Forest conservation

The permanent removal of trees, driven primarily by agriculture, has a significant sustainability impact, negatively affecting the function of natural ecosystems, water cycle, climate, and biodiversity. Despite international initiatives, 10 million hectares of forest are lost, on average, each year. As human activities diminish biodiversity by cutting down forests and building more infrastructure, they increase the risk of pandemics such as COVID-19.

The right thing to do

The importance of forests cannot be overstated. From the air we breathe to the wood we use for home construction, we depend on forests for our very survival. Besides providing habitats for animals and livelihoods for humans, forests support fundamental processes such as watershed protection, carbon cycles, and soil preservation. They play a vital role in regulating climate conditions globally and locally and help to maintain rainfall patterns. Forests absorb carbon dioxide and foster the right conditions to preserve biodiversity. And, when they remain intact, they contribute to substantial economic value and increase resilience to disturbances and shocks.

The business case

When managed appropriately, the natural capital of forests provides a sustainable source of raw materials for use in our products and operations. Our company activities are embedded within ecosystems, and that makes protecting forests and combatting their loss essential to PMI. We use wood fiber resources to a significant degree in our products and packaging, and we use firewood to cure tobacco. Moreover, tobacco farmers rely on forests as an essential element in the water cycle and for soil protection.

While there are risks to forests from land-use conversion within our highly complex and extensive supply chain, we consider it vital that our business does not generate deforestation, and we are pleased that our analysis shows that PMI’s actions are not conducive to deforestation risk. Land used for tobacco growing is decreasing year-on-year, and PMI is leveraging its scale to influence suppliers of packaging materials to source wood fiber sustainably.

Achieving our aims

We are committed to procuring wood-based materials from fully traceable and sustainable sources while protecting the rights and livelihoods of local communities. Our Zero Deforestation Manifesto and Commitments, introduced in 2019, further formalizes our commitment to work with suppliers of tobacco and paper and pulp-based products to ensure all sourcing is sustainable, traceable, and third-party verified. Knowing where wood and wood-based materials come from is vital to understanding the associated risks and to engaging with suppliers on targeted areas for improvement. However, complete traceability can be a challenge. For example, while most of our larger suppliers have established forest protection measures, smaller suppliers may not yet have such programs in place. Joining forces with our suppliers helps us address challenges and implement impactful programs.

To protect forests in our paper and pulp-based product supply chains, we base our due diligence on PMI’s Responsible Sourcing Principles, using a bespoke supplier platform. We have communicated these principles to all our global and regional suppliers of paper and pulp. This platform allows us to engage further with and assess suppliers, obtain primary data, and complete the PMI deforestation risk assessment.