P&G continues to make progress on our commitment to keep forests as forests for generations to come, as communicated in our recently issued Forestry Practices Report 2022. Here are some highlights of our actions, including work with leading environmental and forestry groups, over the last year:
Holding our Suppliers to Higher Standards. Our Wood Pulp Sourcing Policy does not allow deforestation or forest conversion and prohibits forest degradation, and we expect suppliers to do the same. In the sourcing of our paper products, for every tree used at least two are regrown. To ensure suppliers adhere to our Policy, we take the following actions:
- Independent Audits. Annual independent compliance audits required by forest certification systems.
- P&G Audits. Supplier desk side audits, forest field assessments and reviews of their sustainable forestry plans.
- Satellite Monitoring. First-of-its-kind satellite monitoring of Canada suppliers to ensure no sourcing from intact forests.
- Public Grievance Process & Reporting. Any allegations of non-compliance can be reported to P&G, triggering an investigation and public reporting. Concerns related to wood pulp are transparently tracked.
Reaching FSC Certification Goal. All P&G wood pulp is 3rd party certified ensuring the protection of both environmental and social values of forests. We prefer Forestry Stewardship Council (FSC) certification, which is seen as the most robust system. Supplies of FSC wood fiber are limited, yet our paper businesses set a bold goal to achieve over 75% FSC certification by 2025, with a 2030 ambition of 100% FSC. P&G's paper businesses achieved their 75% FSC 2025 commitment in 2022, three years ahead of our goal and a first for the pulp industry. And we are going beyond partnering with FSC and our suppliers to increase FSC-certified lands.
Protecting Caribou Habitat and Intact Forest Landscapes. P&G is working alongside suppliers, certification bodies, NGOs, governments and other stakeholders to advocate for permanent protection of IFLs and caribou habitat.
Demonstrating First and Best Sourcing Transparency. P&G provides industry-leading transparency on our wood pulp supply chain, including by-country or by-region sourcing breakdowns, specific sourcing regions, age of tree harvesting and certification percentages, among other details. We are also providing first-of-its-kind supply chain disclosure on both caribou habitat protection and intact forest landscape protection.
Advancing Non-Wood Fiber Innovation. While responsible use of wood fiber is already a renewable resource, we continue to invest in and explore the use of non-wood fibers. P&G is investing in non-wood product innovation working to create products with premium softness, strength and absorbency that can be delivered at scale, while also ensuring a positive sustainability footprint. Today, we are testing a bamboo product -- Charmin Ultra Eco -- and are also developing a plant-based fiber product.
Conclusion
We remain committed to learning from others, testing our thinking and reporting on our progress. We believe that responsible sourcing is important, not just for our business, but also for the environment and people who depend on it. No one should have to choose between the products they use today and what they hope to preserve for tomorrow.
Read more about our commitments and our progress on our ESG Portal.
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