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1 Cytasa We believe our incorporation to RTRS is going to improve our environment, as some neighbours have shown interest in our activities, says Victor Álvarez Arias. There is an increasing awareness of working practices and environmental issues. Victor is the manager of Cytasa, the first RTRScertified soy producer in Paraguay. Cytasa has been farming since 1978, growing a variety of crops and raising livestock. The farm also includes a 965- hectare area of restored forest which is now managed for production. Cytasa employs around 60 people, some on a seasonal basis. Some 2,765 hectares are cultivated with soy, which accounts for 70% of the company s income. Most of Cytasa s soy none of which is genetically modified is grown for export. Victor hopes RTRScertification, which Cytasa achieved in 2011, will help the company to access new markets. I personally think that in the near future, markets will demand that producers have some kind of certification, he says. We knew about other certifications, but we chose the RTRS standard for its reliability, commitment and similarities with our working values. Although Cytasa had already made progress on environmental and employment issues, it had to make some changes in order to obtain RTRS certification. The most important changes related to working safety, management systems and the use of pesticides. Managers took training courses on chemical use, hygiene, first aid and safety, and included workers in debriefings. RTRS membership requires continuous improvement, and Cytasa is pursuing production practices that will benefit workers and the environment. For the next harvest, organic fertiliser will be used on half the cultivated area, and the results monitored. Although it s early days, Victor believes Cytasa has already benefitted from the RTRS certification process, not least through improved morale: We appreciate our better managing of the company, together with an increasing environmental, working, and social responsibility, he says.

2 FrieslandCampina In 2006, FrieslandCampina, the largest Dutch dairy cooperative, began working with Solidaridad, Natuur & Milieu and WWF Netherlands to ensure the 100,000 tons of soy meal used each year by its members for animal feed was sourced responsibly. Working in conjunction with these NGOs, FrieslandCampina came to the conclusion that the RTRS was the best option and they became members of the Round Table that year. Jaap Petraeus, Corporate Manager Environment & Sustainability at FrieslandCampina said that they joined because they felt it was important that the soy they used was responsibly sourced. We recognized that we had a responsibility for the feed that is used by our members cattle. Since joining, FrieslandCampina has taken a proactive role to ensure the soy market continues to work towards responsible soy by working with all levels of the supply chain, from the growers through to Dutch dairy farmers. We have asked the Dutch feed industry to take responsibility and include RTRS in their purchasing policy. They agreed and from 2015 all soy in the cattle feed will be RTRS approved. Taking such a responsible line is a good outcome for the Dutch market. To help meet the growing demand for responsible soy in the Netherlands, FrieslandCampina began working with external organizations to help develop the responsible soy market and by investing and supporting producers across the world. At least 80% of soy produced is used as animal and livestock feed. Mr Petraeus said, We started purchasing responsible soy and supporting producers as we felt it was important to let the supply chain know that there definitely is a demand for responsible soy. In 2008 we decided to support the development of responsible soy production of small holders and to fund projects in India and Brazil. We will fund these projects until 2014 but by 2012 we hope they will be RTRS certified and independent. In a message to other organisations, Friesland Campina has said being a member of RTRS has made a difference on a number of levels. It definitely contributes to the value of our brand, not in Euros, but in consumer reputation. A recent study has shown that Campina, our dairy brand, is perceived by consumers as the most sustainable brand in the Netherlands. Our involvement in responsible soy for cattle feed has contributed to this. A second benefit is that we have built a good relationship with NGOs, which has helped us as a business. For example, our work on responsible sourcing of cocoa and palm oil has resulted from this. A third benefit is our reputation as a business. People want to work with us because of our reputation on sustainability, to which our soy work has contributed as well.

3 Grupo Los Grobo RTRS is part of a new trend in global governance that set rules through multistakeholder involvement, says Gustavo Grobocopatel, President of Grupo Los Grobo, one of South America s largest soy producers. It is very closely related to the way Los Grobo acts, as a company that regards transparency and stakeholder relations as key strategies to create shared value. Gustavo believes that following RTRS principles contributes to the objectives of the Global Compact, a UN initiative promoting sustainable and socially responsible business, and towards the Millennium Development Goals. RTRS certification also provides assurance that good agricultural practices are being followed. Committed and responsible consumers are interested in these issues being addressed and are willing to recognize the effort involved, rewarding companies that comply with and satisfy these requirements, says Gustavo. Los Grobo has obtained this market recognition, through certification of its operations. Los Grobo was one of the first producers to achieve RTRS certification in Argentina in Operations in Argentina are almost completely under RTRS certification, and we plan to reach the same objective in Brazil and Uruguay, says Gustavo. As Los Grobo has been actively engaged in sustainability issues for 10 years, achieving RTRS certification hasn t required fundamental changes. It does, though, mean strengthening controls and information systems for assuring that all criteria are met, and providing the supply chain with support and incentives to do so. Gustavo Grobocopatel, President of Grupo Los Grobo The company s structure helped Los Grobo to become the first producer to sell RTRS soy directly to the customer most trade at the moment is in credits guaranteeing a volume of RTRS soy, rather than the physical product. Gustavo believes that offering fully traceable soy can be important for meeting clients expectations, but is quick to point out that the important thing is to grow the market for RTRS soy to provoke and incentivise positive change where it is required which basically is out in the field and with the people involved.

4 India Soy Forum Small producers are more informed, better trained and better organized now by producing RTRS soy, says Ashok Kumar of the India Soy Forum (ISF). They produce more soy and get a higher income. In central India, six million farmers produce around nine million tonnes of soy. The India Soy Forum (ISF) network supports small producers to grow soy more sustainably, with seven NGOs and 11 producer companies (farmers organisations) involved. Since 2009 a number of these NGOs and producer companies have joined RTRS. They saw certified soy as a market opportunity for small producers, Ashok says. Another incentive was to improve farm practices and systems, increasing productivity and income. ISF helped conduct the first RTRS soy field trials in India. It now promotes responsible soy cultivation by providing information, training and technical support to producers, as well as raising awareness in the wider soy industry. This work is supported by RTRS and Solidaridad through the Soy Producer Support Initiative (SOYPSI) and, since 2009, by RTRS member FrieslandCampina. In April 2012 the first 4,300 tonnes of soy from smallholder was formally being RTRS certified. To date, 30,000 producers in the state of Madhya Pradesh have been trained in better management practices, organizational issues and social aspects such as gender equality, minimum wages and avoiding child labour. Together, they farm about 45,000 hectares, producing around 60,000 tonnes of soy. Now more and more producers are looking to get involved. By following the RTRS standard, the producers follow better farm practices and thus improve the farm conditions improved soil and water quality, for example, says Ashok. Improved agricultural practices have been shown to increase yields by 20-30%. Producers benefit directly from increased productivity and some premium from selling RTRS certificates. There are environmental benefits, too. One area is related to agrochemicals, says Ashok. Producers following RTRS standards don t use banned pesticides, safely dispose of pesticide containers, use masks and gloves when applying chemicals and so on. There are also fewer pesticides used as a result of integrated pest management (IPM) techniques such as controlling pests by hand or with traps, or using beneficial insects. Similarly, integrated crop management (ICM) measures such as adding compost and intercropping improve soil health and productivity. These have all started happening and in future better results can be achieved, Ashok says.

5 Lucas Aernouldts Brazil s Cerrado region is a vast expanse of savannah and woodland that once covered an area larger than Mexico. In the last 50 years, around half the Cerrado s natural ecosystems have been lost, mostly to agriculture and in recent years, one of the key drivers of this has been soy. This agricultural expansion has turned Brazil from a net food importer into one of the world s biggest food providers, bringing economic and social benefits. But there are costs too. The march of large monocultures threatens the Cerrado s exceptional biodiversity, home to a third of the species in Brazil and over 5% of all the species in the world. Because the Cerrado is a hugely important water catchment area, soil degradation, erosion and run-off from industrial agriculture affect water supplies for millions of people. In the state of Minas Gerais, Lucas Aernouldts (right with RTRS President Jaap Oskam) seeks to farm in a way that doesn t diminish the Cerrado s natural riches. The main crops on his farm, which employs 150 people, are carrots and garlic, but 320 hectares are planted with soy, producing nearly 1,200 tonnes per year which is bought by the likes of Cargill. The farm also includes a conservation area for natural vegetation. Lucas Aernouldts (right) with RTRS President Jaap Oskam (left) It s a matter of working in harmony with nature, Lucas says. This includes practising no-till agriculture, which leaves the top layer of soil undisturbed. This can improve soil quality and carbon levels, prevent erosion and reduce the need for chemical inputs. It also increases the variety of wildlife below and above the ground, from earthworms and beneficial insects to nesting birds. The high environmental and labour standards on Lucas s farm were recognised with RTRS certification in The farm was one of the first to be certified as a result of support from APDC [the Cerrado no-till agriculture association] and the Soy Producer Support Initiative (SOYPSI), a project run by Solidaridad and RTRS which supports smaller farmers to achieve certification. The farm was already functioning at a high level, but now the buyer knows our soy was produced under good conditions, says Lucas. It s a plus to sell RTRS-certified soy is positively seen by the buyers.

6 Unilever Unilever, one of the largest FMCG companies in the world, purchases 1% of the world s soy, which underscores the importance and versatility of soy and its importance to the global economy. Soy and soybean oil are used in Unilever products such as spreads, mayonnaise and dressings, according to David Pendlington, Procurement Operations Manager at Unilever. Soy is the 3 rd largest raw material, in Unilever s sustainable living plan, purchased by Unilever percentage wise. Because of this, Unilever became a long-term advocate of the use of responsible soy and in 2006 was a founding member of the RTRS. In June 2011 on the first day RTRS accredited soy was available for purchase, Unilever proved its commitment to responsible soy by being one of the first organisations to buy RTRS certificates along with a group called IDS (Initiatief Duurzame Soja, Initiative Sustainable Soy). sustainability. Mr Pendlington said, In our Sustainable Living plan we commit to sourcing all soy sustainably by 2020.We are engaging our key suppliers in all regions and are building the roadmap to achieve our 2020 USLP stated target of 100% We will sustainably purchase all soy beans by 2014 and all soy oils by Certified soy will help curb the environmental impact of soy production which, in Latin America, can lead to HCVA destruction, David said while pointing out that there is no one size fits all way of ending environmental damage through soy agriculture, however, through the RTRS, there is an opportunity to begin improving the industry to minimise the social and environmental impact. We believe the way to make soy cultivation responsible in the long term is for us to work and partner closely with growers, industry leaders, Governments, NGOs and other businesses on developing internationally recognised verification systems. These will ultimately help protect biodiversity and lead to a more responsible approach to soy cultivation. We will also ensure that we apply our own sustainability principles to the soy we buy.

7 Marks & Spencer deforestation by At M&S we are deeply concerned about the impact that soya production can have on the landscape and communities where it is grown says Fiona Wheatley, Sustainable Development Manager at the UK retailer M&S. That is why as part of Plan A, our 180-point sustainability plan, we have made a commitment to source all our soya from sources that do not contribute to Although this sounds simple, in reality this is a complex challenge for any retailer. Soya finds its way onto UK supermarkets shelves in a wide range of products. Soya is a major ingredient in products like soya milk, tofu and soya sauce, but more often it only accounts for a tiny proportion of the product says Fiona. Soya is high in protein so is a common component of animal feed, this means it is indirectly used to produce chicken, pork and beef, as well as dairy products and eggs. Faced with this complexity M&S are looking for practical, implementable solutions and this is where RTRS comes in. We recognise we can t do this alone, Fiona says, we need to work alongside expert partners to find the right solutions. RTRS provides an effective tool for us to address multiple challenges. M&S has committed to only using non-gm soy in our products, and as RTRS are developing a non-gm module, this gives us a practical way to meet our customers expectations on non-gm ingredients as well as preventing deforestation. M&S has been a member of the RTRS since 2008 and considers the multi-stakeholder nature of the RTRS a real strength, we believe that getting all the key players in the supply chain producers, traders, buyers, NGOs- to sit round the table and find a solution that suits all parties, is crucial. Yes, it can involve compromise and it takes time to roll out the scheme across the wide range of industries and sectors that use soy, but the real value is its potential to affect the industry at scale. Anything else will only ever produce a minor benefit for the landscape and communities we are concerned about.