Soft Commodities Compact
RBS has an established Environmental, Social and Ethical (ESE) risk management framework to help assess and manage such risks associated with certain clients and activities. The purpose of such due diligence is to help establish the commitment and capacity of customers to manage the potential ESE impacts in accordance with international standards. The ESE framework includes a sector ESE risk appetite position for Forestry, Fisheries and Agribusiness. The positions cover the production of rubber, pulp and paper, timber, palm oil and soy, and are broadly aligned with the goals of the Banking Environment Initiative’s (BEI) ‘Soft Commodities Compact’.
Other sustainability related benchmarks reflected in our policy and connected to the Soft Commodities Compact are the Roundtable on Sustainable Palm Oil, the Better Cotton Initiative, the Roundtable for Responsible Soy, the Global Roundtable for Responsible Beef, Bonsucro, Fair Trade and the Aquaculture Stewardship Council.
Our Forestry, Fisheries and Agribusiness ESE risk appetite position is reviewed every 2 years to ensure it is in keeping with international agreements, UK regulations and general good practice. If this process reveals that there is a need to revise our positions, then the necessary changes are made.
In 2018, 77 customers fell within the scope of the scope of the Forestry, Fisheries and Agribusiness ESE risk policy.