Deforestation powerbrokers failing to act on supply chains

Companies profit, forests fall: everyone pays the price

New data published on 29 April 2025 by Global Canopy shows that only 16 companies took credible action to remove deforestation from their global supply chains in 2024. Global Canopy’s Forest 500 report annually assesses and ranks the 500 corporations with the most exposure to global deforestation risk on the actions they take to eliminate forest loss from their supply chains. 

These powerbrokers deal in huge volumes of forest risk commodities, giving them outsized influence over global deforestation, biodiversity loss and human rights abuses. Forest 500 grades them on the strength and implementation of their commitments and actions to tackle forest loss and human rights violations. 

Inaction on deforestation is putting everyone at risk. Last year was the 10th consecutive hottest year on record, marked by severe wildfires, widespread flooding and droughts. There is also the threat of reaching a tipping point where major forests like the Amazon ‘die back’, which scientists have warned could have far-reaching global implications for biodiversity, carbon storage and climate change.  

Climate events impact agribusiness disproportionately and threaten food security, with lower rainfall and shorter growing seasons already affecting soy yields. But the evidence drawn from over 300,000 data points assessed by Forest 500 clearly shows that too many companies are falling short on deforestation – prioritising short-term profits over their own long-term interests.

Niki Mardas, Executive Director at Global Canopy, said: “In these turbulent times, it is sometimes important to restate the obvious: ending and reversing deforestation is a triple win for climate, nature and people. It is also the bedrock for economic stability in regions where drought linked to deforestation is already causing turmoil. There’s a reason why practically every country in the world has signed up to the 2030 target of ending and reversing deforestation. The leaders in the Forest 500 show how companies that have their strategic and operational act together can take steps to stop unacceptable harms today, while setting themselves up to flourish into the future.”

The Forest 500 companies fall into three groups of performance: 

• The 16 leaders (3%) show that deforestation can be addressed by companies with enough will to do so. These companies have strong deforestation commitments for all the commodities they are assessed for, and evidence of adequate implementation. 
• The 316 late majority companies (63%) hide behind half-baked commitments that cover only some high-risk commodities. Progress on implementing these commitments is weak. Companies in this group include Decathlon, Nike and McDonald’s. 
• The 168 laggards (34%) do not have a public commitment to address deforestation. A stubborn group of 24 have featured in every Forest 500 assessment since 2014 without ever making a commitment, and include German shoe manufacturer, Deichmann Group, and China’s Bright Food Group.

Now in its 11th year, the Forest 500 report covers boreal and temperate forests as well as tropical forests. In addition to beef, leather, palm oil, pulp and paper, soy and timber, this year’s report covers cocoa, coffee and rubber – mirroring the scope of the EU Deforestation Regulation (EUDR) which will be implemented from the end of 2025. The report now assesses and ranks 500 companies, up from 350 last year. 

The data reveals that companies are more likely to set public commitments for commodities like palm oil and timber given public awareness of their link to deforestation. Cattle products – the single biggest driver of global deforestation – require urgent action, but only 37% of companies have a commitment for beef and 29% for leather, compared with 76% for palm oil. 

A company taking steps in the right direction is Nestlé. Forest 500 has assessed it since 2014 for exposure to palm oil, pulp and paper, beef and soy. This year it is assessed for the first time for cocoa and coffee – for which it is a powerbroker. Nestlé has committed to achieve deforestation and conversion-free supply chains for all six commodities by 2025. After Nestlé’s exposure to deforestation was uncovered by investigations and campaigns, the company took action and now reports that over 80% of volumes for five of its commodities are deforestation and/or conversion-free. While Nestlé has demonstrated strong progress on implementing its commitments, there is still room for improvement. 

At the other end of the scale, persistent laggard, Land O’Lakes Inc, a member-owned agricultural cooperative, based in the US and a powerbroker for palm oil, soy and paper packaging, ignores its deforestation exposure. It has been a Forest 500 company for 11 years but has never published a deforestation commitment, just like Amul, Bata Corp and Shanghai Construction Group. 

Emma Thomson, Forest 500 and Tracking Lead at Global Canopy, said: “The leaders recognise the reputational and future business risks of deforestation. They monitor their supply chains, engage suppliers and bring them into compliance on deforestation and human rights. Regulators need to build on these achievements, not water down existing regulation.” 

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Notes to editors

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About Global Canopy 

Global Canopy is a data-driven not for profit that targets the market forces destroying nature by promoting transparency and accountability. Global Canopy provides innovative open-access data, metrics and insights to leading companies, financial institutions, governments and campaigning organisations worldwide, to help them make better decisions about nature, forests and people.

About Forest 500 

Forest 500 identifies the companies and financial institutions with the greatest exposure to deforestation risk, and annually assesses them on the strength and implementation of their commitments on deforestation, conversion of natural ecosystems and associated human rights.

The 11th annual Forest 500 assessments took place between April and September 2024. Data on financial institutions will be published later in the year.