Learning Event summary
Join us for the third and final in our series of virtual business brown bags on “Understanding deforestation risks in supply chains” to explore how companies can better identify and address deforestation risks across the world’s major forest frontiers!
This session brings together experts in monitoring deforestation risks with companies actively navigating the challenge in the region. Whether you’re starting your sustainability journey or strengthening existing practices, these sessions will help you make sense of the shifting landscape – and take action.
Register now at the link above or read on for a session primer.
Regional context
Southeast Asia’s tropical forests, including the rainforests of Borneo, Sumatra, and the Mekong basin, face severe deforestation pressure. The region is home to nearly 15% of the world’s tropical forests and harbours some of the world’s most biodiverse ecosystems. Between 2001 and 2019, Southeast Asia lost approximately 61 million hectares of forest, an area larger than Thailand. Across the Mekong region countries (Cambodia, Laos, Myanmar, Thailand, and Vietnam), nearly 1 million hectares of tree cover were lost in 2024, with nearly a quarter being primary forest and more than 30% occurring inside protected areas.
Recent years have shown some progress, though deforestation remains significant. Malaysia cut primary forest loss by 13% in 2024 compared to 2023, and in Indonesia – the world’s largest palm oil producer – industrial palm oil-related deforestation has been reduced to only 18% of its peak in 2012.
What’s driving deforestation
Agricultural expansion is the primary driver of deforestation in the region, with palm oil production playing a particularly significant role (Indonesia and Malaysia together account for 84% of global palm oil production) Palm oil expansion has been responsible for one third (3 million hectares) of Indonesia’s old-growth forest loss alone over the past 20 years. Beyond palm oil, logging for timber and pulp, mining activities, and infrastructure development further amplify forest loss across the region.
Supply chain initiatives
Sustainability initiatives and certification frameworks have emerged across the region to help companies address deforestation in their supply chains:
- Rimba Collective, launched by Lestari Capital and backed by major brands including Nestlé, PepsiCo, Procter & Gamble, and Wilmar International, the collective aims to invest $1 billion over 25 years in projects that protect and restore over 500,000 hectares of tropical forests in Indonesia and the wider region.
- Indonesian Sustainable Palm Oil (ISPO) and Malaysian Sustainable Palm Oil (MSPO) are mandatory national certification schemes that require all palm oil producers in each country to meet government-defined sustainability criteria.
- The Roundtable on Sustainable Palm Oil (RSPO) is a voluntary, multi-stakeholder certification scheme that incorporates environmental and social standards for palm oil production, enabling companies to demonstrate their commitments to sustainable sourcing.
- IDH Landscapes Program applies a Production, Protection, and Inclusion (PPI) approach in multiple Southeast Asian landscapes. The program brings together businesses, governments, farmers, and communities to balance sustainable agricultural production with forest protection and community development. Companies can connect with these landscape initiatives through SourceUp, an online platform that provides transparency, impact data, and easier engagement with verified sustainable sourcing areas.
Browse the evidence on initiative’s impact | Browse more standards in the region
Why this matters for your business
For companies sourcing forest-risk commodities, understanding these dynamics is increasingly critical. These commodities underpin many global value chains, from food and packaging to construction and paper products. Yet links to deforestation are often hidden deep within supply chains, through ingredients, raw materials, or upstream suppliers.
With the EU Deforestation Regulation (EUDR) coming into force in 2025, there is a renewed imperative for supply chain professionals to understand the issues and the practical tools and strategies available to them. Soon professionals will not only need to identify where products originate, but also understand local deforestation risks, confidently monitor suppliers, and contribute to implementing robust due diligence systems.
About this mini-series
Evidensia is hosting a series of 1-hour virtual business sessions to help supply chain professionals navigate deforestation risks across the world’s major forest frontiers. These focused sessions will break down the big picture, explain the major sustainability supply chain initiatives in each region, and share practical insights on strategies that have proven effective.
Three regions, three sessions:
- Latin America at a crossroads – 25 November, 14:00-15:00 UK time
- The African perspective – 26 November, 14:00-15:00 UK time
- Palm oil and the path forward in Southeast Asia – 27 November, 09:00-10:00 UK time
Please note: You need to register for each session individually. Attend the ones that matter most to your supply chain or join all three for a complete picture of global deforestation risks.