 of the Environment Act, mandates regulated businesses to establish and implement a due diligence system for any regulated commodity used in their UK commercial activities. Annual reporting on these efforts will be required, with DEFRA emphasizing the enforcement process through unlimited variable monetary penalties.  

Advocates Call for Strengthened Legislation to Combat Deforestation in Supply Chains

While the government asserts that secondary legislation will be introduced when "parliamentary time allows," campaigners have expressed reservations about the effectiveness of the proposed rules. Friends of the Earth's forests campaigner, Clare Oxborrow, acknowledges the positive aspects of the legislation but highlights that additional high-risk commodities such as coffee, rubber, and maize should be included. She also expresses concern about the difficulty in determining illegal deforestation and the potential for countries to weaken their protections to evade the ban. Oxborrow advocates for a more comprehensive due diligence law to hold all companies accountable for environmental and human rights abuses in their supply chains.

Gemma Hoskins, UK Senior Director at Mighty Earth, points out a significant loophole in the legislation, allowing businesses importing up to 500 tonnes of any forest-risk commodity to apply for an exemption. Hoskins warns that this exemption may enable deforestation-risk products to continue entering UK supply chains. Moreover, she notes that the UK falls short of the ambition set by the European Union Deforestation Regulation (EUDR), which aims to address both legal and illegal deforestation.

Hoskins draws attention to the legislation's focus on illegal deforestation, leaving room for products grown on legally deforested land to enter the UK market. She highlights the case of the Cerrado savannah in Brazil, where legal deforestation, particularly for the meat industry's soy production, has resulted in substantial environmental degradation. While the UK government's initiative is a step toward addressing deforestation in supply chains, campaigners stress the need for a more robust and encompassing regulatory framework to tackle the urgent and widespread challenges posed by the climate and nature crisis.

 

Promoting Responsible Sourcing Through Internationally Recognized Certifications

Recognizing the importance of responsible sourcing, many businesses and industries have turned to internationally recognized certifications that guarantee environmentally friendly and socially responsible production processes. Certifications such as the Roundtable on Sustainable Palm Oil (RSPO), Forest Stewardship Council (FSC), and Rainforest Alliance ensure that commodities like palm oil, timber, and agricultural products are produced in a manner that safeguards forests and respects local communities.

These certifications play a crucial role in providing consumers with assurance that the products they purchase adhere to strict environmental and social standards, contributing to the protection of ecosystems and biodiversity. Integrating support for such certifications within the proposed legislation could enhance its effectiveness, promoting a shift towards sustainable and ethical sourcing practices across industries. This alignment with established standards would not only strengthen the UK's commitment to combat deforestation but also encourage global adoption of responsible supply chain practices.