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TFT & Nestlé A New, Innovative Partnership in the fight against deforestation TFT & Nestlé A New, Innovative Partnership in the fight against deforestation

What is TFT? A UK Registered non-profit (charity) • 90+ staff (>75% in field What is TFT? A UK Registered non-profit (charity) • 90+ staff (>75% in field locations) Offices in 14 countries • UK, Switzerland, France, US • Indonesian, Malaysia, China, Vietnam, India, Laos • Cameroon, Gabon, Republic of Congo • Brazil We’re a MEMBERSHIP based organization • > 85 member companies – retailers, manufacturer, suppliers – growing rapidly Please visit us at www. tft-forests. org

What drives us? We’re Passionate about: People, Products & the Environment We believe we What drives us? We’re Passionate about: People, Products & the Environment We believe we can be best in the world at: Helping businesses Deliver Responsible Products

What Do We Do? Businesses Engage Transform Pragmatic On-the-ground Deliver Brand value Profits – What Do We Do? Businesses Engage Transform Pragmatic On-the-ground Deliver Brand value Profits – Good Wood Good Business

How Do We Do It? $$ Press Donors Comms NGO Customer $$ TA, Comms How Do We Do It? $$ Press Donors Comms NGO Customer $$ TA, Comms Retailer Finished product $$ Manufacturer Raw materials $$ $$ Raw Material Producer Tech. Assistance to FSC wood

Our Partnership with Nestlé May 17 th 2010: “No Deforestation” Commitment & Responsible Sourcing Our Partnership with Nestlé May 17 th 2010: “No Deforestation” Commitment & Responsible Sourcing Guidelines (RSGs) • Compliance with all laws and regulations • Protect High Conservation Value Forest (HCVF) • Respect Free, Prior & Informed Consent for IPs and local communities • Protect Peat lands • Protect High Carbon Stock (HCS) forests Sent a crystal clear message to ALL suppliers across ALL commodities that it’s time to innovate deforestation out of their products Link to RSPO…. RSGs = Nestlé Sustainability Standard - not new cert scheme

Our Partnership with Nestlé First Palm Oil Our Approach – Engaging & Transforming • Our Partnership with Nestlé First Palm Oil Our Approach – Engaging & Transforming • Identify key markets – India, Thailand, China • Supply chain mapping; Risk mapping • RSG Checklist development • Traceability - Exploring the “Natural Segregation” Model • Stakeholder Engagement • RSG Assessments • Supplier meetings, other markets, mapping

GAR Forest Conservation Policy A Genuine Breakthrough in the global palm oil industry GAR GAR Forest Conservation Policy A Genuine Breakthrough in the global palm oil industry GAR wants to ensure that its palm oil operations have no deforestation footprint. Core to this is: • No development on high carbon stock forests • No development on high conservation value forest areas • No development of peat lands (regardless of depth) • Free, Prior and Informed Consent for indigenous and local communities • Compliance with all relevant laws and National interpretation of RSPO P&C Mirrors the Nestlé RSGs

Scaling Up Pulp & Paper – work underway, more complex but making progress Nestlé Scaling Up Pulp & Paper – work underway, more complex but making progress Nestlé looking at 10 other commodities TFT submitted proposal on Soy – links to dairy, meat, fish Working on proposal for Cocoa, child labour focus, links to Shea Creating Shared Value foundation is a brilliant basis for the work - this is NOT about philanthropy! And it doesn’t need to cost – in the medium to long term, huge benefits from sustainable raw materials and stronger rural livelihoods NGOs think that if it doesn’t “cost’ you or “hurt” you it must be greenwashing Investors think that it’ll cost you so your profits will be impacted

TFT & NESTLÉ’s NO DEFORESTATION COMMITMENT Nestlé RSGs are excellent – clear message to TFT & NESTLÉ’s NO DEFORESTATION COMMITMENT Nestlé RSGs are excellent – clear message to supply chain partners But…Nestlé buys 0. 7% of palm oil traded on the global market We need leverage to TRANSFORM So, we need others to make the NO DEFORESTATION COMMITMENT too! We need to give raw material growers a clear, overwhelming message: “If you’ve got DEFORESTATION in your product, we can’t buy it!”

And Finally… Deforestation is a supply chain issue…. TFT model is about one end And Finally… Deforestation is a supply chain issue…. TFT model is about one end of supply chain taking responsibility for what happens at the other end We’ve shown in the past with wooden products what CAN be achieved, and we’re seeing great progress in Palm Oil now The NO DEFORESTATION COMMITMENT can have a mighty big impact if we can only get leverage Congratulations to Nestlé for leading by example

“Ten years ago, Greenpeace and its counterparts were lambasting virtually the entire industry as “Ten years ago, Greenpeace and its counterparts were lambasting virtually the entire industry as unsustainable, socially exploitative and environmentally destructive. Now, they're suggesting that if GAR/TFT standards were applied across the whole sector, the war would virtually be over. ” Richard Black, BBC Science & Environment Correspondent http: //www. bbc. co. uk/blogs/thereporters/richardblack/

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