Woolworths Drops APP as Supplier

August 13, 2008

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Woolworths announced last week that it was dropping its contract with Asia Pulp and Paper, after facing criticism from environmentalists for carrying APP, which has a record of environmental degradation on the island of Sumatra in Indonesia, Mongabay.com reports.

In the past, APP has lost contracts with other large companies including Wal-Mart, Staples and has also fallen out with environmental groups like the World Wildlife Fund, the Rainforest Alliance, and the Forest Stewardship Council.

Despite Woolworths’ announcement, “Wake Up Woolworths” head, Tim Woods, is still skeptical because he says the announcement is vague. Woods would like the company to state that it is permanently terminating its partnership with APP to avoid the possibility that the company may resume the relationship in the future.

In addition, Woods recommends Woolworths become completely transparent in its business interactions to regain trust.

Last year Woolworths was slammed for using sustainable forests logos when at least two reports on the company’s supplier completely discredits that claim.

A new Web site, www.pulpwatch.org, has been launched by an international coalition of NGOs. It brings together Google Maps technology and environmental risks and manufacturing data on pulp and paper mills to reveal their practices and rate their performance on social and environmental criteria.

The site assigns color rating to the pulp mills: Green is for mills that have adopted the cleanest technologies and source fiber from credible forest certification and red for mills that have failed to adopt sustainable practices.

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