Ensuring responsible soy production in the Amazon

Cargill is committed to ensuring soy is produced responsibly and sustainably in the Amazon. On July 24, 2006 we and others in the Brazilian soy industry agreed the Soy Moratorium committing us not to purchase soy from lands that have been deforested in the Amazon biome from this date.

Soy Moratorium. The Soy Moratorium is an important measure in helping promote sustainable soy and preventing deforestation in the Amazon biome. Established after the publication of Greenpeace’s report “Eating up the Amazon” in 2006, it set out its objectives to: Establish a transparent, independently audited monitoring system for responsible soy production Encourage more sustainable agricultural practices and discourage deforestation Promote responsible economic development alongside conservation of the rainforest By working alongside the Brazilian government to develop clear land use and zoning schemes, the process will provide a lasting solution to preserving the Amazon biome. The Moratorium also supports the campaign to eradicate abusive labor practices led by the Brazilian government, the Ethos Institute and the International Labour Organization.

Under the Soy Moratorium farms and their owners that are not in compliance are added to a list, which prevents the purchase and receipt of soy from them; farmers are also unable to obtain financing from participating companies.

Since this agreement, we have been working as part of the Brazilian soy industry with non-governmental organizations (NGOs) including Greenpeace, WWF, The Nature Conservancy, Conservation International, and IPAM. This joint Soy Working Group is focused on reducing deforestation and ensuring sustainable soy production in the Amazon biome (the largest biome which includes the Amazon rainforest).

The Soy Working Group has announced an extension of the Soy Moratorium until 31 January 2013 as part of the ongoing commitment to help reduce deforestation and to ensure sustainable soy production in the Amazon Biome. This extension also includes a new program to provide information and guidance to farmers to ensure proper legal compliance and to obtain Rural Environmental Registration (CAR). Although there are farms that are already registered, this effort is intended to help farmers overcome the obstacles to filing their environmental registration by offering support including training, field days visits and technical information to help them understand the requirements to complete and file the CAR process. 

Soybean growing represents less than 0.3 percent of land use in the Amazon biome. Under the Brazilian Forest Code, farmers are obliged to preserve at least 80 percent of the land in forest areas and 35 percent in the Cerrado grasslands without receiving any government subsidy. While the legal obligations are clear, around 40 percent of the legal Amazon is public land under dispute which results in areas being deforested to claim land possession. Poorly defined property rights mean it is difficult to identify and penalize offenders across a vast area of over 400 million hectares.

A significant step in helping curb deforestation

Good progress has been made under the Soy Moratorium. It has been an important contributor to reducing Amazon deforestation; showing soy is no longer a key factor.

The Soy Working Group has established an effective mapping and monitoring system, which is conducted by Globalsat, an independent specialist. Each crop year monitoring is undertaken on deforested areas over 25 hectares using a satellite imaging tool specially designed to detect agricultural crops, as well as flyovers and on-the-ground visits across the states of Mato Grosso, Pará and Rondônia. The Federal Agency INPE (Brazilian Institute of Space Research) is responsible for this Satelite images. The total area monitored is over 302,000 hectares.

The most recent monitoring results show 6,300 hectares of soy planting in deforested areas – representing only 0.25% of the deforestation in the Amazon Biome. While there is still progress to made, it demonstrates the advances the Moratorium has made in discouraging soy planting in deforested areas. This progress is reinforced by results from INPE (the Brazilian National Land Survey Institute), which has shown an overall downward trend in deforestation since 2004. In this period, Brazil’s soy production has increased, yet there has been little change in the total area being planted for soy.

Already more than 13,000 booklets, as well as training sessions have been to put in place to help rural producers and local stakeholders understand the Moratorium’s objectives, comply with the Brazilian Forest Code and learn about good agricultural practices.

Deforestation remains an important concern and work is still needed to control and curb levels in the Amazon biome. The Soy Working Group is continuing to develop the system, as well as work with the Government to improve compliance with the Forest Code, promote land registration, environmental licensing of rural properties and the implementation of Ecological-Economic Zones.