Exposing deforestation risks in the soy and cattle supply chains in Brazil.

Aidenvironment has conducted two benchmark assessments of companies exposed to deforestation risks in the soy and cattle supply chains in Brazil. These benchmark assessments supported the efforts of Principles for Responsible Investment (PRI) and Ceres. These two responsible investment networks coordinate collaborative engagement processes to address deforestation driven by soft commodity value chains, including soy and beef.

1. Risks in the beef supply chain

In the first project, Aidenvironment analyzed companies from three segments of the cattle supply chain: 1) Processors & Meatpackers, 2) Clothing & Apparel and 3) Retail & Food Service. Companies were scored on four sets of pre-defined indicators, including Policy & Strategy; Implementation; Disclosure; and Performance. Each company was systematically analyzed by the information provided to investors on its website.

2. Risks in the soy supply chain

The second assignment included the scoping and systematic assessment of a total of 50 publicly traded companies with exposure to the Latin American soy supply chain. Aidenvironment developed and reviewed a tailor-made set of benchmarking indicators and scoring methodology. It then assessed the zero-deforestation approaches of these companies on the basis of this methodology.