Update on Wood Sourcing Policies and Open Market Wood Sourcing
Wood Sourcing Policies
APRIL is reviewing and updating its Sustainable Forest Management Policy (SFMP 2.0), which we have steadfastly implemented for more than a decade. The SFMP 2.0 established a foundation for our sustainability commitments based on regulations and standards at the time it was adopted in 2015. Since then, global regulations and market expectations have evolved.
The EU Deforestation Regulation (EUDR), the Accountability Framework initiative (AFi), and the Forest Stewardship Council (FSC) have all converged around the 31 December 2020 cut-off for deforestation and conversion. Subsequently, many other producers, banks and customers have done the same.
To reflect these developments, we are currently reviewing and updating the policy in close consultation with APRIL’s independent Stakeholder Advisory Committee (SAC). The update will formally incorporate our revised deforestation and conversion cut-off date of 31 December 2020, aligning with the EUDR, AFi and FSC.
While the SFMP 2.0 is under review, APRIL’s core sustainability commitments remain fully operational and strictly enforced through our Wood and Fibre Sourcing Policy, which firmly mandates the elimination of deforestation and conversion across our operations and supply chain, and our other sustainability policies including the Sustainability Policy and the Human Rights Policy.
In practice, these changes mean that APRIL will accept wood supply that is compliant with our Wood and Fibre Sourcing Policy from compartments converted or deforested prior to 31 December 2020. All supplies will be verified using EUDR -compliant, high integrity traceability down to the compartment level.
Supply Chain Compliance and Due Diligence
In January 2026, the Indonesian government unexpectedly revoked the operating permits of 28 companies, including four of APRIL’s long-term fibre supply partners. The revocation of these operating permits meant a serious disruption to our planned wood supply. Sourcing from additional suppliers was an important and necessary action to secure our supply chain stability.
To mitigate this disruption, APRIL has proactively onboarded additional open market suppliers. Following a rigorous due diligence process, PT Industrial Forest Plantation (PT IFP) has been added to APRIL’s supplier list and included on our sustainability dashboard. PT IFP began delivering wood fibre to APRIL this month from plantation compartments that meet our updated requirements.
In the coming weeks, PT Mayawana Persada (PT MP) will be added as an open market supplier to APRIL after the conduct of a similar comprehensive due diligence process. We are aware that these additional open-market suppliers have in recent years been subject to external scrutiny related to significant deforestation.
Engaging these suppliers was necessary to address the imminent disruption to our wood supply. We also view our engagement with these suppliers as an opportunity to encourage the adoption of immediate and long-term mitigation measures to address and remedy their environmental and social impacts.
Both PT IFP and PT MP have formally adopted policies with an explicit pledge to no deforestation, among other commitments. APRIL is working closely with these suppliers to build capabilities and support the implementation of their sustainability commitments. All suppliers must comply with the following requirements:
- No Deforestation: Must have permanently halted conversion or deforestation in their concessions.
- Conservation: Register conservation areas in their concessions in their annual and long-term work plans that are submitted to the Indonesian Government.
- Further Commitments: Adopt further conservation/restoration and social commitments, including engaging with communities to resolve any grievances and disputes.
- External Verification: Participate in periodic external audits to verify that their operations are in compliance with APRIL’s wood sourcing and sustainability policies and that they are adhering to their sustainability commitments. Align with and report into APRIL’s monthly land cover change analysis which applies to all suppliers.
APRIL Group reaffirms its readiness for compliance with the European Union Deforestation Regulation (EUDR), and continues to engage with FSC International on our remedy process, while remaining dedicated to fulfilling our APRIL2030 ambitions and targets on climate, nature and inclusive progress.
